Baker Whitely Coal Co. v. The Pirate

32 F. 486, 1887 U.S. Dist. LEXIS 91
CourtDistrict Court, D. Maryland
DecidedJuly 2, 1887
StatusPublished
Cited by6 cases

This text of 32 F. 486 (Baker Whitely Coal Co. v. The Pirate) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baker Whitely Coal Co. v. The Pirate, 32 F. 486, 1887 U.S. Dist. LEXIS 91 (D. Md. 1887).

Opinion

Morris, J.

These are claims of various kinds asserted in rem by libels and petitions against the British steamers Pirate and Kenilworth of Glasgow, Scotland, for coal, repairs to machinery and boilers, sails, and provisions furnished to the steamers in the port of Baltimore, and for pilotage services rendered during a period when they were chartered by the owners, residents of Glasgow, to Hart & Co., residents of Baltimore, who were merchants engaged in the importation of foreign fruits into that port. The steamers were chartered in Glasgow to Hart & Co. on [487]*487the eighteenth September, 1885, for two years, to be employed by them in such lawful trade as they might direct, between the United States and the West Indies or South America, and were brought to Baltimore by them, and put into their regular line of vessels plying out of the port of Baltimore in the foreign fruit business; each one making a voyage to some West India port and back every two or three weeks. They remained continuously in that service from about October, 1885, until Hart and Co. failed in business, about the first of May, 1887. The charter-parties required that Hart & Co. should pay for the hire of the steamers a stipulated sum per month, to be remitted to the owners in sterling drafts, in two payments in advance each month; and stipulated that the charterers, in addition to the hire, should provide the masters and crews, and pay their wages, and provide and pay for all the provisions, coal, port charges, pilotages, and all other charges whatsoever, (except insurance,) and pay all repairs to engine and hull, and maintain the hull and machinery in a thoroughly efficient state, and redeliver the engine, boiler, and hull upon expiration of the charter in the same condition as received, fair wear and tear excepted. It was provided, however, that the charterers were not to pay for repairs to the engines or hull costing over £120 on any separate repair of damage, and it appears that repairs over that sum for any one damage were covered by policies of insurance in owner’s favor. The questions raised by the pleading's, and considered in argument, are as to whether the several bills for supplies, repairs, and services now sued for were contracted under circumstances which give these creditors a privilege against the steamers, or whether their remedy is solely against the charterers.

In the first place it is obvious from the charter-parties, and from the acts done in pursuance of them, that the owners delivered these steamers fully into the possession and control of the charterers. The charterers took them from Glasgow, and brought them to Baltimore. There they pul out the, former masters, and put in command others of their own choosing, and used the vessels thereafter on their own account upon such voyages within the ports named in the charter-parties as they desired, wdthout the control in any way of the owners. It is beyond doubt that the charterers were owners pro hac vice. Thorp v. Hammond, 12 Wall. 416. The owners had parted with their possession of the vessels, and with all control over every one on board. It was a demise of the vessels for a stipulated hire, not dependent in any way upon the transportation of goods or the earning of freight. It is urged that because it was stipulated that the owners should have a lien upon all cargoes and subfreights for the charter money, — a lien which they would not have if they parted with the possession of the vessel, — that therefore the court must find as a fact that they did not part with possession, and the charterers were not owners pro hac vice. But this is impossible. The owners contracted to surrender possession, and did in fact surrender possession and control, and no stipulation for a lien usually dependent upon their retaining possession could alter that fact. It is also suggested that the stipulation that the owners should have the privilege of selecting the [488]*488chief engineers of the steamers — they, however, to be paid by the charterers — was sufficient to retain possession; but the contrary of this has been often decided. 1 Pars. Shipp. & Adm. 279, 280.

The case presented is one of vessels demised for two years to charterers, and delivered into their possession, and of supplies and repairs furnished in the port where the charterers resided, and where they were well-known merchants, in good credit; the charterers, by the terms of the charter-parties, having bound themselves to pay for the supplies and repairs. It is to be considered, then, by whom, and under what circumstances, the supplies and repairs were ordered, and what knowledge the material-men had of the actual terms of the charters.

It is proved that it was a matter of general notoriety in the port of Baltimore that Hart & Co. had chartered these British steamers for the fruit trade upon time charters. Hart’s initials were put upon their funnels, and they carried his flags, and were constantly noted in the newspapers as arriving and departing, with comments upon their cargoes of fruit'. This went on for over a year, and everything indicated that they could not be vessels employed by Hart & Co. upon ordinary cargo-carrying charters. It must have been quite generally known among the people who supply ships that the masters had been changed by Hart & Co., and that they had put in command of one of these steamers an American master, and in command of the other a master long resident here. Then, as to the character of the repairs and supplies, (except the sails,) they were not required by, a vessel which has. met with disaster, to enable her to complete an interrupted voyage, but were those which a steamer máking short regular trips in and out of a port would require for its ordinary maintenance, and were mostly supplied by these creditors at regular intervals; the repair bills of Reedér & Son to the Pirate running from March, 1886, to March, 1887. With regard to the ordering of these materials and supplies, it appears that although in some cases the quantity and character was indicated by some officer of the steamers, as is quite unavoidable, they were not ordered by the master. The persons who were to furnish the supplies were selected by the charterers, and the terms of the purchase agreed to by them, and the bills invariably sent to them. No one ever thought of presenting a bill to any officer of the ship, or to any foreign owner. Por the amount of the claims of Charles Reeder & Sons they had taken a promissory note made by Hart & Co., in which was included a sum due for work on an ice-machine on shore. The facts proven show, in almost every case, a continuous dealing with known charterers, in the port of their residence, for the ordinary requirements of vessels.

The cases of The City of New York, 3 Blatchf. 187; The India, 14 Fed. Rep. 476, 16 Fed. Rep. 262; The Sydney L. Wright, 5 Hughes, 474,— which are relied upon by counsel for the creditors, and in which claims of material-men were held to be entitled to a privilege against the ship, —were all cases in which the supplies were furnished to chartered vessels in ports in which the charterers were non-residents. In those cases the vessels were in all respects foreign; foreign in respect to the general own[489]*489ers, and foreign in respect to the charterers who were the owners pro hac rice. But in the cases of The Golden Gate, 1 Newb. Adm. 308; The Secret, 3 Fed. Rep. 665, 15 Fed. Rep. 480; The Norman, 6 Fed. Rep. 406, 28 Fed. Rep. 383; and Stephenson, v. The Francis, 21 Fed. Rep.

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Bluebook (online)
32 F. 486, 1887 U.S. Dist. LEXIS 91, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baker-whitely-coal-co-v-the-pirate-mdd-1887.