G.R. No. 70462, August 11, 1988.
Plaintiff Rene V. Pangan entered into 2 agreements for the exhibition of films and preparation of the required promotional materials in San Francisco and Guam. On the date of his flight, his luggages which contained the promotional materials did not arrive which allegedly caused the cancellation of his agreements. Pangan filed a complaint against Pan American World for actual damages consisting of alleged lost profits due to the loss of baggage.
Pan American contends that its liability for the lost baggage as provided in the Warsaw Convention is $20 per kilo, as Pangan did not declare a higher value for his baggage and pay the corresponding additional charges.