Transportation Laws

Prescription of Actions Against the Carrier

Does the one-year prescriptive period within which to file a case against the carrier also apply to a claim filed by an insurer who stands as a subrogee to the insured?

 

Yes, it includes the insurer of goods. Also, whether the insurer files a third party complaint or maintains an independent action is of no moment (Filipino Merchants Insurance Co., Inc. v. Alejandro, G.R. No. L-54140, Oct. 14, 1986). Note: The ruling in the above-cited case should apply only to suits against the carrier filed either by the shipper, the consignee or the insurer, not to suits by the insured against the insurer. The basis of the insurer’s liability is the insurance contract and such claim prescribes in 10 years, in accordance with Art. 1144 of the Civil Code. (Mayer Steel Pipe Corporation v. CA, G.R. No. 124050, June 19, 1997)


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