Petition — Weyerhaeuser Co. v. Shepler

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Supreme Court, U. S.

FILED

DEC 9 1977

IN THE SUPREME COURT OF THE UNL TMIBHAGE RODANG JR., CLERK

no. @7-823° - wonntomad

OCTOBER TERM, 1977

PATRICIA ANNE SHEPLER, INDIVIDUALLY AND AS

PERSONAL REPRESENTATIVE OF THE ESTATE OF

OREN D. SHEPLER, DECEASED,

PLAINTIFF-RESPONDENT,

Vv.

WEYERHAEUSER COMPANY, A WASHINGTON

CORPORATION,

DEFENDANT-APPELLANT-PETITIONER,

and

PACIFIC COAST SHIPPING COMPANY, LIBERIA,

DEFENDANT~RESPONDENT.

PETITION FOR A WRIT OF CERTIORARI TO THE

SUPREME COURT OF THE STATE OF OREGON

KENNETH E. ROBERTS

PAUL N. DAIGLE

RIDGWAY K. FOLEY, JR.

SOUTHER, SPAULDING, KINSEY,

, WILLIAMSON & SCHWABE

1200 Standard Plaza

Portland, Oregon 97204

Telephone: (503) 222-9981

Counsel for Petitioner

TABLE OF CONTENTS

PETITION

Page

Opinions BelOW..ccccccccescsescee 2

JUTISEGICCIONc ccccccscedsccecccese &

Questions Presented for Review... 6

Statutory Provisions Involved... 7

Statement of the Case

A. Statement of Facts.......... 8

1. Weyerhaeuser employs an

expert stevedore to

1GG8 GRO VORGELcccccccsss 8

2. The Longshoremen chose

to "dead-end" the logs... 12

So TO ASSIGeRtccccccccsccee IG

4. No one told Weyerhaeuser

that “bull winches"

would improve safety.... 17

B. Basis for Federal

SOE ees ch cekdestiéoesies§ «692

Reasons for Allowing Writ....... 22

Summary of Argument...........+. 22

ii

Argument

I. Shipowner's Standard of Care..

A. The 1972 Amendments: Legis-

lative History and Meaning....

B. The Charterer is not Liable

for injuries caused by open

and obvious conditions........

C. The Charterer does not owe any

duty to provide a safe place

to ans ces ee 6 *-e3neee#ee#e¢ e*enre#ee#e#ee#ee

D. The Oregon Supreme Court im-

properly rejected Restatement

§§ 343, 343A because these

sections allegedlv embody

"Assumption of the Risk"

factors and unfairly favor the

BOREL GRG se 6 cc cccasdvecesoeeeees

(1) Assumption of Risk - the

forbidden phrase.........

(2) Are landowners a favored

CR, 6k owe bbe 6 obese

(3) Restatement §§ 409-429,

which envision. indemnity

from the causative ayent,

do not apply under the

1972 Amendments which pre-

vent the shipowner or char-

terer from securing indem-

nity from the negligent

BEOVOGOES . cc cacccccesccce

26

26

29

32

35

36

39

39

iii

E. The Oregon Supreme Court

standard not only does not

govern maritime negligence

cases arising under the

1972 Amendments but also

ignores the undisputed

facts of this CaSe€.......+--.

II. Equitable Credit.........--.

Conclusion...... eccvececoce oeeeee

APPENDIX

A. Special Interrogatories.....

Judgment Order....-eeeeeeeees

B. Opinion of the Supreme

Court of the State of Oregon

Letter from Supreme Court

of the State of Oregon

Amending its Opinion........

C. Article III, § 2, cl. 1 of

the United States Consti-

Cmte can cceecseseseseoeoeoe

28 U.S.C. § + yi e) ee

28 Tv ~ oe § ZiGL (eS) ccccceccs

D. 33 0.8.C. § SOS () ccececsccces

E. Restatement § ) eer

Restatement § 343A....++ee-

F. Equitable Credit Comments...

A-82

A-84

A-85

A-85

A-87

A-88

A-89

A-90

iv

INDEX OF AUTHORITIES

Cases

Alaska SS Co. v. Peterson, 347 U.S.

Dee. CROOO Cho 4.5655 6 bib cb Sh Seb es

Albanese v. Matts, 382 U.S. 283

SE 6 6h60%0 6604488654 Terry yt

A.N.G. Stevedores v. Ellerman .

Lines, 369 U.S. 355 (1962)......

Anuszewski v. Dynamic Mariners

Corp. Panama, 391 F. Supp. 1143

(D. Md. 1975), aff'd, 540 F.2a

757 (4th Cir. 1976), cert.

denied, 429 U.S. 1098, 97 S. Ct.

1116, 51 L. Ed.2d 545 (1977)....

Arthur v. Parish, 15 Or. 582, 47

i 8 RS ere eee

Askew v. Howard-Cooper Corp.,

263 Or. 184, 502 P.2d 210 (1972)

Beemer v. Lenske, 241 Or. 47, 402

Pom Ge Gel caueetceeteeadtees<

Bess v. Agromar Line, 518 F.2d

See COG Gabe BOON sc hcé cin cicecas

Birrer v. Flota Mercante Gran-

colombiana, 386 F. Supp. 1105

es Ts PP we tceddas duewe cbs

Blassingill v. Waterman ss Corp.,

336 F.2d 367 (9th Cir. 1964)....

Bossard v. Exxon Corp., 559 F.2d

san ee. o- 2 ., eee

Bovia v. S/S Agia Erini, 433 F.

Supp. 1020 (E.D. La. 1977)......

Brown v. Mitsubishi Shintaku

Ginko, 550 F.2d 331 (5th Cir.

1977), rehearing denied June 8,

DPV ls-wktinseche ccndbaneebilesees.s

Butler v. O/Y Finnlines, Ltd.,

537 F.2d 1205 (4th Cir. 1976)

Cappems pemiiaed ..ccccciccccccen

Page

A-40

30

A-78

37

A-78,A-79

33

26

A-39,A-40

31

34

32,34

33

INDEX OF AUTHORITIES (Cont.)

Citizen v. M/V TRITON, 384 F.

Supp. 198 (E.D. Tex. 1974)......

Croshaw v. Koninklijke, Nedlloyd,

B. V. Rijswijk, 398 F. Supp.

1224 (D. Or. BOTEP ccocceceoeceees

Crumedy v. The J. H.. Fisser, 358

oF 423 CROROP cocccoecesoeoceose

Cummings v. "SIDARMA" Soc., 409 F.

Supp. 869 (E.D. La. 1976).......

Cir. LOGS) ccccccvecseceocseseceese

Dodge v. Mitsui Shintaku Ginko K.K.

Toyko, 528 F.2d 669 (9th Cir.

