In Re: Las Vegas Boat Harbor, Inc.

CourtDistrict Court, D. Nevada
DecidedMarch 17, 2021
Docket2:20-cv-01457
StatusUnknown

This text of In Re: Las Vegas Boat Harbor, Inc. (In Re: Las Vegas Boat Harbor, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re: Las Vegas Boat Harbor, Inc., (D. Nev. 2021).

Opinion

1 UNITED STATES DISTRICT COURT 2 DISTRICT OF NEVADA 3 4 In re: Las Vegas Boat Harbor, Inc., a Nevada Case No.: 2:20-cv-01457-JAD-VCF corporation, as owner of a certain 2018 5 Bennington Marine model 25SSRCX Half Order Granting Motions to Dismiss Time- Admiral Pontoon Boat, No. 2449, HIN Barred Liability-Limitation Action 6 ETWF9242D818, for exoneration from or limitation of liability [ECF Nos. 5, 9 & 16] 7

8 Admiralty actions are uncommon fare in a land-locked and arid state like Nevada. This 9 one asks this court to determine whether boat owner Las Vegas Boat Harbor, Inc. (LVBH) can 10 invoke the Limitation of Vessel Owner’s Liability Act of 1851 to cap its exposure for damages 11 sustained by a boater whose leg was amputated after she was injured by a rental pontoon boat’s 12 propeller. The Act limits a vessel owner’s liability to the value of the boat if the owner files a 13 federal action within six months of written notice of a claim, and LVBH contends that it timely 14 filed this suit less than three months after receiving the claimant’s settlement demand. But the 15 claimant argues that it was a much earlier letter that triggered the six-month deadline, which 16 expired long before LVBH filed, making this action time-barred. Because I find that the 17 claimant’s initial letter communicated the reasonable possibility that her claim against it would 18 exceed the value of the boat, I dismiss this case. 19 Background 20 On July 2, 2019, 27-year-old Leslie Burns was injured by the propeller of a pontoon boat 21 rented from LVBH. She was airlifted to the University Medical Center (UMC) trauma center, 22 and she underwent surgery to amputate her right leg below the knee. Burns promptly retained 23 counsel, who sent an initial evidence-preservation letter to vessel owner LVBH just a week after 1}|the incident. The July 9, 2019, letter advised LVBH of the incident, Burns’s amputation, and y 2|| which boat was involved. And it demanded that LVBH preserve all evidence related to the incident and provide details about LVBH’s insurance coverage’: A Our Client: Leslie Burns DOL: July 2, 2019 5 Boat Number: 2449

6 Dear Ms. Gripentog: Please be advised that this office has been retained to represent the interests of Leslie Burns 7 for personal injuries she suffered in an exposed propeller incident that occurred involving your Admiral Pontoon Boat, Number 2449 (“Subject Boat”). Ms. Burns injuries include, but are not g limited to, the amputation of her right leg. Ms. Burns hereby requests that Las Vegas Boat Harbor, Inc. dba Boating Lake Mead and 9 all its related entities (“LVBH”) engage in all reasonable efforts to honor their obligation to preserve all materials that are potentially relevant to all matters at issue in this claim. See Bass- Davis v. Davis, 122 Nev. 442, 450, 134 P.3d 103, 108 (2006) (“a party is required to preserve 10 documents, tangible items, and information relevant to litigation that are reasonably calculated to lead to the discovery of admissible evidence [ ] once a party is on ‘notice’ of a potential legal 11 claim.”). In this regard, it is imperative that LVBH preserve the Subject Boat and all of its parts, including but not limited to its outboard motor, in the same condition in which they existed at the D time of the abovementioned incident. Demand is further made that all LVBH employees, vendors, agents and contractors 13 preserve any and all electronically stored information that might pertain to the subject incident, including but not limited to social media comments, posts and/or photographs as well as any written communications including but not limited to letters, statements, e-mails and/or text 14 messages. 15 Finally, please provide us a certified copy of the declaration page for any and all insurance agreements or policies that may be liable to satisfy, indemnify or reimburse all or part of any 16 judgment that may be entered in this action. Thank you in advance for your anticipated compliance with this important evidentiary 17 matter. 18 LVBH’s counsel set up a boat inspection, and in an August 2, 2019, letter to the boat’s 19|| motor manufacturer advising of the upcoming inspection, LVBH’s attorney explained, 20 This office represents Las Vegas Boat Harbor with respect to a claim by Leslie Burns regarding a boating accident that occurred 71 on July 2, 2019[,| at Lake Mead outside Las Vegas, Nevada. The claim potentially involves allegations of a manufacturing or 22 product defect with respect to a 2018 Bennington Marine pontoon boat .. . that was involved in the accident. Enclosed is 23 ECF No. 9-2 (7/9/19 evidence-preservation letter).

