Module 1.8: Civil Liability Arising from Crime

1. Learning Objectives

Upon completion of this module, you should be able to:

Understand the fundamental principle that every person criminally liable for a felony is also civilly liable.
Differentiate the sources of civil liability and identify the scope of civil liability arising from crime (ex delicto).
Identify the persons who are civilly liable for a crime, including principal and subsidiary liabilities.
Define and distinguish restitution, reparation, and indemnification for consequential damages.
Enumerate and explain the different kinds of damages that may be awarded in case of death.
Determine the rules on the extinction and survival of civil liability in relation to criminal liability.

2. CONCEPT OF CIVIL LIABILITY (Art. 100-113, RPC)

Every person criminally liable is also civilly liable

Art. 100, Revised Penal Code (RPC): "Every person criminally liable for a felony is also civilly liable."

This is the bedrock principle of civil liability ex delicto (arising from a crime). The commission of a crime causes two kinds of injuries:

Social Injury: The breach of the sovereign rights of the State. This is remedied by criminal action and punished through a penalty.
Personal Injury: The harm done to the private victim. This is repaired through civil liability, which includes restitution, reparation, and indemnification.

Exception: There is no civil liability in crimes where there is no private offended party or material damage, such as espionage, violation of neutrality, and contempt of court.

Sources of Civil Liability

Civil obligations arise from:

Law: (e.g., duty to pay taxes)
Contracts: (e.g., obligation to repay a loan)
Quasi-contracts: (e.g., negotiorum gestio, solutio indebiti)
Acts or omissions punished by law (Crimes / Delicts): This is the focus of this module.
Quasi-delicts (Torts): (e.g., causing damage through negligence without a pre-existing contract)

Civil Liability Ex Delicto

This refers specifically to the civil liability that is a direct consequence of a criminal act. The civil action to recover this liability is deemed instituted with the criminal action unless the offended party waives the civil action, reserves the right to institute it separately, or institutes the civil action prior to the criminal action.

3. PERSONS CIVILLY LIABLE

A. Principal Liability of the Offender

The person who is found guilty of committing the felony is the one principally liable to pay for the damages he caused. The principals, accomplices, and accessories are each liable for their own share of the civil liability.

B. Subsidiary Liability (Art. 102-103)

In case the person principally liable is insolvent, the law provides that other persons may be held liable.

Innkeepers, Tavernkeepers, and Proprietors of Establishments (Art. 102):
- Liable for crimes committed in their establishments if a guest notifies them of the deposit of their goods and they fail to take precautions.
- Robbery or theft of guest's effects by the innkeeper's employees or by strangers, after being deposited with said innkeeper.
- Not liable if the loss is due to force majeure or is the fault of the guest.
Employers (Master and Servant Rule) (Art. 103):
- Employers shall be subsidiarily liable for the felonies committed by their employees in the discharge of their duties.
- Applies to: Industries and other establishments.
- Requisites for Employer's Subsidiary Liability:
  1. The employer is engaged in some kind of industry or business.
  2. The employee committed the crime in the discharge of their duties.
  3. The employee is insolvent and cannot pay the civil liability.
  4. There is a final judgment convicting the employee.
Teachers and Persons in Loco Parentis:
- Under the Family Code, this liability is now direct and primary, not subsidiary, and is based on the principle of patria potestas. It is more of a liability under quasi-delict. However, for purposes of the RPC, their subsidiary liability may arise under certain contexts.
The State: The State is liable in the same manner as an employer when it acts through a special agent.

C. Liability of Legal Persons (Corporations)

Corporations can be civilly liable in the same way natural persons are. While a corporation cannot be imprisoned, it can be ordered to pay damages. Its officers who are responsible for the crime may be held criminally and civilly liable.

