James E. McCormick and Carol Ann McCormick Etc. v. United States

645 F.2d 299, 1981 U.S. App. LEXIS 13159, 1982 A.M.C. 61
CourtCourt of Appeals for the Fifth Circuit
DecidedMay 18, 1981
Docket79-2144
StatusPublished
Cited by11 cases

This text of 645 F.2d 299 (James E. McCormick and Carol Ann McCormick Etc. v. United States) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James E. McCormick and Carol Ann McCormick Etc. v. United States, 645 F.2d 299, 1981 U.S. App. LEXIS 13159, 1982 A.M.C. 61 (5th Cir. 1981).

Opinion

THOMAS A. CLARK, Circuit Judge:

This appeal presents a conflict in the applicability of two statutes providing for a waiver of the Federal Government’s sovereign immunity under differing terms, the differences of which control the outcome of the case. The statutes differ in pertinent part in their respective limitations and administrative exhaustion provisions. The appellants brought their suit below under the Federal Tort Claims Act (the “FTCA”), 28 U.S.C. §§ 1346(b), 2671-2680. The Government won dismissal on the ground that suit had to be maintained, if at all, under the Suits in Admiralty Act (the “SAA”), 46 U.S.C. §§ 741-752. 1 We conclude that suit *300 was proper under the FTCA, and we reverse.

The problem in this case is one of limitations. The plaintiffs have brought a maritime tort action against the United States. Apparently unaware of the possible applicability of the SAA to their cause of action, plaintiffs carefully complied with the provisions of the FTCA in asserting their claim and in waiting for the right time to bring suit. If, however, as the Government convinced the lower court, the FTCA does not apply but instead the suit is governed by the SAA, then they waited too long to sue. Determining which Act applies raises complicated questions concerning the evolution of the SAA from its inception in 1920 through its amendment in 1960. Before 1960, a case such as this was proper under the FTCA. The ultimate question is whether Congress intended, by the 1960 amendments to the SAA, to bring all maritime torts against the United States within the scope of that Act. Our examination of the history of the SAA, both as originally enacted and as it was amended in 1960, indicates quite clearly that Congress had no such intent. Most courts that have considered the issue, however, including this court in a prior decision, have reached a contrary conclusion. We believe that recent intervening Supreme Court authority calls for a reexamination of our former position. We conclude that while the 1960 amendments to the SAA were intended to plug existing loopholes in the scope of the district court’s jurisdiction in admiralty, under the SAA, they were not intended to modify the scope of the district court’s existing jurisdiction over maritime torts at law, under the FTCA. 2

I. Background

The facts, so far as relevant to the issues presented, are undisputed. The complaint was filed on November 6, 1978. It alleges, that at 4:30 a.m. on the morning of August 22, 1976, James E. McCormick and a friend were crossing the waters of the Choctawhatchee Bay near Fort Rucker, Florida, “when they collided with an object which was unlawfully placed and improperly constructed by the United States Army so as to impede and create a hazard for those navigating the waters of the Choctawhatchee Bay.” Appellants submitted their claims for damages to the Department of the Army on January 25, 1978, and on July 21, 1978. 3 On September 22, 1978, the Department denied their claims on the ground that administrative authority to settle the claims had expired on the second anniversary of *301 the accident, which fell on August 22, 1978, the date that the Government now contends was the last day for filing suit. As noted, the complaint was filed on November 6, 1978.

If this case is properly maintained under the FTCA, then plaintiffs did everything they were supposed to do. The FTCA requires the submission of a claim prior to bringing suit. 4 And while the statute of limitations for FTCA actions requires that claims be submitted within two years of their accrual, suit thereon may, under some circumstances, be brought up to a year later. 5 There is no question of the timeliness of this complaint under the FTCA. Plaintiffs filed their claims within two years of their accrual, the Government denied those claims within six months, and within six months thereafter suit was filed.

A suit under the SAA, on the other hand, entails none of these complexities, although, as will be seen, that Act has hidden complexities of its own. There is no requirement that claims first be submitted to the appropriate agency. 6 More significant for this case is the statute of limitations for actions under the SAA: “Suits as authorized by this [Act] may be brought only within two years after the cause of action arises .. .. ” 46 U.S.C. § 745. The SAA makes no express provision for the tolling of the statute during the pendency of any ongoing settlement negotiations or administrative review. 7

*302 The issue we must decide, therefore, is which Act applies? That both remedies are not available is made clear by the FTCA itself, which provides that “[t]he provisions of this [Act] shall not apply to ... [a]ny claim for which a remedy is provided by sections 741-752 ... of Title 46, [the SAA,] relating to claims or suits in admiralty against the United States.” 28 U.S.C. § 2680(d). We therefore turn to the history of the SAA in an effort to gauge its scope.

II. The SAA — As Enacted

Prior to 1916, the doctrine of sovereign immunity barred any suit by a private owner whose vessel was damaged by a vessel owned or operated by the United States. Recognizing the inequities of denying recovery to private owners and the difficulties inherent in attempting to grant relief to deserving private owners through private Acts of Congress, Congress provided in the Shipping Act, 1916, that Shipping Board vessels employed as merchant vessels were subject to “all laws, regulations, and liabilities governing merchant vessels.” 39 Stat. 730, 46 U.S.C. § 808. In The Lake Monroe, 250 U.S. 246, 39 S.Ct. 460, 63 L.Ed. 962 (1919), [the Supreme] Court held that the Shipping Act had subjected all Shipping Board merchant vessels to proceedings in rem in admiralty, including arrest and seizure. Congress, concerned that the arrest and seizure of Shipping Board merchant vessels would occasion unnecessary delay and expense, promptly responded to the Lake Monroe decision by enacting the Suits in Admiralty Act. The Act prohibited the arrest or seizure of any vessel owned by, possessed by, or operated by or for the United States. 46 U.S.C. § 741. In the place of an in rem proceeding, the Act authorized a libel in personam

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645 F.2d 299, 1981 U.S. App. LEXIS 13159, 1982 A.M.C. 61, Counsel Stack Legal Research, https://law.counselstack.com/opinion/james-e-mccormick-and-carol-ann-mccormick-etc-v-united-states-ca5-1981.