The following are links to selected Circuit
Court opinions concerning admiralty and maritime law issued during the
period January through April, 2002.
Underwood
Cotton v. Hyundai Merchant Marine
Ninth Circuit Court of Appeals
April 26, 2002
Carriage of Goods by Sea Act ("COGSA")/Statute
of Limitations: COGSA's one year period to bring an action against
a carrier does apply to claims under the Federal Bills of Lading Act ("Pomerene
Act"), 49 U.S.C. §§ 80101-80116, for bills of lading issued for
the carriage of goods by sea.
Hurd
v. United States
Fourth Circuit Court of Appeals
April 25, 2002
Suits in Admiralty Act: In the early
morning hours of December 29, 1997, the S/V MORNING DEW sank after colliding
with the north jetty leading into the Charleston Harbor. None of the passengers
onboard the thirty-four foot sailboat survived. The Coast Guard was properly
found liable for the deaths by undertaking to render aid to the passengers
of the MORNING DEW and for recklessly and wantonly terminating that aid
in a manner that worsened the decedents' positions.
Nunez
v. B & B Dredging
Fifth Circuit Court of Appeals
April 23, 2002
Jones Act: A land-based employee who
is permanently assigned to work in the service of a vessel as a dredge
dump foreman, but who spends only 10% of his time working aboard the vessel,
is not a Jones Act seaman.
R.M.S.
Titanic v. The Wrecked and Abandoned Vessel
Fourth Circuit Court of Appeals
April 12, 2002
Salvage/In Rem Action: R.M.S. Titanic,
Inc. ("RMST") is the salvor-in-possession of the submerged wreck R.M.S.
Titanic and artifacts salvaged from the wreck. But RMST's salvage lien
in the artifacts has not converted to title in the artifacts. RMST must
first complete the salvage service that it intends to perform and have
its salvage reward determined. Only after its reward is determined can
it seek to enforce the lien against the artifacts themselves.
In
re Graham Offshore
Fifth Circuit Court of Appeals
April 9, 2002
Maritime Torts/Outer Continental Shelf
Lands Act: Nothing in the Coast Guard mandated Emergency Evacuation
Plan ("EEP") imposes a legal duty on the rig owner to oversee the operations
of the boat that is used to evacuate personnel from the rig, which is instead
the duty of the boat owner and the boat's time charterer.
Sea-Land
Service v. Lozen International
Ninth Circuit Court of Appeals
April 3, 2002
Carriage of Goods by Sea Act ("COGSA"):
The terms printed on Sea-Land's bills of lading control the parties' agreement
in this case although express sea waybills were issued electronically,
and Sea-Land did not give a printed copy of the terms to Plaintiff. Since
those terms did not guarantee delivery by a date certain, Plaintiff's late
delivery claim was properly dismissed. But, the "liberty clauses" in Sea-Land's
bills of lading cannot unequivocally insulate the company from liability
because, although they are generally enforceable, a liability limitation
in a bill of lading is unenforceable to the extent that it authorizes the
carrier to engage in an unreasonable deviation. In order for a deviation
to be "unreasonable," the carrier must intentionally have
caused damage to the shipper's goods. The
district court therefore erred in dismissing Plaintiff's deviation claim
where a genuine issue of fact existed as to whether Sea-Land's rail agent
committed an unreasonable deviation by deliberately refusing to cooperate
once it was known that Plaintiff's cargo of grapes had been placed on the
wrong train.
O'Hara
v. Weeks Marine
April 1, 2002
Second Circuit Court of Appeals
Jones Act: To establish seaman status,
an employee must establish his or her (1) 'employment-related connection,"
(2) to a "vessel in navigation." An "employment-related connection" to
a vessel exists if two conditions are satisfied: First, the "worker's duties
must contribute to the function of the vessel or to the accomplishment
of its mission"; second, the worker's connection to the vessel must be
"substantial in both its duration and its nature." Plaintiff was not a
seaman because his connection to a vessel was insufficiently substantial
in terms of both its duration and its nature. While Plaintiff spent
more than half his working hours during a five-month period aboard the
barges, he spent all of that time performing tasks related to repair of
the Staten Island pier, while the barges were secured to the pier. Plaintiff
further produced no evidence that he derives his livelihood from "sea-based
activities." Longshore & Harbor Workers' Act: The district court
was in error in dismissing Plaintiff's 905(b) claim against Weeks as a
vessel owner since a reasonable jury could find based upon the evidence
presented that Weeks breached either the "duty to intervene" or the "active
control" duty. Weeks further is not entitled to the immunity afforded dual-capacity
employers under 905(b) since it was only the vessel owner, not both the
employer and vessel owner.