Page

33

A-29,A-70,

A-75,A-91

A-39

31

Denneny v. Siegel, 407 F.2d 433 (3d

A-18

1975), cert. denied, 425 U.S. 944,

96 S. Ct. 1685, 48 L. Ed.2d 188

CAOTO! cc cusevbse bsedderebecetsecos

atlantique, 558 F.2d 186 (4th

Cir. 1977) (rehearing en banc

granted June 3, 1977, argued

October 6, 1977) .ccccccccccccces

Erie R. Co. v. Tompkins, 304 U.S.

64 (1937) -cccccccccccccccccccesce

Fedison v. Vessel WISLICA, 382 F.

Supp. 4 (E.D. La. 1974).........

Fitzgerald v. Compania Naviera La

Molinera, 394 F. Supp. 413 (E.D.

LA. 1975) -cccccccccccccccccccess

Frasca v. Prudential-Grace Lines,

Inc., 394 F. Supp. 109 (D. Md.

1978) cccccccdecsodccesesoccoceee

Gallardo v. Westfal-Larsen, 1977

A.M.C. 1325 (N.C. Cal. 1977)....

Gautret v. Edgerton (1867) L.R. ‘2

CoP. Blecccccccccccccccccececes

Gay v. Ocean Transport & Trading

Ltd., 546 F.2d 1233 (5th Cir.

1977), rehearing denied 549 F.2d

203 (Sth Cir. 1977) .cccccccccccs

24,46

Edmonds v. Compagne Generale Trans-

24,46,

A-76,A-77

A-83

30,32

33

33

42

A-48

29,32

vi

INDEX OF AUTHORITIES (Cont.)

Heaven v. Pender, 11 Q.B.D

1 mein: pee epamasaie gi

Hess v. Upper Mississippi Towing

| g

Corp., 559 F.2d 1030

Bp gtlndtnicloom susan ah

Hite v. Maritime Overseas Corp.,

pap Me (E.D. Tex. 1974)

also F. Supp. 233 (E.D.

Tex. a eee oer wee

Hurst v. Triad, a)

554 F.2d 1237 (3rd Cir. 1977),

‘ a a

ndermaur v. Dames (1866) L.R.

Gels - phalivennesnlencneadamegece ted

Italia Societa v. Oregon Stevedor-

ing Co., 376 U.S. 315 (1963)....

Jacobs v. Tidewater Barge Lines,

277 Or. 809, 562 P.2d 545 (1977)

Jacobson v. Tahoe Regional Plann-

ing Agency, 558 F.2d 928 (1977).

Johnson v. Clark Equipment Co.,

274 Or. 403, 547 P.2d 132 (1976)

Johnson v. Zenith Navigation,

F. Supp. (No. 74-1502)

(E.D. La. ie a

sagan *: Empresa Hondurenea de

apores S.A., 57 Cal. App.3d 52

129 Cal. Rptr. 32 (1976)........

Lloyd Westcott v. Empresas

me % * S.A. Panama, et al,

. (9th Cir. No.

po ag decided November 14,

Lucas v. "BRINKNES" Shiffahrts

Ges., 379 F. Supp. 759 (E.D. Pa.

1974), appeal dismissed 387 F.

Supp. 440 (3d Cir. 1975)........

Marant v. Farrell Lines, Inc.,

550 F.2d 142 (3d Cir. 1977).....

Page

42,A-61

31,43

30,31,32

36,A-52,A-5

A-48

A-40

A-19,A-34

A-83

38

33

40

30,34,35

26,27,32

A-18,A-92

vii

INDEX OF AUTHORITIES (Cont.)

Page

Miles v. Shell Oil Company, 498

F.2d 105 (5th Cir. 1974).....---- 30

Mitchell v. Trawler Racer, Inc.,

362 U.S. 539 (1960)... -eeeeeeeees A-29

Munoz v. Flota Merchante Gran-

colombiana S.A., 553 F.2d 837

(2d Cir. 1977) ..ceeneeerreceeces 34,43

A-56,A-57

Myers v. Cessna Aircraft,

550 F.2d 142 (3rd Cir. 1977).-.- A-19

Napoli v. [Transpacific Carriers,

Etc.] Hellenic Lines, 536 F.2d

505 (2d Cir. 1976)..--eeeeeeeee- 31,A-57

Newman v. Utility Trailer, 278 Or.

395, 564 P.2d 674 (1977)...-+--- 44

Parker v. Costa Amatori S.P.A.,

F. Supp. (No. 74-454-N,

E.D. Va. 1975) ccccccccccccccccee 32

Pope & Talbot, Inc. v. Hawn, 346

U.S. 406, 74 S. Ct. 202, 98 L.

BA. 143 (1953) .ccccccccccccccsess 29

Ramirez v. Toko Kaiun K.K., 385

F. Supp. 644 (N.D. Cal. 1974)... 33

Reinan v. Pacific Motor Trucking

Co., 270 Or. 208, 257 P.2d 256

(1974) .cccccccccccccecessccscees A-80,A-81

Robinson v. Dixie Machine W & M

Works, et al., 1975 A.M.C. 2114

(E.D. La. 1975) cccccccccccceeees 33

Ruffino v. Scindia Steam Navigation

Co., 559 F.2d 861 (2d Cir. 1977) 34,43

Ryan Co. v. Pan-Atlantic Corp.,

350 U.S. 124 (1956)....eeereeee- A-30

Seas Shipping Co. v. Sieracki, 328

8.8. GS €1S46) ccccceccdaceseceese An-2d

Shellman v. United States Lines,

528 F.2d 675 (9th Cir. 1975),

cert. denied, 425 U.S. 936, 96

S. Ct. 1668, 48 L. Ed.2d 177

(1976) .c cece eee err eeereeeeeeeeee 24,25,46,

56,A-76

viii

INDEX OF AUTHORITIES (Cont. )

Page

Skibinski v. Waterman SS Corp.,

360 F.2d 539 (2d Cir. 1966)..... A-39

Slaughter v. RONDE, 390 F. Supp.

637 (S.D. Ga. 1974); aff'd, 509

PeSe DIS COG ChB. BOTS) occ cccca 32,33

Sloan v. Deniz Nakliyatin, 1975

A.M.C. 236 (Fla. Cir. Ct. 1974). 30

Southern Pacific v. Jensen, 244 U.

os Dee COUP s ebbe¥eudibacisscccs ee

Strandholm v. General Const. Co.,

235 Or. 145, 382 P.24 843 (1963) A-79

Stranahan v. A/S Atlantica &

Tinfos Papirfabrik, 471 F.2d

369 (9th Cir. 1973), cert.

denied 412 U.S. 906, 93 S. Ct.

2293, 36 L. Ed.2d 971 (1973).... 27

Stillwell v. S.I.A.C., 243 or.

