Erie & W. Transp. Co. v. Erie R. Co.

142 F. 9, 73 C.C.A. 195, 1905 U.S. App. LEXIS 4077
CourtCourt of Appeals for the Seventh Circuit
DecidedAugust 1, 1905
DocketNo. 1,137
StatusPublished
Cited by5 cases

This text of 142 F. 9 (Erie & W. Transp. Co. v. Erie R. Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Erie & W. Transp. Co. v. Erie R. Co., 142 F. 9, 73 C.C.A. 195, 1905 U.S. App. LEXIS 4077 (7th Cir. 1905).

Opinion

SEAMAN, Circuit Judge

(after stating the facts). When the present ‘libel was filed, to enforce further contribution against the Conemaugh for damages which the New York was condemned to pay, the liability arising out of the collision had been in litigation between these steamers, with cargo representatives impleaded, for upwards of 12 years. The controversy was various in results during its progress and prolific in contributions to judicial reports, including three unanimous opinions, respectively, in the Circuit Court, of Appeals and the Supreme Court in its course. It resulted in a final adjudication of mutual fault, awarding all damages arising out of the collision, with recovery against the New York alone for cargo damage and equal division of the aggregate of damages to the steamers; so that, on the face of this record, it would seem that no issuable liability between the steamers could have escaped judicial settlement. Nevertheless, a novel and interesting question is presented for review, without precedent for the relief sought by this libel, under analogous conditions, and the contention upheld by the decree is not without seeming force under the general authorities cited and intimations in the opinions upon final appeal from the former decree. Primarily, however, jurisdiction is challenged to entertain the libel, in any view, as a claim to enforce an assumed right of contribution arising out of the payment by the New York of the entire cargo damage when mutual fault was adjudged, and the admiralty cognizance of such subject-matter for independent relief must be ascertained before inquiry is open whether jurisdiction can be exercised or relief be extended in the case at bar.

1. The broad jurisdictional objection is thus stated in the brief on behalf of the appellants: “That the right of contribution, when it exists, cannot be asserted in the admiralty, either in rem or in personam.” Were the general proposition thus advanced an 'open question, and not clarified and ruled by the opinion of this court in The Mariska, 107 Fed. 989, 47 C. C. A. 115, its solution for the objects of the present case would not be free from difficulty in the light of the general authorities cited. But in that instance jurisdiction was upheld of an independent libel in rem, filed by the owners of the steamer Jay Gould against the steamer Mariska, to enforce so-called contribution for damages charged against and paid by the Jay Gould in a prior proceeding, wherein the Jay Gould was the sole respondent, for the alleged mutual fault of that steamer and the [12]*12Mariska in causing the collision. In effect, it was ruled that the contribution sought, which was the subject-matter of the libel, was well recognized as a liability arising under the admiralty law, and as such was cognizable, not only as an incident to the primary cause for'recovery of damages for the fault of both, but through an original libel to enforce the liability, when not otherwise enforceable. This view we believe to be in harmony with the general line of American authorities, departing from the narrow interpretation which prevails in England and adopting that of the original admiralty jurisdiction, which was “interpreted by a more enlarged view of its essential nature and objects.” Insurance Co. v. Dunham, 11 Wall. 1, 24, 20 L. Ed. 90. The case of The Mariska plainly authorizes admiralty cognizance of an independent libel for contribution ; and this irrespective of the question whether the enforcement rests on the doctrine of subrogation to a lien in favor of the cargo, as there indicated, or upon the alleged liability to contribute by way of equalizing the burden for the fault and injuries. Vide The North Star, 106 U. S. 17, 22, 1 Sup. Ct. 41, 27 L. Ed. 91. In reference to the argument that rights resting on and merged in a decree are no longer maritime, in the jurisdictional sense, it may be observed that the rule is settled otherwise in early cases in admiralty (Penhallow v. Doane’s Admr., 3 Dall. 54, 86, 1 L. Ed. 507; Jennings v. Carson, 4 Cranch, 2, 21, 2 L. Ed. 531; The Enterprise, 2 Curt. 317, Fed. Cas. No. 4,497; The Centurion, 1 Ware, 490, Fed. Cas. No. 2,554), though it well may be that such rule is applicable only to relief by way of enforcing the decree. The general contention that a libel for contribution cannot be entertained is overruled.

2. The propositions on which the libel and decree rest are substantially these: That the maritime law creates an absolute liability against each of the contributors to a collision, mutually at fault, to bear an equal share of the resulting loss to vessels and cargo; that because the New York was condemned in the prior litigation with the Conemaugh and the representatives of her cargo, among other liabilities, to pay the entire cargo damage, without recoupment or allowance for any share of such damage chargeable to the Conemaugh for her adjudged mutual fault — no pleading to that end having been filed by the New York— the fact of such adjudication and of payment to the cargo representatives created ipso jure liability against the Conemaugh to reimburse one-half of the amount so paid; and that, accordingly, exemption of the Conemaugh from liability to the cargo owners, under the bills of lading, furnishes no defense against such reimbursement by way of contribution. This contention assumes that the admiralty rule, that both vessels at fault for a collision must bear the damage in equal parts, creates distinct and absolute liability for each element of damage entering into the adjudication and payment; so that, failing such equal division of the cargo damage in the primary suit between the veásels, the charge to and payment by the New York alone raised an independent cause of action against the Conemaugh to pay one-half the amount, though not obligated to the damnified cargo representatives for any part of such injury.

The theory on -which The Mariska, supra, proceeded is thus adopted, [13]*13in so far as it sanctions independent right of action for unquestionable contributory liability, but the further doctrine of that decision, that the right arises out of subrogation, is necessarily denied. Intimations of independent remedy to enforce contribution, in the event of actual liability of the Conemaugh for cargo damage, which appear in the opinions of the Circuit Court of Appeals on final appeal of the New York in the primary suit (The New York, 108 Fed. 47, 102, 107, 47 C. C. A. 232), and of the Supreme Court upon certiorari (The Conemaugh, 189 U. S. 363, 368, 23 Sup. Ct. 504, 47 L. Ed. 854), are assumed to sanction this theory and proceeding, although no sanction appears in either of these opinions for liability upon the part of the Conemaugh to cargo damage, if not liable to the cargo owners, and the opinion of the Circuit Court of Appeals clearly implies that the Conemaugh was not chargeable in such event. The extreme contention of absolute liability, however, notwithstanding both the failure to obtain division in the prior litigation and nonliability of the Conemaugh to the cargo representatives, is pressed in support of the present decree, and it is obvious that it can rest on no other ground.

As a general proposition of maritime law, with the eifect of the adjudication left out of consideration, it is doubtless the doctrine of the cases referred to — The North Star, 106 U. S. 17, 1 Sup. Ct. 41, 27 L. Ed. 91, and the Chattahoochee, 173 U. S. 540, 19 Sup. Ct. 491, 43 L.

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Bluebook (online)
142 F. 9, 73 C.C.A. 195, 1905 U.S. App. LEXIS 4077, Counsel Stack Legal Research, https://law.counselstack.com/opinion/erie-w-transp-co-v-erie-r-co-ca7-1905.