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of execution dated January 11, 2008. The parties, nonetheless, agreed:
5. That this Satisfaction of Judgment is without prejudice to herein
respondents’ [ISMI, Santos and Majestic] Petition for Certiorari with
the Court of Appeals docketed as CA GR SP No. 102311 entitled
“Indochina Management, Inc. and Majestic Carriers, Inc. vs.
National Labor Relations Commission (Second Division) and Pedro L.
Libang, Jr.” and this Satisfaction of Judgment is being made only
pursuant to the writ of execution dated 11 January 2008.[29]
The Ruling of the CA
On October 22, 2008, the CA rendered its decision granting the petition for certiorari.
For the CA, the lone assessment made by Dr. Vicaldo could not have justified the LA’s
and NLRC’s finding of a Grade VI disability. The Philippine Overseas Employment
Administration-Standard Employment Contract (POEA-SEC) requires the companydesignated physician to be the one to make a disability assessment of a seafarer.
Furthermore, for hypertension to be compensable, it must be shown to cause
impairment of function of body organs, as substantiated by documents such as chest xray report, ECG report, blood chemistry report, funduscopy report and CT scan,
pursuant to Section 32-A (20)[30] of the POEA-SEC.[31]
Thus, the dispositive portion of the CA decision reads:
WHEREFORE, premises considered, the instant petition for certiorari is
GRANTED. The Resolutions of NLRC Presiding Commissioner Raul T. Aquino
and Commissioner Angelita A. Gacutan dated September 11, 2007 and
December 17, 2007 in NLRC CA NO. 042080-04 (NLRC NCR Case No. 04-010135-00) are hereby ANNULLED and SET ASIDE. The Decision of Labor
Arbiter Cresencio G. Ramos, Jr. dated September 24, 2004 is ANNULLED
and the complaint of Pedro Libang, Jr. is DISMISSED. Pedro Libang, Jr., with
the assistance of his counsel Atty. Romulo P. Valmores, is ORDERED to
IMMEDIATELY RETURN to the petitioners One Million One Hundred TwentyFour Thousand Two Hundred Pesos (P1,124,200.00) with legal interest from
March 25, 2008 until date of payment.
SO ORDERED.[32]
Libang’s motion for reconsideration was denied in a Resolution dated September 25,
2009. Hence, this petition for review on certiorari.
The Present Petition
The core issue for the Court’s resolution is whether or not the CA erred in finding that
the NLRC gravely abused its discretion when it declared Libang entitled to disability
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