07 Durban Apartments V Pioneer Insurance and Surety Corp.

[EXTRAJUDICIAL DEPOSIT-NECESSARY DEPOSIT] Ruling:
07 DURBAN APARTMENTS CORP.vs PIONEER INSURANCE AND SURETY W/N a contract of necessary deposit exists between See and Durban, thus
CORP making Durban liable to Pioneer - YES
January 12, 2011 | Nachura, J. |
Durban’s Arguments:
Petitioner/s: Durban Apartments Corporation, doing business under the name and  See did not check in but was merely a guest of Ching Montero
style of City Garden Hotel  It was See who requested that his Vitara be parked at any available parking
Respondent/s: Pioneer Insurance and Surety Corporation space and it was parked at the Equitable Bank parking area, which was
within See’s view, while he and Montero were waiting in front of the hotel
Doctrine: Art. 1998. The deposit of effects made by travelers in hotels or inns shall o valet parking services is a special privilege; it does not include
also be regarded as necessary. The keepers of hotels or inns shall be responsible for responsibility for any losses or damages to motor vehicles and its
them as depositaries, provided that notice was given to them, or to their employees, accessories in the parking area; and the same holds true even if it
of the effects brought by the guests and that, on the part of the latter, they take the was See himself who parked his Vitara within the premises of the
precautions which said hotel-keepers or their substitutes advised relative to the care hotel as evidenced by the valet parking customer’s claim stub
and vigilance of their effects. issued to him; the carnapper was able to open the Vitara without
using the key given earlier to the parking attendant and
Facts: subsequently turned over to See after the Vitara was stolen;
● Jeffrey S. See checked in at the City Garden Hotel in Makati cor Kalayaan
Avenues, Makati City before midnight Court’s Explanation:
○ It’s parking attendant, Vincente Justimbaste got the key to See’s  Article 1962, in relation to Article 1998, of the Civil Code defines a
Susuki Grand Vitara and parked it. At 1AM See was awakened by a contract of deposit and a necessary deposit made by persons in hotels
call from the Hotel Chief Security Officer who informed him that his or inns:
Vitara was carnapped while it was left unattended at the parking o Art. 1962. A deposit is constituted from the moment a person
area of Equitable PCI Bank between 12mn and 1am. receives a thing belonging to another, with the obligation of safely
● The car was insured by Pioneer Insurance so See filed a claim to receive the keeping it and returning the same. If the safekeeping of the thing
proceeds of the policy delivered is not the principal purpose of the contract, there is no
○ Pioneer hired Vespers to investigate veracity of See’s claim, along deposit but some other contract.
with the claims evaluator of Pioneer which pegged at P1,1630, 250 o Art. 1998. The deposit of effects made by travelers in hotels or inns
as sum for his claim. shall also be regarded as necessary. The keepers of hotels or inns
○ Vespers found out that it was normal practice for the hotel to take shall be responsible for them as depositaries, provided that notice
the keys of the guests as soon as they reached the lobby entrance was given to them, or to their employees, of the effects brought by
to park their cars. Since they only had 12 parking spots, City the guests and that, on the part of the latter, they take the
Garden Hotel made a deal with Equitable PCI Bank to use their precautions which said hotel-keepers or their substitutes advised
parking at night. relative to the care and vigilance of their effects.
○ Vespers also found out that a Starex was also carnapped from that
place barely a month before the incident (Vespers was also tasked  Pioneer proved allegations in complaint, i.e., a contract of necessary deposit
to investigate this incident) existed between the insured See and Durban
■ This was admitted in sworn statement of Justimbaste o Upon arrival at Hotel, See gave notice to the doorman and parking
● Pioneer Insurance required See to sign a Release of Claim and Subrogation attendance regarding his car and entrusted his car keys to the
Receipt, and finally paid him the sum of ₱1,163,250.00 for his claim. parking attendant, who gave See a customer claim stub and parked
○ Pioneer then sent multiple demand letters to Durban for the the Vitara at the Equitable PCI Bank parking area, and placed the
reimbursement of the claims, but Durban did not pay ignition key inside a safety key box while See proceeded to the
● July 2003: Pioneer Insurance and Surety Corp by right of subrogation, filed hotel lobby to check in.
with RTC of Makati, a Complaint for Recover of Damages against Durban o The Equitable parking area became an annex of City Garden Hotel
Apartments Corporation, doing business under the name and style of City when the management of the said bank allowed the parking of the
Garden Hotel vehicles of hotel guests thereat in the evening after banking hours.
 See deposited his vehicle for safekeeping with Durban through its employee,
RTC: Durn to pay Pioneer P1,163,250 w/ legal interest until oblig fully paid petitioner, Justimbaste. In turn, Justimbaste issued a claim stub to See.
CA: AFFIRMED RTC; Durban solely liable to Pioneer for the loss of See’s vehicle Thus, the contract of deposit was perfected from See’s delivery, when he
Durban appealed to the SC averring its liability handed over to Justimbaste the keys to his vehicle, which Justimbaste
received with the obligation of safely keeping and returning it. Ultimately,
petitioner is liable for the loss of See’s vehicle..
Dispositive
WHEREFORE, the petition is DENIED. The Decision of the Court of Appeals in CA-
G.R. CV No. 86869 is AFFIRMED with the MODIFICATION that the award of
attorney’s fees is reduced to ₱60,000.00. Costs against petitioner.

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[EXTRAJUDICIAL DEPOSIT-NECESSARY DEPOSIT] Ruling:

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