158, 411 P.2d 1015 (1966)....... A-79

Streatch v. Associated Container

Transp. Ltd., 388 F. Supp. 935

. COR. CoB. AWPBdaccccccccccee B32

Teofilovich v. D'Amico Medit./

Pacific Line, 1976 A.M.C. 1621,

F. Supp. (C.D. Cal.

i EE n-ne RT a 40

Thad Higgins v. Flota Mercante

Grancolombia, F. Supp.

(74 Cir. 5510 (C.C.M.)] (S.D.

wat... * > £47»

"The Lottawanna," 21 Wall, 558

SPPEP US en bubesusiécccdececdscks ea

The Osceola, 189 U.S. 85 (1946)... A-29

Valle v. Jugoslavenska Linejska

Plovidba, 434 F. Supp. 608 (S.D.

W4Ue SUC shbesacWedeckdudwcdceca Of

Vega v. Pan Am. Fruit Co., 1975

A.M.C. 187 (S.D. N.Y. 1974)..... 33

West v. United States, 361 U.S.

118, 80 S. Ct. 188, 4 L. Ed.2a

See GR Giivieuted wedks tas seseoee af

ix

INDEX OF AUTHORITIES (Cont.)

Statutes and Constitution Page

1972 Amendments to the Longshore-

men's and Harbor Workers’ Com-

pensation nti Stat. ees

ober ; 060s eeee8 pae4s

19992, 23, 24, 25, 26,27, 28, 36 37,38, 39,40, 41,43,

45,48,49,A-7,A-8,A-9,A-29,A-30,A-31,A-32,

A-34,A-39,A-43,A-51,A-52,A-56,A-70,A-73,

A-80,A-83,A-90,A-91,A-92

Occupiers' Liability Act, 1957.... A-48

United States Constitution, Art.

COP, OB Bec cdesiccsededecseeteess OR

United States Constitution, Art.

COS. BE, Ge Ecicccscecacsevessss 6988 ies

28 U.S.C. § 1257(3) .cccccccccccces 6,22,A-

Keeesevaceunéee : ener ses

28 U.S.C. § 2101(c). oeae

33 U.S.C. § 901 et Seqe.ccccccccee And

33 H.8.C. S BOL(ZL).cccccsscecsccce ABD -

33 0.8.4. 8 BOScccccceccccccsccess AP40,A- :

33 U.S.C. § 9O5S(D) .ccccccccccccccs 3¢7e8,23,25,

26,41,43,47,48,A-18,A-29,A-33,A-54,A-60,

Oregon Constitution, Amended a

Art. VII, GS Si ccccccccccscccceecs

Texts, Treatises and Other Authorities

j j ed.

gg Ratopseeyy liei wee

J. Cohen and D. Dougherty, "'The

1972 Amendments to the Longshore-

men's and Harbor Workers' Com-

pensation Act: An Opportunity

for Equitable Uniformity in Tri-

partite Industrial Accident Liti-

gation.'" 19 N.Y.L.F. 587 (1974) A-91

INDEX OF AUTHORITIES (Cont.)

P

Coleman, Randall C. and Daly, Jr., ,

- Warren B., “Equitable Credit:

Apportionment of Damges Accor-

ding to Fault in Tripartite

Litigation Under the 1972 Amend-

ments to the Longshoremen's and

Harbor Workers' Compensation

Act," 35 Maryland L. Rev.

SUOW"GRR GE Vel 6 chvidet Cascctcceee BOS

Deacon, The Injured Longshoreman

vs. The Shipowner After 1972:

Business Invitees Land-Based

Standards, and Assumption of

Risks, 28 Hastings L.J. 771

SROTUN 6 cc cevere GaSe hedddesecses BO

arse Fai Without

au Pet cedeecevetenkeeedcse - -

a The Law of Torts, 3d ed, i ceuies

Pp. Co cep eee Ceecesaaecceesedos -

Fleming, The Law of Torts, 3d ed ibe

(2965) wcccccvccccccecccccccccces A-47,A-48

Gilmore & Black, The Law of

Admiralty, (2d ed The Foundation

Press, Inc., Mineola, N.Y. 1975)

CBS | Om hac cescéccesccxcctocsecs Ot

2 Harper and James, The Law of

Torts 1430 et seq. (1956)....... A-49

House Report No. 92-1441.......... 28,36,37,43,

A-36,A-37,A-39,A-45,A-49,A-52,

A-54,A-70,A-71,A-72,A-76

Odgers, [1957] Com. L.J. 39....... A=-48

Payne, 21 Mod. L. Rev. 359........ A-48

Prosser, Law of Torts 35l, 4th ed.,

Hornbook Series (1971).......... A-48

Prosser, Law of Torts (4th ed, West

Publishing Co., 1971) 468 § 71.. 41

Chapter 15, Restatement (Second)

GE FOCEGe do cei ccctéssscsccbrcess. B62

xi

INDEX OF AUTHORITIES (Cont.)

Page

2 Restatement 215-216, Torts

Second § 343... ceeeeeeeeeeeees 29,31,35,37,

39,41,A-34,A-42,A-43,A-45,A-88,A-89

2 Restatement 218, Torts Second

GS BABA. cccccccccccccccsccseccces 29,31,35,37,

39,42,A-34,A-42,A-43,A-45,A-46 ,A-89

2 Restatement 219-220, Torts

Second § 343A, comment e.......- 35

2 Restatement 370-426, Torts Second

S§ 409-429... cc cece cence cece reeee 36,39,40,

A-53,A-54,A-55

2 Restatement (Second) of Torts

SM oni neeceseeetestacvecescose APR

Section 410 of Restatement

(Second) of TOrtS....seeeeeeeces A-62,A-63,

A-64

Section 413, Restatement (Second)

ne Cee. oc ceceseccscedeséioos «BER, a

2 Restatement (Second) of Torts

D BhBccccccccsccdostcevccovcsses BBB eATS

A-59

2 Restatement 396, Torts Second

§ 416, comment C.....eeeeeeeeeee 41

Robertson, "Negligence Actions by

Longshoremen against Shipowners

Under the 1972 Amendments to the

Longshoremen's and Harbor

Workers' Compensation Act,"

pp. 449-50 Journal of Maritime

Law and Commerce (April 1976)... A-51,A-56,

: A-83

Salmond, Chap. 12......seecccccceee A-48

Senate Report of the. Labor and

Public Welfare Committee, No.

92-1125, September 14, 1972..... A-36,A-37

A-38,A-39,A-40,A-41,A-42,A-45,A-49,A-52

A-54,A-70,A-71,A-72,A-76

Street, Chap. 10, Sect. 2.......-- A-48

xii

INDEX OF AUTHORITIES (Cont.)

