TL;DR
The Supreme Court ruled in favor of Jolly R. Carandan, a seafarer, entitling him to total and permanent disability benefits after he suffered a heart attack during his employment. The Court reversed the Court of Appeals’ decision, which had denied Carandan’s claim based on alleged material concealment of a pre-existing condition. The Supreme Court found no deliberate concealment, emphasizing that Carandan’s pre-employment medical examination (PEME) declared him fit for sea duty. The decision clarifies the conditions under which seafarers can claim disability benefits, even when employers allege non-disclosure of prior health issues, providing a significant legal precedent for maritime workers seeking compensation for work-related illnesses.
A Seafarer’s Heart: Work-Related Illness or Hidden Condition?
The case of Jolly R. Carandan versus Dohle Seafront Crewing Manila, Inc., et al., revolves around the crucial question of whether a seafarer is entitled to disability benefits when a work-related illness is contested due to alleged concealment of pre-existing conditions. Carandan, employed as an Able Seaman, suffered a cardiac arrest while on board, leading to his repatriation and subsequent claim for total and permanent disability benefits. The employer, however, denied the claim, alleging that Carandan had concealed a prior history of hypertension and chest pains during his pre-employment medical examination (PEME). This dispute highlights the tension between a seafarer’s right to compensation for work-related illnesses and the employer’s defense based on the seafarer’s duty to disclose pertinent medical history.
The central legal issue is whether Carandan was guilty of material concealment and whether his cardiovascular disease was work-related, thus entitling him to total and permanent disability benefits under the Philippine Overseas Employment Administration Standard Employment Contract (POEA-SEC). To determine this, the Supreme Court scrutinized the evidence presented by both parties, particularly focusing on Carandan’s medical history and the circumstances surrounding his employment and subsequent illness. The Court underscored that it isn’t a trier of facts but can probe factual issues if the Court of Appeals’ findings contradict those of the Panel of Voluntary Arbitrators (PVA).
The Court emphasized that under the 2010 POEA-SEC, an illness is considered pre-existing if the seafarer had prior knowledge of the condition and failed to disclose it during the PEME, and such condition could not be diagnosed during the PEME. Furthermore, fraudulent misrepresentation requires not only a failure to disclose but also a deliberate concealment with malicious intent. Here, the Court found that the respondents failed to provide convincing evidence that Carandan deliberately concealed a pre-existing condition. The company-designated doctor’s statement about Carandan’s alleged admission of prior hypertension treatment was deemed hearsay and lacked probative weight. Furthermore, the respondents’ failure to produce Carandan’s 2010 PEME, which supposedly contained the diagnosis, was viewed as suppression of evidence, leading to the presumption that such evidence would be unfavorable to their case.
Building on this principle, the Court considered that Carandan had passed the PEME and was declared fit for work. Had he been suffering from hypertension or coronary artery disease, standard tests during the PEME would have detected it. The Court cited Philsynergy Maritime, Inc. v. Gallano, Jr., noting that pre-existing hypertension would be evident in tests like blood pressure checks, electrocardiograms, and chest x-rays. Additionally, the Court addressed the May 5, 2016, Information Sheet where Carandan answered “yes” to heart trouble/chest pain. Carandan clarified that this referred to his heart attack in April 2016, not to any pre-existing condition. Even assuming a prior diagnosis, the Court found no proof that Carandan deliberately concealed his illness with malicious intent to profit from the deception.
The Court next addressed the issue of whether Carandan’s cardiovascular disease was work-related, thus entitling him to total and permanent disability benefits. The Court focused on paragraph (c) of Section 32-A of the 2010 POEA-SEC, which states that if a person who was apparently asymptomatic before being subjected to strain at work showed signs and symptoms of cardiac injury during the performance of his work and such symptoms and signs persisted, it is reasonable to claim a causal relationship. Carandan was asymptomatic before boarding and only showed symptoms while performing his duties. The Court cited Leoncio v. MST Marine Services (Phils.), Inc., stating that cardiovascular disease is a compensable work-related condition under the POEA-SEC. Moreover, seafarers are exposed to varying temperatures, harsh weather, homesickness, and emotional strain, all of which can contribute to heart ailments.
Another crucial point was the respondents’ failure to provide a definitive assessment of Carandan’s disability within the mandatory 120/240-day period. Citing Ampo-on v. Reinier Pacific International Shipping, Inc., the Court emphasized that the company-designated physician must provide a complete and definite assessment within the prescribed period; otherwise, the seafarer’s disability is considered total and permanent. As a result, without a valid final assessment, the law considers Carandan totally and permanently disabled, entitling him to disability benefits under the 2010 POEA-SEC. While the Collective Bargaining Agreement (CBA) was deemed inapplicable because Carandan’s condition did not result from an “accident” as defined in NFD International Manning Agents v. Illescas, he was still entitled to benefits under the POEA-SEC.
FAQs
What was the key issue in this case? | The key issue was whether a seafarer was entitled to disability benefits despite allegations of concealing a pre-existing medical condition. |
What is “material concealment” in this context? | Material concealment refers to the deliberate failure to disclose a pre-existing medical condition during the pre-employment medical examination (PEME) with the intent to deceive and profit from it. |
What is the POEA-SEC? | The POEA-SEC is the Philippine Overseas Employment Administration Standard Employment Contract, which sets the terms and conditions for the employment of Filipino seafarers. |
What did the Court say about the company doctor’s assessment? | The Court found that the company doctor’s assessment lacked credibility as it relied on hearsay and was not supported by substantial evidence, such as the PEME results. |
Why was the seafarer ultimately granted disability benefits? | The seafarer was granted disability benefits because he was asymptomatic prior to boarding, his symptoms appeared during his work, and the employer failed to provide a definitive assessment within the mandatory period. |
What does it mean for a disease to be ‘work-related’ under POEA-SEC? | Under the POEA-SEC, a disease is work-related if the seafarer’s work involves risks described, the disease was contracted due to exposure to those risks, and there was no notorious negligence on the part of the seafarer. |
What happens if the company doctor fails to provide a timely assessment? | If the company doctor fails to provide a definitive assessment within the mandatory 120/240-day period, the seafarer’s disability is considered total and permanent by operation of law. |
This case provides a clear legal framework for seafarers seeking disability benefits, emphasizing the importance of transparency and accuracy in medical examinations, as well as the employer’s responsibility to provide timely and definitive medical assessments. The ruling affirms that seafarers are entitled to compensation for work-related illnesses unless there is clear and convincing evidence of deliberate and malicious concealment of pre-existing conditions.
For inquiries regarding the application of this ruling to specific circumstances, please contact Atty. Gabriel Ablola through gaboogle.com or via email at connect@gaboogle.com.
Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: Carandan v. Dohle Seafront Crewing Manila, Inc., G.R. No. 252195, June 30, 2021