8. R & E Transport Inc.

vs Latag

GR No. 155214 February 13, 2004 PANGANIBAN, J.:

FACTS:
Pedro Latag was a regular employee of La Mallorca Taxi to which the latter ceased from
business operations and Latag was transferred to R&E transport., Inc. as a taxi driver but got sick
and was forced to apply for partial disability with the SSS, which was granted. When he
recovered, he reported back to work, but was denied to continue working due to his old age.
Latag thus asked Felix Fabros, the administrative officer for his retirement pay but was left
unheeded and so he filed a case for payment of his retirement pay. He died later on and was
substituted by his wife, Aveling to which she was offered the amount of P38,500.00, which she
accepted and was also asked to sign an already prepared quitclaim and release and a joint motion
to dismiss the case.

ISSUE:
Whether or nof Pedro Latag is entitled to retirement benefit despite the signed quitclaim and
waiver by his wife.

HELD:
Yes for the basis of contention is the number of years that he should be credited with in
computing those benefits. As to the Quitclaim and waiver signed by Avelina Latag, the CA
committed no error when it ruled that the document was invalid and could not bar her from
demanding the benefits legally due her husband. Courts are wary of schemes that frustrate
workers' rights and benefits, and look with disfavor upon quitclaims and waivers that bargain
these away.