Madrid v. Polembros Maritime Co., Ltd.

660 So. 2d 955, 95 La.App. 4 Cir. 0545, 1995 La. App. LEXIS 2388, 1995 WL 516640
CourtLouisiana Court of Appeal
DecidedAugust 30, 1995
Docket95-C-0545
StatusPublished
Cited by1 cases

This text of 660 So. 2d 955 (Madrid v. Polembros Maritime Co., Ltd.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Madrid v. Polembros Maritime Co., Ltd., 660 So. 2d 955, 95 La.App. 4 Cir. 0545, 1995 La. App. LEXIS 2388, 1995 WL 516640 (La. Ct. App. 1995).

Opinion

660 So.2d 955 (1995)

Edgar R. Caballero MADRID
v.
POLEMBROS MARITIME CO., LTD.

No. 95-C-0545.

Court of Appeal of Louisiana, Fourth Circuit.

August 30, 1995.

Harold M. Wheelahan, III, Harold M. Wheelahan, III, PLC, New Orleans, and George Angelus, New Orleans, for plaintiff/respondent.

John H. Clegg, Eric J. Simonson, Douglas L. Grundmeyer, Chaffe, McCall, Phillips, Toler & Sarpy, New Orleans, for defendant/relator.

Before ARMSTRONG, LANDRIEU and MURRAY, JJ.

MURRAY, Judge.

Relator's application for supervisory writs is denied.

Relator, the defendant shipping agent, is complaining that the trial court failed to enforce an "Individual Working Contract" (IWC) signed by the plaintiff, a Honduran seaman. The IWC, which was written in English, specified:

ARTICLE I: ENGAGEMENT: The MASTER will engage the SEAFARER in accordance with the Agreement between the UNION OF GREEK SHIPOWNERS And the above Honduran seamens union its enclosures and amendments (if any) and to be executed with the utmost good faith.

The Memorandum of Agreement (MOA) between the Greek Shipowners and the Honduran Seamens Union was not attached to the IWC. The copy of the MOA attached to the writ application is of very poor quality, with the ends of sentences and bottoms of pages being cut off. It is, however, an eighteen page document that states that it is an agreement that arose from negotiations between the signatories, which regulates the terms and conditions of employment of Honduran seamen engaged in service on Greek Flag vessels for twenty-four months beginning on July 1, 1992, remaining in force until amended by a fresh agreement.

The relevant portions of the MOA for the purposes of this writ are § 29, which relates to medical benefits, provides a schedule of benefits for death and disability, and provides that disputes between the company and seaman or his beneficiaries (in the event of his death) as to eligibility to or amount of compensation shall be determined by binding arbitration in Honduras; and § 42, which provides that sole and exclusive jurisdiction of disputes between the employer and the seaman regarding the application and/or interpretation of the agreement is in the Jurgado de Letras Sectional De Trabajo in San Pedro Sula, Honduras, which shall decide the dispute in terms of Honduran law.

*956 Based solely on these provisions of this MOA the defendant, a Greek shipping agent, acting for a Liberian company, which owned a Greek flag vessel, on which a Honduran seaman was injured while the vessel was in the Gulf of Mexico close to the mouth of the Mississippi River en route to New Orleans, would have this court send this seriously injured seaman (who received emergency medical treatment in New Orleans, and who requires and desires further medical treatment) to Honduras and relegate him to very limited recovery, and no assurances of additional medical treatment.

But for the provisions of the MOA there is no question that Louisiana would have jurisdiction over this claim. The sole basis for defendant's argument that this action must be dismissed is the "forum selection" clause of the MOA. Before this clause is enforced to bar Mr. Madrid litigating his claim here it is necessary to determine if the MOA is enforceable. In order to make that determination we must first decide what law will apply.

I. WHAT LAW SHOULD BE APPLIED TO DETERMINE IF THIS CONTRACT, WHICH INCORPORATES THE MOA BY REFERENCE, IS VALID?

The trial court refused to apply Honduran law finding that there was a genuine issue of material fact as to whether the remedy that the seaman would have under the MOA (which defendant argues is the law that should govern this claim) is so poor as to constitute no remedy.

We review the trial court's decision in light of the relevant Supreme Court cases on this issue.

Lauritzen v. Larsen, 345 U.S. 571, 73 S.Ct. 921, 97 L.Ed. 1254 (1953) was the first Supreme Court case to address the issue of what law governs the liability of foreign shipowners vis a vis foreign seaman asserting claims in American courts.

The key issue in Lauritzen, as stated by the Court, was whether the statutes (Jones Act) of the U.S. should be applied to a claim of maritime tort brought by a Danish seaman against a Danish owner of a Danish vessel who was injured in Havana harbor. The seaman had signed ship's articles written in Danish (his native tongue) that provided that the rights of crewmembers were governed by Danish law and by the employer's contract with the Danish Seamen's Union.

The shipowner, whose position was supported by the Danish Government, asserted that the Danish law supplied the full measure of the shipowners obligation and that maritime usage and international law as accepted by the United States excluded the application of the Jones Act (an incompatible statute.) The plaintiff conceded that Danish law applied to his claim, but argued that the Jones Act provided an optional cumulative remedy.

The Court opined that the Jones Act, if read literally, would confer an American right of action on any seaman who suffered personal injury in the course of his employment without any requirement that the seaman, the employment or the injury have the slightest connection with the U.S. It noted, however, that the Jones Act, with its broad language, was not written on a clean slate, but as a postscript to a long series of enactments governing shipping, all enacted with regard to a seasoned body of maritime law developed by the experience of American courts. Id. at 925. "By usage as old as the Nation, such statutes have been construed to apply only to areas and transactions in which American law would be considered operative under prevalent doctrines of international law," because an "Act of Congress ought never to be construed to violate the law of nations if any other possible construction remains." Id. at 926.

The Court found that international or maritime law has attempted to avoid or resolve conflicts between competing laws by ascertaining and valuing points of contact between the transaction and the states or governments whose competing laws are involved. Id. at 928.

It is within this context that the Court articulated the factors that, alone or in combination, are generally conceded to influence choice of law to govern a tort claim, particularly a maritime tort claim. In Lauritzen *957 the Court found that the factors preponderated in favor of the applying Danish law.

Hellenic Lines Limited v. Rhoditis, 398 U.S. 306, 90 S.Ct. 1731, 26 L.Ed.2d 252 (1970) was the Supreme Court's next pronouncement with regard to determining the law to be applied to claims filed in U.S. courts by foreign seaman.

This case involved a suit by a Greek seaman against the Greek owner of a Greek flag vessel for injuries suffered while in a U.S. port. The Greek corporation that owned the ship maintained its largest office in New York and 95% of its stock was owned by a Greek citizen who was a U.S. domiciliary. The contract, signed by the seaman in Greece, provided that Greek law and a Greek collective-bargaining agreement would apply between the employer and the seaman, and that all claims arising under the contract would be adjudicated in a Greek court. The defendant shipowner argued that four of the seven Lauritzen

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660 So. 2d 955, 95 La.App. 4 Cir. 0545, 1995 La. App. LEXIS 2388, 1995 WL 516640, Counsel Stack Legal Research, https://law.counselstack.com/opinion/madrid-v-polembros-maritime-co-ltd-lactapp-1995.