Bethlehem Steel Corp. v. Isthmian Lines, Inc.

310 F. Supp. 775, 1970 U.S. Dist. LEXIS 12426, 1970 A.M.C. 761
CourtDistrict Court, D. Maryland
DecidedMarch 20, 1970
DocketNos. 4822, 4921
StatusPublished
Cited by8 cases

This text of 310 F. Supp. 775 (Bethlehem Steel Corp. v. Isthmian Lines, Inc.) 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
Bethlehem Steel Corp. v. Isthmian Lines, Inc., 310 F. Supp. 775, 1970 U.S. Dist. LEXIS 12426, 1970 A.M.C. 761 (D. Md. 1970).

Opinion

WATKINS, District Judge.

At about 6:00 p. m. on December 31, 1964, on a clear night with good visibility, the SS STEEL DESIGNER, owned by Isthmian Lines, Incorporated (Isthmian) collided with BARGE BETH-COAL, NO. 1 owned by Bethlehem Steel Company (Bethlehem) in Chesapeake Bay near Buoy 12C in the Craighill Channel Approach to Baltimore Harbor. BETHCOAL NO. 1, was in tow by the Tug VIRGINIA owned by Harbor Towing Corporation (Harbor) en route from Norfolk to Sparrows Point, loaded with some 5,300 tons of coal. The STEEL DESIGNER, under the management of a Chesapeake Bay Pilot, struck the BETH-COAL NO. 1 on her starboard side about amidship, holing her so that she subsequently sank outside of the channel near Belvedere Shoals. As a result the BETHCOAL NO. 1, although subsequently raised and repaired, was a total loss, as was her cargo of coal. The STEEL DESIGNER sustained substantial bow and bottom damage, and incurred general average expense.

About five months later, Harbor filed a petition for exoneration from or limitation of liability to the value of the VIRGINIA, not exceeding $30,000.00, plus the freight pending of $2,000.00. An ad interim stipulation for value of the tug and her pending freight in the amount of $32,000.00, with interest, was filed.

Isthmian, as owner of the STEEL DESIGNER and as bailee of the cargo laden [777]*777thereon, filed a claim against Harbor both in personam and in rem in the estimated sum of $125,000.00. The claim recited a claim by Bethlehem against Isthmian for damages originally estimated at $475,000.00, subsequently increased to $619,000.00. Isthmian claimed against Harbor for Isthmian’s own damages, and for all amounts that might be allowed against Isthmian and the STEEL DESIGNER resulting from such collision.

Bethlehem answered Harbor’s petition for exoneration from or limitation of liability, admitting fault on the part of STEEL DESIGNER, but also alleging fault on the part of the VIRGINIA and contesting limitation of liability. It also filed claim against Harbor in the amount of $619,500.00, plus any “contingent damages.”

Aetna Insurance Company (Aetna) and twenty-two others, as parties in interest, or insurers, of general cargo laden on the STEEL DESIGNER filed claim against the VIRGINIA in the amount of $25,000.00, and asked priority over the claims on behalf of the owners of the STEEL DESIGNER and BETH-COAL NO. 1.

Aetna also filed an answer alleging fault on the part of the VIRGINIA and BETHCOAL NO. 1, and asking for a denial of limitation, and for priority over claims of Isthmian and Bethlehem.

In November 1965, Bethlehem1 filed a libel and complaint against Isthmian in personam and against the STEEL DESIGNER in rem, for repairs, demurrage, surveyor’s fees, loss of cargo and “other losses and expenses” in the amount of $619,500.00.

Isthmian filed a cross-libel against BETHCOAL NO. 1 in rem and Bethlehem in personam. Damages in the amount of $125,000.00 were claimed for “the cost of repairs, general average loss and expenditure, loss of use of the vessel during repairs, damage to cargo, survey fees and other incidental expenses

Thereafter the two cases were consolidated.

It was agreed that the questions of liability, and limitation thereof, should be decided before a trial (if necessary) on the extent of damages, was held.

Agreed Facts and Law.

As of the time in question:

Agreed Facts.

