Besmirched Reputation, Social Humiliation, Moral Shock…

Review with me.

I am currently reading Civil Law on Torts and Damages. Here’s a novel and interesting case law… with my scholarly commentary.

Let’s peruse the facts:

The Spouses Madrigal are frequent flyers of Cathay Airways and are Gold Card members of its Marco Polo Club. On 24 September 1996, the spouses, together with their maid and two friends, went to Hongkong for pleasure and business.

As part of its marketing strategy, Cathay accords its frequent flyers membership in its Marco Polo Club. The members enjoy several privileges, such as priority for upgrading of booking without any extra charge whenever an opportunity arises. Thus, a frequent flyer booked in the Business Class has priority for upgrading to First Class if the Business Class Section is fully booked.

During the boarding time, the Madrigals were informed that their accommodations were upgraded to First Class. They refused the upgrade, reasoning that it would not look nice for them as hosts to travel in First Class and their guests, in the Business Class; and moreover, they were going to discuss business matters during the flight.

Taken aback by the refusal for upgrading, the stewardess consulted her supervisor, who told her to handle the situation and convince them to accept the upgrading. The stewardess then informed the latter that the Business Class was fully booked, and that since they were Marco Polo Club members they had the priority to be upgraded to the First Class. The Madrigals continued to refuse, so the stewardess told them that if they would not avail themselves of the privilege, they would not be allowed to take the flight. Eventually, the Madrigals gave in, then proceeded to the First Class Cabin.

Upon their return to Manila, the Madrigals in a letter addressed to Cathay's Country Manager, demanded that they be indemnified in the amount of P1million for the "humiliation and embarrassment" caused by its employees. They also demanded "a written apology from the management of Cathay within fifteen days from receipt of the letter.

There was no apology given. Hence, this complaint of breach of contract praying for moral damages in amount of 1 million pesos.

Can you beat that? I could only imagine the arguments that ensued: I will sue you for giving us first rate service in your first class cabin! For giving us the finest wine and food in silver platters, spoons and goblets! For letting us sit your most comfortable seat and walk in soft carpeted floor! And as if that is not enough, you gave us the most attractive and most efficient stewardess! You have caused us terrible embarrassment and humiliation.

For the Madrigals delikadeza is well prized virtue.

Let us empathize, let us try put ourselves in their Manolo Blahnik shoes even for one fleeting vicarious moment and experience all their privileges: “Ano nalang ang sasabihin ng aming amigas na kasama namin sa business class?! At tinasaan mo pa ako ng boses? Kilala mo ba kung sino kami? Idedemamda ko kayo ng breach of contract with moral damages (translate this in Spanish)

Under the law Moral damages predicated upon a breach of contract of carriage may only be recoverable in instances where the carrier is guilty of fraud or bad faith or where the mishap resulted in the death of a passenger.

Moral damages include physical suffering, mental anguish, fright, serious anxiety, besmirched reputation, wounded feelings, moral shock, social humiliation, and similar injury.

The seeming ejaculation of series of synonyms concerning moral damages is actually provided by the law. I did not just pick that up from the thesaurus. I have been trying to memorize this definition.

Hence the issue: Is an involuntary upgrading of an airline passenger's accommodation from one class to a more superior class at no extra cost a breach of contract of carriage that would entitle the passenger to an award of damages?

If you’re one of the Madrigals, the answer would be a resounding yes. Well, at least according to the trial court which awarded them 20 million damages.

To remind the judge of the lower court, (probably assuming that the judge is senile who might have forgotten that their family own all the mining and logging concessions in the country or one who never reads society pages), they averred in their complaint that they "belong to the uppermost and absolutely top elite of both Philippine Society and the Philippine financial community, [and that] they were among the wealthiest persons in the Philippine[s]."

It’s one of those scenes in soap opera where upon mention of your name, the groveling masa would throw themselves into your feet and worship you. I could imagine that the trial court literally vibrated with their powerful and imposing presence. Consider: They arrived in their BMW’s Mercedes, or Porsche or Jaguars clad in their Armani suits and Louis Vittons with a delegation or housemaids and bodyguards gleaming in white uniforms. Add the clicking cameras of photographers of lifestyle magazines.

True enough, the lower court- in Supreme Court words- as if it went on a rampage, with unbelievable alacrity, awarded them a whopping 20 million as damages.

In their complaint, the Madrigals asked for P1 million as moral damages but the lower court awarded P4 million; they asked for P500,000.00 as exemplary damages but the lower court cavalierly awarded a P10 million; they asked for P250,000.00 as attorney's fees but were awarded P2 million; they did not ask for nominal damages but were awarded P200,000.00.

Upon reading this, I nearly went rampage as well spewed "punyeta! Labatiba! and que barbaridad! Porque? habla espanol un poquo!" But I sounded like a possessed aliping sagigilir.

When the action reached the Supreme Court, it ruled:

“The breach of contract of carriage, which consisted in the involuntary upgrading of the spouses Madrigal' seat accommodation, was not attended by fraud or bad faith. The most that can be adjudged in favor of the Madrigals for Cathay's breach of contract is an award for nominal damages under Article 2221 of the Civil Code.

Nonetheless, considering that the breach was intended to give more benefit and advantage to the Madrigals by upgrading their Business Class accommodation to First Class because of their valued status as Marco Polo members, we reduce the award for nominal damages to P5,000.

The court ended by saying: “Passengers must not prey on international airlines for damage awards, like "trophies in a safari." After all neither the social standing nor prestige of the passenger should determine the extent to which he would suffer because of a wrong done, since the dignity affronted in the individual is a quality inherent in him and not conferred by these social indicators.”

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