BA Finance Corp Vs
BA Finance Corp Vs
98275 November 13, 1992 Facts: Amare, the driver of an Isuzu truck was involved in an accident which caused the death of three persons. Amare was found guilty beyond reasonable doubt of reckless imprudence. BA Finance was found liable for damages since the truck was registered in its name. BA Finance contends that it should not be held liable since it was not Amares employer at the time of the accident. It also contends that the Isuzu truck was in the possession of Rock Component Phil, by virtue of a lease agreement. Hence, BA Finance wants to prove who the actual/real owner is at the time of the accident, and in accordance with such proof, evade liability and lay the same on the person actually owning the vehicle. Issues: 1 WON BA Finance should be held liable. 2 WON BA Finance can escape liability by proving the actual/real owner of the truck. Held: 1 Yes, BA Finance is liable. The registered owner of a certificate of public convenience is liable to the public for the injuries or damages suffered by passengers or third persons caused by the operation of said vehicle, even though the same had been transferred to a third person. Under the same principle the registered owner of any vehicle, even if not used for a public service, should primarily be responsible to the public or to the third persons for injuries caused the latter while the vehicle is being driven on the highways or streets. 2 No, the law does not allow him. The law, with its aim and policy in mind, does not relieve him directly of the responsibility that the law fixes and places upon him as an incident or consequence of registration. This may appear harsh but nevertheless, a registered owner who has already sold or transferred a vehicle has the recourse to a third-party complaint, in the same action brought against him to recover for the damage or injury done, against the vendee or transferee of the vehicle. While the registered owner is primarily responsible for the damage caused, he has a right to be indemnified by the real or actual owner of the amount that he may be required to pay as damage for the injury caused.