In re the United States

229 F. Supp. 241, 1963 U.S. Dist. LEXIS 6579
CourtDistrict Court, D. Oregon
DecidedDecember 20, 1963
DocketCiv. No. 62-23
StatusPublished
Cited by4 cases

This text of 229 F. Supp. 241 (In re the United States) is published on Counsel Stack Legal Research, covering District Court, D. Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the United States, 229 F. Supp. 241, 1963 U.S. Dist. LEXIS 6579 (D. Or. 1963).

Opinion

KILKENNY, District Judge.

This subject is now before the Court on issues framed under the general law of salvage as presented in a Supplemental Pre-Trial Order. The Opinion in the original libel reported in The Petition of the United States of America, etc., 216 F.Supp. 775 (D.C.Or.1963) gives a complete history of the attempted sea rescue which resulted in tragedy for all involved.

A brief resume of important facts will be of benefit to an understanding of my ultimate conclusions.

[242]*242The fishing vessel BARBARA LEE, on the afternoon of January 28, 1960, capsized while attempting to save the disabled United States Coast Guard Vessel INVINCIBLE and her crew. The BARBARA LEE was heavily damaged and her skipper, Robert Bolam, and a crewman, Ted Arnold Sigurdson, were drowned. Previously, the INVINCIBLE was disabled by a large “sneak wave”, which washed her engine and so damaged her radio as to prevent it from transmitting. After this casualty the INVINCIBLE was completely helpless and was nothing more than an incapacitated derelict in an exceptionally heavy sea. Her four seamen were in a state of shock and confusion. At the moment she was entirely impotent and her crew was in extreme peril. This fact was recognized by the skipper and crew of the BARBARA LEE, which vessel had crossed the Grays Harbor Bar, but was in a position of safety at the time. Nevertheless, the master and crew of the BARBARA LEE, guided by one of the highest instincts in human nature, forthwith accepted an invitation for assistance which had been extended by the master and the crew of the INVINCIBLE. They left their position of safety, behind the lea of the westerly end of the south jetty, to return to the dangerous waters of the Bar. When the BARBARA LEE came alongside the INVINCIBLE, the skipper requested the BARBARA LEE to call the Coast Guard Station at Westport. Crewman Sigurdson made the radio call to the station advising them of the great peril of the INVINCIBLE. The station forthwith responded with a l’adio demand that the BARBARA LEE throw a tow line to the INVINCIBLE with the hope of bringing her behind the lea of the jetty or at least keeping her out of more dangerous waters.

Upon receipt of the radio message from the BARBARA LEE, the Coast Guard Station despatched a 36-footer from that station, the McLANE from Aberdeen and the YOCONA from Astoria, all to assist in the rescue of the INVINCIBLE. While this aid was on its way, the BARBARA LEE had thrown a line to the INVINCIBLE and for thirty very critical minutes engaged in an effort to hold and tow that vessel. This was an exceptionally dangerous undertaking for a small fishing boat which was not equipped for towing, and considering the task, was an exceptionally light vessel. The tow line broke during the first attempt. Nevertheless, the skipper and crew of the BARBARA LEE took the INVINCIBLE in tow for a second time and it was during this latter effort that an exceptionally large wave caught and completely capsized the BARBARA LEE. Immediately thereafter the INVINCIBLE drifted across the dangerous north spit area and anchored in the darkness. When the 36-footer dispatched from Westport, in response to the radio call, reached the INVINCIBLE, a tow line was put aboard and the anchor chain was cut loose. The motor then failed on the 36-footer. Both vessels were then adrift without radio or lights. Sometime later the McLANE happened on the two vessels and ultimately towed the INVINCIBLE to a port of safety at Neah Bay. The skipper of the INVINCIBLE was removed from his vessel to the YOCANA, the other crew members remaining until it reached the Bay. On all of the facts in the case, I find that the INVINCIBLE and all of her crew were saved as a direct and proximate result of the combined salvage effort, the radio call from the BARBARA LEE being the principal factor.

LAW OF SALVAGE

A deep study and thorough analysis of the numerous cases cited by proctors serves only the beneficial purpose of demonstrating that the tangents of salvage law are so inexact, and so incapable of precise evaluation, that it would be useless to attempt a reconciliation of the case law on the subject.

Perhaps, Judge Clifford, in his opinion in THE BLACKWALL, 10 Wall. 1, 77 U.S. 1, 14, 19 L.Ed. 870 (1869), came as close to an exact formula, as the inexactness of salvage law permits, when speak[243]*243ing of the amount of a salvage award said:

“Courts of admiralty usually consider the following circumstances as the main ingredients in determining the amount of the reward to be decreed for a salvage service: (1) The labor expended by the salvors in rendering the salvage service. (2) The promptitude, skill, and energy displayed in rendering the service and saving the property. (3) The value of the property employed by the salvors in rendering the service, and the danger to which such property was exposed. (4) The risk incurred by the salvors in securing the property from the impending peril. (5) The value of the property saved. (6) The degree of danger from which the property was rescued.”

Obviously, the foremost problem of the trial judge is to determine the sound value of the salved property, in this case the INVINCIBLE. As usual, the opinions of the experts are at cross-purposes and in hopeless conflict. The case law on the subject not only sharpens the problem of how laborious the valuation issue may become, when a valuable ship has been salved, but also pinpoints the very untechnieal manner in which the expert testimony must be handled. The items generally taken into account in finding the sound value of salved property are ship, freight and cargo. Here, we are concerned only with the ship. Under ordinary circumstances, it is customary to estimate the sound value of the ship, that is, its market value before the catastrophe or other cause of damage. Customarily, value would be established by the value of the ship on the open market. That rule assumes that the ship was one constructed for usual and ordinarily commercial or pleasure uses and the existence of a ready or open market. On the record before me, the evidence is clear that the INVINCIBLE was a unique vessel, specially designed and built for the Coast Guard Lifeboat and Rescue Service. The vessel was still in service and in good condition at the time of the trial, although constructed in 1935. It being a specially constructed and designed ship, having a value only for a special purpose, the customary rule would not be applicable and the Court must look to replacement value, less depreciation. An expert witness for the petitioner testified that there was a limited market for the INVINCIBLE and that in his opinion the reasonable market value thereof was $17,000.00. However, he conceded that the market for this type of vessel would be confined to a very few applications. I agree with the conclusion of the claimants’ expert that the market value for a vessel such as the INVINCIBLE is so limited that the customary rule is not an appropriate one to apply. On replacement value less depreciation, the petitioner’s expert arrived at a figure of $45,360.00, as the value of the INVINCIBLE. Using the general formula, the expert for the claimants arrived at a figure of $86,000.00. The parties agree that the original cost of the INVINCIBLE in 1935 was $80,-000.00. It is asserted that the cost of the vessel was exceptionally low, for the reason that it was built in a Government Yard, and that it would have cost approximately twice that sum if built in a commercial yard.

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Bluebook (online)
229 F. Supp. 241, 1963 U.S. Dist. LEXIS 6579, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-united-states-ord-1963.