From our private database of 14,200+ case briefs...
California & Hawaiian Sugar Co. v. Sun Ship, Inc.
United States Court of Appeals for the Ninth Circuit
794 F.2d 1433 (9th Cir. 1986)
California & Hawaiian Sugar Co. (C & H) (plaintiff) hired Sun Ship, Inc. (defendant) to construct a barge and also hired Halter to build a tug. Under its contract with C & H, Sun Ship was to interconnect the barge and the tug as C & H planned to use the hybrid to transport its sugar. C & H’s contract with Halter provided that the tug was to be delivered to Sun Ship’s shipyard on April 30, 1981. C & H’s contract with Sun Ship provided that the barge be completed by June 30, 1981. This contract, negotiated by high-level managers and under advice of counsel, also provided that if the completed vessel was not delivered by June 30, 1981, Sun Ship would pay C & H “as per-day liquidated damages, and not as a penalty” $17,000, which was deemed in the contract to be “a reasonable measure of the damages.” Sun Ship was late with performance and finished constructing the barge on March 16, 1982. Halter was also late, finishing constructing the tug on July 15, 1982. The vessels were connected shortly thereafter. C & H brought suit against Sun Ship to collect liquidated damages based on the clause in the contract. The trial court ruled in C & H’s favor. Sun Ship appealed, arguing that because Halter had not delivered the tug by Sun Ship’s scheduled delivery date of the barge, the liquidated damages clause amounts to a penalty. Specifically, Sun Ship claimed that without the completed tug, Sun Ship’s delivery of a completed barge on the delivery date would have been useless to C & H.
Rule of Law
Holding and Reasoning (Noonan, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.
Here's why 238,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 14,200 briefs, keyed to 189 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.