In the Matter of In Re Foss Offshore Wind Holdings LLC and Foss Maritime Company LLC from or Limitation of Liability as owner of The M/V Rebekah

District Court, W.D. Washington·Decided January 6, 2025·No. 2:24-cv-00237·Unknown

Opinion

WESTERN DISTRICT OF WASHINGTON IN RE the M/V REBEKAH, Official C24-0237 TSZ No. 623866, and HER ENGINES, (consolidated with C24-0246 JNW) MACHINERY, GEAR, TACKLE, APPAREL, and APPURTENANCES ORDER In this matter, various entities seek, pursuant to 46 U.S.C. §§ 30501–30530 (the “Limitation Act”), to limit their liability for injuries suffered by Stephen Dufrene when a winch aboard the M/V REBEKAH allegedly malfunctioned and crushed his foot. All parties agree that the incident occurred on May 5, 2023. See Compl. at ¶¶ 12–13 (docket no. 1); Dufrene Claim at ¶ 5 (docket no. 15); Ans. & Countercl. at 7, ¶ 6 (docket no. 19). On that date, the M/V REBEKAH was apparently owned by Magazine Tug, LLC (“Magazine”), which had entered into an agreement to sell the vessel to Foss Offshore Wind Holdings, LLC (“Foss Offshore” or “FOWH”). See Compl. at ¶ 7–8 (docket no. 1); Ans. & Countercl. at 2–3, ¶¶ 7–8 (docket no. 19). But see Dufrene Claim at Ex. 1 (docket no. 15-1 at 3) (alleging that the vessel was owned by Foss Maritime Company, LLC). In advance of the purchase, Foss Offshore entered into a bareboat charter agreement with Magazine, and it sub-chartered the vessel to Foss Maritime Company, ¶ 8 (docket no. 19). The parties dispute whether, on the date that Dufrene was injured, Tradewinds Towing, LLC (“Tradewinds”) was the operator of the M/V REBEKAH.

Tradewinds and Dufrene agree, however, that Tradewinds was Dufrene’s employer at the time of the accident. See Dufrene Claim at Ex. 1 (docket no. 15-1 at 3); Compl. at ¶ 3 (C24-246 JNW, docket no. 1). In this consolidated action, Foss Offshore and Foss Maritime (collectively, the “Foss Entities”), Magazine, and Tradewinds each seek to limit their respective liability to the fair market value of the vessel, which is estimated to be $2.5 million. See Compl. at ¶ 23 (docket no. 1); Scafidi Decl. at ¶ 9 (docket no. 1-3).

Having reviewed all papers filed in support of and in opposition to the pending motions, the Court ORDERS as follows: (1) Dufrene’s motion, docket no. 45, for leave to file a brief in response to a notice of supplemental authority submitted by the Foss Entities, docket no. 44, is DENIED. The Foss Entities provided a copy of an opinion in which the United States

Court of Appeals for the Ninth Circuit vacated a decision cited by Dufrene in his reply in support of his motion to lift the stay. See Notice of Supp. Auth. & Ex. A (docket nos. 44 & 44-1); see also Dufrene Reply at 2–3 (docket no. 40) (citing In re Live Life Bella Vita LLC, No. 22-cv-9244, 2023 WL 4495236 (C.D. Cal. June 8, 2023), vacated, 115 F.4th 1188 (9th Cir. 2024) (“Live Life”)). The Court has carefully reviewed both the district

court’s and the Ninth Circuit’s rulings, and it would not benefit from further briefing by either Dufrene or the Foss Entities. (2) Dufrene’s motion to lift stay, docket no. 35, and to permit him to further pursue his claims against Foss Maritime and Tradewinds in King County Superior Court, see Dufrene Claim at Ex. 1 (docket no. 15-1), is DENIED. As in Live Life, in this matter, although Dufrene was the only individual injured during the incident at issue, the claims

and counterclaims alleged by the Foss Entities on one side and Magazine and Tradewinds on the other side preclude the Court from declining to exercise the exclusive federal jurisdiction conferred by the Limitation Act. See Live Life, 115 F.4th at 1196–1200. When only a single claimant is involved, a federal court may permit such person to pursue in state court an action for damages against a vessel owner or charterer, but here, as in Live Life, multiple claimants exist, each of which seeks indemnification or

contribution, as well as attorney’s fees. See id. at 1198–99. To do as Dufrene asks and dissolve the earlier injunction against commencement or prosecution of lawsuits relating to the May 2023 incident aboard the M/V REBEKAH, see Order at ¶ 5 (docket no. 10), risks exposing to excess liability any parties that the Limitation Act protects. Dufrene’s request must therefore be denied.

