Osaka Shosen Kaisha v. Pacific Export Lumber Co. (The Saigon Maru)

260 U.S. 490, 43 S.Ct. 172, 67 L.Ed. 364, 1923 AMC 55 (1923)

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Osaka Shosen Kaisha v. Pacific Export Lumber Co. (The Saigon Maru)

United States Supreme Court
260 U.S. 490, 43 S.Ct. 172, 67 L.Ed. 364, 1923 AMC 55 (1923)

CS

Facts

Osaka Shosen Kaisha (Osaka) (defendant) was the owner of the Saigon Maru, a Japanese steamer, and entered into a charter agreement with the Pacific Lumber Company (plaintiff) for the vessel to carry a full cargo of lumber from Oregon to Bombay. The loading of lumber onto the Saigon Maru began, but when approximately 240,000 feet of lumber had been loaded below decks, the master of the vessel refused to accept any more. The representative of Pacific Lumber claimed that the vessel was capable of carrying an additional 500,000 feet of lumber and demanded that the loading of lumber continue. The master of the Saigon Maru refused. Pacific Lumber brought a suit against the vessel under the terms of the charter and claimed substantial damages. Osaka gave a bond in response, and the Saigon Maru was allowed to depart as loaded and eventually delivered the 240,000 feet of lumber to Bombay. Osaka responded to Pacific Lumber’s suit by claiming that there was no right to proceed in rem against the vessel. The trial court held that the in rem claim could proceed, found for Pacific Lumber, and awarded damages. The circuit court approved the decision, and Osaka appealed.

Rule of Law

Issue

Holding and Reasoning (McReynolds, J.)

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