Reliable Marine Towing and Salvage, LLC v. North Captiva Barge Company, LLC

CourtDistrict Court, M.D. Florida
DecidedJuly 26, 2024
Docket2:23-cv-00913
StatusUnknown

This text of Reliable Marine Towing and Salvage, LLC v. North Captiva Barge Company, LLC (Reliable Marine Towing and Salvage, LLC v. North Captiva Barge Company, LLC) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reliable Marine Towing and Salvage, LLC v. North Captiva Barge Company, LLC, (M.D. Fla. 2024).

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF FLORIDA FORT MYERS DIVISION

RELIABLE MARINE TOWING AND SALVAGE, LLC,

Plaintiff,

v. 2:23-cv-913-SPC-NPM

NORTH CAPTIVA BARGE COMPANY, LLC and DUNCAN ROSEN,

Defendants.

ORDER Plaintiff Reliable Marine Towing and Salvage, LLC (“Reliable Marine”) requests a default judgment against defendants North Captiva Barge Company, LLC (“North Captiva”) and Duncan Rosen. They were previously defaulted for failing to answer or otherwise defend. (Docs. 10, 11). Defendants also failed to respond to the pending the motion, and the time to respond has passed.1 Leaving costs to be taxed by the clerk, the motion is granted in part. I. Background On or about January 21, 2023, Reliable Marine responded to a Mayday! call from North Captiva that one of its vessels—a 40’ commercial work-barge—was

1 Reliable Marine contacted defendants as recently as June 26, 2024, during which Rosen indicated he was aware of the impending default judgment and that plaintiff was moving forward regarding the same. (Doc. 15). Even so, defendants have not responded, nor have they moved to vacate the clerk’s default. taking on water and sinking in the Jug Creek area of Pine Island, Florida. (Doc. 1 ¶ 5; Doc. 12-1). Rosen2 informed Reliable Marine that the vessel was covered by

Lloyd’s of London boat insurance and requested that the vessel be salvaged from its sunken position. (Doc. 1 ¶ 6). As a result, Reliable Marine agreed to provide maritime services. (Id.). The raising of the vessel took approximately 46 hours,

including six hours of salvage diver time and the use of two towboats for several hours. (Doc. 12-1 at 6). After being refloated, Reliable Marine was able to safely tow the vessel to a local safe harbor for repairs. (Doc. 1 ¶¶ 8-9). Rosen executed a contract on behalf of North Captiva, a copy of which was

provided to defendants at the scene of the salvage. (Doc. 1 ¶ 10; Doc. 12-1 at 7). The contract provides that the “[i]nvoice is due and payable at completion of the requested service and interest of 1% monthly shall apply to any balance over thirty

(30) days.” (Doc. 12-1 at 7). The invoice, in turn, billed $17,927.50 based on hourly rates and the provision of a powered salvage pump, pillow bags, and rigging hoses and manifolds. (Id. at 6-7). Demand for payment was made of defendants. (Doc. 1 ¶ 12). Rosen

acknowledged the debt owed to Reliable Marine and agreed to pay three monthly instalments to satisfy the principal balance as set forth in the invoice. (Id.). However,

2 Rosen is listed as the registered agent for North Captiva Barge Company, LLC, and is also an owner of the salvaged vessel. (Doc. 1, ¶ 4; Doc. 9). defendants never made a payment. (Id.). Therefore, on October 18, 2023, Reliable Marine filed suit against North Captiva and Rosen for the non-payment of salvage

services rendered to defendants’ vessel—asserting claims for breach-of-contract and quantum meruit. (Id. at 4, 6). II. Legal Standard

When a defendant has failed to plead or defend, the district court may enter judgment by default. Fed. R. Civ. P. 55(b)(2). “Because of our strong policy of determining cases on their merits, however, default judgments are generally disfavored.” Surtain v. Hamlin Terrace Found., 789 F.3d 1239, 1244-1245 (11th

Cir. 2015). So, “there must be strict compliance with the legal prerequisites establishing the court’s power to render the judgment.” Varnes v. Local 91, Glass Bottle Blowers Ass’n of U.S. and Canada, 674 F.2d 1365, 1369 (11th Cir. 1982).

