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JurisprudenceG.R. No. 259609 -

G.R. No. 259609 - PAOLO B. DAVANTES, VS. C.F. SHARP CREW MANAGEMENT INC., CLAUS-PETER OFFEN TANKSCHIFFREEDEREI (GMBH & CO.) KG, AND/OR MIGUEL ROCHA.D E C I S I O N - Supreme Court E-Library

Cited Laws

RA 8042
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TL;DR — Ruling

WHEREFORE, premises considered, judgment is hereby rendered finding respondent C.F. SHARP CREW MANAGEMENT INC., CLAUS-­PETER OFFEN TANKSCHIFFREEDEREI (GMBH & CO.

Decision

Ruling

Accordingly, Davantes executed a Release of All Rights, Pagpapaubaya sa Lahat ng Karapatan , and Affidavit of Claimant, all of which were dated March 14, 2018. On even date, the LA in NLRC-NCR Case No. 03-04582-18 dismissed the case with prejudice. [13] To their surprise, Davantes filed another complaint. Thus, C.F. Sharp argues that this later complaint should be dismissed on the ground of res judicata . C.F. Sharp also argues that Davantes is not entitled to disability benefits under the CBA because the latter requires the disability to be caused by an accident, which Davantes failed to allege and prove. Lastly, C.F. Sharp claims that there was concealment on the part of Davantes when he did not declare during his PEME that he had a pre-existing illness or condition. [14] Ruling of the LA In a Decision dated August 30, 2019, the LA ruled in favor of Davantes: WHEREFORE, premises considered, judgment is hereby rendered finding respondent C.F. SHARP CREW MANAGEMENT INC., CLAUS-­PETER OFFEN TANKSCHIFFREEDEREI (GMBH & CO.), and/or MIGUEL ROCHA jointly and severally liable to pay complainant PAOLO B. DAVANTES total and permanent disability benefits in the amount of SEVENTY SEVEN THOUSAND NINE HUNDRED FORTY EIGHT US DOLLARS ([USD] 77,948.00); or its peso equivalent at the time of payment; plus ten (10%) percent of the total monetary award as and by way of attorney's fees." [15] The LA agreed with Davantes that the amount of USD 20,900.00 is grossly disproportionate to the benefits he is entitled under the CBA. Consequently, the quitclaim executed by Davantes in favor of C.F. Sharp is invalid. Aggrieved, C.F. Sharp filed an appeal. Ruling of the NLRC The NLRC agreed with the LA that Davantes is entitled to total and permanent disability benefits, however, it should be granted under the Philippine Overseas Employment Administration-Standard Employment Contract (POEA-­SEC). It follows that the amount of USD 20,900.00 received by Davantes is grossly disproportionate to USD 60,000.00 which he is entitled to. Further, the NLRC explained that the CBA cannot be applied because Davantes failed to prove that the disability was caused by an accident, a circumstance that the CBA requires. Moreover, the NLRC held that there is no res judicata because the Order dated March 14, 2018 issued by the LA dismissing the complaint docketed as NLRC-NCR Case No. 03-04582-18 did not resolve the case on the merits. [16] Hence, in its Decision dated January 31, 2020, the NLRC disposed as follows: WHEREFORE, premises considered, the assailed Decision of Labor Arbiter Thomas T. Que dated August 30, 2019 is AFFIRMED with modification, in that: 1. The Complainant is entitled to total and permanent disability benefits which, after deducting the amount of [USD] 20,900.00 already received by the Complainant, [ USD ] 39,100.00 . 2. The award of ten percent of the judgment award as attorney's fees is granted. The rest of the Labor Arbiter's Decision, so long as not inconsistent with Ou