Gibson v. Revilla

GUERRERO, J.:

1äwphï1.ñët This is a petition for review1 seeking to set aside the Order of the Court of First Instance of Rizal Branch XIII, presided by respondent Judge Pedro A. Revilla, in Civil Case No. 20046 entitled "Lepanto Consolidated Mining Company versus Malayan Insurance Company, Inc. " denying the motion of the petitioner Ivor Robert Dayton Gibson for leave to intervene in said case, and to order the respondent Judge to admit him as intervenor therein. The antecedent facts of this case are as follows: Lepanto Consolidated Mining Company (hereinafter referred to as Lepanto) filed on September 27, 1974 in the Court of First Instance of Rizal, Branch XIII a complaint with a plea for preliminary mandatory injunction against Malayan Insurance Company, Inc., (hereinafter referred to as Malayan), docketed as Civil Case No. 20046 seeking the following relief:têñ.£îhqw⣠(a) upon the firing of this complaint, a writ of preliminary mandatory injunction be issued directing defendant to advance to plaintiff an interest-free loan of P1,831,695.75; and (b) upon trial on the merits -têñ.£îhqw⣠(i) an accounting or average adjustments be made for the liquidation of the general average losses, damages and expenses arising from the marine accidents subject of this action and the determination of the contributions due from subject cargoes under the Policy; (ii) defendant be ordered to pay plaintiff the amounts under item (i) above, with interest thereon at the rate of 12% per annum, from February 20, 1972 as to the cargo's contribution relative to the 'Hermonsa' and from March 27, 1972 as to the cargo's contribution relative to the 'General Aguinaldo;' (iii) the amount of P1,831,695.75 as interest-free loan due plaintiff from defendant be declared repayable upon and only to the extent of any corresponding recovery from the owners of the 'Hermosa' and 'General Aguinaldo; ...

Lepanto also sought payment of interest on delayed loan amounts, exemplary damages of at least P500,000.00, attorney's fees and other litigation expenses, and other cumulative and/or alternative reliefs as may be lawful, just or equitable in the premises. The civil suit thus instituted by Lepanto against Malayan was founded on the fact that on Sept. 9, 1971, Malayan issued Marine Open Policy No. LIDC-MOP-001/71 covering an shipments of copper, gold and silver concentrates in bulk from Poro, San Fernando, La Union to Tacoma, Washington or to other places in the United States which Lepanto may make on and after August 1, 1971 and until the cancellation of the policy upon thirty (30) days' written notice.

Thereafter, Malayan obtained reinsurance abroad through Sedgwick, Collins & Co., Limited, a London insurance brokerage. The Memorandum of Insurance issued by Sedgwick to Malayan on September 24, 1971 listed three groups of underwriters or re-insurers and their reinsurance interest are as follows: têñ.£îhqw⣠Lloyds 62.808% Companies (I.L.U.) 34.705% Other Companies 2.487%