A/s Dampskibsselskabet Torm, Reederi Johnny Wesch K.G. v. McDermott Inc.

788 F.2d 1103, 1987 A.M.C. 353, 1986 U.S. App. LEXIS 24887
CourtCourt of Appeals for the Fifth Circuit
DecidedMay 5, 1986
Docket84-3812
StatusPublished
Cited by1 cases

This text of 788 F.2d 1103 (A/s Dampskibsselskabet Torm, Reederi Johnny Wesch K.G. v. McDermott Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
A/s Dampskibsselskabet Torm, Reederi Johnny Wesch K.G. v. McDermott Inc., 788 F.2d 1103, 1987 A.M.C. 353, 1986 U.S. App. LEXIS 24887 (5th Cir. 1986).

Opinion

OPINION

JOHN R. BROWN, Circuit Judge:

The defendants appeal from a finding that they were 85% at fault for damages sustained to the plaintiffs’ vessel during unloading operations in West Africa, and from a judgment that they take nothing on their counterclaim alleging delay incurred by the inadequate unloading boom outreach of another of the plaintiffs’ vessels. We affirm.

The Oil Bidness Goes to the Dark Continent

The claims in the case arise out of separate incidents involving the vessels M/V MAGDALENA WESCH and M/V HIGH SEAS PROMISE. Both vessels were time chartered by Torm Singapore (Pie.) Ltd. whose active manager was A/S Dampsk-ibsselskabet Torm, wisely referred to by the parties in this case as Torm Denmark and sometimes even more simply as Torm.

Torm Denmark, operating under the name Torm West African Lines, carried cargo from New Orleans and other United States ports to West Africa. On the particular voyages at issue in this litigation, Torm Denmark was transporting various oilfield machinery and pipe from New Orleans to Soyo, Angola for McDermott, Inc. and a group of McDermott divisions and subsidiaries (collectively McDermott). Soyo is an open roadstead at the mouth of the Congo River and has no facilities, such as a harbor or wharves, usually associated with a port. Consequently, the bills of lading covering the MAGDALENA WESCH and the HIGH SEAS PROMISE shipments specified that the cargo would be unloaded offshore into McDermott barges.

The initial claim in this case was asserted by Torm Denmark against McDermott. Torm Denmark claimed that, in the process of unloading the MAGDALENA WESCH, various McDermott barges collided with and damaged her. McDermott later pressed a counterclaim associated with the earlier unloading of the HIGH SEAS PROMISE at Soyo. McDermott’s counterclaim alleged that the ship’s boom used to unload the cargo of the HIGH SEAS PROMISE was insufficient for the job and the resulting problems caused McDermott to incur unexpected costs and delay.

Both claims were tried together in the United States District Court for the Eastern District of Louisiana. After the evidence was presented, Judge Feldman held *1105 that McDermott was 85% responsible for the damage caused to the MAGDALENA WESCH because McDermott did not properly fender the barges that it brought alongside her. Judge Feldman also found no evidence of an agreement between McDermott and Torm Denmark regarding the outreach of the HIGH SEAS PROMISE’S boom, and that consequently, McDer-mott could not recover on its counterclaim. McDermott appeals.

Faulty Fenders

McDermott first disputes the trial court’s determination that McDermott was 85% at fault for the damages incurred by the MAGDALENA WESCH. McDermott claims that, as a result of a previous incident involving the MAGDALENA WESCH and McDermott barges, Torm Denmark expected to incur some damage to the MAGDALENA WESCH and agreed with McDermott that Torm Denmark would provide adequate fendering for her. McDermott also claims that it was the inadequate anchoring of the MAGDALENA WESCH, not the movement of the McDermott barges, which led to the damages that were sustained.

To succeed on appeal, McDermott must convince this Court that the District Court’s findings of fact are clearly erroneous. F.R.Civ.P. 52(a). “A finding is ‘clearly erroneous’ when although there is evidence to support it, the reviewing court is left with the definite and firm conviction that a mistake has been committed.” United States v. United States Gypsum Co., 333 U.S. 364, 395, 68 S.Ct. 525, 542, 92 L.Ed. 746 (1948). The fact that the appellate court might reach a different conclusion based on the facts does not necessarily result in a “definite and firm conviction.” Allaire v. Rogers, 658 F.2d 1055, 1059 (5th Cir.1981).

The District Court heard a large volume of evidence about which vessel was unsteady and caused the collisions, which vessel should have provided an adequate fend-ering system, and the conditions under which a McDermott employee signed an acceptance of liability. Much of the testimony was conflicting.

Torm Denmark’s witnesses maintained that the MAGDALENA WESCH was damaged because the fendering system of McDermott’s barge, the DB-15, consisting only of built-in wooden fenders, was inadequate. Torm Denmark further maintained that McDermott allowed the DB-15 to collide with the MAGDALENA WESCH.

McDermott presented witnesses who testified that, before the voyage, they had spoken with Johnny Sabild, the superintendent of cargo of the MAGDALENA WESCH, and that he assured them that Torm Denmark would provide Yokohama fenders (large floats placed in the water between vessels) for the unloading. McDermott also relied on a telegram from Torm Denmark to Sabild, instructing him to purchase four or five large scraper (a large off-road machine) tires to prevent “expected” damage. The cargo supervisor testified that he was unable to locate scraper tires and instead, purchased twenty or more smaller truck tires.

Sabild testified that he had not promised to provide Yokohama fenders and that if he had promised to provide anything, it would be only to provide “adequate” fendering. Torm Denmark also introduced evidence that Yokohama fenders would not have been appropriate for this type of vessel or voyage. McDermott argues that the cargo supervisor cannot be believed because his recollection was vague and because he changed his testimony from “I did not promise anything” to “I might have promised to provide adequate fendering.” McDermott also argued at trial that the collisions had to be caused by the MAGDALENA WESCH because it was anchored with only two bow anchors while the DB-15 was anchored with a series of five to eight anchors that allowed it to make very precise movements.

Torm Denmark’s witnesses testified that during later unloading operations, two other McDermott barges struck the MAGDALENA WESCH, causing additional damage, because the barges had no fenders *1106 and because a tug holding one of the barges lost power and allowed the vessels to collide. McDermott asserted that the damage occurred because Torm Denmark failed to provide the promised fendering and because the truck tires that were used were inadequate. McDermott further asserted that the tug that lost power was being used to hold the MAGDALENA WESCH because her bow anchors were inadequate to hold her securely in the seven knot current of the Congo River.

Further dispute centered on a written acceptance of liability signed near the end of the unloading operations by Tom Arnold, a McDermott employee. McDermott maintained that the document was signed “under duress” because the captain of the MAGDALENA WESCH told Arnold that he would not allow the barges to remain alongside unless the document was signed. Torm Denmark pointed out that Arnold added no qualifications to the document when he signed it.

Our review of the record does not leave us with a firm conviction that a mistake has been committed. Judge Feldman played an active role at trial, often questioning witnesses at length.

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Bluebook (online)
788 F.2d 1103, 1987 A.M.C. 353, 1986 U.S. App. LEXIS 24887, Counsel Stack Legal Research, https://law.counselstack.com/opinion/as-dampskibsselskabet-torm-reederi-johnny-wesch-kg-v-mcdermott-inc-ca5-1986.