Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. et al., (1984) 16 F.T.R. 294 (TD)

JudgeMuldoon, J.
CourtFederal Court (Canada)
Case DateNovember 14, 1984
JurisdictionCanada (Federal)
Citations(1984), 16 F.T.R. 294 (TD)

Weyerhaeuser v. Anglo Cdn. Shipping (1984), 16 F.T.R. 294 (TD)

MLB headnote and full text

Weyerhaeuser Company, Weyerhaeuser Canada Ltd., De Keyser Expeditions S.A., Aussedat-Rey S.A., Intermills S.A., Guillaume de Grave, Koninklijke Nederlandsche Papierfabriek, Papeteries de Clairefontaine, and Société F. Beghin (plaintiffs) v. Anglo Canadian Shipping Company Limited, Anglo Canadian Shipping (Westship) Ltd., Brostrom Bulk and Tank Division of A.B. August Leffler, Yamashita-Shinnihon Steamships Co. Ltd., New American Shipping Corp. Incorporated and The Ship "Liberian Statesman" (defendants)

(No. T-4030-76)

Indexed As: Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. et al.

Federal Court of Canada

Trial Division

Muldoon, J.

December 4, 1984.

Summary:

The plaintiffs commenced an action in contract and in tort for damages against, inter alios, the charterers of a ship for damage caused to cargo during a voyage.

The Federal Court of Canada, Trial Division, dismissed the plaintiffs' action.

(This 1984 case is being reported at this time at the request of one of our readers.)

Shipping and Navigation - Topic 1805

Carriage of goods - General - Contractual v. tortious liability - The Federal Court of Canada, Trial Division, discussed briefly the overlap of contractual and tortious liability in actions for damages for damage to cargo - See paragraphs 43 to 45.

Shipping and Navigation - Topic 1841

Carriage of goods - Contract of carriage - General - The Federal Court of Canada, Trial Division, referred to authority which suggests that a contract of carriage under a bill of lading is between the cargo owner and the vessel owner and does not involve a time charterer - See paragraph 21.

Shipping and Navigation - Topic 1884

Carriage of goods - Charterparties - Liability of charterer for damaged goods - [See Shipping and Navigation - Topic 2604 below].

Shipping and Navigation - Topic 1884

Carriage of goods - Charterparties - Liability of charterer for damaged goods - A shipper shipped bales of wood pulp aboard the ship "Liberian Statesman" - The bales were loaded in good condition but arrived damaged - The shipper claimed damages against the time charter of the ship for breach of contract - The Federal Court of Canada, Trial Division, discussed the liability of a charterer - The court held that the charterer was not contractually liable to the shipper because the charterers had no contract of carriage with the shipper as evidenced by the time charterer and the bills of lading - The court held further that where there was no contract of carriage; the charterer did not become liable as a carrier under the Hague Rules - See paragraphs 1 to 33.

Shipping and Navigation - Topic 1943

Carriage of goods - Bills of lading - Demise clauses - Validity of - A demise clause in a bill of lading provided that the bill of lading was between the merchant and the owner of the vessel and that the owner only would be liable for damages caused by breach of the contract of carriage - The clause further provided that the agent who executed the bill of lading on behalf of the vessel owner (e.g. a charterer) was not a principal in the transaction and was not liable as a carrier - The Federal Court of Canada, Trial Division, held that this demise clause was valid and must be given its plain meaning (i.e. a charterer was not liable as a carrier for damage to goods carried during the course of the charter) - See paragraphs 31 to 33.

Shipping and Navigation - Topic 2604

Carriage of goods - Liability - Limitations - General - Himalaya clause - A shipper shipped bales of wood pulp aboard the ship "Liberian Statesman" - The bales were loaded in good condition but arrived damaged - The shipper claimed that the charterer was vicariously liable in tort for the stevedores' negligence in handling the bales - The Federal Court of Canada, Trial Division, held that the charterer was not vicariously liable because of the Himalaya clause and other clauses in the bill of lading which exempted agents of the carrier from such liability - See paragraphs 35 to 42.

