Chiswick Products, Ltd. v. SS Stolt Avance

257 F. Supp. 91, 1966 U.S. Dist. LEXIS 8174
CourtDistrict Court, S.D. Texas
DecidedFebruary 24, 1966
DocketNo. 63-B-34
StatusPublished
Cited by2 cases

This text of 257 F. Supp. 91 (Chiswick Products, Ltd. v. SS Stolt Avance) is published on Counsel Stack Legal Research, covering District Court, S.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chiswick Products, Ltd. v. SS Stolt Avance, 257 F. Supp. 91, 1966 U.S. Dist. LEXIS 8174 (S.D. Tex. 1966).

Opinion

MEMORANDUM

GARZA, District Judge.

Purchasers of Mexican turpentine in Europe brought this libel for damages to cargo upon its arrival at destination.

In the summer of 1961, Whitney & Oettler of Savannah, Georgia, as brokers, agreed with Turpentine & Rosin Factors of Texas, Inc., to buy approximately 265 long tons of Mexican turpentine for ship[92]*92ment to Europe for resale. Turpentine & Rosin Factors of Texas, Iiic., obtained execution of a partial voyage charter for the carriage of the turpentine from the port of Brownsville, Texas, to designated ports in Northern Europe. The charter, in turn, was handled by a New York broker and provided for the tender of a seaworthy vessel to the charterers at Brownsville, Texas, in September, 1961, for loading and carriage of the turpentine to Europe. The vessel involved and which carried the cargo was the SS STOLT AVANCE, a Norwegian ship, and the libel was brought against it in rem and against its owners in personam.

Because of certain provisions of the charter,1 the Respondent impleaded the charterer, Turpentine & Rosin Factors of Texas, Inc. The charterer had made arrangements with E. W. Saybolt & Co., Inc., to inspect the tank in which the turpentine was to be carried, before loading of the same, and Turpentine & Rosin Factors of Texas, Inc., impleaded Saybolt as respondent. The Respondent vessel then filed a third-party libel against E. W. Saybolt & Co., Inc.

Before the trial of this case, a motion was made by the original Respondent to substitute parties, alleging that The Home Insurance Company (who had insured the cargo and had paid damages to the original Libellants) was the real party at interest and should be substituted for the Libellants. Since the Court was informed that the original Libellants might have damages over and above what The Home Insurance Company had paid them, the motion to substitute parties was granted in part, and The Home Insurance Company of New York was added as a libellant, and it adopted the allegations of the libel on file, and claimed against the Respondents as a subrogee under a certain policy of insurance which it had issued covering the cargo in question against damage or loss.

The question of damages was severed and the Court proceeded to trial on the issue of liability only.

It was stipulated that there was some damage or contamination by rust to the turpentine cargo when it arrived in Europe. The turpentine was discolored and rust particles in suspension were present. The rust or iron oxide particles in the turpentine at out turn, it was shown by the evidence, could be removed by filtration or distillation, and such removal would restore the cargo to its original form.

[93]*93This cause of action is covered by the provisions of the Carriage of Goods by Sea Act, 46 U.S.C.A. § 1300 et seq., which will sometimes hereinafter be referred to as the Act or Cogsa.

When the turpentine was loaded in Brownsville, two bills of lading were issued and signed on authority of the master of the SS STOLT AVANCE, covering the shipment in question, and no exception was taken to the good order and condition of the cargo.

At the beginning of the trial, it was agreed amongst the parties that if any recovery was had in this case, that recovery belonged to The Home Insurance Company which by order of the Court had been made a libellant. It was further stipulated that if the Libellants recovered from the SS STOLT AVANCE, and the SS STOLT AVANCE, in turn, was awarded indemnity over and against Turpentine & Rosin Factors of Texas, Inc., but was not awarded indemnity against E. W. Saybolt & Co., Inc., then judgment could be entered that the Libellants take nothing. Turpentine & Rosin Factors of Texas, Inc., also dismissed its cross-action against E. W. Saybolt & Co., Inc.

The Libellants made a prima facie case by putting into evidence the two bills of lading showing no exceptions, and by reading into the record the stipulation that when the turpentine cargo was discharged from the SS STOLT AVANCE in England and Holland, it was off color and was damaged to some extent by particles of rust in suspension.

Respondent vessel then proceeded to put on its evidence. The evidence showed that the SS STOLT AVANCE, a tank ship of 5126 net tons, was built in England in 1949, and was purchased by the present owners in 1959. It was engaged in a regular run from the United States to Europe, laden with liquid cargo, and alternately would return from Europe to the United States empty.

Under Norwegian law, the SS STOLT AVANCE had to undergo an annual inspection for fitness and seaworthiness, and at all times material hereto she underwent such annual inspection.

On her Voyage No. 18, eastbound to Europe, she carried a cargo of toluene, a solvent, in her No. 8 center tank, and the same was discharged in Europe without compaint of damage or contamination. The cargo in the No. 8 center tank, which is the one involved in this case, prior to the toluene cargo on Voyage No. 18, was perch ethylene, and her cargo prior to the perch ethylene, was benzene.

The evidence showed that after the discharge of her toluene cargo in Europe at the conclusion of Voyage No. 18, her No. 8 center tank was Butterworth cleaned, dried with rags and made fit for the receipt of another cargo. On the vessel’s Voyage No. 19 from Europe to the United States, her No. 8 center tank was empty and dry and carried neither ballast nor cargo.

The vessel’s Voyage No. 20 to carry liquid cargo from the United States to Europe commenced on or about August 26, 1961, at Good Hope, Louisiana, after which she called at various Texas ports to receive cargo. Her last port of call in the United States before crossing eastward to Europe on her Voyage No. 20, was at Brownsville, Texas, on September 4 and 5, 1961. The vessel called at Brownsville to load the cargo of Mexican gum spirits of turpentine for carriage to London and Rotterdam in the No. 8 center tank. Prior to the vessel’s arrival in Brownsville, her officers inspected the No. 8 center tank of the vessel and found it to be fit, clean,- dry, substantially rust free, and suitable for carrying the turpentine carge to Europe.

Under the terms of the charter, the shipper or charterer of the ship, Turpentine & Rosin Factors of Texas, Inc., had made arrangements with E. W. Saybolt & Co., Inc., to inspect the No. 8 center tank for suitability for carrying turpentine cargo and to gauge the amount of turpentine cargo loaded in said tank.

A. K. Barnard, Jr., was the inspector of E. W. Saybolt & Co., Inc., who was assigned to inspect the No. 8 center tank. [94]*94Mr. Barnard testified that he boarded the vessel and he noted that the vessel had docked at 21:25. However, he testified that this hour he got was from the ship’s log, and that since the ship was pretty well loaded by the time it got to Brownsville, it was pretty low in the water, and that he is sure that he boarded the same before the ship was securely docked and the last line put out. He stated that the ship started taking the cargo of turpentine at 21:40, but that this was when the pumps on the shore tank began to work.

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Related

Chiswick Products, Ltd. v. The Ss Stolt Avance
387 F.2d 645 (Fifth Circuit, 1968)

Cite This Page — Counsel Stack

Bluebook (online)
257 F. Supp. 91, 1966 U.S. Dist. LEXIS 8174, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chiswick-products-ltd-v-ss-stolt-avance-txsd-1966.