Glencore
Grain v. Shivnath Rai Harnarian Co.
Ninth Circuit Court of Appeals
March 26, 2002
Arbitration: The Convention on the
Recognition and Enforcement of Foreign Arbitral Awards, 9 U.S.C.§§
201-208, does not eliminate the due process requirement that a federal
court have jurisdiction over a defendant's person or property in a suit
to confirm a previously issued arbitration award. Because Plaintiff failed
(1) to identify any property owned by Defendant in the forum, or (2) to
allege facts that support a finding of personal jurisdiction, the district
court properly dismissed the complaint for lack of personal jurisdiction.
Fernandez
v. Haynie
Fourth Circuit Court of Appeals
March 25, 2002
Marine Insurance/Admiralty Jurisdiction:
A fishing vessel owner's contract claim against its broker for failure
to place his insurance with an "A" rated domestic insurer was within the
court's admiralty jurisdiction.
Stevens
v. Premier Cruises, Inc.
Eleventh Circuit Court of Appeals
March 1, 2002
Government Regulation: The motion for
rehearing and request for an en banc hearing were denied, with the
Court reaffirming its June 22, 2000 decision
that the district court erred in concluding that Title III of the Americans
with Disabilities Act ("ADA") does not as a matter of law apply to foreign-flag
cruise ships sailing in United States waters.
Centennial
Insurance v. Lithotech Sales
Third Circuit Court of Appeals
February 26, 2002
Marine Insurance: Under Wilburn
Boat Co. v. Fireman's Fund Ins. Co., 348 U.S. 310 (1955), New Jersey
law governs the open cargo policy, which was drafted, signed, and delivered
between New Jersey corporations within New Jersey. In New Jersey, the terms
of an insurance policy, absent ambiguity, should be given "their plain
ordinary meaning." The clause at issue, which provided coverage for damages
resulting from the issuance of fraudulent bills of lading, was clear and
unambiguous, and, since there are no facts which even suggest that the
bill of lading was fraudulent or that its acceptance caused the harm, plaintiff
failed to articulate facts sufficient to invoke coverage under the the
clause.
Weaver
v. Director, OWCP
Fifth Circuit Court of Appeals
February 26, 2002
Longshore & Harbor Workers' Act:
Attorneys fees incurred by the claimant within the 30 day window stipulated
by 33 U.S.C. § 928(a) may be assessed against the employer. If the
employer denies a claim within the 30 day window, and the other triggers
have been satisfied, the fees accrued thereafter properly may be assessed
against the employer, even though they are incurred before the thirtieth
day following receipt of notice.
Johnston
v. Director, OWCP
Ninth Circuit Court of Appeals
February 22, 2002
Longshore & Harbor Workers' Act:
In a situation where actual wages have remained constant, a claimant's
post-injury earnings need not be adjusted for inflation. Under such circumstances,
the actual wages without adjustment for inflation "fairly and reasonably
represent [the claimant's] wage-earning capacity" as required by 33 U.S.C.
§ 908(h).
Inlandboatmens
Union of the Pacific v. Dutra Construction
Ninth Circuit Court of Appeals
February 7, 2002
Labor Law/Arbitration: Disputes arising
under a side agreement that does not contain an arbitration provision must
nonetheless be arbitrated if the dispute relates to a subject that is within
the scope of the collective bargaining agreement's ("CBA") arbitration
clause. Thus, the dispute here over a settlement agreement concerning subcontracting
procedures, which is a matter explicitly referred to in the CBA, must be
arbitrated under the CBA's broad arbitration clause.
Yu v. Albany
Insurance Co.
Ninth Circuit Court of Appeals
February 7, 2002
Marine Insurance: Since the assured
owner did not notify the underwriter before the vessel' s captain was replaced,
thus breaching the hull policy's "Captain Warranty" (which provided that
the policy would be suspended when the vessel's captain was replaced unless
the underwriter had approved the new captain in advance), the owner's claim
under the policy for the total loss of the fishing vessel due to sinking
was properly denied.
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.
Christensen
v. Georgia Pacific Co.
