Brier v. Northstar Marine Inc.
United States District Court for the District of New Jersey
1992 WL 350292 (1992)
- Written by Mary Katherine Cunningham, JD
Facts
On October 21, 1990, a yacht owned by John H. Brier (plaintiff) ran aground while travelling from Connecticut to Maryland. Brier contacted Northstar Marine Inc. (defendant) to ask for help refloating his yacht, and Northstar told Brier it could help refloat the yacht. Northstar’s owner, Captain Risko, read Brier the “Miranda Act for Salvors,” stating that Brier would allow Northstar Marine to conduct the operation without a prearranged price and that Northstar would subsequently submit a claim for payment. Brier later signed the Lloyd’s Standard Form document agreeing to the terms outlined by Risko on October 22, 1990. When Northstar later charged Brier for refloating and towing the yacht, Brier refused to pay. Brier sought a declaratory judgment finding that the agreement was an invalid adhesion contract. Northstar responded that the contract stated the parties would submit any disputes to arbitration by Lloyd’s of London’s Arbitration Panel in London. Northstar, therefore, sought to compel arbitration in London under the New York Convention. Brier argued that the New York Convention did not apply as the parties were American citizens and the parties’ relationship was not reasonably related to England. Northstar asserted that, under Fuller Co. v. Compagnie des Bauxites de Guinea, an agreement demonstrating a clear intent for arbitration under English law as part of an arbitration in London must be enforced under 9 U.S.C. § 202 and the New York Convention.
Rule of Law
Issue
Holding and Reasoning (Rosen, J.)
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