Therefore, the court must first review subject-matter jurisdiction, personal jurisdiction, service of process, and whether the complaint states a claim upon which relief may be granted before entering judgment. See Winfield Sols., LLC v. DeAngelo Bros., LLC, No. 3:21-cv-1280-BJD-LLL, 2022 WL 3136840, *1 (M.D. Fla. July 1,

2022), report and recommendation adopted, 2022 WL 3646084 (Aug. 8, 2022). III. Analysis Because this matter presents a maritime claim under admiralty jurisdiction,

we have subject-matter jurisdiction. See 28 U.S.C. § 1333; Treasure Salvors, Inc. v. Unidentified Wrecked and Abandoned Sailing Vessel, 640 F.2d 560, 566 (5th Cir. 1981) (“Claims arising out of salvage operations efforts to rescue or recover ships

disabled or abandoned at sea or to retrieve their cargo are, unquestionably, within the admiralty jurisdiction of the federal courts.”). Personal jurisdiction over defendants exists because Rosen3 is domiciled in Florida and North Captiva

conducts and operates its business in Lee County, Florida. See Daimler AG v. Bauman, 571 U.S. 117, 137 (2014); see also Fla. Stat. § 48.193. The defendants were properly served with process. (Docs. 8, 9). And because they failed to answer, they have admitted all non-frivolous allegations in the complaint, except those going to

the amount of damages. See Fed. R. Civ. P. 8(b)(6). Default judgment is warranted when there is a sufficient basis in the pleadings for judgment to be entered. Surtain, 789 F.3d at 1245. When evaluating the

sufficiency of the alleged facts, a court looks to whether the complaint contains sufficient factual matter that, when accepted as true, states a claim for relief that is plausible on its face. Id. (quoting Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009)). The elements of an action for breach of contract are: (1) the existence of a

contract, (2) a breach of the contract, and (3) damages resulting from the breach.”

3 Rosen is not a minor and there is no indication that he is incompetent. Moreover, Reliable Marine has supplied an affidavit under the Servicemembers Civil Relief Act, 50 U.S.C.A. § 501 et seq., demonstrating that Rosen is neither in military service nor otherwise exempt from default judgment. (Doc. 15). As such, Rosen is not disqualified from having default judgment entered against him. Rollins, Inc. v. Butland, 951 So. 2d 860, 876 (Fla. 2d DCA 2006). Here, the complaint contains sufficient factual allegations to support these elements. Reliable

Marine alleges that the parties have a contract—for salvaging the vessel—and a copy is attached to their motion for default judgment. (Doc. 12-1 at 7). Reliable Marine alleges that defendants breached the contract by failing to pay the principal balance

of the charges set forth in the invoice. Because of their default, defendants are deemed to have admitted these sufficient allegations. So the court finds defendants liable to Reliable Marine for breach of contract.4 A default judgment “must not differ in kind from, or exceed in amount, what

is demanded in the pleadings.” Fed. R. Civ. P. 54(c). And Reliable Marine does not seek a default judgment for anything more than what it demands in its verified complaint: $17,927.50 (and prejudgment interest at the contract rate). Moreover,

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Related

Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
Rollins, Inc. v. Butland
951 So. 2d 860 (District Court of Appeal of Florida, 2006)
Daimler AG v. Bauman
134 S. Ct. 746 (Supreme Court, 2014)
Portia Surtain v. Hamlin Terrace Foundation
789 F.3d 1239 (Eleventh Circuit, 2015)

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Reliable Marine Towing and Salvage, LLC v. North Captiva Barge Company, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reliable-marine-towing-and-salvage-llc-v-north-captiva-barge-company-llc-flmd-2024.