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On September 15, 1965, Roberto Tan Ting, owner of the Ford truck driven by Abelardo Bautista, and Federico O. Borromeo, Inc., owner of the Volkswagen delivery panel truck, were involved in an
accident along Epifanio de los Santos Avenue. In the accident, Quintin Delgado, a helper in Borromeo's delivery panel truck sustained injuries that caused his instantaneous death. Borromeo had to pay Delgado's widow the sum of P4,444 for compensation(death benefit) and funeral expenses due Delgado.
On June 17, 1965, upon averment that said accident was due to petitioners' negligence, Borromeo started suit in the Municipal Court of Mandaluyong, Rizal, to recover from petitioners the compensation and funeral expenses it paid to the widow of Quintin Delgado.
At the scheduled hearing on July 23, 1965, the petitioner party did not appear, allowing Borromeo to present evidence to the court ex parte. On the same day, the municipal court rendered judgement in favor of Borromeo and against the defendant in the principal sum of P4,444 and P500 attorney's fees and costs.
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