o Prior to this 6 month period, Frias may still offer the

property to other persons, provided that 3M shall be

Topic Actual or Compensatory Damages > Attorney’s Fees
paid to Sison including interest based on prevailing
Case No. G.R. No. 155223. April 4, 2007. compounded bank interest + amount of sale in excess of
7M [should the property be sold at a price greater than
Case Frias v San Diego-Sison 7M]
Name
o In case Frias has no other buyer within 6 months from
Full Case BOBIE ROSE V. FRIAS, represented by her Attorney-in- the contract’s execution, no interest shall be charged by
Name fact, MARIE F. FUJITA, petitioner, vs. FLORA SAN Sison on the 3M
DIEGO-SISON, respondent o In the event that on the 6th month, Sison would decide
not to purchase the property, Frias has 6 months to pay
Ponente Austria-Martinez, J. 3M (amount shall earn compounded bank interest for
Doctrine the last 6 months only)
o 3M treated as a loan and the property considered as the
Digest Karl security for the mortgage
Writer o Upon notice of intention to purchase, Sison has 6
Nature Certiorari months to pay the balance of 3.4M (6.4M less 3M MOA
consideration)

RELEVANT FACTS

 Frias was the owner of a house and lot she acquired from Island
Masters Realty and Development Corporation (IMRDC) by
virtue of a Deed of Sale dated Nov. 16, 1990.
 Frias, as the First Party, and Dra. Flora San Diego-Sison as the
Second Party, entered into a Memorandum of Agreement
(MOA) over the property with the following terms and
conditions:
o The consideration is P6M.
o Sison has 6 months from the date of contract’s execution
to notify Frias of her intention to purchase the property
with the improvements at P6.4M
ISSUE
1. What is the amount of damages recoverable by the provate
respondents?
RATIO DECIDENDI
The determination of the indemnity to be awarded to the heirs
of a deceased person has no fixed basis. Much is left to the
discretion of the court considering the moral and material
damages involved.
Other factors that are usually considered are: (1) pecuniary loss
to plaintiff or beneficiary; (2) loss of support; (3) loss of service;
(4) loss of society; (5) mental suffering of beneficiaries; and (6)
medical and funeral expenses.
Thus, life expectancy is, not only relevant, but, also, an
important element in fixing the amount recoverable by private
respondents herein. Although it is not the sole element
determinative of said amount, no cogent reason has been given
to warrant its disregard and the adoption, in the case at bar, of
a purely arbitrary standard, such as a four-year rule. In short,
the Court of Appeals has not erred in basing the computation
of petitioner's liability upon the life expectancy of Policronio
Quintos, Jr.
the support, they received or would have received from him
had he not died in consequence of the negligence of petitioner's
agent. In fixing the amount of that support, We must reckon
with the "necessary expenses of his own living", which should
be deducted from his earnings. Only net earnings, not gross
earning, are to be considered that is, the total of the earnings
less expenses necessary in the creation of such earnings or
income and less living and other incidental expenses.
DISPOSITIVE
WHEREFORE, Court of Appeals decision is hereby affirmed

With respect to the rate at which the damages shall be

computed, petitioner impugns the decision appealed from NO SEPARATE OPINIONS
upon the ground that the damages awarded therein will have
to be paid now, whereas most of those sought to be indemnified
will be suffered years later. This argument is basically true, and
this is, perhaps, one of the reasons why the Alcantara case
points out the absence of a "fixed basis" for the ascertainment of
the damages recoverable in litigations like the one at bar. Just
the same, the force of the said argument of petitioner herein is
offset by the fact that, although payment of the award in the
case at bar will have to take place upon the finality of the
decision therein, the liability of petitioner herein had been fixed
at the rate only of P2,184.00 a year, which is the annual salary
of Policronio Quintos, Jr. at the time of his death, as a young
"training assistant" in the Bacnotan Cement Industries, Inc.

Damages consist, not of the full amount of his earnings, but of