4. WHAT CIVIL LIABILITY INCLUDES (Art. 104)

The civil liability established in Articles 100, 101, 102, and 103 of this Code includes:

Restitution
Reparation of the damage caused
Indemnification for consequential damages

A. Restitution (Art. 105)

What it is: The thing itself shall be restored, even though it be found in the possession of a third person who has acquired it by lawful means.
When to Restore: Must be done whenever possible.
Exception: Not applicable if the thing is legally in the possession of a third person who acquired it in good faith.
If restitution is not possible: The court will order payment of the value of the thing.

B. Reparation of Damage Caused (Art. 106)

What it is: The court shall determine the amount of damage, taking into consideration the price of the thing and its sentimental value to the injured party.
When it applies: This is ordered when restitution is not possible.

C. Indemnification for Consequential Damages (Art. 107)

What it is: This includes not only those caused the injured party, but also those suffered by his family or by any other person by reason of the wrongful act.
Examples: Medical expenses, loss of earning capacity, and moral damages.

5. INDEMNITY IN CASE OF DEATH (Art. 104)

When a crime results in death, the civil liability includes the following damages, as established by jurisprudence:

Civil Indemnity (Death Indemnity): This is mandatory and awarded without need of proof other than the fact of death as a result of the crime. The amount is fixed by current jurisprudence (e.g., P75,000 for murder, P50,000 for homicide).
Moral Damages: Awarded to compensate the heirs for the mental anguish suffered. Like civil indemnity, it is mandatory in cases of murder and homicide.
Actual/Compensatory Damages: These are damages that must be proven with receipts (e.g., hospital bills, funeral expenses). If there is no proof of such expenses, temperate damages may be awarded instead.
Exemplary Damages: Awarded when the crime is committed with one or more aggravating circumstances. It is intended to serve as a deterrent to serious wrongdoing.
Loss of Earning Capacity: This is awarded to the heirs for the income the deceased would have earned. It is computed based on the victim's age, life expectancy, and net earnings.

6. EXTINCTION OF CIVIL LIABILITY

When extinguished with criminal liability:
- By the death of the accused before final judgment.
- By amnesty, which obliterates the offense and its effects.
- By absolute pardon.
When civil liability survives:
- If the criminal case is dismissed, but the dismissal is based on reasonable doubt, the civil action can still be filed.
- Death of the accused after final judgment does not extinguish civil liability. It can be enforced against the decedent's estate.
- In cases of independent civil actions.
Independent Civil Actions (Art. 32, 33, 34 of the Civil Code):
- Art. 32: For violation of civil and political rights.
- Art. 33: In cases of defamation, fraud, and physical injuries (which includes homicide and murder).
- Art. 34: For refusal or failure of a member of a city or municipal police force to render aid and protection.
- These actions can proceed independently of the criminal action and require only a preponderance of evidence.

7. CIVIL LIABILITY IN SPECIFIC CASES

Acquittal (when civil liability remains):
- If acquittal is based on reasonable doubt, a civil case for damages may still prosper.
- If the acquittal is based on a finding that the accused did not commit the act charged, there is no civil liability.
- If the acquittal is due to an exempting circumstance (e.g., insanity, minority), civil liability subsists.
Death of Accused:
- Before final judgment: Criminal liability is extinguished. Civil liability ex delicto is also extinguished. The victim must file a separate civil action against the estate.
- After final judgment: Criminal liability is extinguished, but the civil liability remains and can be enforced against the estate.
Exempting Circumstances (Art. 12):
- A person who acts under an exempting circumstance (insanity, minority, accident) is not criminally liable but is civilly liable.
- Exception: No civil liability in case of an accident if there is no fault or negligence on the part of the actor.

