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General Rule: The common carrier is presumed to have been at fault or to have acted negligently when the goods transported are lost, destroyed or deteriorated, or when a passenger dies or is injured.
Exception: When the same is due to any of the following causes only:
1. Flood, storm, earthquake, lightning or other natural disaster or calamity.
Conditions to avail of defense:
a. natural disaster was the proximate & only cause
b. exercise of diligence to prevent or minimize loss
c. no delay (Art. 1740 New Civil Code [NCC])
2. Act of the public enemy in war, whether international or civil.
Conditions to avail of defense:
a. act was the proximate & only cause
b. exercise of diligence to prevent or minimize loss
c. no delay (Art. 1740, NCC)
3. Act or omission of the shipper or owner of the goods.
Note: There should be a protest when the defect due to the act or omission is visible.
Conditions to avail of defense:
a. if proximate cause, exempting
b. if contributory negligence, mitigating
4. The character of the goods or defects in the packing or in the containers.
Note: There should be a protest when the defect due to the act or omission is visible.
Conditions to avail of defense: exercise of due diligence to forestall or prevent loss
5. Order or act of competent authority. Conditions to avail of defense: with power to
issue order
Exception to the Exception:
1. When the natural disaster is not the proximate and only cause of the loss;
2. When the common carrier failed to exercise due diligence to prevent or minimize the
loss before, during and after the occurrence of the natural disaster; and
3. When the common carrier negligently incurs in delay in transporting the goods.
Exception: When the same is due to any of the following causes only:
1. Flood, storm, earthquake, lightning or other natural disaster or calamity.
Conditions to avail of defense:
a. natural disaster was the proximate & only cause
b. exercise of diligence to prevent or minimize loss
c. no delay (Art. 1740 New Civil Code [NCC])
2. Act of the public enemy in war, whether international or civil.
Conditions to avail of defense:
a. act was the proximate & only cause
b. exercise of diligence to prevent or minimize loss
c. no delay (Art. 1740, NCC)
3. Act or omission of the shipper or owner of the goods.
Note: There should be a protest when the defect due to the act or omission is visible.
Conditions to avail of defense:
a. if proximate cause, exempting
b. if contributory negligence, mitigating
4. The character of the goods or defects in the packing or in the containers.
Note: There should be a protest when the defect due to the act or omission is visible.
Conditions to avail of defense: exercise of due diligence to forestall or prevent loss
5. Order or act of competent authority. Conditions to avail of defense: with power to
issue order
Exception to the Exception:
1. When the natural disaster is not the proximate and only cause of the loss;
2. When the common carrier failed to exercise due diligence to prevent or minimize the
loss before, during and after the occurrence of the natural disaster; and
3. When the common carrier negligently incurs in delay in transporting the goods.
