Texas Eastern Transmission Corp. v. Tug Captain Dann

898 F. Supp. 198, 1995 U.S. Dist. LEXIS 12931, 1995 WL 559975
CourtDistrict Court, S.D. New York
DecidedSeptember 6, 1995
Docket93 Civ. 0118 (BN)
StatusPublished
Cited by1 cases

This text of 898 F. Supp. 198 (Texas Eastern Transmission Corp. v. Tug Captain Dann) 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
Texas Eastern Transmission Corp. v. Tug Captain Dann, 898 F. Supp. 198, 1995 U.S. Dist. LEXIS 12931, 1995 WL 559975 (S.D.N.Y. 1995).

Opinion

OPINION, FINDINGS OF FACT, AND CONCLUSIONS OF LAW

NEWMAN, Senior Judge of the United States Court of International Trade,

sitting as a United States District judge by designation:

INTRODUCTION

This is an admiralty action within the meaning of Rule 9(h), Fed.R.Civ.P., and jurisdiction is predicated on 28 U.S.C. § 1333. The suit arises out of an allision occurring on November 24, 1990 between tank barge B No. 55 (“the barge”) while in tow of tugboat CAPTAIN DANN and plaintiffs underwater natural gas pipeline 1R which crosses the Arthur Kill River (“Arthur Kill”) between New Jersey and New York.

The gravamen of the complaint is that the barge punctured the pipeline due to defen *201 dants’ statutory violations in operating the tug without a lookout and from the lower rather than upper pilothouse, and negligence in navigating and grounding the barge on' plaintiffs pipeline in shallow waters outside the main ship channel of the river close to the Staten Island shore and in a designated pipeline area. Recovery of damages in the sum of $299,372.59 are sought by plaintiff based on the costs incurred in replacing the damaged section of pipeline, plus prejudgment interest.

Tug operator Dann Ocean Towing, Inc. (“Dann”) denies any negligence and claims that the allision was due solely to plaintiffs negligent violation of the terms, conditions, and obligations of its permits issued by the United States Army Corp of Engineers (“ACOE”) and statutory’ and regulatory violations. The alleged violations all revolve around plaintiffs negligence in failing to maintain adequate cover over its pipeline, which at the time and place of the allision was exposed above the riverbed creating an unlawful obstruction to navigation in Arthur Kill.

The action was tried to the court commencing on April 26, 1995 and concluding on May 3, 1995. For the reasons that follow, the court dismisses the complaint. 1

THE FACTS

Plaintiff, Texas Eastern Transmission Corporation (“Texas Eastern”), headquartered in Houston, Texas, operates an interstate natural gas pipeline system and owns the submerged sixteen inch natural gas pipeline 1R crossing the Arthur Kill between Linden, New Jersey and Gulfport, Staten Island, New York. Defendant Dann, of Tampa, Florida, engages in the business of owning and operating tugboats, and owns and operates CAPTAIN DANN. The barge is owned by Bouchard Transportation Co., Inc., unrelated to Dann and not a party to this suit.

Pipeline 1R was installed by Texas Eastern under a permit (exh. 7) issued on June 9, 1950 by the ACOE pursuant to its statutory authority under the River and Harbor Act of 1899, § 10, 33 U.S.C. § 403. Such permit authorized plaintiff to install the pipeline in accordance with plans and drawings attached to the permit. A profile drawing attached to and incorporated in the permit depicts the pipeline buried beneath the surface of the river bottom from shore to shore and also indicates that the pipeline would be installed at a minimum depth of 42 feet below mean low tide in the main ship channel.

In 1959, Texas Eastern surveyed the pipeline to determine how it was actually installed (as opposed to how it was proposed to be installed), and the survey findings were placed on a drawing (exh. 8) described as “Revised to as-built, May 15, 1959” and submitted to the ACOE. There is nothing in the record indicating that the ACOE made any objection to, or found anything improper, concerning the pipeline’s actual installation as shown on the “as built” drawing.

The width of Arthur Kill from bank to bank where Line 1R crosses the river is approximately 1000-1500 feet. The width of the “federal project channel” (main deep water ship channel that is dredged and maintained by the ACOE) at the site of the 1R pipeline crossing is approximately 500-600 feet as depicted on the official navigation chart of the National Oceanic and Atmosphere Administration (“NOAA chart”). The NOAA chart is used by mariners in navigating the Arthur Kill. The waters east of the main channel toward the Staten Island side, where the allision occurred, become quite shallow approaching the shoreline, but nonetheless are subject to vessel traffic on the river.

While vessels travelling at normal operating speed enroute to a particular destination will generally navigate inside the project channel in both directions, as discussed infra, at the time of the allision CAPTAIN DANN, with the barge in tow, was maneuvering in the river outside and east of the project channel and near the Staten Island shore while waiting to berth at the Exxon Bayway facility on the New Jersey side some two- *202 tenths of a mile away. The Arthur Kill east of the main channel is frequently used by mariners when turning in the river.

Line 1R is located within a designated “Pipeline Area” as denoted on the NOAA chart. Texas Eastern maintains warning signs on shore stating “WARNING/DO NOT ANCHOR OR DREDGE” on both sides of the Arthur Kail at the crossing site. The R1 pipeline emerged from shallow water at a certain point near the New Jersey side of the river, and hence was visible to the eye at such point and is shown on the NOAA chart by an “obstruction” symbol. Significantly, however, the R1 pipeline did not similarly emerge from the water on the Staten Island side in the vicinity of the allision, but was submerged, and therefore, not visible to mariners. At night, which is when thé allision occurred, the only illumination near the vicinity of the allision came from the Exxon refinery facility on the opposite (New Jersey) side of the river approximately one-quarter to one-half mile away.

In 1974, Texas Eastern engaged engineers Pyburn & Odum (“P & 0”) to perform a river bottom survey on May 2, 1974. The 1974 survey revealed that through the erosion of cover, the pipeline had become exposed above the riverbed near the New Jersey and Staten Island shores; in point of fact, a section of the exposed pipeline in the vicinity of the CAPTAIN DANN incident on the Staten Island side was flattened, requiring complete replacement. Prior to making repairs, Texas Eastern applied for and obtained the required permits from the ACOE, New York State and City authorizing remedial work to replace the damaged section of pipeline and to cover it with stone “rip rap.”

In a letter dated October 25,1974 by W.E. Graham, Manager of Rights of Way for Texas Eastern, to Phillip McGrade, Chief, Construction Permits Section of the ACOE, Graham describes the findings of the May 2, 1974 survey as follows (exh. D):

The subject pipeline has become exposed on both banks outside of the limits of the navigation channel and the pipe has been flattened at one point on the New York side of the channel. The exposed pipe [outside the navigation channel] constitutes a hazard to navigation as well as to the integrity of the pipeline. [Emphasis added.]

Accompanying this letter was an ACOE form signed by Graham stating inter alia

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

Related

Optical Communications Group, Inc. v. M/V Ambassador
938 F. Supp. 2d 449 (S.D. New York, 2013)

Cite This Page — Counsel Stack

Bluebook (online)
898 F. Supp. 198, 1995 U.S. Dist. LEXIS 12931, 1995 WL 559975, Counsel Stack Legal Research, https://law.counselstack.com/opinion/texas-eastern-transmission-corp-v-tug-captain-dann-nysd-1995.