1 correspondence from Ms. Burns’ attorney Samuel Mirkovich, Esq. regarding the claim and preserving evidence.2 2

3 In a separate, August 29, 2019, letter to several people with Burns on the boat on the day of the 4 incident, LVBH’s counsel advised: 5 [O]ur office has been retained to represent the Las Vegas Boat Harbor with respect to a potential claim by Leslie Burns regarding 6 an accident that occurred on July 2, 2019. On that date, you were responsible for the boat as the primary renter and/or an authorized 7 driver and therefore may be responsible for some or all of Ms. Burns’ damages . . . . You should contact your attorney or 8 insurance carrier and advise them of this potential claim.3 9 On September 17, 2019, Burns’s counsel emailed to LVBH’s counsel a copy of the 10 National Park Service’s incident report. That report recounts the accident from the perspective 11 of Burns and several witnesses, the nature of Burns’s injuries, the fact that Burns was airlifted to 12 UMC after being transported to the marina by park rangers, and that she “was being treated at 13 [UMC] in Las Vegas in the Trauma Intensive Care Unit.”4 Burns sent a comprehensive 14 settlement-demand package to LVBH on May 14, 2020, and ultimately filed suit against LVBH 15 and the manufacturers of the boat and its engine on June 30, 2020, in Nevada State Court.5 16 On August 6, 2020, LVBH filed this action for exoneration from, or limitation of, 17 liability under the Limitation of Vessel Owner’s Liability Act of 1851.6 LVBH alleges that 18 “[t]he post-accident value of the [b]oat is between $22,205.00 and $31,235.00,”7 and it moves 19

20 2 ECF No. 9-4 at 6 (8/2/19 letter). 21 3 ECF No. 9-8 at 2 (8/29/19 letter). 4 ECF No. 9-11 at 5. 22 5 Burns v. Las Vegas Boat Harbor, Inc., et al., Case No. A-20-817351-C. 23 6 ECF No. 3. 7 Id. at 4. 1 for an order enjoining Burns’s state-court action and all other suits exceeding the value of the 2 vessel.8 Burns opposes the motion9 and, along with boat-manufacturer Polaris Boats, Inc.,10 asks 3 to dismiss this action as time-barred, arguing that it was filed more than six months after LVBH 4 was put on notice of Burns’s claim. The dispute turns on which document qualifies as sufficient 5 notice under the Act, with Burns and Polaris pointing to the July 9, 2019, evidence-preservation

6 letter, and LVBH claiming that its six-month clock didn’t start running until Burns’s May 14, 7 2020, settlement demand.11 Because I find that the July 9, 2019, letter satisfied the statutory 8 notice requirement, making LVBH’s August 6, 2020, liability-limitation action months late, I 9 grant the motions to dismiss, deny LVBH’s motion as moot, and close this case. 10 Discussion 11 “A holdover from the days when encouraging commerce by sea was considered more 12 important than providing full redress to victims of maritime accidents,”12 the Limitation of 13 Vessel Owner’s Liability Act of 1851 allows a boat owner to limit its liability for certain injuries 14 to “the value of the vessel and [its] pending freight.”13 To take advantage of this cap, the owner

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In Re: Las Vegas Boat Harbor, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-las-vegas-boat-harbor-inc-nvd-2021.