Borreta vs. Evic Human Resource Management, Inc.

Death by suicide is compensable under a CBA provision covering death "through any cause" notwithstanding the exclusion of self-inflicted injuries in standard employment contracts, and the 10-day period under Article 276 of the Labor Code applies only to motions for reconsideration before the voluntary arbitrator, while the 15-day period under Rule 43 governs petitions for review to the Court of Appeals filed after denial of the motion for reconsideration.

Manuel A. Borreta, Jr. was employed by Evic Human Resource Management, Inc. (Evic) for its foreign principal Athenian Ship Management, Inc. (Athenian) as a cook on board M/V Sea Lord under a seven-month contract. On October 8, 2013, while the vessel was cruising toward Brazil, Manuel was found dead inside the vessel's hospital lavatory with a nylon cord tied around his neck. The vessel diverted to Galle, Sri Lanka where a post-mortem examination concluded the cause of death was "asphyxia due to hanging." The National Bureau of Investigation (NBI) autopsy reported the cause as "consistent with asphyxia by ligature." Respondents refused to pay death benefits, claiming suicide excluded liability under the Philippine Overseas Employment Administration Standard Employment Contract (POEA-SEC) and Republic Act No. 10022.

• Employment Contract: Manuel A. Borreta, Jr. was employed by Evic Human Resource Management, Inc. for Athenian Ship Management, Inc. as cook on board M/V Sea Lord with a basic monthly salary of US$746.00, guaranteed overtime pay of US$554.00 for 103 hours, owner's bonus of US$100.00, vacation leave pay of US$174.00, and subsistence allowance of US$126.00.
• Death of the Seafarer: On October 8, 2013, Manuel was found lifeless inside the toilet of the vessel's hospital cabin with a nylon cord tied around his neck and hanging on a hook. Prior to his death, Manuel had isolated himself, refused to report for work, and exhibited erratic behavior, claiming someone was going to kill him.
• Investigations and Autopsy Reports: An investigation conducted by lawyers Murshid Maharoof and Shamir Zavahir concluded suicide. Dr. Rohan Ruwanpura, Consultant Judicial Medical Officer in Galle, Sri Lanka, issued a post-mortem report dated December 7, 2013 finding the cause of death as "asphyxia due to hanging" and noting the circumstances were "in keeping with self suspension." The NBI Medico-Legal Officer, Dr. Roberto Rey C. San Diego, conducted an autopsy on October 24, 2013 and concluded the cause of death was "consistent with asphyxia by ligature," noting ligature marks and contusions.
• Claim for Benefits: Petitioner Delia B. Borreta, Manuel's widow, filed a claim for death benefits under the Collective Bargaining Agreement (CBA), death and burial benefits under the POEA Standard Terms and Conditions, insurance benefits under R.A. No. 10022, and other monetary claims. Respondents denied liability, asserting that suicide was not compensable.
• Voluntary Arbitration Proceedings: The Panel of Voluntary Arbitrators found no substantial evidence proving suicide, noting that the NBI report did not mention "hanging" or "suicide" and that petitioner's testimony regarding her happy telephone conversations with Manuel contradicted respondents' theory. The Panel awarded all claimed benefits including moral and exemplary damages.
• Court of Appeals Proceedings: The Court of Appeals found that suicide was duly established by substantial evidence based on the crew members' statements, investigation reports, and autopsy findings. It modified the Panel decision, limiting the award to death benefits under CBA Section 25.1 (US$89,100) and transportation/burial expenses (P162,080), deleting the insurance benefits and other monetary awards on the ground that suicide was not accidental and respondents had proven payment of the other benefits.

• Jurisdiction and Timeliness: Petitioner argued that the Court of Appeals lacked jurisdiction because respondents filed their petition for review 14 days from receipt of the Panel Resolution, beyond the 10-day period under Article 276 of the Labor Code, rendering the Panel decision final and executory.
• Forum Shopping: Petitioner maintained that respondents engaged in forum shopping by filing a "Manifestation with Opposition" and a "Reiterative Motion" before the Panel while simultaneously filing a petition for review before the Court of Appeals, all seeking the same relief of reversing the Panel decision.
• Factual Findings on Suicide: Petitioner contended that the Court of Appeals erred in reversing the Panel's factual finding that no adequate evidence existed to prove suicide, arguing that the crew members' statements were hazy and the reports lacked spontaneity, while the NBI report did not categorically state suicide.
• Insurance Benefits: Petitioner argued that she was entitled to insurance benefits under R.A. No. 10022 because suicide had not been established, and even if respondents failed to procure insurance, they should be liable for the minimum coverage amount.
• Monetary Benefits: Petitioner asserted entitlement to uncollected salary, guaranteed overtime pay, leave pay, subsistence allowance, and owner's bonus for four months, claiming respondents failed to prove payment for the period prior to October 2013.
• Damages: Petitioner argued that respondents' concealment of the CBA, suppression of evidence, refusal to provide assistance, and withholding of salary justified awards for moral damages, exemplary damages, and attorney's fees.