Cases Noticed:

Paterson Steamships Ltd. v. Aluminum Co. of Canada Ltd., [1951] S.C.R. 852, refd to. [para. 21].

Apex (Trinidad) Oilfields Ltd. v. Lunham & Moore Shipping Ltd., [1962] 2 Lloyd's List L.R. 203, refd to. [para. 21].

Grace Kennedy & Co. Ltd. v. Canada Jamaica Line, Canada West Indies Shipping Company, Ltd. and Aldag, [1967] 1 Lloyd's List L.R. 336, refd to. [para. 21].

Atlantic Traders Ltd. v. Saguenay Shipping Ltd. (1979), 38 N.S.R.(2d) 1; 69 A.P.R. 1 (S.C.T.D.), [paras. 21, 34, 40].

Canadian Transport Co. Ltd. v. Court Line Ltd., [1940] A.C. 934, consd. [para. 26].

Canadian Klockner Ltd. v. D/S A/S Flint, Kubon and Federal Commerce and Navigation Company Limited, [1973] F.C. 988, refd to. [para. 34].

Babb v. Capital Business Machines Ltd. and Wawanesa Mutual Insurance Co. and Babb, [1984] 5 W.W.R. 628, dist. [para. 41].

New Brunswick Telephone Company Ltd. v. John Maryon International Ltd. (1983), 43 N.B.R.(2d) 469; 113 A.P.R. 469; 141 D.L.R.(3d) 193, refd to. [para. 43].

Statutes Noticed:

Carriage of Goods by Water Act, R.S.C. 1970, c. 15, Rules Relating to Bills of Lading, generally [paras. 20, 22, 28]; art. I(a) [para. 32]; art. III, clause 2, 8 [para. 33].

Hague Rules - see Carriage of Goods by Water Act.

Rules Relating to Bills of Lading - see Carriage of Goods by Water Act.

Authors and Works Noticed:

Tetley, Marine Cargo Claims (2nd Ed.) pp. 83, 84 [para. 23].

Counsel:

E. Meyers, for the plaintiffs;

P. Lowry, for the defendants.

Solicitors of Record:

Davis & Company, Vancouver, British Columbia, for the plaintiffs;

Campney & Murphy, Vancouver, British Columbia, for the defendants.

This case was heard in Vancouver, British Columbia, on November 14, 1984, before Muldoon, J., of the Federal Court of Canada, Trial Division, who delivered the following decision on December 4, 1984:

