Indemnity
The following are digests and case links to
Circuit Court Admiralty Cases that have as an issue indemnity:
Dahlen
v. Gulf Crews, Inc.
Fifth Circuit Court of Appeals
February 4, 2002
Longshore & Harbor Workers' Act/Charter
Parties: The standard of care owed a longshore worker by a vessel owner
as articulated in Scindia and
Howlett does not explicitly
apply to time charterers. But, as no other case articulating the duty owed
by a time charterer in such a situation could be found, the district court
did not abuse its discretion by issuing a jury instruction that applied
Scindia to the time charterer. Indemnity: The vessel owner
did not owe the time charterer an indemnity under the charter's indemnity
and insurance clause since the injury to Plaintiff did not arise out of
or relate to the performance of the vessel during the charter. Admiralty
Jurisdiction/Outer Continental Shelf Lands Act ("OCSLA"): The district
court erred in applying the Admiralty Extension Act, 46 U.S.C. § 740,
and maritime law since Plaintiff's alleged injury was not caused by the
defective appurtenance of a ship on navigable waters and, furthermore,
the OCSLA specifically regards the artificial islands on the OCS as areas
where state law should apply unless there is a conflict with federal law.
Verdine
v. Ensco Offshore
Fifth Circuit Court of Appeals
June 22, 2001
Indemnity: since the agreement for
repairs to a fixed platform rig off the coast of Louisiana pertained to
specific oil wells and related to the exploration, development, production,
or transportation of oil, gas, or water, the Louisiana Oilfield Anti-Indemnity
Act applied; thus the indemnity and maritime choice of law provisions in
the agreement were invalidated under the Act.
Demette
v. Falcon Drilling Co.
Fifth Circuit Court of Appeals
June 12, 2001
Outer Continental Shelf Lands Act ("OCSLA"):
the OCSLA applies to an injury suffered on the Fal-Rig #85 since it was
jacked-up over the OCS at the time of Demette's injury and it was therefore
a device "temporarily attached to the seabed" for the purpose of drilling
for oil under section 1333(a)(1) of the Act; further, since the contract
for oil drilling services and the injury that invoked it were maritime
in nature, maritime law applies of its own force and Louisiana state law
does not apply under section 1333(a)(2) of the Act; Longshore &
Harbor Workers' Act/Indemnity: since section 1333(b) of the OCSLA extends
the LHWCA to non-seamen employed on the OCS, Demette is entitled to LHWCA
benefits "by virtue" of the OCSLA; in such a case, the LHWCA provides that
reciprocal indemnity provisions between the employer and the vessel owner
are enforceable, although section 905(b) of the LHWCA ordinarily bars the
enforcement of indemnity agreements between employers and vessel owners;
thus, since Demette's employer and the vessel owner each promised to indemnify
the other, the indemnification is reciprocal and therefore valid and enforceable.
In
re ADM/Growmark River System
Fifth Circuit Court of Appeals
November 30, 2000
Longshore & Harbor Workers' Act/Indemnity:
a
dual capacity employer sued pursuant to section 905(b) of the Act for negligence
in its capacity as vessel owner may terminate its rights to contribution
from another vessel by agreeing to contractually indemnify that vessel,
thus the indemnity provisions relevant to this case are valid to the extent
that they preclude a contribution claim by the vessel owner employer against
the other vessel.
In
re Limitation Complaint of John E. Graham & Sons
Fifth Circuit Court of Appeals
April 18, 2000 (Revised April 25, 2000)
Indemnity: Texas law applies to this
action arising from personal injuries suffered on an offshore platform,
thus the Texas Oilfield Anti-Indemnity Act applies, which invalidates the
contractual obligation of the contractor to indemnify the platform owner
for personal injury damages paid to the contractor's employees.
Yang
Ming v. Okamoto Freighters
Ninth Circuit Court of Appeals
August 7, 2001
Carriage of Goods/Indemnity: the ocean
carrier was entitled to indemnity under the bill of lading from the NVOCC/shipper
pursuant to the NVOCC/shipper's breach of the warranty of the description
of the cargo; the containers were said to have contained cigarettes and
cigars, but instead contained worthless used tires, which resulted in the
ocean carrier suffering demurrage, shifting, terminal handling, transhipment
and customs charges after the containers were rejected by the consignee
and abandoned by the NVOCC/shipper; the NVOCC/shipper was in turn entitled
to indemnity from the initial shipper of the goods under the separate bill
of lading that the NVOCC/shipper had issued to the initial shipper which
also contained a warranty of cargo description.
NATCO
Ltd. v. Moran Towing
Eleventh Circuit Court of Appeals
September 28, 2001
Indemnity/Charter Parties: the towage
contract's indemnity provision provided that the tug owner would be held
harmless from "any and all loss, damage or liability", which allowed the
indemnitee tug owner to recover its attorneys fees from the indemnitor
cargo owner, including both defense fees and fees expended in pursuing
a counter-claim against a third party. |