Ninth Circuit Court of Appeals
February 1, 2002
Longshore & Harbor Workers' Act:
Plaintiff longshoreman was injured while helping to retie the Asian Hawk,
a vessel which he was working for and which had broken free from the dock
during heavy weather. He filed negligence claims against the Asian Hawk's
owner, a second vessel that had been tied to the same cleat on the dock,
and the dock owner. Plaintiff's claim against the Asian Hawk was wrongly
dismissed by the district court since the vessel did owe a duty to Plaintiff
under Scindia's active control duty and the intervention duty. Further,
the second vessel, while not owing Plaintiff any Scindia duties, did owe
under the Longshore Act a duty of reasonable care under the circumstances.
Maritime
Torts: Plaintiff's claim against the dock owner may not be brought
under the Longshore Act, but may be brought as a maritime tort under general
maritime law. Maritime Torts (Proximate Cause): The district court's
conclusion that Plaintiff's back injury was not a foreseeable result of
Defendants' acts was also in error. Proximate cause is a means of cutting
off liability for consequences that are so far removed from the conduct
at issue that there is no justification for imposing liability. Giving
inferences to Plaintiff, there is at least a genuine issue of material
fact as to whether Plaintiff's injury falls into this category.
Delaware
River Stevedores v. Director, OWCP
Third Circuit Court of Appeals
January 30, 2002
Longshore & Harbor Workers' Act:
"In determining the responsible employer in the case of multiple traumatic
injuries, if the disability results from the natural progression of an
initial injury and would have occurred notwithstanding a subsequent injury,
then the initial injury is the compensable injury and accordingly the employer
at the time of that injury is responsible for the payment of benefits.
If, on the other hand, the subsequent injury aggravates, accelerates, or
combines with claimant's prior injury, thus resulting in claimant's disability,
then the subsequent injury is the compensable injury and the subsequent
employer is fully liable."
Harper
v. United States Seafoods LP
Ninth Circuit Court of Appeals
January 29, 2002
Labor Law: 46 U.S.C. § 10601,
which requires the master of a fishing vessel to "make an . . . agreement
in writing" with each crewmember before a voyage, also requires the master's
signature on the agreement, and the master's failure to have signed the
agreement at issue renders it invalid.
Bora
Do v. Ocean Peace Inc.
Ninth Circuit Court of Appeals
January 29, 2002
Labor Law: Since plaintiffs worked
as initial fish processors on the factory trawler F/T Ocean Peace, they
are exempt employees under the "first processing" provision of the Fair
Labor Standards Act, 29 U.S.C. §§ 201-219, which relieved Ocean
Peace from federal minimum wage and hour requirements. But, plaintiffs
are not barred from bringing their wages claims by the six-month limitations
period for in rem actions contained in 46 U.S.C. § 10602
since their employment agreements were invalid because they lacked a master's
signature as required by 46 U.S.C. § 10601.
Matson
Terminals v. Werner Berg
Ninth Circuit Court of Appeals
January 29, 2002
Longshore & Harbor Workers' Act:
Because the injuries to claimant's two knees are discrete injuries under
33 U.S.C § 908(f), the Board was correct in imposing two 104 week
liability periods on the employer. It is irrelevant that the injuries arose
from the same working conditions or that they arose from a single cause
or trauma.
Salim
Oleochemicals v. M/V Shropshire
Second Circuit Court of Appeals
January 18, 2002
Arbitration: Pursuant to the Supreme
Court's decision in Green Tree Financial Corp.- Alabama v. Randolph,
531 U.S. 79 (2000), a dismissal without prejudice in favor of arbitration
is an appealable "final decision" under the Federal Arbitration Act, 9
U.S.C. § 16(a)(3), and Green Tree has overruled
Second Circuit precedents that distinguish between "independent" and "embedded"
actions for purposes of appealability.
Ayers
v. United States
Sixth Circuit Court of Appeals
January 17, 2002
Suits in Admiralty Act/Statute of Limitations:
Since Plaintiff executor's claim that the United States was negligent when
an Army Corps of Engineers lock master operated a lock on the Kentucky
River causing the decedent to drown was within the court's admiralty jurisdiction,
Plaintiff's exclusive remedy against the United States is governed by the
Suits in Admiralty Act, 46 U.S.C.App. §§ 741-752 ("SAA"). Actions
under the SAA are subject to a two-year statute of limitations and failure
to bring an action under the SAA within two years following an injury deprives
federal courts of subject matter jurisdiction. Since Plaintiff's Complaint
was filed more than two years after the drowning, the district court properly
dismissed the action for lack of jurisdiction. Filing an administrative
claim within the two year period under the Federal Tort Claims Act will
not equitably toll the limitations period under the SAA. |