G.R. No. 19540 ; January 29, 1923
WING KEE COMPRADORING COMPANY, plaintiff-appellant, vs. THE BARK “MONONGAHELA,” VICTOR S. FOX & CO., INC., owner of the bark Monongahela, THE ADMIRAL LINE, and C. G. LOTHIGIUS, defendants-appellees.

FACTS

The plaintiff, Wing Kee Compradoring Company, supplied goods, wares, and merchandise to the Bark Monongahela for the use of its crew from March 16, 1921, to August 16, 1921. The requisitions for supplies were initially made on forms headed “The Admiral Line,” which was the operating agent for the vessel. The bills were made out against the “Admiral Line, S.S. Monongahela” and were approved by the master and first steward. On August 2, 1921, The Admiral Line published a notice in a newspaper disclaiming responsibility for any indebtedness incurred by the Bark Monongahela, its master, and/or crew, and it was found that the agency had ceased on or before August 4, 1921. Nevertheless, the plaintiff continued to furnish supplies after these dates. The plaintiff filed a complaint to recover the sum of P17,675.64, primarily against The Admiral Line as agent. The trial court dismissed the complaint.

ISSUE

Whether The Admiral Line, as the former agent of the Bark Monongahela, is liable for the supplies furnished to the vessel during the period of its agency.

RULING

Yes. The Supreme Court reversed the trial court’s decision. Applying Article 586 of the Code of Commerce, which holds the owner and the agent of a vessel civilly liable for obligations contracted by the captain to provision the vessel, the Court held that The Admiral Line, as the agent entrusted with provisioning the vessel, is liable for the supplies furnished between March 16, 1921, and August 2, 1921 (the date it publicly terminated its agency). The agent cannot avoid liability by merely terminating the agency when threatened with suit. However, The Admiral Line is not responsible for supplies furnished after August 2, 1921. The Court computed the debt for the covered period at P16,526.29 and ordered The Admiral Line to pay this amount to the plaintiff.