Page

Theis, Amended Section Five of

the Longshoremen's and Harbor-

workers' Compensation Act, 41

SOMRe LR. FIZ (1974). ccccccccee Ada

3 U.S.C. Cong. & Ad. News 4698.... 23,28,36,

3

Vickery, E. D., "Some Impacts of eg

the 1972 Amendments to the Long-

shoremen's and Harbor Workers'

Compensation Act," 41 Ins. C.J.

CS WOR. 197E) oc ccccccsesccevcces £63,866

A-90,A-91

IN THE SUPREME COURT OF THE UNITED STATES

NO.

OCTOBER TERM, 1977

PATRICIA ANNE SHEPLER, INDIVIDUALLY AND AS

PERSONAL REPRESENTATIVE OF THE ESTATE OF

OREN D. SHEPLER, DECEASED,

PLAINTIFF-RESPONDENT,

Vv.

WEYERHAEUSER COMPANY, A WASHINGTON

CORPORATION,

DEFENDANT-APPELLANT-PETITIONER,

and

PACIFIC COAST SHIPPING COMPANY, LIBERIA,

DEFENDANT-RESPONDENT.

PETITION FOR A WRIT OF CERTIORARI TO THE

SUPREME COURT OF THE STATE OF OREGON

Weyerhaeuser Company, a Washington

corporation, prays that a Writ of

Certiorari issue out of this court to

review the judgment of the Supreme

Court of the State of Oregon entered

in the above-entitled case.

OPINIONS BELOW

Plaintiff, Patricia Anne Shepler, in

her individual capacity as surviving

Spouse and as personal representative of

Oren D. Shepler, deceased (hereinafter

referred to as "Mr. Shepler" or "plain-

tiff") commenced an action at law seeking

damages for bodily injury and wrongful

death of Mr. Shepler on December 21, 1972,

from defendant, Weyerhaeuser Company

(hereinafter referred to as "defendant

Weyerhaeuser” or "charterer") and defen-

dant, Pacific Coast Shipping Company,

Liberia, (hereinafter referred to as

"defendant Pacific Coast" or "shipowner").

Plaintiff's cause of action sounded in

negligence and rests upon the 1972

Amendments to the Longshoremen's and Harbor

workers' Compensation Act. 33 U.S.C. § 905

(b); see STATUTORY PROVISIONS INVOLVED, (Pet.

pp. 7-8, and Appendix D, p. A-87, infra). Mr.

Shepler's death arose out of his occupation

as a longshoreman employed by Portland

Stevedoring Company (hereinafter referred

to as the “stevedore") during the loading

of logs aboard the M/S PACKING on navigable

waters of the Columbia River in Longview,

Washington. At the time of the accident,

Pacific Coast had chartered the M/S

PACKING to Weyerhaeuser under a Beizai

Charter Party (Ex. 12), a voyage charter

for twenty-four consecutive voyages, and

Weyerhaeuser had contracted with the

stevedore to perform the loading operation

(Ex. 44). Mr. Shepler fell approximately

twenty-six feet to his death into a gap

between the cargo and the bulkhead while

climbing on the end of some loaded logs

(Tr. pp. 257-258, 318).

The trial came on for hearing on

December 15-18, 1975, before the Honorable

Robert E. Jones, Circuit Judge, Multnomah

County, State of Oregon, sitting with a

jury. At the end of plaintiff's case-in-

chief, the Circuit Court granted the ship-

owner's motion for a directed verdict (Tr.

p. 419). The trial court denied Weyer-

haeuser's motions for a judgment of in-

voluntary nonsuit (Tr. pp. 420-429) and for

a directed verdict (Tr. pp. 546-547) which

raised the questions concerning the duty

and standard of care of the charterer

under the 1972 Amendments. Judge Jones

submitted the cause to the jury on

two allegations of negligence directed to

Weyerhaeuser:

(1) "In failing to author-

ize the use of a bull winch

under the circumstances then

and there existing", and

(2) “In requiring the dead-

ending of the log drafts" (Trial

court file; Tr.p. 422).

In response to special interrogatories,

which necessarily raised the equitable

credit doctrine, the jury found the

charterer Weyerhaeuser twenty-eight

percent negligent, the stevedore seventy-

two percent negligent, and assessed

plaintiff's damages at $500,000.00 (App.

A; trial court file). Weyerhaeuser

appealed from the judgment entered upon

this verdict. The decision of the state

Circuit Court, consisting of a verdict on

special interrogatories and judgment, not

officially or unofficially reported, ap-

pears verbatim in Appendix A (A-1 - A-5).

The Supreme Court of the State of

Oregon affirmed the judgment of the

Multnomah County Circuit Court on September

13, 1977, in an Opinion officially and

unofficially reported at 279 Or. 477, 569

P.2d 1040 (1973). This Opinion is ap-

pended verbatim as Appendix B (A-6 ~

A-83).

JURISDICTION

The judgment sought to be reviewed is

dated September 13, 1977, and mandate was

stayed on November 15, 1977.

The constitutional and statutory

provisions believed by petitioner to confer

jurisdiction on this court to review the

judgment in question are the Constitution of

the United States, Art. III § 2, cl. 1l; 28

U.S.C. § 1257(3); and 28 U.S.C. § 2101(c),

which are reproduced in relevant part in

Appendix C (A-84 - A-86).

QUESTIONS PRESENTED FOR REVIEW

l. What duty do shipowners or

charterers owe to longshoremen employed by

expert independent stevedores under the

1972 Amendments to the Longshoremen's and

Harbor Workers' Compensation Act, 33

U.S.C. § 905(b)?

2. If a charterer may be held

liable to a longshoreman injured during a

loading operation, where the jury finds

the charterer only twenty-eight percent

at fault and assesses the stevedore-employ-

er's responsibility at seventy-two percent,

must the charterer respond for 100% of the

plaintiff's damages under the exclusive

remedy provision of the 1972 Amendments to

the Longshoremen's and Harbor Worker's

Act, or is it entitled to equitable credit

for the stevedore's fault?

STATUTORY PROVISIONS INVOLVED

This petition concerns, as a matter of

first impression, the interpretation of the

shipowner's or charterer's duty to an in-

jured longshoreman under Pub. L. 92-576, 86

Stat. 1265 (October 27, 1972), 33 U.S.C. §

905(b) (see Appendix D, A-87 - A-88,

infra, for full text).

STATEMENT OF THE CASE

A. Statement of Facts.

l. Weyerhaeuser employs an expert

stevedore to load the vessel.

Weyerhaeuser ships logs to its

purchasers throughout the world, both on

owned and on chartered vessels (See, e.g.

Tr. pp. 292, 434, 485 et seq).

