- Petitioner
- Trans-Asia Shipping Lines
- Respondent
- Court of Appeals
- Citation
- G.R. No. 118126
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Davide, Jr., J.
- Decided
- March 4, 1996
Summary
This case involves a passenger's claim for damages against Trans-Asia Shipping Lines after the M/V Asia Thailand, operating on only one engine due to ongoing repairs, suffered engine trouble and stopped near Kawit Island during a voyage from Cebu to Cagayan de Oro. When passengers demanded to return to Cebu, the vessel complied, and plaintiff disembarked. The RTC dismissed the complaint finding no fault by the carrier, but the Court of Appeals reversed, finding the carrier breached its duty of extraordinary diligence by operating an unseaworthy vessel. The Supreme Court affirmed the CA's award of moral and exemplary damages, holding that the carrier acted in bad faith by proceeding with the voyage despite knowledge of the vessel's condition, but deleted the attorney's fees award for lack of proper basis. The case establishes that common carriers must exercise utmost diligence and cannot operate unseaworthy vessels even if conditions appear favorable.