Sei sulla pagina 1di 1

MALAYAN INSURANCE vs PHILIPPINE FIRST INSURANCE FACTS Wyeth contracted a contract of carriage with Republic, a common carrier for

r for the transport of its goods and product. Wyeth insured the goods with Philippine First , while Republic insured the same goods with Malayan insurance During transit, certain goods were lost due to hijacking of 10 armed men. Philippine first paid the proceeds to Wyeth, subrogating the rights of wyeth to Philippine first which filed a claim against Republic and Malayan as a 3rd party defendant. Republic and Malayan refused the claim of Philippine first. Malayan contended that there was double insurance and that the first insurer, Philippine First, should bear all the loss.

ISSUE HELD Malayan is liable because of the insurance contract it executed with Republic for the idemnity for the loss. The cause of the loss not within the purview of an excepted peril, having been determined in the lower courts is conclusive upon the SC making Malayan liable for the idemnity. There is double insurance when: 1] The person insured is the same 2] 2 or more insurers insuring separately 3] There is identity of subject matter 4] There is identity of interest insured 5] There is identity of the risk or peril insured against In the case at bar though the 2 insurance policy, one by Philippine first and one by Malayan were issued over the same subject matter covering the same peril, it was issued to 2 different persons and to 2 different interest. Philippine first insured wyeth over its own goods Malayan insured republic over the latters insurable interest over the safety of the goods which could become the basis for liability in case of loss or damage. W/N Malayan is liable? - YES W/N there is double insurance? - NO W/N Malayan is solidarily liable with Republic? - NO

Malayan is not solidarily liable with Republic because they have different sources from which their liability arose. Republic arose due to a contract of carriage, while Malayan is that of contract. Solidarity exist only by express stipulation of the parties or those provided by law, none of which is applicable in the present case.