• Timeliness of Appeal: Respondents countered that their motion for reconsideration was timely filed on February 16, 2015, the next working day after the 10th day (February 15) fell on a Sunday, pursuant to Section 1, Rule 22 of the Rules of Court. They argued that the 15-day period under Rule 43 applied to the petition for review from the denial of the motion for reconsideration, which they filed within 14 days from receipt.
• No Forum Shopping: Respondents argued that the "Manifestation with Opposition" was merely a response to petitioner's motion for execution and not a second motion for reconsideration, and that no conflicting decisions could result since the Panel had lost jurisdiction once the petition for review was filed.
• Suicide as Cause of Death: Respondents maintained that suicide was established by substantial evidence through the crew members' detailed statements, the investigation reports, and the autopsy findings of the Sri Lankan authorities and the NBI.
• Limitation of Benefits: Respondents argued that insurance benefits under R.A. No. 10022 covered only accidental death, excluding suicide, and that they had already paid the uncollected salary and other monetary benefits as evidenced by the Wages Account and remittance receipts.

• Appeal Period: Whether the Court of Appeals correctly ruled that the petition for review was timely filed under the 15-day period of Rule 43 of the Rules of Court, notwithstanding the 10-day period in Article 276 of the Labor Code.
• Forum Shopping: Whether respondents committed forum shopping by filing multiple pleadings before the Panel and the Court of Appeals simultaneously.
• Timeliness of Motion for Reconsideration: Whether the motion for reconsideration before the Panel was duly filed considering it was filed on the next working day after the last day fell on a Sunday.
• Factual Findings on Suicide: Whether the Court of Appeals committed grave abuse of discretion in reversing the Panel's finding that suicide was not established.
• Insurance Benefits: Whether the petitioner is entitled to insurance benefits under R.A. No. 10022.
• Monetary Benefits: Whether the petitioner is entitled to uncollected salary, overtime pay, leave pay, subsistence allowance, and owner's bonus.
• Damages: Whether the petitioner is entitled to moral damages, exemplary damages, and attorney's fees.

• Appeal Period: The 10-day period under Article 276 of the Labor Code applies only to motions for reconsideration before the Voluntary Arbitrator or Panel, consistent with the doctrine of exhaustion of administrative remedies. Once the motion for reconsideration is resolved, the aggrieved party has 15 days under Section 4, Rule 43 of the Rules of Court to file a petition for review with the Court of Appeals. Respondents filed their appeal 14 days from receipt of the resolution denying their motion for reconsideration, rendering the appeal timely.
• Forum Shopping: No forum shopping was committed. The "Manifestation with Opposition" and "Reiterative Motion" were prohibited second and third motions for reconsideration that constitute mere scraps of paper with no legal effect. The Panel had lost jurisdiction once the petition for review was filed with the Court of Appeals, eliminating the possibility of conflicting decisions.
• Motion for Reconsideration: The motion for reconsideration was timely filed. Section 3 of the Revised Procedural Guidelines in the Conduct of Voluntary Arbitration Proceedings provides for the directory and suppletory application of the Rules of Court. Section 1, Rule 22 of the Rules of Court allows filing on the next working day when the last day falls on a Sunday. The Panel, as a governmental instrumentality performing state functions, holds office at the NCMB, making filing thereat proper.
• Suicide: Suicide was duly established by substantial evidence. The detailed statements of crew members, the investigation reports, the vessel log book, and the autopsy reports (both Sri Lankan and NBI) consistently showed Manuel deliberately killed himself by hanging. The NBI finding of "consistent with asphyxia by ligature" corroborates the respondents' evidence.
• Death Benefits: Petitioner is entitled to death benefits of US$89,100 and reimbursement for transportation and burial expenses of P162,080 under Section 25.1 of the CBA, which covers death "through any cause" while in the employment of the company. The CBA provision prevails over the POEA-SEC if more favorable to the seafarer.
• Insurance Benefits: Petitioner is not entitled to insurance benefits under R.A. No. 10022. Section 37-A of R.A. No. 8042, as amended by R.A. No. 10022, covers only "accidental death." Suicide is not accidental. The failure to procure insurance does not entitle the claimant to the insurance proceeds as a penalty.
• Monetary Benefits: Petitioner is entitled to guaranteed overtime pay for 160 hours per month at 1.25 of the basic hourly rate, leave pay of US$174 per month, daily allowance/subsistence allowance of US$126 per month, and owner's bonus of US$100 per month, all for three months and five days (from June 25, 2013 to September 30, 2013), as respondents failed to prove payment for this period. The award of uncollected salary was correctly deleted as respondents proved payment.
• Damages: The deletion of moral damages, exemplary damages, and attorney's fees was proper. Bad faith was not established; respondents' refusal to pay was based on their firm belief that the death was suicidal and therefore not compensable under their interpretation of the law.