Weyerhaeuser does not load any owned

or chartered vessels (Tr. p. 92). In-

stead it contracts this responsibility to

independent expert stevedores, in this

case, Portland Stevedoring Company (Ex. 44;

Tr. pp. 488-489) under a "Cost plus a

commodity fixed fee" contract (Tr. p. 500,

confirm p. 526). The stevedoring contract

all men and material necessary to the safe

provides that the stevedore will furnish

and efficient execution of the loading or

discharge of cargo (Ex. 44). Weyerhaeuser

expects the stevedore to comply fully with

the minimum safety regulations contained in

the Pacific Coast Marine Safety Code

during its work on chartered vessels (Tr.

pp. 192-193, 496).

The stevedore furnishes all gear nec-

essary to work the ship (Tr. pp. 531, 533).

The Stevedore determines how to load the

vessel and the charterer merely specifies

what cargo should be loaded and where it

is to be loaded (Tr. pp. 504-505, 535); the

stevedore walking boss and hatch boss de-

cide how to load the cargo in the hatch (Tr.

p. 344). Weyerhaeuser did not tell the

stevedore gang boss how to load the logs in

the hatch - that constitutes the longshore-

man's choice (Tr. pp. 288, 480, 486).

10

Weyerhaeuser pays a union supercargo,

Mr. Pitzer in this case, to oversee its

interests during loading (Tr. pp. 187, 485-

486). He acts primarily as a clerk (Tr.

pp. 136, 467, 475) and sednee the logs

from the log yard to the ship (Tr. p. 291);

the “lineup" of logs consists of the

particular lengths, widths and diameters

ordered by the Japanese buyer (Tr. pp. 292,

485-486). Mr. Wilson, the Weyerhaeuser

loading superintendent, takes the purchase

orders and assigns the cargo to a specific

ship (Tr. p. 434) with the assistance of the

Supercargo (Tr. pp. 485-486). In simple

terms, Weyerhaeuser ships what the pur-

chaser orders (Tr. pp. 292, 485-486). The

supercargo is not a safety engineer (Tr.

p. 447).

Code and custom place the primary bur-

den for waterfront safety upon the stevedore

and its employees (Tr. pp. 153, 344, 469) and

ll

require the supervisory stevedore personnel

to ascertain that all working conditions

are safe and that the men carry out the

operation in a safe manner (Ex. 18; Tr. p.

153). Mr. Tucker Mayeda, the stevedore

superintendent (Tr. p. 109) and superior on

the M/S PACKING job (Tr. p. 154), admitted

that he owed a duty to halt work if any of

his men were placed in danger (Tr. pp. 154-

155); he did not stop work in this instance

(Tr. p. 155). No one complained about any

unsafe working conditions in the number one

hatch of the M/S PACKING (Tr. p. 175).

As the stow increased in height, a

crevice developed between the end of the

logs and aft bulkhead (Tr. pp. 154, 173)

because, as the load built up, the bridle

which held the descending logs tended to

strike the coaming and inhibited the drift

of the logs toward the after bulkhead (Tr.

p. 188). Nothing prevented the stevedore

12

from rolling logs back into the open area

and filling the void (Tr. p. 494).

Stevedore superintendent Mr. Mayeda

described the condition as obvious and

apparent to all concerned (Tr. p. 171);

Supercargo Mr. Pitzer concurred (Tr.

p.- 201). Mr. Walter Lawrence Rappana,

Jr., testified that he did not consider

the condition unsafe or unusual (Tr. pp.

324-325). Mr. Mayeda knew of the condi-

tion and did not halt the practice (Tr.

pp. 154-155). Gang boss, Mr. Scott, did

not know beforehand that Mr. Shepler and

Mr. Rappana were going to crawl down the

stow (Tr. p. 274). Stevedore hatch tender,

Mr. Witham, viewed the stow just prior to

the accident and noticed nothing unusual

about it (Tr. pp. 302-303).

Ze The Longshoremen chose to

"dead-end" the logs.

13

The workmen in the hold, including

Mr. Shepler, decided to employ a loading

method known as “dead-ending" in order to

achieve a tighter stow by rolling the logs

into the wings (Tr. pp. 237-238, 252, 267,

327). "Dead-ending" involves attaching a

wire rope to a log in place with a “bear

claw" (Ex. 31; Tr. p. 237) (The "dead-end"),

extending the wire rope under another log

to be moved, and rolling the second log

into place against the first by manipu-

lating the wire rope with a crane (See,

e.g., Tr. pp. 161, 189, 237-238, 296-297,

313-314, 443-444). No one instructed the

longshoremen to use this method; Mr.

Rappana, the longshoreman teaming with Mr.

Shepler at the time of his death (Tr. p.

308), testified that he and Mr. Shepler

decided to employ this method (Tr. p. 327).

Mr. Scott, gang boss on the number one

hatch (Tr. p. 226), testified to the same

effect (Tr. p. 267).

14

Mr. Mayeda and other stevedore

Supervisors specifically testified that

neither the Weyerhaeuser representative,

Mr. Wilson, nor the Weyerhaeuser super-

cargo, Mr. Pitzer, requested, required or

advised any stevedore employee to "dead

end" the log drafts (Tr. pp. 158-159) or to

perform any unsafe loading practice (Tr.

pp. 200, 348). Longshoremen take orders

from their employer and superior, not from

the shipper (charterer) representatives (Tr.

pp. 195, 197, 228, 263, 288). Stevedore

eabhion boss, Mr. Monroe, conceded that no

Weyerhaeuser employees told him to proceed

with unsafe loading practices or to place

his men in jeopardy (Tr. p. 348). Mr.

15

boss, Mr. Monroe, (Tr. p. 331) did

not know that his employees were “dead-

ending" the logs in the hatch (Tr. p.

352). Mr. Wilson did not direct the

longshoremen to practice "“dead-ending"

(Tr. p. 444).

Alternative methods to "dead-ending"

exist by which the longshoremen can move

log drafts into the wings (Tr. pp. 445,

473).

3. The Accident.

i.’ ebisiinin and Mr. Shepler "“dead-

ended" the first load of logs after lunch

(Tr. pp. 311-313, 327); in the process,

the "bear claw” became entwined in the

stow which the men rolled (Tr. p. 313).

Wilson of Weyerhaeuser declared that he No one directed Mr. Shepler or his partner

requested Mr. Mayeda to secure a tight to release the "bear claw"; often, this

stow, but that he did not tell him the gear ig left aboard for removal and return

means and methods to employ in achieving upon discharge (Tr. pp. 241-242, 263-264).

16

shoreman (Tr. p. 225), descended over the

end of the logs and tried to remove the

device (Tr. pp. 299, 316). His endeavor

failing, Mr. Shepler started to climb back

to the top of the stow (Tr. pp. 316, 318).

Mr. Shepler wore special safety "sandals",

spiked shoes for better footing (Tr. p.

284). Mr. Rappana turned away and concen-

trated his attention elsewhere, so he did

not observe the accident; he heard Mr.

