Shaver Transportation Co. v. Travelers Indemnity Co.
United States District Court for the District of Oregon
481 F. Supp. 892, 1980 AMC 393 (1979)
- Written by Carolyn Strutton, JD
Facts
Shaver Transportation Co. (Shaver) (plaintiff) was a barge company that was hired to transport caustic soda in one of its barges from the manufacturer, Weyerhaeuser Co. (plaintiff) to the purchaser. Shaver had previously used to the barge to transport tallow and had failed to properly clean the barge’s input lines before loading the soda onto the barge through the lines. The residual tallow contaminated the soda. The purchaser refused to accept the shipment, and the soda was eventually offloaded by a chemical-salvage company. Shaver and Weyerhaeuser had an enumerated-perils insurance policy for the cargo shipment with the Travelers Indemnity Co. (Travelers) (defendant) and sought to recover for the loss of the cargo. The policy covered standard perils, including perils at sea, and specifically enumerated the scope of coverage. Travelers claimed that the loss did not fall under any of coverage clauses and denied liability. Shaver and Weyerhaeuser sued Travelers in federal district court seeking to recover under the policy.
Rule of Law
Issue
Holding and Reasoning (Skopil, J.)
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