Sunken Treasure, Inc. v. Unidentified, Wrecked, & Abandoned Vessel

857 F. Supp. 1129, 30 V.I. 274, 1994 WL 380615, 1994 U.S. Dist. LEXIS 10022
CourtDistrict Court, Virgin Islands
DecidedJuly 14, 1994
DocketCiv. A. No. 1991/263
StatusPublished
Cited by4 cases

This text of 857 F. Supp. 1129 (Sunken Treasure, Inc. v. Unidentified, Wrecked, & Abandoned Vessel) is published on Counsel Stack Legal Research, covering District Court, Virgin Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sunken Treasure, Inc. v. Unidentified, Wrecked, & Abandoned Vessel, 857 F. Supp. 1129, 30 V.I. 274, 1994 WL 380615, 1994 U.S. Dist. LEXIS 10022 (vid 1994).

Opinion

BROTMAN, District Judge

OPINION

This matter is before the Court on the Government of the Virgin Islands' Motion to Dismiss Plaintiff's Complaint in rem against the defendant vessel and, concomitantly, on the United States' Motion to Dismiss or for Summary Judgment. For reasons addressed below, the respective motions to dismiss will be granted.

I. FACTUAL AND PROCEDURAL BACKGROUND

Sunken Treasure, Inc. (hereinafter "STI") is a Florida corporation engaged in the business of raising sunken ships, their remains, and treasure from the ocean floor. In 1991, STI commenced preparation for salvage operations in the Estate Salt River area upon belief that remains of a vessel from the era of Christopher Columbus existed there. STI intended to raise an anchor embedded in the submerged lands at Salt River, where historic remains such as anchors, chunks of metal, and cannons are commonly known to exist and, some believe, have remained for centuries.

The defendant vessel, all parties agree, is unidentified, wrecked and abandoned beneath the navigable waters of the United States, within three miles of the coast of St. Croix, and thus within the territorial waters of the United States Virgin Islands pursuant to 43 U.S.C. § 2101(e) and (f). The submerged lands upon which the vessel presumably rests belong to the Government of the Virgin Islands as provided by federal statute. 48 U.S.C. § 1705. The vessel *277 is also located in an area that the United States Congress has designated as a National Historic Park and Ecological Preserve. 16 U.S.C. § 410tt-l.

Portions of the vessel are "embedded" within the submerged lands such that the use of tools of excavation may be required in order to gain access to these portions. Because the salvage operations intended by STI will necessarily require dredging activity and/or alteration of navigable waters, local and federal permits are required. STI has not received any local or federal permits to excavate or remove artifacts or objects from the wreck site. Consequently, the Department of Planning and Natural Resources (hereinafter "DPNR") instructed STI not to remove anything from Salt River. STI has complied with this instruction and accordingly has not commenced salvage operations. 1

On September 18, 1991, STI initiated the instant litigation by filing a complaint in rem against the alleged shipwreck seeking to be placed in exclusive possession and title of the vessel and its remains or, alternatively, to be granted a salvage award. STI also filed motions for temporary restraints and preliminary and permanent injunctions, seeking to prevent all persons and governmental agencies from interfering with STTs intended salvage operations. The United States of America (hereinafter "U.S.A.") and the Government of the Virgin Islands (hereinafter "GVI") subsequently intervened as defendant and plaintiff, respectively. Both intervenors seek to be declared owners of the defendant vessel pursuant to the Abandoned Shipwreck Act of 1987, 43 U.S.C. § 2105 et seq. (hereinafter the "ASA"), and seek an order restraining STI from conducting salvage operations in Salt River.

This Court denied STI's initial request for temporary restraints and has refrained from ruling on the injunctive relief sought by the U.S.A. and the GVI, opting instead to instruct all parties to submit proposed findings of fact and conclusions of law in relation to the respective underlying claims. All parties have complied with this *278 request and have additionally provided the Court with numerous supplemental briefs.

II. DISCUSSION

A. Issue Before Court

The underlying core of this litigation is STI's facial constitutional challenge of the ASA. All parties effectively agree that STI's complaint in this action stands or falls on this Court's ruling in regard to the constitutional validity of that statute.

The significance of the ASA in this case is born out by a summary review of the jurisdictional framework surrounding the litigation. STI brings this lawsuit pursuant to 28 U.S.C. § 1333 as an admiralty action under the maritime law of salvage and/or the related doctrine of finds, primarily seeking a salvage award for its intended efforts to recover items from the defendant vessel and alternatively seeking title to the vessel and such items contained within it.

The U.S.A. and the GVI challenge the jurisdictional basis of STI's action on the grounds that the ASA governs this matter and statutorily divests this Court of jurisdiction. This argument is grounded on two operative effects of the ASA: first, the assumption of title by the United States to abandoned shipwrecks 2 that are, inter alia, "embedded" 3 in the submerged lands of a state (which, for purposes of the ASA, includes lands of the Virgin Islands) 4 and the transfer of such title to that state, id. §§ 2105(a)(1), (c); second, the exclusion of the aforementioned shipwrecks from the laws of salvage and finds. Id. § 2106(a).

Assuming both the applicability and constitutionality of the ASA, its effect in this case would be (1) to transfer ownership of the defendant vessel to the GVI, (2) to deprive STI of a cause of action based on the law of salvage and/or the law of finds, (3) to divest this Court of admiralty jurisdiction over the claim, and (4) to concurrently vest the Virgin Islands Territorial Courts with jurisdiction *279 over the claim. Zych v. Unidentified, Wrecked, and Abandoned Vessel, Believed to be the SB "Seabird," 941 F.2d 525 (7th Cir. 1991) (Zych II).

The applicability of the ASA is effectively undisputed among the parties. STI concedes that the defendant vessel is abandoned and at least partly embedded within the submerged lands of the United States Virgin Islands for purposes of the ASA. It is the constitutionality of the statute that STI challenges in seeking to retain jurisdiction in this Court and to ultimately prevail on the merits of its complaint. As the fate of STI's complaint thus hinges on the validity of the ASA, the Court accordingly must now address the substance of STI's constitutional challenge.

B. Constitutionality of ASA

STI contends that the ASA is unconstitutional on its face for three independent reasons.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

People v. Rohn
55 V.I. 100 (Superior Court of The Virgin Islands, 2011)
People v. Phillips
52 V.I. 130 (Superior Court of The Virgin Islands, 2009)
Thomas v. Government of the Virgin Islands
49 V.I. 569 (Virgin Islands, 2007)

Cite This Page — Counsel Stack

Bluebook (online)
857 F. Supp. 1129, 30 V.I. 274, 1994 WL 380615, 1994 U.S. Dist. LEXIS 10022, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sunken-treasure-inc-v-unidentified-wrecked-abandoned-vessel-vid-1994.