• Period to Appeal from Voluntary Arbitration Awards: Under Article 276 of the Labor Code, the award becomes final and executory after 10 calendar days from receipt, which period is intended for filing a motion for reconsideration. After denial of the motion for reconsideration, the aggrieved party has 15 days under Rule 43 of the Rules of Court to file a petition for review with the Court of Appeals. (Guagua National Colleges v. Court of Appeals)
• Forum Shopping: Forum shopping exists where a party institutes two or more suits in different courts to obtain the same or substantially the same reliefs, creating the possibility of conflicting decisions. The test is whether the elements of litis pendentia or res judicata are present. Prohibited pleadings such as second or third motions for reconsideration are regarded as mere scraps of paper that do not have legal effect and cannot constitute basis for forum shopping.
• Substantial Evidence: Defined as that amount of relevant evidence which a reasonable mind might accept as adequate to justify a conclusion. Technical rules of procedure are not binding in labor cases.
• CBA Provisions vs. POEA Standard Employment Contract: In case of conflict, the provision of the CBA that provides greater benefits to the seafarer prevails over the standard terms formulated by the POEA, in keeping with the constitutional policy to give maximum aid and full protection to labor.
• Compulsory Insurance Coverage under R.A. No. 10022: The insurance coverage mandated by Section 23 of R.A. No. 10022 (amending R.A. No. 8042) covers only accidental death, not death by suicide.
• Interest on Monetary Awards: Monetary awards earn legal interest at the rate of 6% per annum from the date of finality of the decision until fully paid, pursuant to Nacar v. Gallery Frames and Lara's Gifts & Decor, Inc. v. Midtown Industrial Sales, Inc.

• "The 10-day period stated in Article 276 of the Labor Code should be understood as the period within which the party adversely affected by the ruling of the Voluntary Arbitrator or the Panel may file a motion for reconsideration."
• "Ultimately, the primary consideration in the determination if forum shopping is obtaining in a case is whether the filing of the actions would result in the very evil the rule on forum shopping seeks to prevent, that is, the rendition of conflicting decision by different tribunals."
• "The cause of death of the seafarer is immaterial to the determination of petitioner's entitlement to the said benefits. It is clear from the express provision of Section 25.1 of the CBA that respondents hold themselves liable for death benefits for the death of the seafarer under their employ for any cause."
• "Without question, respondents become liable for the payment of the compulsory life insurance benefit of US$15,000.00 only when the employee died of an accidental death. Inasmuch as the Court had already ruled that Manuel committed suicide, the CA correctly deleted the award of US$15,000.00 by way of life insurance in favor of the petitioner."
• "The monetary benefits awarded to the petitioner shall earn legal interest at the rate of 6% per annum from the date of the finality of the Decision until fully paid."

• Guagua National Colleges v. Court of Appeals, G.R. No. 188492, August 28, 2018: Controlling precedent establishing that the 10-day period under Article 276 of the Labor Code is for motions for reconsideration, while the 15-day period under Rule 43 governs appeals to the Court of Appeals.
• Philippine Electric Corporation (PHILEC) v. Court of Appeals, 749 Phil. 686 (2014): Cited for the proposition that the 10-day appeal period applies, but distinguished and superseded by Guagua National Colleges.
• Teng v. Pahagac, 649 Phil. 460 (2010): Cited for the principle that the 10-day period allows aggrieved parties to seek recourse via motion for reconsideration in line with exhaustion of administrative remedies.
• Nacar v. Gallery Frames, G.R. No. 189871, August 13, 2013: Controlling precedent on the imposition of legal interest at 6% per annum from the finality of judgment until full payment.
• Lara's Gifts & Decor, Inc. v. Midtown Industrial Sales, Inc., G.R. No. 225433, August 28, 2019: Applied for the guidelines on imposition of interest on monetary awards.
• Maersk-Filipinas Crewing, Inc. v. Malicse, G.R. Nos. 200576 & 200626, November 20, 2017: Cited for the rule that CBA provisions prevail over POEA-SEC if more favorable to the seafarer.
• City of Taguig v. City of Makati, 787 Phil. 367 (2016): Cited for the definition and elements of forum shopping.

• Article 276 of the Labor Code: Provides that the award or decision of the Voluntary Arbitrator or panel of Voluntary Arbitrators shall be final and executory after ten (10) calendar days from receipt of the copy of the award or decision by the parties.
• Section 4, Rule 43 of the Rules of Court: Provides that the appeal shall be taken within fifteen (15) days from notice of the award, judgment, final order or resolution, or from the date of its last publication, or of the denial of petitioner's motion for new trial or reconsideration duly filed in accordance with the governing law of the court or agency a quo.
• Section 23 of R.A. No. 10022 (amending R.A. No. 8042): Mandates compulsory insurance coverage for migrant workers covering, at the minimum, accidental death with at least fifteen thousand United States dollars (US$15,000.00) survivor's benefit.
• Section 25.1 of the Collective Bargaining Agreement: Provides that if a seafarer dies through any cause whilst in the employment of the Company, including death from natural causes, the Company shall pay specified sums to the beneficiary and transport the body to the seafarer's home at company expense.
• Section 1, Rule 22 of the Rules of Court: Provides for the computation of time, allowing filing on the next working day when the last day falls on a Saturday, Sunday, or legal holiday.
• Article 2210 of the Civil Code: Provides that interest may be imposed in the discretion of the court on damages awarded for breach of obligation not constituting a loan or forbearance of money.

Peralta, C.J., Caguioa (Working Chairperson), Lazaro-Javier, and Lopez, JJ.