Petition of Petroleum Tankers Corporation

204 F. Supp. 727, 1960 U.S. Dist. LEXIS 5402
CourtDistrict Court, S.D. New York
DecidedApril 4, 1960
StatusPublished
Cited by12 cases

This text of 204 F. Supp. 727 (Petition of Petroleum Tankers Corporation) 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
Petition of Petroleum Tankers Corporation, 204 F. Supp. 727, 1960 U.S. Dist. LEXIS 5402 (S.D.N.Y. 1960).

Opinion

LEVET, District Judge.

Petroleum Tankers Corporation, as owner of the Motor Tank Vessel Empress Bay, and Rederi A/B Transatlantic, as owner of the Motor Vessel Nebraska, petitioned for exoneration from or limitation of liability for damages arising from the collision of the two vessels in the East River, New York on June 25, 1958.

This was a hearing on damages arising from the death of Otto H. Ahrens, a cook on the Empress Bay, as a result of the collision. The petitioners have each conceded liability for the accident which caused decedent’s death. This claim was brought by the deceased’s administratrix, his widow, Gladys H. Ahrens, and seeks recovery for pecuniary loss by reason of the death as well as for funeral expenses. The inquiry in the case, therefore, is the amount of the pecuniary loss to the widow.

After hearing the testimony and examining the proof of the parties and after consideration of the briefs and proposed Findings of Fact and Conclusions of • Law submitted herein, I hereby make the *729 following Findings of Facts and Conclusions of Law:

FINDINGS OF FACT

1. Claimant’s decedent and husband, Otto H. Ahrens, met his death on June 25, 1958, while employed as a cook on board the Motor Tanker Empress Bay. (SM 4)

2. Decedent’s death resulted from a collision between the Motor Tanker Empress Bay, owned by the petitioner Petroleum Tankers Corporation, and the Motor Vessel Nebraska, owned by the petitioner Rederi A/B Transatlantic.

3. The liability of the petitioners, Rederi A/B Transatlantic, as owner of the Motor Vessel Nebraska, and Petroleum Tankers Corporation, as owner of the Motor Tanker Empress Bay, to the claimant was stipulated. (SM 2)

4. Gladys H. Ahrens was appointed administratrix of the goods, chattels and credits of Otto H. Ahrens on August 15, 1958 by letters issued to her by the Surrogate’s Court of Richmond County, State of New York.

5. On June 25, 1958, the said Gladys H. Ahrens was the lawful wife of said Otto H. Ahrens and had been such wife since their marriage on November 4, 1942; there were no children of the marriage. (SM 5)

6. At the time of his death, said Otto H. Ahrens was 44 years old, having been born on May 14, 1914; Gladys H. Ahrens, at the time of her husband’s death, was 45 years old, having been born on November 4,1912. (SM 5)

7. Following her husband’s death, claimant incurred and paid funeral expenses of a total sum of $2,560. (SM 5, 6)

8. The decedent had been employed as a cook by the owner of the Empress Bay for almost three years prior to his death. (SM 8) He generally worked on the vessel five days a week. The claimant met her husband at the Poling Dock in Staten Island on Friday nights, drove him home to their address at 33 High Street, Staten Island, where he stayed until Sunday night, when she brought him back to the dock. (SM 8, 9, 10) The decedent did not drive the car and had no license. (SM 16) For this and other purposes claimant used her car and paid the expenses thereof herself. (SM 10)

9. Mrs. Ahrens worked as a clerk at the United States Public Health Service Hospital, Staten Island. (SM 13) Her average gross pay during 1955 and 1956 was approximately $4,200.

10. Mr. Ahrens’ pay check was cashed at the Capitol Market on Saturday mornings when the husband and wife went for groceries. (SM 12) They paid $100 a month rent. (SM 13) Electric and gas bills were about $14; telephone bills, $6; food costs about $20 weekly (SM 14), of which $10 was spent on weekends; miscellaneous operating expenses were about $100 per year.

11. Mr. Ahrens seldom went out and the couple rarely entertained. (SM 23, 24) He wore Khaki pants and a tee shirt on the ship and sports clothes going and coming from the ship. His clothing expenditures did not exceed $263 per year. Union dues were $80 a year. He took $5 with him when he went to the ship. His health was good. (SM 25)

12. Mrs. Ahrens and her husband filed separate tax returns for 1956 and 1957. Mr. Ahrens used the short form. (SM 25, 26) In 1956, his gross and net incomes were as follows:

*730 Social security payments amounted to $108.57. (SM 27, 28; Exhibit 2)

13. In 1957, Otto H. Ahrens’ gross and net incomes were:

Social security payments amounted to $94.50. (SM 29, 30; Exhibits 3, 4)

14. In 1958, the gross income to June 25th, the date of decedent’s death, was $3,187.95; withholding, $456.20; net, $2,731.75. Social security payments amounted to $77.03. (SM 33) The decedent paid $40 into a pension fund. (SM 89)

15. A contract effective February 1, 1957 and continuing to January 31, 1959, provided for union daily rates of $24.06 for cooks, but the new contract, effective on February 1,1959 to January 31, 1961, provided for a daily wage of $26.94. (SM 36, 37)

16. The aid and assistance rendered by Ahrens to his wife consisted of cooking at home during his eleven-day vacation (SM 43) and once in a while on a weekend. He dried the dishes. (SM 44)

17. Mr. and Mrs. Ahrens had a joint savings bank account. (SM 11) $20 every two weeks was deposited in a Christmas Club. (SM 73) When the annual check from this source was received it was deposited in the joint savings account. (SM 74) The source of it seemed uncertain. (SM 73) At the time of her husband’s death, this account, Mrs. Ahrens said, contained approximately $4,000, of which she estimated $3,500 came from her husband. (SM 75) Actually, the amount of this balance was $3,204. (SM 83; Exhibit 10)

18. The decedent’s work was interrupted by a strike running from February 1 to March 8, 1957. From September 7 to October 4, 1957, the ship was laid up for repairs and out of commission. (SM 97, 98) He had eleven days vacation in 1956.

19. The life expectancy of decedent was 26.69 (United States Life Tables, 26, 34) and the reasonable period of work expectancy would be until age 65, leaving a period of approximately 22 years involved in the period of prospective loss.

20. The net amounts which would reasonably have been available to Mr. and Mrs. Ahrens during the 22 year period are:

First year ....................$5,143

Second year................... 5,330

Third and subsequent 20 years.................... 5,318

21. The claimant could reasonably be expected to receive the benefit of one-half the average net income for 22 years, or an average of $2,655 per year for a total of $58,400.

22. A reasonable long-term rate of return on the investment of this sum for Mrs. Ahrens, a person unskilled in investments, is 3%. This is a reasonable rate of discount to apply to the total award so that the net amount allowable for loss of earnings is $42,522.

23. There is no evidence of any pecuniary loss to the claimant by reason of the deprivation of any aid and assistance which was customarily rendered by the deceased to her.

24. Mrs. Ahrens would be required to pay income tax in the estimated amount of $2,500 (as reduced by estimated discount) on the interest portion of the income received from the investment of the award.

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204 F. Supp. 727, 1960 U.S. Dist. LEXIS 5402, Counsel Stack Legal Research, https://law.counselstack.com/opinion/petition-of-petroleum-tankers-corporation-nysd-1960.