(1) The vessels involved were:

STEEL BETHCOAL

DESIGNER NO. 1 VIRGINIA

Gross tons 7,927 2,396 130

Net tons 4,674 2,396 65

Length 468.5' 271.6' 90'

Breadth 69.6' 52.0' 19'

Depth 29.5' 18.6' 10'

Draft foreward 17'5" 15'-16' 11'6"

aft 18'11"

Propulsion Steam Turbo None Direct-Reversing

Reduction Diesel

Single Screw

Right Hand

[778]*778(2) Prior to January 1, 1965 the Tug VIRGINIA had made. twenty-four voyages from Norfolk, Virginia to Sparrows Point, Maryland, towing the Barge BETHCOAL NO. 1 loaded with coal; eighty-eight voyages towing the Barge BETHCOAL NO. 2 loaded with coal; and ninety-six voyages towing the Barge BETHCOAL NO. 3 loaded with coal.’ The three barges are almost identical as to the data set forth in (1) above.

(3) The night of December 1, 1964 was dark but clear, with a visibility of eight to ten miles. There was a Northwest wind of ten to twelve miles an hour.

(4) The Master of the STEEL DESIGNER was Gustav E. Sundberg. With him in the wheel house were Tjerk B. Susemihl, Chesapeake Bay Pilot2, Albert Norman Gott, Second Mate and Watch Officer, and Antonius Kotsis, an able-bodied seaman, the helmsman.

John Charles Alberti, an ordinary seaman, was the lookout stationed at the bow of the STEEL DESIGNER; and Edmund James Len was a fireman.3

5. Leland G. Larrimore was the Master in charge of the Tug VIRGINIA and its tow, and was in the wheelhouse. ■Jacob A. Bryan was Chief Engineer of the tug, and was in the engine room. Philip Gibson, deckhand, was in the wheel house a few minutes before the collision, but at the time of the collision was attending to the towing hawser. The first two testified. Gibson’s Coast Guard examination was offered into evidence.

6. The BETHCOAL NO. 1 was being towed by a 230 foot hawser, attached to it by a bridle.

7. The collision occurred at approximately4 6:00 p. m. or 1800.

8. The collision occurred in Craighill Channel above Buoy 12C and well below Buoy 14C.

9. The towage was pursuant to a contract between Bethlehem and Harbor, the pertinent parts reading:

‘X’ "Jv # if •&*
“Harbor Towing Corporation will tow such barges, one barge to a tow, between the above mentioned locations, complying at all times with applicable Federal or State laws and regulations. Each barge will be towed light from Sparrows Point to off designated Coal Pier at Hampton Roads, Virginia at which point tugs supplied by the respective railroad coal loading pier will dock the barge. Upon completion of loading, tugs supplied by the respective railroad coal loading pier will undock the barge and turn over to Harbor Towing Corporation tug. Tug will remain in sufficient proximity to Coal Pier while barge is being loaded with coal and, after loading is completed, will return the loaded barge to Sparrows Point. At Sparrows Point, Maryland, Harbor Towing Corporation tug will remain in constant contact and where repairs, fuel, stores, or supplies are required, permission to perform said functions is to be obtained from Bethlehem Steel Company, Marine Division, Sparrows Point, Maryland with an estimate of time required and actual time taken for said functions. The barges may be used on an intermittent basis depending upon coal requirements, availability of coal at Hampton Roads and ability of Bethlehem Steel Company to receive coal at its Sparrows Point Plant. [779]*779It is further agreed that all towing of the Bethcoal No. 1, Bethcoal No. 2 and Bethcoal No. 3 for the purpose of transporting coal from Hampton Roads, Virginia to Sparrows Point, Maryland will be performed by Harbor Towing Corporation.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Interstate Towing Co. v. Stissi
717 F.2d 752 (Second Circuit, 1983)
Complaint of B.F.T. No. Two Corp.
433 F. Supp. 854 (E.D. Pennsylvania, 1977)
Guidry v. LeBeouf Bros. Towing Co., Inc.
398 F. Supp. 952 (E.D. Louisiana, 1975)
Clary Towing Co., Inc. v. Port Arthur Towing Co.
367 F. Supp. 6 (E.D. Texas, 1973)
In Re Tug Management Corporation
330 F. Supp. 486 (E.D. Pennsylvania, 1971)
Sheridan Towing Co. v. Steamship Harold H. Jacquet
330 F. Supp. 486 (E.D. Pennsylvania, 1971)

Cite This Page — Counsel Stack

Bluebook (online)
310 F. Supp. 775, 1970 U.S. Dist. LEXIS 12426, 1970 A.M.C. 761, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bethlehem-steel-corp-v-isthmian-lines-inc-mdd-1970.