Maria Arlete Vaz Borralho v. Keydril Company, Key International Drilling Company, Ltd. And Key Perfuracoes Maritimas, Ltda.

710 F.2d 207, 1984 A.M.C. 750, 1983 U.S. App. LEXIS 25536
Court of Appeals for the Fifth Circuit·Decided July 25, 1983·No. 81-2436·Published·Cited by 14 cases

Opinion

GARWOOD, Circuit Judge:

The Petition for Rehearing is DENIED for the reasons set forth below, and because no member of this panel nor judge in regular active service on the Court has requested that the Court be polled on rehearing en banc, the Suggestion for Rehearing En Banc is DENIED.

In their Petition for Rehearing, appellants urge that our affirmance of the district court’s choice of law determination improperly rested on our acceptance of its resolution of disputed factual issues. However, as we noted in our original opinion, even if the choice of law determination is to be made under standards similar to those applicable to motions for summary judgment, affirmance of the district court’s ruling that American law was inapplicable would nonetheless be required on the basis of the primary facts about which there was no real dispute. 696 F.2d 379 at 388-89. We assumed, for purposes of our opinion, *209 that the KEY WEST’S long-term, primary base of operations was American, as was its ultimate ownership and control and that of the other entities concerned. But these assumptions did not change, or obviate the significance of, the primary facts which were established without genuine dispute, as set out in our opinion, 696 F.2d at 387-89, including, for example, the fact that the formation and status of Borralho’s employer as a Brazilian entity was required by the Brazilian national oil company as a condition of its chartering of the KEY WEST. As we observed in a similar connection in Bailey v. Dolphin International, Inc., 697 F.2d 1268, 1276 n. 23 (5th Cir.1983), “... the controlling primary facts were essentially undisputed, the material questions being as to their legal significance.” (Emphasis added.)

With respect to the issues addressed in our original opinion, we also call attention to the recent opinion of another panel of this Court in De Oliveira v. Delta Marine Drilling Co., 707 F.2d 843 (5th Cir.1983).

Appellants also urge several contentions not addressed in our original opinion.

First, they point to the 1982 amendment to the Jones Act, which appellants say “codifies” the “rig cases doctrine” of the decisions in Chiazor v. Transworld Drilling Company, 648 F.2d 1015 (5th Cir.1981), cert. denied, 455 U.S. 1019, 102 S.Ct. 1714, 72 L.Ed.2d 136 (1982), and Phillips v. Amoco Trinidad Oil Company, 632 F.2d 82 (9th Cir.1980), cert. denied sub nom. Romilly v. Amoco Trinidad Oil Company, 451 U.S. 920, 101 S.Ct. 1999, 68 L.Ed.2d 312 (1981). 1 Appellants contend that this legislation demonstrates that Congress understood Chiazor and Phillips were incorrect determinations of existing law, for else why would Congress think it necessary to amend the statute, particularly with a savings clause (see note 1, supra), to bring it into conformity with Chiazor and Phillips. We reject this contention.

The Jones Act was last previously amended in 1920, and it is extremely doubtful that any overlap in congressional membership existed between 1920 and 1982. Thus, while subsequent congressional actions “should not be rejected out of hand as a source that a court may consider in the search for legislative intent,” nevertheless we feel this case is a particularly apt one in *210 which to apply the rule that such actions “must be weighed with extreme care” in light of the “sound admonition” that “ ‘the views of a subsequent Congress form a hazardous basis for inferring the intent of an earlier one.’ ” Andrus v. Shell Oil Co., 446 U.S. 657, 666 n. 8, 100 S.Ct. 1932, 1938 n. 8, 64 L.Ed.2d 593 (1980). We observe that there is nothing in the language of the 1982 enactment, or in its legislative history, which indicates disapproval of the Chiazor and Phillips rationale, either on grounds of public policy or as being contrary to the legislative intent embodied in the Jones Act as it existed before 1982. Indeed, the indication is one of approval.

Why, then, the savings clause? The obvious inference is that Congress considered that existing law in this regard was unsettled and unclear, and did not wish its clarifying enactment to be absolutely binding on those whose injuries had already occurred, no matter how remote their chances for recovery might be. As we specifically noted in our original opinion, 696 F.2d at 389, the view expressed in certain decisions of the Second Circuit, indicating that ultimate American ownership and control of the relevant vessel alone sufficed to mandate application of American law, was rejected by the Third Circuit in De Mateos v. Texaco, Inc., 562 F.2d 895, 902 n. 3 (3d Cir.1977), cert. denied, 435 U.S. 904, 98 S.Ct. 1449, 55 L.Ed.2d 494 (1978), and was inconsistent with Chiazor and Phillips (both of which cited De Mateos), at least as applied to offshore drilling platforms at long-term, fixed locations in foreign territorial waters. All these decisions were rendered before 1982, and it is not illogical to assume that Congress was aware of them. We also observe that the 1982 amendment is somewhat broader than the rationale of Chiazor, which was to a significant extent grounded on the vessel’s special nature and related relatively long-term, fixed location (in foreign territorial waters). The amendment, on the other hand, is not so limited, but instead seemingly applies on an industry-wide basis regardless of the type of vessel (except for those constructed or adapted primarily to carry oil in bulk in the cargo spaces) and regardless of whether any of the relevant operations are of a fixed or long-term nature.

The legislative history of the 1982 Jones Act amendment is somewhat sparse and confusing. Nonetheless, our review of it indicates to us that Congress regarded the existing decisional law in this area as unclear and unsettled, and further felt that, so far as some decisions might be thought to allow recovery in circumstances similar to those at bar, such decisions were not in accord with the original intent of the Jones Act.

The 1982 amendment came about as a part of H.R. 3942, 97th Cong., 2d Sess. (1982), known as the Fisheries Amendments of 1982. While H.R.

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Maria Arlete Vaz Borralho v. Keydril Company, Key International Drilling Company, Ltd. And Key Perfuracoes Maritimas, Ltda., 710 F.2d 207, 1984 A.M.C. 750, 1983 U.S. App. LEXIS 25536 (5th Cir. 1983).

710 F.2d 207 (Maria Arlete Vaz Borralho v. Keydril Company, Key International Drilling Company, Ltd. And Key Perfuracoes Maritimas, Ltda.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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