Warn v. M/Y MARIDOME

961 F. Supp. 1357, 1997 A.M.C. 1890, 97 Daily Journal DAR 7551, 1997 U.S. Dist. LEXIS 4187, 1997 WL 154780
CourtDistrict Court, S.D. California
DecidedMarch 31, 1997
DocketCIV. 96-1800-B(RBB)
StatusPublished
Cited by4 cases

This text of 961 F. Supp. 1357 (Warn v. M/Y MARIDOME) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Warn v. M/Y MARIDOME, 961 F. Supp. 1357, 1997 A.M.C. 1890, 97 Daily Journal DAR 7551, 1997 U.S. Dist. LEXIS 4187, 1997 WL 154780 (S.D. Cal. 1997).

Opinion

ORDER:

1.DENYING DEFENDANT BOOS’ MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION;

2. GRANTING DEFENDANT MARI-DOME MARINE LTD.’S MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION;

3. GRANTING DEFENDANTS’ MOTION TO DISMISS FOR LACK OF SUBJECT MATTER JURISDICTION;

4. DENYING DEFENDANTS’ MOTION TO DISMISS FOR FAILURE TO STATE A CLAIM UPON WHICH RELIEF CAN BE GRANTED AS MOOT;

5.GRANTING DEFENDANTS’MOTION TO DISMISS FOR FORUM NON CONVENIENS.

BREWSTER, District Judge.

This matter came on regularly for hearing on defendants’ motions to dismiss for lack of *1363 personal jurisdiction, lack of subject matter jurisdiction, failure to state a claim upon which relief can be granted, and for forum non conveniens. Matthew Quint of Wilson & Quint, and Frank Brucculeri of Tabrisky, Brucculeri & Stein appeared for plaintiffs. George Koelzer, Robert Zapf, and Joshua Force of Lane Powell Spears Lubersky LLP appeared for defendants James Boos and Maridóme Marine Ltd. Justs Karlson and S. Mark Varney of Carroll, Burdick & McDon-ough LLP appeared for defendant Boston Whaler Co. After careful consideration of the moving and opposing papers and the oral arguments of counsel, the Court DENIES Boos’s motion to dismiss for lack of personal jurisdiction, GRANTS Maridóme Marine Ltd’s motion to dismiss for lack of personal jurisdiction, GRANTS defendants’ motion to dismiss for lack of subject matter jurisdiction, DENIES defendants’ motion to dismiss for failure to state a claim upon which relief can be granted, and GRANTS defendants’ motion to dismiss for forum non conveniens.

I. Case Type and Jurisdiction

In an accident off the coast of Greece, several crewmembers and guests of the M/Y Maridóme were killed or seriously injured when its tender collided with a steel structure in the harbor of Port of Poros. Plaintiffs have filed suit against the vessel, in rem, against its captain and owner, in personam, and against the manufacturer of the tender, in personam. Plaintiffs allege causes of action based on the Death on the High Seas Act (DOHSA), 46 U.S.C.App. § 741 et seq., the Jones Act, 42 U.S.C.App. § 688 et seq., and General Maritime Law.

II. Background

A.The M/Y Maridóme

The M/Y Maridóme (“Maridóme”) is a 177 foot luxury yacht owned by Maridóme Marine Limited (“MML”), a Channel Islands (U.K.) company. The Maridóme is of British Registry and flies the British flag. MML has only issued two shares of stock which are held by nominees for the benefit of Enrique Molina. Molina is the C.E.O. of GEMEX, the largest bottler for Pepsi outside of the United States. Molina lives and does business in Mexico. The ship travels around the world.

The Captain of the Maridóme is James Boos (“Boos”), an American citizen who has not lived in the United States in the past twenty years.

MML’s board of directors are all British citizens. Plaintiffs contend that these directors have no responsibility for the management or operation of the Maridóme. MML was incorporated in the Channel Islands because they are a tax haven. The attorneys who incorporated MML also serve as its nominal board of directors.

B. Summary of the Accident

On September 3, 1995, the Maridóme was anchored off the coast of Port of Poros, Greece. Several crew members were on shore for the evening. In the early morning hours, they radioed the ship and First Engineer Ian MacNeil drove the ship’s tender, a 21 foot customized Boston Whaler, to shore. He picked up a large number of passengers and began driving across the harbor. Plaintiffs contend that MacNeil was intoxicated, was traveling at an excessive rate of speed, and that the tender was seriously overloaded. While traveling across the harbor at approximately 25 knots, the tender struck a metal structure lying in shallow water. Passengers Nicholas Warn, George Stathopoulos, Andre-as Brigman, and Simon Willshaw were killed in the accident. Richard Brooks was seriously injured.

Warn, Willshaw and Brooks were crew-members of the Maridóme and were citizens of the United Kingdom. They signed employment contracts in Barbados, Gibraltar and St. Martin, respectively. Brigman and Stathopoulos were guests on the tender and were dual citizens of Greece and Germany.

C. The Instant Action

The estates and family members of the deceased passengers and Richard Brooks have filed suit against the Maridóme, MML, James Boos (“Boos”), and Boston Whaler, Inc. (“Whaler”). Plaintiff Brooks asserts causes of action for personal injuries under the Jones Act and maintenance and cure *1364 under General Maritime Law. The estates of the other deceased crewmembers sue for wrongful death under the Jones Act. The crewmembers’ families bring survival actions under the Jones Act. The guests on board the tender bring wrongful death actions under the Jones Act, and their family members bring survival actions as well. All plaintiffs sue Boston Whaler for negligence and strict liability in the design and manufacture of the tender.

On October 16,1996, plaintiffs attached the Maridóme in San Diego pursuant to Supplemental Rule B for Certain Admiralty and Maritime Claims while it was being repaired. Captain Boos was onboard the vessel when it was attached, and he was personally served with a copy of the summons and complaint in this case. After posting a $15,000,000 bond, the Maridóme was released. It left San Diego shortly thereafter.

Defendants Maridóme, MML and Boos have filed a motion to dismiss for lack of personal jurisdiction, lack of subject matter jurisdiction, failure to state a claim upon which relief can be granted, and forum non conveniens. Defendant Whaler filed a motion to dismiss for forum non conveniens.

Since the issues of personal jurisdiction and forum non conveniens are at the heart of this motion, there is a more detailed analysis of the Maridome’s contacts with the United States below.

D. Management of the Maridóme

Upon purchasing the Maridóme, Molina hired Peter Lee (“Lee”), a resident of Virginia, to captain the ship for him. Lee served as captain from August 1992 until April 1994. Lee’s duties as captain included hiring the crew, and managing the ship’s accounts, repair work, insurancé, and all other aspects of the ship’s day to day operations. Lee stepped down as captain in April 1994, but remained the manager of the Maridóme until August 1995, just days before the accident. During this time, he managed the Maridóme out of his home in Virginia. MML provided Lee with a power of attorney which allowed him to manage all aspects of the Maridóme, save selling or mortgaging it.

Much of the management of the Maridóme occurred in the United States. In February 1994, Lee formed a Virginia corporation, Marine Management, Inc. (“MMI”), to manage the Maridóme and another of Enrique Molina’s yachts, the Esterel. Lee was paid $100,-000 per year to manage the crew hiring; supervise repair work; handle ship’s mail, parts and supplies; and to submit monthly budgets and accounting summaries to Molina.

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961 F. Supp. 1357, 1997 A.M.C. 1890, 97 Daily Journal DAR 7551, 1997 U.S. Dist. LEXIS 4187, 1997 WL 154780, Counsel Stack Legal Research, https://law.counselstack.com/opinion/warn-v-my-maridome-casd-1997.