Farrell Lines Inc. v. Ceres Terminals Inc.

161 F.3d 115, 1999 AMC 305 (1998)

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Farrell Lines Inc. v. Ceres Terminals Inc.

United States Court of Appeals for the Second Circuit
161 F.3d 115, 1999 AMC 305 (1998)

CS

Facts

Farrell Lines Inc. (Farrell) (plaintiff) was a shipping company. A printing press that Farrell had shipped from Italy to Norfolk, Virginia, suffered $800,000 of damage during transit. Farrell sued Ceres Terminals Inc. and others that sought to recoup damages from Farrell (the claimants) (defendants) in federal court. Farrell alleged that its liability was limited under federal admiralty law and sought a declaratory judgment upholding that limited liability. Farrell also sought an injunction prohibiting the claimants from further pursuing litigation against Farrell in Italy. The district court held in Farrell’s favor, holding that Farrell’s liability was limited to $500 under federal admiralty law. The court also enjoined the claimants from further pursuing any action against Farrell in Italy concerning the damage. The claimants appealed, arguing that the district court lacked the authority to enjoin them from pursuing the Italian action.

Rule of Law

Issue

Holding and Reasoning (Per curiam)

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Casebooks

Admiralty

Key Terms