Professional Documents
Culture Documents
01 Unsworth Transport vs. CA
01 Unsworth Transport vs. CA
SO ORDERED.
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* SECOND DIVISION.
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of goods from the place of receipt to the place of destination; and (3)
to use for any part of the transportation a carrier subject to the
federal law pertaining to common carriers.
Same; Same; Limitation of a Freight ForwarderÊs Liability.·A
freight forwarderÊs liability is limited to damages arising from its
own negligence, including negligence in choosing the carrier;
however, where the forwarder contracts to deliver goods to their
destination instead of merely arranging for their transportation, it
becomes liable as a common carrier for loss or damage to goods. A
freight forwarder assumes the responsibility of a carrier, which
actually executes the transport, even though the forwarder does not
carry the merchandise itself.
Same; Same; Bill of Lading; Meaning of a Bill of Lading; A bill
of lading operates both as receipts and as a contract.·A bill of
lading is a written acknowledgement of the receipt of goods and an
agreement to transport and to deliver them at a specified place to a
person named or on his or her order. It operates both as a receipt
and as a contract. It is a receipt for the goods shipped and a
contract to transport and deliver the same as therein stipulated. As
a receipt, it recites the date and place of shipment, describes the
goods as to quantity, weight, dimensions, identification marks,
condition, quality, and value. As a contract, it names the contracting
parties, which include the consignee; fixes the route, destination,
and freight rate or charges; and stipulates the rights and
obligations assumed by the parties.
Same; Same; Common Carriers; Negligence; Common carriers,
as a general rule, are presumed to have been at fault or negligent if
the goods they transported deteriorated or got lost or destroyed; Mere
proof of delivery of the goods in good order to a common carrier and
of their arrival in bad order at their destination constitutes a prima
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NACHURA, J.:
For review is the Court of Appeals (CA) Decision1 dated
April 29, 2004 and Resolution2 dated November 26, 2004.
The assailed Decision affirmed the Regional Trial Court
(RTC) decision3 dated February 22, 2001; while the
assailed Resolution denied petitioner Unsworth Transport
International (Philippines), Inc., American President Lines,
Ltd. (APL), and Unsworth Transport International, Inc.Ês
(UTIÊs) motion for reconsideration.
The facts of the case are:
On August 31, 1992, the shipper Sylvex Purchasing
Corporation delivered to UTI a shipment of 27 drums of
various raw materials for pharmaceutical manufacturing,
consisting of:
„1) 3 drums (of) extracts, flavoring liquid, flammable liquid
x x x banana flavoring; 2) 2 drums (of) flammable liquids
x x x turpentine oil; 2 pallets. STC: 40 bags dried yeast;
and 3) 20 drums (of) Vitabs: Vitamin B Complex Extract.‰4
UTI issued Bill of Lading No. C320/C15991-2,5 covering the
aforesaid shipment. The subject shipment was insured with
private respondent Pioneer Insurance and Surety
Corporation in favor of Unilab against all risks in the
amount of P1,779,664.77 under and by virtue of Marine
Risk Note Number MC RM UL 0627 926 and Open Cargo
Policy No. HO-022-RIU.7
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On the same day that the bill of lading was issued, the
shipment was loaded in a sealed 1x40 container van, with
no. APLU-982012, boarded on APLÊs vessel M/V „Pres.
Jackson,‰ Voyage 42, and transshipped to APLÊs M/V „Pres.
Taft‰8 for delivery to petitioner in favor of the consignee
United Laboratories, Inc. (Unilab).
On September 30, 1992, the shipment arrived at the
port of Manila. On October 6, 1992, petitioner received the
said shipment in its warehouse after it stamped the Permit
to Deliver Imported Goods9 procured by the Champs
Customs Brokerage.10 Three days thereafter, or on October
9, 1992, Oceanica Cargo Marine Surveyors Corporation
(OCMSC) conducted a stripping survey of the shipment
located in petitionerÊs warehouse. The survey results
stated:
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8 Rollo, p. 81.
9 Exh. „3-APL‰ and Exh. „5-Unsworth‰; Records, p. 378.
10 Rollo, p. 81.
11 Exh. „G-2‰; Records, p. 249.
12 Exh. „1-APL‰ and Exh. „1-Unsworth‰; id., at p. 372.
13 As opposed to 27 drums as stated in the Bill of Lading.
14 Rollo, p. 82.
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22 Id., at p. 399.
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