Shepler plummet to the surface below (Tr.

pp. 317-318). Consequently, plaintiff

could adduce no evidence of the actual

cause of Mr. Shepler's fall (see Tr. p.

318). No one knows if he slipped, jumped,

fainted or fell for some other reason. No

prior accidents occurred at this hatch

(Tr. p. 505). No Weyerhaeuser employees

were present at the scene of the accident

(Tr. pp. 196, 438).

17

Mr. Witham, the hatch tender and

safety man from the stevedore gang

(Tr. pp. 295, 305), observed Mr. Shepler's

movements and had no concern for his

safety (Tr. pp. 305, 307). Gang boss, Mr.

Scott, (Tr. p. 227) described Mr. Shepler

as a good, safe longshoreman, not a man

prone to take risks (Tr. pp. 254, 268).

4. No one told Weyerhaeuser that

"bull winches" would improve

safety.

Plaintiff contended that a stowing

machine termed a "bull winch" should have

been utilized to eliminate any hole (Tr.

p. 239). The shipowner has not supplied

bull winches on any of its chartered

vessels for at least ten years and the

ship's general agent could not recall

seeing them used (Tr. pp. 95-96). The

other witnesses unanimously agreed that no

one has employed these devices for a

18

number of years and the method is consid-

ered obsolete (Tr. pp. 95-96, 138-139,

211, 264-265, 289, 342, 437, 492). The

stevedore had two bull winches available

in its gear (Tr. pp. 116, 162, 342). Mr.

Mayeda, the stevedore superintendent (Tr.

pp. 109, 154), could have ordered a bull

winch if he believed the mode of stowage

constituted a safety hazard (Tr. pp.

140-141). The stevedore has loaded the

M/S PACKING on two subsequent occasions in

Longview and no longshoremen ever requested

the use of a bull winch (Tr. p. 475), nor

did any party introduce evidence of use of

bull winches on any other voyage.

Captain McKimmey of Weyerhaeuser

would not have authorized the use of a

bull winch, a dangerous device, if asked,

but the stevedore could have countermanded

his decision if it determined such use

would be appropriate (Tr. p. 504).

19

Plaintiff adduced evidence that Mr.

Mayeda and ofher stevedore employees

advised Weyerhaeuser personnel that the

use of bull winches would produce a very

tight stow and Weyerhaeuser declined to

authorize their employment (Tr. pp. 112,

116-117, 336-337, 525-526). At no time in

the discussions did anyone from the

stevedore intimate that failure to use

bull winches would or could create a

safety hazard for the longshoremen in the

hold. ‘The discussions always centered on

the tightness of the stow, not any safety

factor (Tr. pp. 140, 160, 198, 341, 440,

527, 529). No one indicated that the

stevedore planned to employ unsafe loading

practices (Tr. p. 141). Mr Lyle Devenney,

stevedore vice-president (Tr. p. 523),

made this point clear:

"Q - »« « You didn't tell Captain

McKimmey or whoever you talked

to at Weyerhaeuser that your

20

company could not stow the ship

safely without bull winches, did

you?

"A It's just that at no time

was safety brought up. It was

just what was my ideas for a

tighter stow.

"Q You were satisfied in your own

mind that your company could

load the ship in a safe manner

without the use of bull winches;

isn't that correct?

"A As I say again, that I'm

bound by contract. The contract

with Weyerhaeuser, part and

parcel of that contract is that

we carry on the work in a safe,

workmanship manner. Again

I repeat that at no time

was Safety ever brought up.

"Q The only way the bull winches

came up was tightness of the stow?

"A Yes." (Tr. p. 527) [Empha-

sis supplied.]

In addition to the various stevedore

supervisory personnel and other longshore-

men, Mr. Shepler's gang included four

holdmen (Tr. pp. 199, 243). Two of these

four men work in the morning and the other

two (Mr. Shepler and Mf. Rappana) work in

21

the afternoon, although all four receive a

full day's pay (Tr. pp. 243, 260 et seq,

308-309, 326-327). If a longshoreman

deems it necessary to climb over the end

of some logs, his employer possesses the

necessary gear and manpower to construct a

safety line, safety belt, harness or other

precautionary device (Tr. pp. 156, 281,

327-328, 351-355). Safety lines and re-

lated items constitute standard equipment

in the stevedore's gearbox (Tr. pp. 156,

198-199, 350). The longshoremen do not

expect Weyerhaeuser enpievese to enter

their territory and rig a safety ne-

(Tr. pp. 286-287). Gang boss, Mr. Scott,

testified that had he encountered any

concern for the safety of his men, he

would have instructed the extra two

holdmen to devise a sling, safety line, or

protective harness; had he taken this

22

simple step, Mr. Shepler would not have

fallen (Tr. p. 281).

B. Basis For Federal Jurisdiction.

Jurisdiction of this court rests upon

the Constitution of the United States,

Art. III, § 2, cl. 13; 28 U.S.C. § 1257(3);3

and 28 U.S.C. § 210l(c). These provisions

are reproduced in Appendix C (A-84 - A-86).

Reasons for Allowing Writ

SUMMARY OF ARGUMENT

The Supreme Court of the State of

Oregon has decided a recurring federal

question of seminal importance--the

shipowner's duty or standard of care owed

to an injured longshoreman under the 1972

Amendments to the Longshoremen's and

Harbor Worker's Compensation Act-~-and has

decided it in a manner in conflict both

with the decisions of most federal courts

and with the legislative history of the

Statute. In essence, the Oregon Court has

23

created a duty akin to seaworthiness in

contradiction to the 1972 Amendments.

This court has not previously considered

questions concerning interpretation of the

1972 Amendments or the extent of the

shipowner's liability. The draftsmen of

33 U.S.C. § 905(b) intended uniform

application of the maritime negligence

remedy, 1972 U.S.C. Cong. & Ad. News 4698,

4703-4704; inconsistent decisions, such as

that rendered in the present case, as well

as those inconsistent decisions emanating

from the several federal courts, destroy

- uniformity while imposing an incorrect

burden upon the charterer or shipowner.

The Supreme Court of the State of

Oregon refused to grant equitable credit

to a charterer found only twenty-eight

percent at fault where the jury held the

longshoreman's stevedore-employer seventy-

two percent at fault. This decision

24

conflicts with the rule in Edmonds v.

Compagnie Generale Transatlantique, 558

F.2d 186 (4th Cir. 1977) (rehearing en

banc granted June 3, 1977, argued October

6, 1977), which limits the longshoreman's

recovery under the 1972 Amendments to the

Longshoremen's and Harbor Workers' Compen-

Sation Act to the portion of the award

measured by the shipowner's fault together

with any valid lien the stevedore may

possess on the recovery, not to exceed the

whole of the possible award against the

shipowner. In addition, a conflict in

circuits exists between the Fourth (Edmonds

v. Compagnie Generale Transatlantique,

supra) and the Ninth Circuits. See Dodge

v. Mitsui Shintaku Ginko K.K. Toyko, 528

F.2d 669 (9th Cir. 1975), cert. denied,

425 U.S. 944, 96 S. Ct. 1685, 48 L. Ed.2d

188 (1976); Shellman v. United States

Lines, 528 F.2d 675 (9th Cir. 1975), cert.