8. Quick Review Summary Table

Scenario	Criminal Liability	Civil Liability Ex Delicto	Basis / Note
Conviction	Yes	Yes	Art. 100, RPC
Acquittal (Reasonable Doubt)	No	Yes (may proceed)	A separate civil action is required.
Acquittal (Did not commit act)	No	No	The basis for civil liability does not exist.
Acquittal (Exempting Circumstance)	No	Yes	The act was committed, but the actor is not criminally liable.
Death of Accused (Before Final Judgment)	Extinguished	Extinguished	Must file a separate civil action against the estate.
Death of Accused (After Final Judgment)	Extinguished	Subsists	Can be recovered from the accused's estate.
Independent Civil Action (Art. 32, 33, 34)	Proceeds independently	Proceeds independently	Requires only a preponderance of evidence.
Waiver of Civil Action	Yes	No (if waived)	The offended party expressly waives the right to recover damages.

9. Multiple Choice Practice Questions

Instructions: Choose the best answer for each question.

What is the primary principle regarding civil liability in the Revised Penal Code? a) Every person civilly liable is also criminally liable. b) Civil liability is separate and distinct from criminal liability. c) Every person criminally liable for a felony is also civilly liable. d) Civil liability only arises from contracts and quasi-delicts.
Accused A was convicted of homicide and found to be insolvent. Who can be held subsidiarily liable if A committed the crime while working as a driver for a transportation company? a) The State b) The transportation company c) The innkeeper where the victim was staying d) No one, as only the accused is liable.
The civil liability that includes the return of the specific thing taken away due to a crime is called: a) Reparation b) Indemnification c) Restitution d) Pecuniary loss
X was acquitted of theft on the ground that he was not the one who committed the offense. Can the private complainant still file a civil case against X? a) Yes, because criminal and civil actions are separate. b) Yes, based on the principle of independent civil action. c) No, because the acquittal is based on a finding that he did not commit the act. d) No, because acquittal extinguishes all liabilities.
Which of the following does NOT extinguish civil liability ex delicto? a) Death of the accused before final judgment. b) Amnesty. c) Acquittal on the basis of reasonable doubt. d) Absolute pardon.
In a crime resulting in the death of the victim, which of the following damages is awarded without need for proof other than the fact of death? a) Actual damages b) Civil indemnity c) Loss of earning capacity d) Temperate damages
A 10-year-old boy accidentally broke a neighbor's expensive vase. Is there civil liability? a) No, because the boy is exempt from criminal liability. b) No, because it was an accident. c) Yes, the boy's parents are civilly liable. d) It depends on the value of the vase.
The subsidiary civil liability of an employer for the crime of his employee requires that the crime was committed: a) Within the employer's premises. b) During work hours. c) In the discharge of the employee's duties. d) With the employer's knowledge.
What is the legal remedy of the offended party if the accused dies before a final judgment of conviction is rendered? a) The civil liability is extinguished. b) File a civil action against the estate of the deceased accused. c) Continue the criminal case to recover civil liability. d) The heirs of the accused automatically assume the civil liability.
Which of the following is considered an independent civil action? a) A civil action for breach of contract. b) A civil action arising from physical injuries (homicide). c) A civil action for ejectment. d) All of the above.
Reparation of damage is ordered by the court when: a) The accused is found guilty. b) The offended party demands it. c) Restitution is not possible. d) The thing stolen has a sentimental value.
The liability of an innkeeper for the crimes committed by his employees against a guest is: a) Primary and direct. b) Subsidiary. c) Solidary with the employee. d) Non-existent.
What quantum of proof is required for an independent civil action under Article 33 of the Civil Code? a) Proof beyond reasonable doubt. b) Clear and convincing evidence. c) Preponderance of evidence. d) Substantial evidence.
X was convicted of Murder with one aggravating circumstance. The heirs of the victim are entitled to exemplary damages. What is the purpose of awarding exemplary damages? a) To compensate for the grief of the family. b) To cover funeral and medical expenses. c) To punish the accused further. d) To serve as a deterrent and an example for others.
If the offended party waives the civil action, what is the effect on the criminal action? a) The criminal action is also extinguished. b) The criminal action cannot proceed. c) The criminal action proceeds, but no civil liability can be awarded. d) The waiver is not legally permissible.
Which of the following circumstances does NOT give rise to civil liability? a) A person acting in self-defense who injures the unlawful aggressor. b) An insane person who damages property. c) A person causing damage by pure accident without fault. d) A minor who steals from a store.
The civil liability of principals, accomplices, and accessories for a felony is: a) Solidary. b) Joint. c) Each liable for their respective shares. d) Pro-rata.
In case of death, moral damages are awarded to the heirs to compensate for: a) The loss of financial support from the deceased. b) Medical and funeral expenses. c) The mental anguish and suffering of the heirs. d) The exemplary punishment of the offender.
Which of the following is NOT a source of civil obligations? a) Law b) Quasi-delicts c) Moral convictions d) Contracts
A person is acquitted due to an exempting circumstance. What is the status of his civil liability? a) Extinguished. b) Subsists. c) Suspended. d) Merged with the criminal liability.