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4 practice notes
  • The Federal Courts and Admiralty Law
    • Canada
    • Irwin Books The Federal Court of Appeal and the Federal Court. 50 Years of History
    • 4 October 2021
    ...note 95; Aris Steamship Co Inc v Associated Metals & Minerals Corporation , [1980] 2 SCR 322; Weyerhaeuser Co v Anglo-Canadian Shipping (1984), 16 FTR 294; Lantic Sugar , above note 94, af’d (1993), 163 NR 191 (CA); Union Carbide v Fednav Ltd (1996), 131 FTR 241; Jian Sheng Co v Great Tempo......
  • Lantic Sugar Ltd. v. Blue Tower Trading Corp. et al., (1991) 52 F.T.R. 161 (TD)
    • Canada
    • Canada (Federal) Federal Court (Canada)
    • 2 April 1991
    ...1 F.C. 483; 104 N.R. 166 (F.C.A.), dist. [paras. 39, 54-59]. Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. Ltd. et al. (1984), 16 F.T.R. 294 (F.C.T.D.), appld. [paras. 42, Statutes Noticed: Carriage of Goods by Water Act, R.S.C. 1985, c. C-15, Hague Rules, art. I [para. 5]; art. II......
  • Lantic Sugar Ltd. v. Blue Tower Trading Corp. et al., (1993) 163 N.R. 191 (FCA)
    • Canada
    • Canada (Federal) Federal Court of Appeal (Canada)
    • 14 October 1993
    ...[1976] 2 S.C.R. 802; 6 N.R. 359; 62 D.L.R.(3d) 1, refd to. [para. 12]. Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. et al. (1984), 16 F.T.R. 294 (T.D.), refd to. [para. Ship Varenna, [1983] 1 Lloyd's Rep. 416, affd. [1983] 2 Lloyd's Rep. 592 (C.A.), refd to. [para. 21]. Statutes N......
  • Carling O'Keefe Breweries of Canada Ltd. c. CN Marine Inc. (C.A.),
    • Canada
    • Court of Appeal (Canada)
    • 21 December 1989
    ...Ltd. (1979), 38 N.S.R. (2d) 1; 69 A.P.R. 1 (C.S. Ire inst.); Weyerhaeuser Co. et autres c. Anglo Canadian Shipping Co. et autres (1984), 16 F.T.R. 294 (lr` inst.); Canadian Klockner Ltd. c. D/S A/S Flint, [1973] C.F. 988 (Ire inst.); Farr Inc. c. Tourloti Compania Naviera S.A., T-5847-80, j......
3 cases
  • Lantic Sugar Ltd. v. Blue Tower Trading Corp. et al., (1991) 52 F.T.R. 161 (TD)
    • Canada
    • Canada (Federal) Federal Court (Canada)
    • 2 April 1991
    ...1 F.C. 483; 104 N.R. 166 (F.C.A.), dist. [paras. 39, 54-59]. Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. Ltd. et al. (1984), 16 F.T.R. 294 (F.C.T.D.), appld. [paras. 42, Statutes Noticed: Carriage of Goods by Water Act, R.S.C. 1985, c. C-15, Hague Rules, art. I [para. 5]; art. II......
  • Lantic Sugar Ltd. v. Blue Tower Trading Corp. et al., (1993) 163 N.R. 191 (FCA)
    • Canada
    • Canada (Federal) Federal Court of Appeal (Canada)
    • 14 October 1993
    ...[1976] 2 S.C.R. 802; 6 N.R. 359; 62 D.L.R.(3d) 1, refd to. [para. 12]. Weyerhaeuser Co. et al. v. Anglo Canadian Shipping Co. et al. (1984), 16 F.T.R. 294 (T.D.), refd to. [para. Ship Varenna, [1983] 1 Lloyd's Rep. 416, affd. [1983] 2 Lloyd's Rep. 592 (C.A.), refd to. [para. 21]. Statutes N......
  • Carling O'Keefe Breweries of Canada Ltd. c. CN Marine Inc. (C.A.),
    • Canada
    • Court of Appeal (Canada)
    • 21 December 1989
    ...Ltd. (1979), 38 N.S.R. (2d) 1; 69 A.P.R. 1 (C.S. Ire inst.); Weyerhaeuser Co. et autres c. Anglo Canadian Shipping Co. et autres (1984), 16 F.T.R. 294 (lr` inst.); Canadian Klockner Ltd. c. D/S A/S Flint, [1973] C.F. 988 (Ire inst.); Farr Inc. c. Tourloti Compania Naviera S.A., T-5847-80, j......
1 books & journal articles
  • The Federal Courts and Admiralty Law
    • Canada
    • Irwin Books The Federal Court of Appeal and the Federal Court. 50 Years of History
    • 4 October 2021
    ...note 95; Aris Steamship Co Inc v Associated Metals & Minerals Corporation , [1980] 2 SCR 322; Weyerhaeuser Co v Anglo-Canadian Shipping (1984), 16 FTR 294; Lantic Sugar , above note 94, af’d (1993), 163 NR 191 (CA); Union Carbide v Fednav Ltd (1996), 131 FTR 241; Jian Sheng Co v Great Tempo......

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