Air Transpo Digests
Air Transpo Digests
Air Transpo Digests
Case Digest
(270 SCRA 538)
Facts: Grand Air applied for a Certificate of Public
Convenience and Necessity with the Civil Aeronautics
Board (CAB). The Chief Hearing Officer issued a
notice of hearing directing Grand Air to serve a copy
of the application and notice to all scheduled
Philippine Domestic operators. Grand Air filed its
compliance and requested for a Temporary Operating
Permit (TOP). PAL filed an opposition to the
application on the ground that the CAB had no
jurisdiction to hear the application until Grand Air first
obtains a franchise to operate from Congress. The
Chief Hearing Officer denied the opposition and the
CAB approved the issuance of the TOP for a period of
3 months. The opposition for the TOP was likewise
denied. The CAB justified its assumption of
jurisdiction over Grand Airs application on the basis
of Republic Act 776 which gives it the specific power
to issue any TOP or Certificate of Public Convenience
and Necessity.
Issue: Whether or not the CAB can issue a Certificate
of Public Convenience and Necessity or TOP even
though the prospective operator does not have a
legislative franchise?
Held: Yes, as mentioned by the CAB, it is duly
authorized to do so under Republic Act 776 and a
legislative franchise is not necessary before it may do
so, since Congress has delegated the authority to
authorize the operation of domestic air transport
services to the CAB, an administrative agency. The
delegation of such authority is not without limits since
Congress had set specific standard and limitations on
how such authority should be exercised.
Public convenience and necessity exists when the
proposed facility will meet a reasonable want of the
public and supply a need which the existing facilities
do not adequately afford.
Thus, the Board should be allowed to continue
hearing the application, since it has jurisdiction over it
provided that the applicant meets all the requirements
of the law.
In this case, Dr. Pablo did not suffer any other injury
other than not being able to read her paper in Italy.
This was due to the fact that Alitalia misplaced her
luggage. There was no bad faith or malice on the part
of Alitalia in the said delay in the arrival of her
luggage. Dr. Pablo received all her things which were
returned to her in good condition although 11 months
late. Therefore she shall receive nominal damages for
the special injury caused.
The next day, Chiok was not able to board the plane
because his name did not appear on the computer as
passenger for the said flight to Manila.
Issue: Whether or not CAL is liable for damages?
Held: The contract of air transportation between the
petitioner and respondent, with the former endorsing
PAL the segment of Chioks journey. Such contract of
carriage has been treated in this jurisprudence as a
single operation pursuant to Warsaw Convention, to
which the Philippines is a party.
In the instant case, PAL as the carrying agent of CAL,
the latter cannot evade liability to respondent, Chiok,
even though it may have been only a ticket issuer for
Hong Kong- Manila sector.