In the Matter of Aries Marine Corporation

CourtDistrict Court, E.D. Louisiana
DecidedJune 12, 2025
Docket2:19-cv-10850
StatusUnknown

This text of In the Matter of Aries Marine Corporation (In the Matter of Aries Marine Corporation) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In the Matter of Aries Marine Corporation, (E.D. La. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF LOUISIANA IN THE MATTER OF ARIES CIVIL ACTION MARINE CORPORATION, ET AL. NO. 19-10850 c/w NO. 19-13138 SECTION “O” ORDER AND REASONS Before the Court in this limitation-of-liability action arising from the listing of the liftboat RAM XVIII is the motion1 of Fluid Crane & Construction, Inc. and American Longshore Mutual Association, Ltd. (“ALMA”) to reopen this case to allow Fluid Crane and ALMA to litigate Fluid Crane’s purported “independent right of subrogation” against Limitation Petitioner Aries Marine Corporation as well as

purportedly live claims under Federal Marine Terminals, Inc. v. Burnside Shipping Co., 394 U.S. 404 (1969), for general-maritime-law negligence against Aries Marine. For the reasons that follow, Fluid Crane and ALMA’s motion to reopen is DENIED. I. BACKGROUND The background of this six-year-old limitation-of-liability action has been recounted in detail in at least seven opinions.2 So the Court recounts here only the

limited facts needed to decide Fluid Crane and ALMA’s motion to reopen. Aries Marine chartered one of its liftboats, the RAM XVIII, to Fieldwood Energy LLC in relation to work being performed on one of Fieldwood’s offshore

1 ECF No. 607. 2 See, e.g., ECF No. 239; ECF No. 241; ECF No. 243; ECF No. 257; ECF No. 312; ECF No. 461; ECF No. 517. The case was originally allotted to Section “I” in May 2019; it was transferred to Section “O” in late December 2023. See ECF No. 328. platforms.3 Fieldwood in turn entered into a master services contract (the “MSC”) with Fluid Crane.4 The MSC features an enforceable waiver-of-subrogation provision that the Court has interpreted to apply in favor of Aries Marine.5 As required by that

MSC, Fluid Crane’s Longshore and Harbor Worker’s Compensation Act (“LHWCA”) insurance carrier, ALMA, executed an enforceable waiver of subrogation; the Court has interpreted that provision to waive ALMA’s rights of subrogation in favor of Aries Marine.6 Under the MSC, Fluid Crane sent employees to work on Fieldwood’s offshore platform;7 some of those employees were aboard the RAM XVIII when it capsized.8 After the RAM XVIII capsized, Aries Marine petitioned the Court for limitation of or exoneration from liability.9 Among other claimants, six Fluid Crane employees

aboard the RAM XVIII when it capsized brought personal-injury claims against Aries Marine.10 ALMA paid LHWCA benefits to those six Fluid Crane claimants.11 Seeking reimbursement for those payments, Fluid Crane and ALMA timely filed a limitation claim against Aries Marine.12 In relevant part, they alleged that— To the extent that Aries Marine, the [RAM XVIII] and/or others are found liable for the . . . incident, Fluid Crane and ALMA seek recovery against Aries Marine, the [RAM XVIII], and/or others for all damages incurred or that may be incurred by Fluid Crane and ALMA as a result of the incident . . . , including, but not limited to: reimbursement of [LHWCA] benefits provided to Fluid Crane employees, . . . reimbursement for medical expenses, equipment, and personal effects

3 ECF No. 517 at 2–3. 4 ECF No. 312 at 1–2. 5 Id. at 1–2, 17–18. 6 Id. at 13. 7 Id. at 3. 8 Id. 9 See generally ECF No. 1. 10 ECF No. 419-2 at ¶ 21; ECF No. 431-1 at ¶ 21. 11 ECF No. 312 at 3. 12 ECF No. 9 at ¶¶ 1–13. sustained by Fluid Crane on account of its employees as a result of the listing and/or sinking of the [RAM XVIII] for which Fluid Crane and ALMA may become liable as a result of the injuries or damages by any employee who was aboard the [RAM XVIII] . . . .13 Fluid Crane and ALMA did not allege any facts distinguishing any purported right of subrogation held by ALMA from any purported right of subrogation held by Fluid Crane: Fluid Crane and ALMA asserted a single limitation claim based on the same set of alleged underlying facts.14 Of importance to the motion to reopen, Fluid Crane and ALMA did not allege facts consistent with a Burnside cause of action15 under general maritime law, or with any mode of recovery outside the LHWCA. For example, Fluid Crane and ALMA did not allege any facts establishing that Aries Marine owed either Fluid Crane or ALMA an independent tort duty or that Aries Marine breached any such duty.16 To be sure, Fluid Crane and ALMA did allege they are entitled to recover “to the extent the facts demonstrate” the “incident and resulting loss and damages were proximately caused or contributed to by the fault,

negligence, or error of those . . . for which Aries Marine may be legally responsible.”17 But that reference to negligence is merely “consistent with the requirements of the LHWCA,” Doucet v. R. & R. Boats, Inc., 17-CV-421, 2020 WL 6533216, at *2 (M.D. La. Nov. 5, 2020); it does not support a conclusion that Fluid Crane and ALMA

13 Id. at ¶ 10. 14 Id. at ¶¶ 1–13. 15 A Burnside claim is an independent tort claim that an employer or carrier that has paid LHWCA benefits to an injured employee may assert against the third party that caused the injury. See Hartford Acc. & Indem. Co. v. Costa Lines Cargo Servs., Inc., 903 F.2d 352, 357 (5th Cir. 1990). 16 Id. 17 Id. at ¶ 9. adequately pleaded a standalone negligence cause of action against Aries Marine under Burnside, independent of the LHWCA. For its part, Aries Marine answered that claim, raising “the application of any

waiver of subrogation under any applicable contract” as an affirmative defense.18 After various preliminaries not relevant here, Aries Marine and others moved for summary judgment, asking the Court to (among other things) enforce the MSC’s waiver of subrogation and dismiss ALMA’s claim.19 Neither the motion for summary judgment nor the brief supporting it mentioned any independent cause of action— under Burnside, in the nature of subrogation, or otherwise—asserted by Fluid Crane against Aries Marine.20 Still, both Fluid Crane and ALMA opposed the motion.21 In

their joint opposition, Fluid Crane and ALMA described the “remaining claims” as “essentially the negligence and punitive damage claims brought by the Fluid Crane and United Fire Claimants, as well as the workers’ compensation subrogation claims brought by ALMA and LWCC.”22 Fluid Crane and ALMA did not mention any Burnside independent negligence claim that either had brought against Aries Marine. What is more, Fluid Crane and ALMA’s briefing on the motion for summary

judgment reflected an understanding that an order granting the motion would dispose of both parties’ purported subrogation rights. For example, in a supplemental memorandum opposing the motion, Fluid Crane and ALMA urged the Court to deny

18 ECF No. 17 at 7 (eighteenth defense). 19 ECF No. 281; accord ECF No. 281-1 at 2 (requesting “summary judgment enforcing the . . . waivers of subrogation and dismissing the Claim of Fluid Crane’s LHWCA carrier, [ALMA]”). 20 ECF No. 281; ECF No. 281-1. 21 ECF No. 286. 22 Id. at 3. summary judgment because “there is at least an issue of material fact as to whether the MSC required Fluid Crane (rather than its insurance policies) to waive its right of subrogation . . . .”23 Elsewhere in the briefing, Fluid Crane and ALMA insisted the

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