SAN FERNANDO REGALA TRADING, INC. vs. CARGILL PHILIPPINES, INC., G.R. No. 178008, October 9, 2013; and CARGILL PHILIPPINES, INC. vs. SAN FERNANDO REGALA TRADING, INC., G.R. No. 178042, October 9, 2013
“Three. The Court concurs with the CA’s deletion of the RTC’s award of moral damages to San Fernando. As a rule, moral damages are not awarded to a corporation unless it enjoyed good reputation that the offender debased and besmirched by his actuations.13 San Fernando failed to prove by sufficient evidence that it fell within this exception. Besides, moral damages are, as a rule, also not recoverable in culpa contractual except when bad faith had been proved.14 San Fernando failed to show that Cargill was motivated by bad faith or ill will when it failed to deliver the molasses as agreed.”