Answer Key and Explanations

c) Every person criminally liable for a felony is also civilly liable. Explanation: This is the rule stated in Article 100 of the RPC.
b) The transportation company Explanation: Under Art. 103, an employer is subsidiarily liable for the felonies of its employees committed in the discharge of their duties, provided the employee is insolvent.
c) Restitution Explanation: Art. 105 defines restitution as the restoration of the thing itself.
c) No, because the acquittal is based on a finding that he did not commit the act. Explanation: If the court finds that the accused is not the author of the act, the very source of civil liability (the act itself) is non-existent.
c) Acquittal on the basis of reasonable doubt. Explanation: In this case, the civil liability is not extinguished. A separate civil action may be filed to recover damages.
b) Civil indemnity Explanation: Civil indemnity (or death indemnity) is mandatory and requires no proof other than the crime resulting in death.
c) Yes, the boy's parents are civilly liable. Explanation: A minor under 15 is exempt from criminal liability, but the act gives rise to civil liability, for which the parents are liable.
c) In the discharge of the employee's duties. Explanation: This is a key requisite for the subsidiary liability of an employer under Article 103 of the RPC.
b) File a civil action against the estate of the deceased accused. Explanation: Death of the accused before final judgment extinguishes criminal liability and the civil liability arising from it. The offended party's remedy is to file a separate civil case against the estate.
b) A civil action arising from physical injuries (homicide). Explanation: Article 33 of the Civil Code explicitly lists physical injuries as one of the grounds for an independent civil action.
c) Restitution is not possible. Explanation: Reparation (paying for the value) is the remedy when restitution (returning the thing) cannot be done.
a) Primary and direct. Explanation: While the RPC discusses subsidiary liability, jurisprudence holds innkeepers liable for the acts of their employees as if they were their own, making the liability direct.
c) Preponderance of evidence. Explanation: Civil cases, including independent civil actions, are decided based on the greater weight of the evidence, not the proof beyond reasonable doubt required in criminal cases.
d) To serve as a deterrent and an example for others. Explanation: Exemplary or corrective damages are imposed as a punishment for the offender and as a public example.
c) The criminal action proceeds, but no civil liability can be awarded. Explanation: The waiver of the civil action does not affect the State's right to prosecute the criminal aspect of the offense.
c) A person causing damage by pure accident without fault. Explanation: Accident is an exempting circumstance where there is no criminal or civil liability, provided there is no fault or negligence.
c) Each liable for their respective shares. Explanation: The law provides that principals, accomplices, and accessories shall be liable severally (individually) for their respective shares.
c) The mental anguish and suffering of the heirs. Explanation: Moral damages are awarded for non-pecuniary losses like grief, sorrow, and mental suffering.
c) Moral convictions Explanation: The sources of civil obligations under the Civil Code are law, contracts, quasi-contracts, delicts, and quasi-delicts. Moral convictions are not a legal source.
b) Subsists. Explanation: A person exempt from criminal liability (e.g., due to insanity) is not exempt from civil liability, as an act was still committed that caused damage.