Charles Killam & Co. v. Monad Engineering Co.

216 F. 438, 1914 U.S. Dist. LEXIS 1608
CourtDistrict Court, E.D. Pennsylvania
DecidedAugust 14, 1914
DocketNo. 59
StatusPublished
Cited by5 cases

This text of 216 F. 438 (Charles Killam & Co. v. Monad Engineering Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Charles Killam & Co. v. Monad Engineering Co., 216 F. 438, 1914 U.S. Dist. LEXIS 1608 (E.D. Pa. 1914).

Opinion

DICKINSON, District Judge

(after stating the facts as above). This case was heard and argued with Monad Engineering Co. v. Charles Killam & Co., 216 Fed. 444, No. 74 of 1907 in admiralty. The [441]*441two cases grow out of the same transaction between the parties, and, although not in form consolidated, are in effect one and the same case, made up of claims and counterclaims.

Specific findings of facts and conclusions of law, so far as the court has been asked to find the latter, are filed herewith. •

The main facts, so far as necessary to an understanding of the issues involved, are few and simple. The Charles Killam & Co. hired by a demise contract the lighter Roosevelt to the Monad Engineering Company. The lighter was to be employed in carrying stone from the Brandywine to a locality in the Delaware .Bay, known as Cross Ledge, where the Monad Company were doing some constructive work for the United States. The term of hiring was from 25 to 28 days, from August 20, 1907, the date of hiring. The rate was $10 per day. The man whom the Killam Company had on board the lighter as master left, and the Monad Company replaced him with a man of their own selection.

Instead of employing the lighter for the purposes for which she was hired, use was made of her as a floating warehouse or stowage boat by taking her to Cross Ledge and keeping her there. She was at times kept alongside of and moored to a platform, which had been there constructed, and at other times anchored near the platform. The place is a notoriously dangerous one, particularly at that time of the year when heavy weather and high winds from the northeast, southeast, and northwest are to be expected. The unavoidable risks which a boat of the description of this lighter in that locálity would incur were increased by the way in which the boat was handled. She was kept lying at times on the windward side of the platform, without adequate protection either by fenders or other precautions to keep her off, with the consequent result that she was bumped against the platform and the pilings to which she was moored and was gouged and chafed by rubbing against projecting spikes. When she was anchored off, she was improperly anchored stern foremost with her tiller either unshipped or unlashed, and because of this her rudder slashed from side to side with a resultant strain upon her. Parts of the lighter were removed from her by the charterers and used in the construction of the platform referred to, and some of her tackle was removed or lost. A special danger and threat of the entire loss of the lighter was presented by the foundations of the old lighthouse being close aboard, and during prevailing storms directly to leeward, so that, if the lighter dragged her anchor, she would have drifted upon this obstruction and become a total wreck. Learning of the predicament in which she was placed, the Killam Company demanded her return, and, this demand not being complied with by the Monad Company, a tug was sent for the lighter, and she was removed from danger and restored to her owners. At the time the lighter was taken away, she was in part loaded with material belonging to the Engineering Company. The exigencies of the situation afforded neither opportunity nor time to unload her, and she was unloaded after she reached Philadelphia.

The original libel was filed to recover the hire of the lighter as agreed to be paid; demurrage for the time during which she was under repair, and the expenses to which her owners were put in preserving her from loss or further damage, and in restoring her to tne [442]*442same condition of repair in which she was when hired. This demand was met by a counterclaim in the general nature of a set-off, which is based upon the averment that, by reason of the removal of the lighter and of the material which was on board of her, the Engineering Company were prevented from complying with the contract on work which they were engaged, and, in consequence, they had been subjected to loss and damage to an amount largely exceeding the claim of the owner.

The answer of the original libel denied responsibility for the damage to the boat, and averred further the counter allegation of unseaworthiness and unfitness for the work for which she was hired.

The court is relieved from passing upon some questions which suggest themselves as possibly arising out of the facts in this case and the relations of the parties to each other and to third parties in that we have been asked to pass upon the rights of the parties as determined wholly and solely by certain findings of fact which the court is asked by both parties to make. This reduces the questions involved to these mere questions of fact, and the case is therefore sufficiently disposed of by the formal findings which the court has made.

[1] No more is now necessary than to state the principles by which the court has been guided. One is that in contracts of this kind the owner of the boat warrants her to be seaworthy and fit for the use to which she is intended to be put. Another is the géneral principle that a bailee for hire is not responsible for loss or damage except such as may be brought about through his fault or by his negligence. This general principle is applicable to contracts for the hire or demise of vessels. It is usual for a charter party to contain a stipulation for or warranty of the seaworthiness of the vessel on the one side, and, on the other,’ a stipulation or covenant to deliver up the vessel in the same good order and condition as when originally delivered, ordinary wear and tear and perils of the sea, etc., excepted. Each and both of these covenants are, however, implied, whether expressed or not, so that, under the facts in this case, the findings of fact of express covenants are unimportant. Both covenants are, however, found in fact to have been made.

There is no denial other than the most purely formal one that the owner is entitled to a finding in its favor for the $440 hire of the lighter, and this finding, both as a fact and a conclusion of law, is therefore made without further discussion. It only remains to determine whether or not the damage or injury found to have been done to this lighter was a damage she had received antecedent to her contract of hire, was incidental to the ordinary and reasonably careful use of her in the employment for which she was hired, or was an injury due to the acts of the charterer for which it is responsible to the owners.

[2] We find as a fact and as a conclusion of law that the necessity for repairing the lighter was due to the acts of the charterer, and that it is responsible for the damage done to the boat and answerable to her owners for the amount expended to repair the damage. This is on the ground, both that the damage resulted from negligence and want of reasonable and proper care taken of the lighter on the part of the charterer and- as a breach of the implied, and, as it has been found, the express, covenant to redeliver her to the owner in the condition in [443]*443which she was when delivered under the contract of hire. This involves the further finding that the charterer is responsible to the owner of the lighter for the time she was laid up undergoing repairs. This is upon the principle that the charterer oí a boat is responsible to her owners for the demurrage accruing during the time she was laid up for repairs, if the charterer is responsible for the injuries which have made the repairs necessary.

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Bluebook (online)
216 F. 438, 1914 U.S. Dist. LEXIS 1608, Counsel Stack Legal Research, https://law.counselstack.com/opinion/charles-killam-co-v-monad-engineering-co-paed-1914.