The Williams

29 F. Cas. 1342
U.S. Circuit Court for the District of Eastern Michigan·Decided March 15, 1873·Published·Cited by 2 cases

Opinion

EMMONS, Circuit Judge.

Having recently, before the argument in this cause, decided in the case of the steamer Robinson, in the Western district of Tennessee, substantially the principle here involved, we should not, but for the history of the cause, have deemed the question one of doubt. Without any very thorough examination at the time, but drawing mainly upon what we had ever assumed to be the law, we ruled that all maritime contracts made within the scope of the master’s usual authority did per se hypothecate the ship; and that those of af-freightment, insurance, towage, the fitting out and discharge of vessels, and for aiding them in distress, were instances only of the application of the rule. After such examination as the great pressure upon our time will permit, we see no reason to modify this ruling; but hold that the contract in this case did ex vigore, the instant it was consummated, pledge both vessels, that which was to aid and that to be aided, for the security of the agreement. Performance in whole or in part works no consequence in reference to jurisdiction generally, or in the character of the remedy, whether in rem or in personam. It affects only the measure of recovery.

The practical importance of this question to our northwestern commerce; the numerous analogous rights which will fail of protection by even a limited application of the contrary doctrine; the protective power which the jurisdiction we sustain will exert in preventing the disregard of agreements; and the fear that a brief unreasoned judgment may be less influential to extend and support it, is our excuse for pursuing somewhat at length the reasons for our ruling, although forced to do so with much want of form. That contracts for salvage, towage and of affreightment, are in the most unqualified sense maritime, and therefore of admiralty cognizance, will not be questioned: and that New Jersey Co. v. The Merchants' Bank, 6 How. [47 U. S.] 344. Morewood v. Enequist, 23 How. [64 U. S.] 493, Insurance

[1345] Co. v. Dunham, 11 Wall. [78 U. S.] 1, and the authors and judgments they refer to, tiring within the rule the contract in this case, will be as readily conceded. The denial extends only to the remedy in rem. We infer that one of the reasons for the decree of the district court is that this is at least in the nature of salvage service, and as the libellant did not by his efforts save anything, there is no remedy in rem. The Camanche, 8 Wall. [75 U. S.] 477; 2 Pars. Adm. 283, and cases cited; Ben. Adm. §§ 300-300e; The Henry Ewbank [Case No. 6,376]; Clarke v. The Dodge Healy [Case No. 2,849]; 1 Newb. Adm. 428, 438; 1 Conk. Adm. 352, which say salvage is earned not by an attempt but by actual rescue, assert no doctrine having any tendency to inhibit this proceeding. They and the numerous kindred judgments and authors deny only the extraordinary compensation given for salvage service. There is no intimation that a remedy against the ship, if it is saved, will be denied if the agreement was for payment absolutely. The same remark is equally true of all the eases and authors which say if the agreement is for such absolute payment, irrespective of results, there can be no reward for salvage properly so called. They all relate to compensation only,, but not in any case to a denial of the proceeding in rem. Thus, the Case of One Hundred Tons of Iron [supra], is understood by counsel to deny all remedy against the ship. As the sole authority for what it does in this regard decide, The Independence [supra] is cited, in which, after a careful discussion of this question, Judge Curtis takes pains to say he does not decide that in a ease like that now before us there is no jurisdiction in rem. On the contrary, with manifest approbation, he refers to the judgment of Judge Conkling in. The A. D. Patchin [Case No. 87], affirmed on appeal by Judge Nelson, in which there was a contract precisely like that here set up. to labor for the rescue of the ship for a per diem compensation, and where both judges sustained a proceeding in rem, as consistent with the other wholly distinct rule that there can be no extraordinary compensation in such case. It is said: “For all maritime contracts which the master is authorized to make, there is an implied hypothecation of the ship. There was authority to employ others to aid in preserving the ship, and I imagine that such a contract, subject to the revisory powers of the court, would create a lien on the vessel.” The Emulous [Id. 4,480], The Centurion [Id. 2,554], The Pigs of Copper [Id. 1,193], are reviewed, and the principle deduced that suits for salvage may be maintained, although there is an agreement for a fixed and absolute compensation. This judgment is referred to in this connection more particularly to illustrate the position that a denial of salvage is not a rejection of a proceeding in rem. but it quite as fully sustains the broader proposition soon to be considered, that all authorized maritime contracts pledge the vessel for their performance.

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The Williams, 29 F. Cas. 1342 (circtedmi 1873).

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