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    Vlasons Shipping vs. NSC Case Digest

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    Oscar E Valero
    Vlasons Shipping, Inc. entered into a voyage charter contract with National Steel Corporation to transport steel products from Iligan City to Manila. When the cargo arrived, NSC alleged it was damaged. NSC sued Vlasons, claiming negligence. Vlasons denied liability, arguing it was a private not common carrier under the charter contract. The court ruled in favor of Vlasons, finding that as a private carrier, its duties and liabilities were defined by the charter contract rather than laws governing common carriers. As Vlasons did not offer services to the general public, it was not bound by stringent liability standards for common carriers.

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    Vlasons Shipping vs. NSC Case Digest

    Uploaded by

    Oscar E Valero
    232 views1 page
    Vlasons Shipping, Inc. entered into a voyage charter contract with National Steel Corporation to transport steel products from Iligan City to Manila. When the cargo arrived, NSC alleged it was damaged. NSC sued Vlasons, claiming negligence. Vlasons denied liability, arguing it was a private not common carrier under the charter contract. The court ruled in favor of Vlasons, finding that as a private carrier, its duties and liabilities were defined by the charter contract rather than laws governing common carriers. As Vlasons did not offer services to the general public, it was not bound by stringent liability standards for common carriers.

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    TRANSPORTATION LAW

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    Vlasons Shipping vs. Nsc Case Digest

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    Vlasons Shipping, Inc. entered into a voyage charter contract with National Steel Corporation to transport steel products from Iligan City to Manila. When the cargo arrived, NSC alleged it was damaged. NSC sued Vlasons, claiming negligence. Vlasons denied liability, arguing it was a private not common carrier under the charter contract. The court ruled in favor of Vlasons, finding that as a private carrier, its duties and liabilities were defined by the charter contract rather than laws governing common carriers. As Vlasons did not offer services to the general public, it was not bound by stringent liability standards for common carriers.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    232 views1 page

    Vlasons Shipping vs. NSC Case Digest

    Uploaded by

    Oscar E Valero
    Vlasons Shipping, Inc. entered into a voyage charter contract with National Steel Corporation to transport steel products from Iligan City to Manila. When the cargo arrived, NSC alleged it was damaged. NSC sued Vlasons, claiming negligence. Vlasons denied liability, arguing it was a private not common carrier under the charter contract. The court ruled in favor of Vlasons, finding that as a private carrier, its duties and liabilities were defined by the charter contract rather than laws governing common carriers. As Vlasons did not offer services to the general public, it was not bound by stringent liability standards for common carriers.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 1

    VLASONS SHIPPING, INC vs.

    CA and NATIONAL STEEL CORPORATION


    [G.R. No. 112350. December 12, 1997]
    FACTS: National Steel Corporation (NSC) as Charterer and Vlasons Shipping, Inc. (VSI) as
    Owner, entered into a Contract of Voyage Charter Hire (Affreightment) whereby NSC hired
    VSIs vessel, the MV VLASONS I to make one (1) voyage to load steel products at Iligan City
    and discharge them at North Harbor, Manila. VSI carried passengers or goods only for those it
    chose under a special contract of charter party. The vessel arrived with the cargo in Manila, but
    when the vessels three (3) hatches containing the shipment were opened, nearly all the skids of
    tin plates and hot rolled sheets were allegedly found to be wet and rusty. NSC filed its complaint
    against defendant before the CFI wherein it claimed that it sustained losses as a result of the act,
    neglect and default of the master and crew in the management of the vessel as well as the want of
    due diligence on the part of the defendant to make the vessel seaworthy -- all in violation of
    defendants undertaking under their Contract of Voyage Charter Hire. In its answer, defendant
    denied liability for the alleged damage claiming that the MV VLASONS I was seaworthy in all
    respects for the carriage of plaintiffs cargo; that said vessel was not a common carrier
    inasmuch as she was under voyage charter contract with the plaintiff as charterer under the
    charter party.
    The trial court ruled in favor of VSI; it was affirmed by the CA on appeal.
    ISSUE: Whether or not Vlazons is a private carrier so that it is free from liabilities re the
    damages incurred by NSC with respect to its cargoes.
    HELD: Yes. In the instant case, it is undisputed that VSI did not offer its services to the general
    public. As found by the Regional Trial Court, it carried passengers or goods only for those it
    chose under a special contract of charter party. As correctly concluded by the Court of
    Appeals, the MV Vlasons I was not a common but a private carrier. Consequently, the rights
    and obligations of VSI and NSC, including their respective liability for damage to the cargo, are
    determined primarily by stipulations in their contract of private carriage or charter party.
    Recently, in Valenzuela Hardwood and Industrial Supply, Inc., vs. Court of Appeals and Seven
    Brothers Shipping Corporation, the Court ruled:
    x x x [I]n a contract of private carriage, the parties may freely stipulate their duties and
    obligations which perforce would be binding on them. Unlike in a contract involving a common
    carrier, private carriage does not involve the general public. Hence, the stringent provisions of
    the Civil Code on common carriers protecting the general public cannot justifiably be applied to
    a ship transporting commercial goods as a private carrier. Consequently, the public policy
    embodied therein is not contravened by stipulations in a charter party that lessen or remove the
    protection given by law in contracts involving common carriers.

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