(3) The motion brought by the Foss Entities, Magazine, and Tradewinds, docket no. 42, for leave to request oral argument regarding Dufrene’s motion to lift stay, is STRICKEN as moot. (4) The motion to transfer venue, docket no. 36, brought by the Foss Entities, Magazine, and Tradewinds, is DENIED. Venue lies in this district by virtue of Dufrene

having sued Foss Maritime and Tradewinds in King County Superior Court prior to the filing of these consolidated Limitation Act cases. See Fed. R. Civ. P. Supp. R. for Admiralty or Maritime Claims F(9) [hereinafter “Supp. R. F(9)”]. For the convenience of the parties and witnesses, and if “in the interest of justice,” the Court could transfer the action to any district, including the Eastern District of Louisiana,1 as proposed by the moving parties, see id., but the Court concludes that, to the extent that the standards

governing transfers pursuant to 28 U.S.C. § 1404(a) apply,2 the relevant factors weigh against a transfer. All parties chose this forum, with Dufrene filing in King County Superior Court, the Foss Entities commencing this action, and Magazine and Tradewinds initiating the now-consolidated matter, C24-246 JNW. See Jones v. GNC Franchising, Inc., 211 F.3d 495, 498 (9th Cir. 2000) (identifying “the plaintiff’s choice of forum” as a consideration in deciding whether to grant a change of venue pursuant to § 1404(a)).

Both of the Foss Entities are domiciled in Washington, and therefore have the pertinent “contacts with the forum.” See id.; see also Compl. at ¶¶ 1–2 (docket no. 1) (averring that each of the Foss Entities is a Washington limited liability company with its principal

1 Contrary to the assertion of the Foss Entities, Magazine, and Tradewinds, see Mot. at 5 (docket no. 36), this matter could not have been brought in the Eastern District of Louisiana. See Supp. R. F(9) (“The complaint shall be filed in any district in which the vessel has been attached or arrested to answer for any claim with respect to which the plaintiff seeks to limit liability; of, if the vessel has not been attached or arrested, then in any district in which the owner has been sued with respect to any such claim.”). Thus, a transfer of this action to the Eastern District of Louisiana could not be effectuated pursuant to 28 U.S.C. § 1406(a), which permits a change of venue only to a district in which the case “could have been brought.” Supplemental Rule F(9) does not, however, contain a similar restriction concerning where a Limitation Act proceeding may be transferred. 2 Neither the Supreme Court nor any Circuit Court of Appeals has addressed the issue, but various district courts have ruled that the same factors applied in connection with venue changes pursuant to 28 U.S.C. § 1404(a) also govern with respect to transfers under Supplemental Rule F(9). See In re United States, 491 F. Supp. 3d 1036, 1041 n.29 (D. Utah 2020) (citing In re Norfolk Dredging Co., 240 F. Supp. 2d 532 (E.D. Va. 2002), In re TLC Marine Servs., Inc., 900 F. Supp. 54 (E.D. Tex. 1995), and In re Am. President Lines, Ltd., 890 F. Supp. 308 (S.D.N.Y. 1995)). place of business in Seattle). The parties’ choice of forum and the Foss Entities’ presence in the forum favor the matter remaining in Washington.

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In the Matter of In Re Foss Offshore Wind Holdings LLC and Foss Maritime Company LLC from or Limitation of Liability as owner of The M/V Rebekah, (W.D. Wash. 2025).

In the Matter of In Re Foss Offshore Wind Holdings LLC and Foss Maritime Company LLC from or Limitation of Liability as owner of The M/V Rebekah (In the Matter of In Re Foss Offshore Wind Holdings LLC and Foss Maritime Company LLC from or Limitation of Liability as owner of The M/V Rebekah) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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