4/9/2020
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certain rights and obligations, the breach of which may give rise to a cause of action
against the erring party.[22]
If the reverse happened, that is, the seafarer failed or
refused to be deployed as agreed upon, he would be liable for damages.[23]
The Court agrees with the NLRC that a recruitment agency, like petitioner BMC, must
ensure that an applicant for employment abroad is technically equipped and physically
fit because a labor contract affects public interest. Nevertheless, in this case,
petitioners failed to prove with substantial evidence that they had a valid ground to
prevent respondent from leaving on the scheduled date of his deployment. While the
POEA Standard Contract must be recognized and respected, neither the manning agent
nor the employer can simply prevent a seafarer from being deployed without a valid
reason.[24]
Petitioners' act of preventing respondent from leaving and complying with his contract
of employment constitutes breach of contract for which petitioner BMC is liable for
actual damages to respondent for the loss of one-year salary as provided in the
contract.[25] The monthly salary stipulated in the contract is US$670, inclusive of
allowance.
The Court upholds the award of moral damages in the amount of P30,000.00, as the
Court of Appeals correctly found petitioners' act was tainted with bad faith,[26]
considering that respondent's Medical Certificate stated that he was fit to work on the
day of his scheduled departure, yet he was not allowed to leave allegedly for medical
reasons.
Further, the Court agrees with the Court of Appeals that petitioner BMC is liable to
respondent for exemplary damages,[27] which are imposed by way of example or
correction for the public good in view of petitioner's act of preventing respondent from
being deployed on the ground that he was not yet declared fit to work on the date of
his departure, despite evidence to the contrary. Such act, if tolerated, would prejudice
the employment opportunities of our seafarers who are qualified to be deployed, but
prevented to do so by a manning agency for unjustified reasons. Exemplary damages
are imposed not to enrich one party or impoverish another, but to serve as a deterrent
against or as a negative incentive to curb socially deleterious actions.[28] In this case,
petitioner should be held liable to respondent for exemplary damages in the amount of
P50,000.00,[29] following the recent case of Claudio S. Yap v. Thenamaris Ship's
Management, et al.,[30] instead of P10,000.00
The Court also holds that respondent is entitled to attorney's fees in the concept of
damages and expenses of litigation.[31] Attorney's fees are recoverable when the
defendant's act or omission has compelled the plaintiff to incur expenses to protect his
interest.[32] Petitioners' failure to deploy respondent based on an unjustified ground
forced respondent to file this case, warranting the award of attorney's fees equivalent
to ten percent (10%) of the recoverable amount.[33]
WHEREFORE, the petition is DENIED.
elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/21705
The Decision of the Court of Appeals in CA9/12