Thursday, July 10, 2008 DOJ doubts if Sulpicio can abandon sunken ship
SULPICIO Lines, Incorporated cannot just conveniently abandon the ill-fated m/v Princess of the Stars off Sibuyan Island in Romblon Province without paying a steep price for it, the Department of Justice (DOJ) said.
During the House hearing, Sulpicio claimed that it is now mulling to leave the matter of refloating the capsized ship to the insurer, Oriental Insurance, a move that Justice Secretary Raul Gonzalez Sr. saw as just an escape from the ship owner's moral and legal responsibility.
Gonzalez said under commercial laws, abandonment means relinquishment by the ship owner of its rights and interests over the vessel after its constructive total loss.
However, Gonzalez said Sulpicio cannot use its statutory right of abandonment to avoid its liability for acts or omissions that are deemed detrimental to the environment and the livelihood of people who depend on the sea for a living.
"As such, Sulpicio has no right to abandon the vessel to the insurer and to limit its liability for the detrimental effects on the environment resulting in the sinking of the vessel. Sulpicio cannot simply pass on the responsibility of clearing up the ecological damage to the insurer or the government," said Gonzalez.
He said the sunken ship is an environmental nuisance, which under the Civil Code specifically obliges the persons owning the nuisance to shoulder all the expenses necessary to abate or remove it.
He further said that in the event that Sulpicio was proven to have been at fault, the shipping firm cannot limit its liability or evade its responsibility to its passengers.
The DOJ chief also said that if Sulpicio will shirk its responsibility, government may be forced to facilitate the refloating but will have to charge the shipping firm for refloating and towing expenses incurred.
"If they will abandon that, we can charge them and apply the provisions of the Law on the Carriage of Goods by Sea, which makes the shipper responsible to third person. It is just like when you have a car, you get insurance on third party damage. That is built-in in any carriage, the liability to passengers. The problem there is the insurance may not be sufficient. The government will then have to takeover," he said.
Gonzalez said the justice department will ensure that Sulpicio will face up to all its responsibilities, liabilities and accountabilities under the laws. He said that at the outset, it is liable for reckless imprudence resulting in multiple homicide.
"It's just a warning. We are asking them not to abandon. If (Sulpicio) abandons the vessel, they are totally freed of responsibility for that vessel. You refloat it, you tow it, that should be at the owner's expense. The moment you abandon it, it becomes a derelict, therefore it now becomes incumbent for the Philippine Coast Guard to tow it away," he said.
He said it appears that Sulpicio is now preparing for its defense with the number of suits that it has filed in the past weeks, such as the P4.5 million damage it sought from the Philippine Atmospheric Geophysical and Astronomical Services Administration (Pag-asa), the civil case lodged against officers of the Board of Marine Inquiry and most recently the P5.5 million damage suit filed against Del Monte Philippines for the alleged undeclared cargo of endosulfan, which is now trapped within the capsized vessel.
"They are preparing for their legal defense. That is why they are suing everybody. These are all squid tactics in order to muddle the case," Gonzalez said, adding that he has assigned Undersecretary Vicente Salazar to assist Task Force Princess of the Stars chairperson Len Bautista, which is expected to come up with its report this week. (ECV/Sunnex)
