JEBSEN'S MARITIME v. RAPIZ

Jebsen’s Maritime, Inc., Sea Chefs Ltd. And Enrique M. Aboitiz, Petitioners, vs. Florvin G. Rapiz, Respondent
G.R. No. 218871

January 11, 2017

FACTS:

            On March 16, 2011, Jebsens, on behalf of its foreign principal, Sea Chefs, engaged the services of respondent to work on board the M/V Mercury as a buffet cook for a period of nine (9) months with a basic monthly salary of $501.00. On March 30, 2011, respondent boarded the said vessel. However, in September 2011, respondent was diagnosed with “Tendovaginitis Dequevain”  which caused his medical repatriation since it was not possible for him to work without using his right forearm.

            On October 14, 2011, respondent was repatriated to the Philippines and after a lengthy treatment, the company-designated physician gave him a disability rating of Grade 11. Dissatisfied, respondent consulted an independent physician, who classified his condition as a Grade 10 disability. Thereafter, respondent requested petitioners to pay him total and permanent disability benefits, which the latter did not heed, thus, constraining the former to file a Notice to Arbitrate before the National Conciliation and Mediation Board (NCMB). As the parties failed to amicably settle the case, the parties submitted the same to the Office of the Panel of Voluntary Arbitrators (VA) for adjudication.

            Respondent argued that he is entitled to permanent and total disability benefits as he was unable to work as a cook for a period of 120 days from his medical repatriation. On the other hand, petitioners maintained that respondent is only entitled to Grade 11 disability benefits pursuant to the classification made by the company-designated physician.

            The Panel of Voluntary Arbitrators ruled in respondent’s favor which was later on affirmed by the CA. Petitioner’s moved for reconsideration, which was, however, denied in a Resolution dated June 5, 2015; hence, this petition.

ISSUE:

           

            Whether or not the CA correctly held that respondent is entitled to permanent and total disability benefits.

HELD:

            The petition is meritorious. In the case at bar, the VA and the CA’s award of permanent and total disability benefits in respondent’s favor was heavily anchored on his failure to obtain any gainful employment for more than 120 days after his medical repatriation. However, in Ace Navigation Company v. Garcia, the Court explained that the company-designated physician is given an additional 120 days, or a total of 240 days from repatriation, to give the seafarer further treatment and, thereafter, make a declaration as to the nature of the latter’s disability.

            A temporary total disability only becomes permanent when so declared by the company physician within the period he is allowed to do so, or upon the expiration of the maximum 240-day medical treatment period without a declaration of either fitness to work or the existence of a permanent disability. In the present case, while the initial 120-day treatment or temporary total disability period was exceeded, the company-designated doctor duly made a declaration well within the extended 240-day period that the petitioner was fit to work.

            In Elburg Ship Management Phils. Inc. v. Quiogue, Jr., the Court further clarified that for the company-designated physician to avail of the extended 240-day period, he must first perform some significant act to justify an extension; otherwise, the seafarer’s disability shall be conclusively presumed to be permanent and total. Accordingly, the Court laid down the following guidelines that shall govern seafarer’s claims for permanent and total disability benefits: (1) the company-designated physician must issue a final medical assessment on the seafarer’s disability grading within a period of 120 days from the time the seafarer reported to him; (2) if the company-designated physician fails to give his assessment within the period of 120 days, without any justifiable reason, then the seafarer’s disability becomes permanent and total; (3) if the company-designated physician fails to give his assessment within the period of 120 days with a sufficient justification, then the period of diagnosis and treatment shall be extended to 240 days. The employer has the burden to prove that the company-designated physician has sufficient justification to extend the period; and (4) if the company-designated physician still fails to give his assessment within the extended period of 240 days, then the seafarer’s disability becomes permanent and total, regardless of any justification.

            The records reveal that on October 14, 2011, respondent was medically repatriated for what was initially diagnosed by the ship doctor as “Tendovaginitis DeQuevain.” As early as January 24, 2012, or just 102 days from repatriation, the company-designated physician had already given his final assessment on respondent when he diagnosed the latter with “ Flexor Carpi Radialis Tendinitis, Right; Sprain, Right thumb; Extensor Carpi Ulnaris Tendinitis, Right” and gave a final disability rating of “ Grade 11” pursuant to the disability grading provided in the 2010 POEA-SEC. In view of the final disability rating made by the company-designated physician classifying respondent’s disability asd merely permanent and partial-which was not refuted by the independent physician except that respondent’s condition was classified as Grade 10 disability- it is plain error to award permanent and total disability benefits to respondent. Hence, the petition is granted.