25

denied, 425 U.S. 936, 96 S. Ct. 1668, 48

L. Ed.2d 177 (1976).

Moreover, the refusal to grant equit-

able credit strains the statutory language

of 33 U.S.C. § 905(b) which imposes lia-

bility upon a shipowner for injuries "...

caused by the negligence of a vessel, ... ."

This court has not reviewed any deci-

sion concerning the 1972 Amendments to the

Longshoremen's and Harbor Workers‘ Compen-

sation Act, yet the volume of federal

litigation indicates that important

questions regarding the duty and liability

of shipowners will grow rapidly unless and

until the court speaks and interprets 33

U.S.C. § 905(b). The present case offers

an appropriate vehicle for decision

because a state court judge--whose incor-

rect opinion may influence other jurists--

wrongly decided a vital question of federal

law central to the meaning of the statute.

26

ARGUMENT

I. SHIPOWNER'S STANDARD OF CARE

A. The 1972 Amendments: Legislative

History and Meaning.

The 1972 Amendments to the Longshore-

men's and Harbor Workers’ Compensation

Act [hereinafter referred to as the "1972

Amendments" or "33 U.S.C. § 905(b)"]

removed the strict liability remedy

(the shipowner's absolute warranty of

seaworthiness) and substituted a uniform

federal negligence liability as the

longshoreman's exclusive c<emedy against

the shipowner. 33 U.S.C. § 905(b); Birrer

v. Flota Mercante Gran Colombiania, 386

F. Supp. 1105 (D. Or. 1974). In return,

the act provided a dramatic increase in

available compensation benefits. Lucas v.

"BRINKNES" Schiffahrts Ges., 379 F. Supp.

759 (E.D. Pa. 1974), appeal dismissed, 387

F. Supp. 440 (3rd Cir. 1975), cert.

27

denied, 423 U.S. 866, 96 S. Ct. 127, 46

L. Ed.2d 95 (1975). Yet, even under the

pre-1972 Amendments law, the shipowner

bore no liability for injury to a long-

shoreman sustained during the loading

process where the stevedore-employer

retained operational control of the load-

ing and the vessel or shipper (charterer)

merely designated and checked the cargo.

Stranahan v. A/S Atlantica & Tinfos

Papirfabrik, 471 F.2d 369 (9th Cir. 1973),

cert. denied, 412 U.S. 906, 93 S. Ct.

2293, 36 L. Ed.2d 971 (1973); see also,

West v. United States, 361 U.S. 118, 80 S.

Ct. 189, 4 L. Ed.2d 161 (1959). Never-

theless, in the present case, the Oregon

courts absolved the shipowner (who retains

ultimate control) as a matter of law, but

imposed liability upon a voyage (Beizai)

charterer or shipper of goods.

28

Congress did not enact a special,

attenuated maritime theory of negligence,

comparable’to the Jones Act standard of

care, by passage of the 1972 Amendments.

It intended to grant the maritime employee

the same rights and obligations as a

landed workman. House Report No. 92-1441,

3 U.S.C. Cong. & Ad. News 4698, 4703-4704,

State this objective:

"The purpose of the amendments

is to place an employee injured

aboard a vessel in the same position

he would be in if he were injured in

non-maritime employment ashore, in-

sofar as bringing a third party

damage action is concerned, and not

to endow him with any special mari-

time theory of liability or cause of

action under whatever judicial

nomenclature it may be called, such

as ‘unseaworthiness', 'non-delegable

duty’, or the like.” (p. 4703)

"... the vessel shall not be

liable as a third party unless

it is proven to have acted or

failed to act in a negligent

manner such as would render a

land-based third party in non-

maritime pursuits liable under

Similar circumstances." (p.

4704)

29

Most federal courts! have referred

to the Restatement, particularly 2 Re-

Statement 215-216, Torts Second § 343

(hereinafter referred to as "Restatement §

343") and 2 Restatement 218, Torts Second

§ 343A (hereinafter referred to as “Restate-

ment § 343A") for a definitive statement of

the law of the land. See, e.g., Gay v.

Ocean Transport & Trading Co., 546 F.2d

1233, 1238 (5th Cir. 1977), rehearing

denied, 549 F.2d 203 (5th Cir. 1977).

The Oregon Supreme Court rejected (A-42,

A-45, A-46) those sections which appear

in Appendix E, infra (A-88 - A-89).

B. The Charterer Is Not Liable For In-

juries Caused By Open and Obvious

Conditions.

lrederal law governs actions be-

between longshoremen and shipowner. Pope

& Talbot, Inc. v. Hawn, 346 U.S. 406, 409-

410, 74 S. Ct. 202, 98 L. Ed. 143 (1953).

30

The Oregon Supreme Court ignored the

rule which rejects liability for injuries

caused by open and obvious conditions,

despite the fact that most federal courts

in similar situations have granted sum-

mary judgment for the shipowner. See,

e.g., Lloyd Wescott v. Empresas Armadoras,

S.A. Panama, et al, F.2d (9th

Cir. No. 76-1611, decided November 14,

1977). Miles v. Shell Oil Company, 498

F.2d 105 (5th Cir. 1974); Fedison v.

Vessel WISLICA, 382 F. Supp. 4 (E.D. La.

1974); Sloan v. Deniz Nakliyatin, 1975

A.M.C. 236 (Fla. Cir. Ct. 1974); Anuszewski

v. Dynamic Mariners Corp. Panama, 391 F.

Supp. 1143 (D. Md. 1975, aff'd, 540 F.2d 757

(4th Cir. 1976), cert. denied, 429 U.S.

1098, 97 S. Ct. 1116, 51 L. Ed.2d 545

(1977); Hite v. Maritime Overseas Corp.,

380 F. Supp. 222, 226 (E.D. Tex. 1974)

[see also, 375 F. Supp. 233 (E.D. Tex.

31

1974)]; Cummings v. "SIDARMA" Soc., 409 F.

Supp. 869 (E.D. La. 1976); Hess v. Upper

Mississippi Towing Corp., 559 F.2d 1030

(Sth Cir. 1977); Bossard v. Exxon Corp.,

559 F.2d 1040 (5th Cir. 1977). The

undisputed evidence in this case character-

ized the crevasse between the loaded logs

and the bulkhead as “open and obvious" (Tr.

pp. 171, 201).

Napoli v. [Transpacific Carriers,

Etc.] Hellenic Lines, 536 F.2d 505 (2d Cir. -

1976) seems to take a different approach

and to reject Restatement §§ 343, 343A and

the “open and obvious condition” rule.

