Bautista vs. Federico O. Borromeo, Inc. No. L-26002. October 31, 1969.


The Ford truck of petitioner Roberto Tan Ting driven by Abelardo Bautista, the other petitioner, and the Volkswagen delivery panel truck owned by respondent Federico O. Borromeo, Inc. (hereinafter called Borromeo) were involved in a traffic accident which was caused by the negligence of petitioners. Quintin Delgado, a helper in Borromeo’s delivery panel truck, sustained injuries which resulted in his instantaneous death. Borromeo had to pay Delgado’s widow the sum of P4,444 representing the compensation (death benefit) and funeral expenses due Delgado under the Workmen’s Compensation Act. Borromeo, filed a suit to recover the compensation and funeral expenses it paid to the widow of Quintin. However, during the trial neither of the petitioners and counsel appeared contended that they had substantial defense since there was no contractual relationship between the parties, whether express or implied.


W/N there’s a need for contractual relationship between parties, whether express or implied to recover the funeral and compensation expenses paid to Delgado’s widow.


NO. It is evident from the foregoing that “if compensation is claimed and awarded, and the employer pays it, the employer becomes subrogated to and acquires, by operation of law, the worker’s rights against the tortfeasor. There is no need to establish any contractual relationship between the employee and the tortfeasor in order that the employer may recover what he paid the employee because the cause of action of employer does not spring from a creditor-debtor relationship but from the fact that the employer is subrogated to the right of the employee to sue the guilty party. Such subrogation is sanctioned by the Workmen’s Compensation Law.

**The main source of the obligation is the LAW.

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