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Admiralty Law Keyed to Maraist
East River Steamship Corp. v. Transamerica Delaval Inc.
Citation:
476 U.S. 858 (1986)Facts
In 1969, Seatrain Shipbuilding Corp. announced plans to build four oil-transporting supertankers. Seatrain contracted with Delaval to design, manufacture, and supervise the installation of turbines that would serve as the main propulsion units for these vessels. Upon completion, each ship was chartered to one of the petitioners under bareboat charters, making them responsible for repair costs. The Stuyvesant experienced turbine problems during its maiden voyage when the high-pressure turbine malfunctioned, requiring multiple repairs. Similar problems were discovered in the Brooklyn and Williamsburgh. The Bay Ridge, which was built with newly designed parts, experienced a different problem when its astern guardian valve was installed backwards, causing damage to the low-pressure turbine. The charterers filed suit in admiralty against Delaval, alleging strict liability for design defects in the turbines and negligent supervision during installation, seeking damages for repair costs and lost income while the ships were out of service.
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