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OTHER KINDS OF DAMAGES

Moral Damages
ART. 2217
It includes physical suffering, mental anguish, fright,
serious anxiety, besmirched reputation, wounded
feelings, moral shock, social humiliation, and similar
injury.

Nature of moral damages


It must be understood in the concept of grants, not
punitive or corrective in nature, calculated to compensate
the claimant for injury suffered.
Moral Damages
Elements required for recovery
1. there must be an injury clearly sustained by claimant
2. there must be a culpable act or omission factually
established
3. the wrongful act or omission of the defendant is the
proximate cause of the injury sustained by the
claimant
4. the award of damages is predicated on any of the
cases stated in Article 2219
Moral Damages
Cases when moral damages may be awarded
ART. 2219
(1) criminal offense resulting in physical injuries
(2) Quasi-delicts causing physical injuries;
(3) Seduction, abduction, rape, or other lascivious acts;
(4) Adultery or concubinage;
(5) Illegal or arbitrary detention or arrest;
(6) Illegal search;
(7) Libel, slander or any other form of defamation;
(8) Malicious prosecution;
(9) Acts mentioned in Article 309;
(10) Acts and actions referred to in Articles 21, 26, 27, 28, 29, 30, 32,
34, and 35.
Moral Damages
Cases when moral damages may be awarded
ART. 2219
The parents of the female seduced, abducted, raped, or abused,
referred to in No. 3 of this article, may also recover moral damages.

The spouse, descendants, ascendants, and brothers and sisters may


bring the action mentioned in No. 9 of this article, in the order named.

ART. 2220
Willful injury to property may be a legal ground for awarding moral
damages if the court should find that, under the circumstances, such
damages are justly due. The same rule applies to breaches of contract
where the defendant acted fraudulently or in bad faith.
Moral Damages
Factors in determining amount
a. extent of humiliation
b. pain and suffering
c. official, political, social, and financial standing
d. age

Fixed amount
murder cases P 50,000.00
quasi-delict where victim died P 50,000.00
each conviction of rape P 75,000.00 - 100,000
Moral Damages
Persons who may recover
a. injured party himself
b. relatives
c. corporations
ABS-CBN Broadcasting Corp v. CA
Filipinas Broadcasting Networks v. Ago Medical
Nominal Damages
ART. 2221
Nominal damages are adjudged in order that a right of
the plaintiff, which has been violated or invaded by the
defendant, may be vindicated or recognized, and not for
the purpose of indemnifying the plaintiff for any loss
suffered by him.

ART. 2222
The court may award nominal damages in every
obligation arising from any source enumerated in Article
1157, or in every case where any property right has been
invaded.
Nominal Damages

ART. 2223
The adjudication of nominal damages shall preclude any
contest upon the right involved and all accessory
questions,as between the parties to the suit, or their
respective heirs and assigns.

Cannot Co-Exist with Actual Damages


 to vindicate or recognize a right that has been violated
 to indemnify the plaintiff for any loss suffered by him
Nominal Damages

Amount To Be Awarded
The assessment of nominal damages is left to the
discretion of the court.

Industrial Timber Corporation v. Alabon (labor case)


a. authorized cause invoked
b. number of employees to be awarded
c. capacity of employer to satisfy the awards
d. employer's grant of other termination benefits
e. bona fide attempt to comply with notice requirements
Nominal Damages

Case Examples
Japan Airlines v. Court of Appeals
- plaintiff sued the airline because the latter failed to
transport them to Manila; failed to transport them on the
first available connecting flight and declassified them
from “transit passengers” to “new passengers”

Erlinda Francisco v. Ricardo Ferrer, Jr.


- defendant failed to deliver the wedding cake of the
plaintiffs on time for the reception
Temperate or Moderate Damages

ART. 2224
Temperate or moderate damages, which are more than
nominal but less than the compensatory damages, may
be recovered when the court finds that some pecuniary
loss has been suffered but it amount can not, from the
nature of the case, be provided with certainty.

