Isbrandtsen Co. v. United States

123 F. Supp. 819, 1953 U.S. Dist. LEXIS 2024
CourtDistrict Court, S.D. New York
DecidedFebruary 11, 1953
StatusPublished
Cited by2 cases

This text of 123 F. Supp. 819 (Isbrandtsen Co. v. United States) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Isbrandtsen Co. v. United States, 123 F. Supp. 819, 1953 U.S. Dist. LEXIS 2024 (S.D.N.Y. 1953).

Opinion

CONGER, District Judge.

The above entitled case is one of 15 identical suits except for the name of the plaintiif, the type and extent of the cargo and the amount sued for. Plaintiff claims jurisdiction under the Tucker Act, 28 U.S.C. § 1346(a) (2).

Identical motions are made in each case. My opinion in the above case will be dispositive of all the motions.

Defendant moves for an order dismissing the complaint under Rule 12(b) (1, 2) of the Federal Rules of Civil Procedure, 28 U.S.C., on the ground thát this Court lacks jurisdiction over the subject matter of the action and over the person of the defendant in that defendant United States of America as sovereign has not waived its immunity from suit nor consented to be sued upon the cause of action purportedly set forth in the complaint and further defendant moves for summary judgment dismissing the complaint pursuant to Rule 56, Federal Rules of Civil Procedure.

' In this connection defendant' urges, among other things, (a) that the action is time barred, (b) res adjudicata and estoppel by judgment and (c) that there is no genuine issue of fact or law to be decided here.

Plaintiff moves for summary judgment in favor of plaintiff with a reference to compute damages.

The issue before me is rather simple. Plaintiff's attorneys very well state it in their reply memorandum as follows: “Simply stated these motions frame the issue: Is the Tucker Act with its six year limitation of time for suit (28 U.S. C. 1346[a] [2], 2401 [a]) the sole basis for jurisdiction of this Court over the United States and of the subject matter of the complaints ?''

On the argument before me, I believe it was conceded by both counsel that if I decide that the Tucker Act applies and that res adjudicata and estoppel by judgment does not apply, then plaintiff is entitled to summary judgment with a reference to fix damages.

The converse of the problem is: Do the Suits in Admiralty Act, 46 U.S.C.A. § 741 et seq., together with the Carriage of Goods by Sea Act, 46 U.S.C.A. § 1300 et seq., control here? If they do, then plaintiff has no cause of action.

A brief statement of facts (not contradicted) will be helpful.

Plaintiff was one of a number of shippers who, on or about December 21, 1942, delivered certain goods to defendant, the owner, operator, charterer, manager and the one in control of the S. S. Mormacmar, as a common carrier, for transport to the port of New York. On or about January 30, 1943, the S. S. Mormacmar put into the port of Wellington, New Zealand and sailed from thére on February 5, 1943. On February 7, 1943, the vessel again put into said port of Wellington. Defendant asserts that the calls at Wellington were necessary as a port of refuge following alleged marine casualties. On or about February 9-11, 1943, certain [821]*821of the cargo of the S. S. Mormacmar, including part or all of plaintiff’s shipment, was discharged and placed ashore in a warehouse at King’s Wharf, Wellington, by defendant, necessitated, as claimed by defendant, to effect repairs to the vessel, caused by the marine casualties.

A part of the cargo being shipped by plaintiff was subsequently and on Februjary 21, 1943, damaged or destroyed by a fire on the said King’s Wharf. It is not denied by defendant that defendant did not insure the goods against loss by fire while they were in the warehouse.

The complaint in this action contains two causes of action. The first cause of action is for defendant’s failure to perform its contract to insure the goods against the risk of fire, the cause of the loss, on the theory as claimed by plaintiff (Paragraph Sixth of the complaint) that defendant when it discharged the cargo on the wharf at Wellington as bailee of the said cargo and as a matter of invariable and established custom was under the contractual duty and obligation implied in fact and in law to arrange, place and procure for the protection of plaintiff insurance on said cargo as a special risk against the risk of fire and other hazards.

In this cause of action plaintiff sues not for the value of the goods but for damages for failure to insure.

In the second cause of action plaintiff sues for an alleged breach of contract on defendant’s part in (1) not furnishing a seaworthy vessel, (2) in unlawfully deviating via ports not enroute from Calcutta to New York and (3) unlawfully deviating by placing plaintiff’s goods' in the warehouse at Wellington. In this cause of action plaintiff, as I read it, is suing for damage for the loss of the goods.

The general rule is that if these two causes of action come within ihe purview of the Suits in. Admiralty Act then jurisdiction under any other act including the Tucker Act is absent. The Suits in Admiralty Act furnishes the exclusive remedy in admiralty against the United States on maritime causes of action arising out of the possession and operation of merchant vessels. Johnson v. U. S. Shipping Board Emergency Fleet Corporation, 280 U.S. 320, 50 S.Ct. 118, 74 L.Ed. 451.

The question, therefore, poses itself as to whether these causes of action relate to a maritime transaction as defined in the above-cited case.

I am of the opinion that the second cause of action certainly does. It is a claim arising out of the navigation and operation of a merchant vessel of the United States. It charges loss by reason of unseaworthiness and deviation.

It seems to me to be purely a maritime claim.

The first cause of action is somewhat different. This is based upon an implied contract. Plaintiff says implied in fact, but it would seem to be more implied by law. See Baltimore & Ohio R. Co. v. United States, 261 U.S. 592 at page 597, 43 S.Ct. 425, 67 L.Ed. 816.

Here the damage occurred while the cargo was on land and the gravamen of the charge is the failure to procure insurance. It has generally been held that suit on a contract to procure insurance is not maritime. Virginia-Carolina Chemical Co. v. Chesapeake Lighterage & Towing Co., 2 Cir., 279 F. 684.

However, there is a difference here. If there was any contract it was implied, as I believe, by law, all incidental to thé operation of the vessel.

Judge Medina, in The Mormacmar, D.C.S.D.N.Y., 75 F.Supp. 520, held that this' implied agreement and duty to insure was based on the Carriage of Goods by Sea Act'which provides that “The carrier shall properly and carefully load, handle, stow, carry, keep, care for, and discharge the goods carried.” 46 U.S.C.A. § 1303(2). It would appear only logical that an action for damages for failure to carry out one of the provisions of the Carriage of Goods by Sea Act would be cognizable in admiralty. My decision, however, is based in the main on the fact that the Court accepted jurisdiction in The Mormacmar, supra.

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Related

Isbrandtsen Company, Inc. v. United States
233 F.2d 184 (Second Circuit, 1956)
Isbrandtsen Co. v. United States
233 F.2d 184 (Second Circuit, 1956)

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Bluebook (online)
123 F. Supp. 819, 1953 U.S. Dist. LEXIS 2024, Counsel Stack Legal Research, https://law.counselstack.com/opinion/isbrandtsen-co-v-united-states-nysd-1953.