United States v. Ocean Bulk Ships
United States Court of Appeals for the Fifth Circuit
248 F.3d 331 (2001)
- Written by Daniel Clark, JD
Facts
The United States (plaintiff) shipped several tons of food to ports in Africa as part of a famine-relief effort. The United States engaged Ocean Bulk Ships, Inc. (Ocean Bulk) (defendant) as carrier for the shipment. The cargo was loaded using standard packaging, and Ocean Bulk issued clean bills of lading indicating that it received the cargo in good condition. When the cargo was discharged at the African ports, it was discovered that much of the cargo was missing or damaged. The United States calculated the total amount of damage to be $203,319.87. Port surveyors overseeing the discharge offered diverse speculations as to the cause of the damage. One speculation was that the damage could have been attributable to insufficient packaging on the part of the United States. The United States sued Ocean Bulk in district court, seeking the full amount of damage. The district court limited the recovery to $7,300.08 based on provisions of the Carriage of Goods by Sea Act. The United States appealed.
Rule of Law
Issue
Holding and Reasoning (DeMoss, J.)
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