ART. 2225
Temperate damages must be reasonable under the
circumstances.
Temperate or Moderate Damages

Nature and Rationale


- ultimately a rule drawn from equity, the principle
affording relief to those definitely injured who are unable
to prove how definite the injury

- judge is empowered to calculate such rather than let the


complainant suffer without redress from defendant's
wrongful act
Temperate or Moderate Damages

May be awarded in the following cases


 in lieu of actual damages for loss of earning capacity
 can be awarded on top of actual or compensatory damages
in instances where the injury is chronic and continuing
 there is finding of pecuniary loss but amount cannot be
proved with certainty

Fixed Temperate Damages


P 25,000.00 in murder cases
P 25,000.00 funeral expenses
Temperate or Moderate Damages

Araneta v. Bank of America


Facts:
Leopoldo Araneta was a local merchant engaged in the
import and export business. He issued a check which
was wrongfully dishonored although the account on
which it was drawn had sufficient funds. The bank sent an
apology to the payee of the check stating that it was their
error and should not reflect adversely on Mr. Araneta.
However, another incident of similar nature occured later
prompting Mr. Araneta to file an action for recovery of
actual, moral, temperate, and exemplary damages.
Temperate or Moderate Damages

Araneta v. Bank of America


Issue: WON temperate damages can be awarded without
proof of actual pecuniary loss.

Held: YES
The financial credit of a businessman is a prized and
valuable asset, it being a significant part of the foundation
of his business. Any adverse reflection thereon constitute
some material loss to him. We are of the opinion that his
claim for temperate damages is legally justified.
Liquidated Damages
 fixed damages previously agreed by the parties to the
contract and payable to the innocent party in case of
breach of the other
 are frequently agreed upon either by way of penalty or
in order to avoid further controversy on the amount of
damages
 obligor bound to pay stipulated amount without need
for proof on the existence and on the measure of
damages caused by the breach
Liquidated Damages

Examples
 Lease
 Attorney's fees
 Construction contracts
 Non-involvement clause
Tiu v. Platinum Plans Phil., Inc.
-- not necessarily void for being in restraint of
trade as long as there are reasonable l imitations as to
time, trade, and place
Liquidated Damages

May be Equitably Reduced When


 iniquitous or unconscionable
 partial or irregular performance

When Reduction Not Warranted


 the court cannot reduce when it appears that even
from the start, the defendant had not shown the least
intention to fulfill the non-involvement clause in good
faith
Liquidated Damages

When Breach Not Contemplated


 the law shall determine the measure of damages, and
not the stipulation (Article 2228)
Exemplary or Corrective Damages
 also known as “punitive” or “vindictive”, these damages
are intended to serve as deterrent to serious
wrongdoings and as vindication of undue sufferings
and wanton invasion of rights of an injured or a
punishment for those guilty of outrageous conduct

 imposed by way of example or correction for the public


good, in addition to the moral, temperate, liquidated, or
compensatory damages
Exemplary or Corrective Damages

Requisites
1. the claimant's right to exemplary damages has been
established
2. their determination depends upon the amount of
compensatory damages that may be awarded to the
claimant; and
3. the act must be accompanied by bad faith or done in
wanton, fraudulent, oppressive or malevolent manner
Exemplary or Corrective Damages

ART. 2230 Criminal offense, when crime committed


with one or more aggravating circumstances

ART. 2231 Quasi-delicts, when defendant acted with


gross negligence

ART. 2232 Contracts and quasi-contracts, when


defendant acted in wanton, fraudulent, reckless,
oppressive, or malevolent manner
Exemplary or Corrective Damages

ART. 2233 Not a matter of right, court decides

ART. 2234 Ancilliary to the claim of moral, temperate or


compensatory damages

ART. 2235 Stipulation renouncing in advance


exemplary damages is null and void
Co-existence of Damages
Damages that
Damages that Damages that
must stand
cannot co-exist must co-exist
alone
NOMINAL cannot EXEMPLARY NOMINAL
co-exist w/ must co-exist with DAMAGES
EXEMPLARY Moral
Temperate
Liquidating
Compensatory
THE END

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