However, the language of the Second

Circuit is dicta, 536 F.2d at 508,

and the shipowner there acted as its

own stevedore, thus distinguishing the

case from that at bar. See, also, Valle

v. Jugoslavenska Linejska Plovidba, 434 F.

32

Cc. The Charterer Does Not Owe Any Duty

To Provide a Safe Place to Work.

The Oregon court also ignored the

rule, developed by the federal courts in

several decisions involving similar opera-

tive facts, that the stevedore, not the

shipowner (or charterer), owes the long-

shoreman the duty of providing a safe place

to work. Brown v. Mitsubishi Shintaku

Ginko, 550 F.2d 331 (5th Cir. 1977); Gay

v. Ocean Transport & Trading Co., supra;

Hite v. Maritime Overseas Corporation,

Supra; Parker v. Costa Amatori S.P.A.,

33

509 F.2d 973 (Sth Cir. 1975); Johnson v.

Zenith Navigation, F. Supp.

(No. 74-1502) (E.D. La. 1975); Fitzgerald

v. Compania Naviera La Molinera, 394

F. Supp. 413 (E.D. La. 1975);

Robinson v. Dixie Machine W & M Works, et

al, 1975 A.M.C. 2114 (E.D. La. 1975.)?

Butler v. O/Y Finnlines, Ltd., 537 F.2d

1205 (4th Cir. 1976) (appeal pending),

seemingly conflicts with the foregoing

authority. However, in Butler v. O/Y

Finnlines, Ltd., supra, the third mate

F. Supp. (No. 74-454-N, E.D. Va.

1975). Thad Higgins v. Flota Mercante

Grancolombia, S.A., F Supp.

(74 Cir. 5510 (C.M.M.)] (S.D. N.Y.,

April 15, 1976); Lucas v. "“BRINKNES",

Schiffahrts Ges., supra; Fedison v.

Vessel WISLICA, supra; Slaughter v. RONDE,

390 F. Supp. 637 (S.D. Ga. (1974); aff'd

actually supervised and directed the

loading, unlike Weyerhaeuser's nonparti-

cipation here.

2In addition, the following decisions

rule for the shipowner as a matter of law:

Vega v. Pan Am. Fruit Co., 1975 A.M.C. 187

(S.D. N.Y. 1974); Frasca v. Prudential-Grace

Lines, Inc., 394 F. Supp. 109 (D. Md.

1975); Bess v. Agromar Line, 518 F.2d 738

(4th Cir. 1975); Citizen v. M/V TRITON,

384 F. Supp. 198 (E.D. Tex. 1974) (tried

on stipulations and briefs); Ramirez v.

Toko Kaiun K.K., 385 F. Supp. 644 (N. D.

Cal. 1974).

34

The shipowner chooses an expert to

load and unload its vessel; it ought not

be held for damages because that expert

decides to proceed in an unsafe manner.

Munoz v. Flota Merchante Grancolombiana,

S.A., 553 F.2d 837 (2d Cir. 1977). Ruffino

v. Scindia Steam Navigation Co., 559 F.2d

861 (2d Cir. 1977). Here, Weyerhaeuser is

merely a charterer, a shipper of goods,

and does not even own any stevedoring

equipment (Tr. pp. 92, 442).

The shipowner need not alleviate an

allegedly dangerous condition, even if it

possesses adequate notice, if the condi-

tion results from the stevedore's work and

the stevedore occupies the better position

to abate the danger. Brown v. Mitsubishi,

La

Supra; Bovia v. S/S Agia Erini, 433 F.

Supp. 1020 (E.D. La. 1977). On November

14, 1977, the Ninth Circuit decided Lloyd

Wescott v. Empresas Armadoras, S.A. Panama,

35

et al, supra, a case similar to the pre-

sent one. In the federal decision, the

court reached a result contrary to the

Oregon Supreme court where the stevedore

chose the method of loading and the

shipowner merely requested the result.

Until this court rules on the issues, such

disparate decisions will continue to mark

the admiralty jurisprudence.

D. The Oregon Supreme Court Improperly

Rejected Restatement §§ 343, 343A

Because These Sections Allegedly Em-

body “Assumption of the Risk" Factors

and Unfairly Favor the Landowner.

The Oregon Supreme Court rejected

Restatement §§ 343, 343A as the definitive

statement of the land law of liability in

a maritime setting because Restatement §

343A, Comment e includes the doctrine of

assumption of risk (2 Restatement 219-220,

Torts Second § 343A, comment e) which the

36

Congressional Report regarding the 1972

Amendments specifically rejected (House

Report No. 92-1441, 3 U.S.C. Cong. & Ad.

News 4698, 4705) (A-42). In this regard,

the Oregon court relied upon Brown v.

Ivarans Rederi A/S, 545 F.2d 854, 863,

n. 10 (3rd Cir. 1976), rehearing denied

(November 29, 1976), and seemed to favor

the analysis of Hurst v. Triad, 554 F.2d

1237 (3rd Cir. 1977), appeal pending, which

utilized 2 Restatement 370-426, Torts Se-

cond §§ 409-429 (hereinafter referred to

by "Restatement" and section number).

(1) Assumption of Risk - The

Forbidden Phrase.

If a single comment to a pair of

Restatement sections justifies throwing

the baby out with the bathwater, and

overturning several well-considered

federal cases to boot, this action should

take place by direction of the highest

37

court of the United States, rather than a

state Supreme Court. The issue is one

of recurring federal importance and the

decision impedes the uniformity sought

by the legislative draftsmen. While these

draftsmen intended to eliminate assumption

of risk, they also intended to incorporate

the law of landowner liability which is

stated in the text of Restatement §§ 343,

343A. The state court reason for its

decision provides too much. If the 1972

Amendments are designed to place longshore-

men in parity with landed workmen, House

Report No. 92-1441, 3 U.S.C. Cong. & Ad.

News 4698, 4703-4704, and if landed workmen

cannot recover for injuries received from

an encounter with open and obvious condi-

tions even under a theory of strict

liability, Askew v. Howard-Cooper Corp.,

263 Or. 184, 502 P.2d 210 (1972), then

the doctrine of Restatement §§ 343, 343A

38

applies to cases arising under the 1972

Amendments even if the “open and obvious”

rule imparts some of the same philosophy

as the tenet of assumption of risk.

Some courts, including Oregon's

Supreme Court, have analyzed assumption of

risk in strict liability cases as consist-

ing of three elements (1) subjective

knowledge and appreciation of the risk,

and (2) a voluntary and (3) unreasonable

encounter with that risk. Johnson v.

Clark Equipment Co., 274 Or. 403, 409, 547

P.2d 132 (1976). In the present case, the

longshoreman did not have to climb down

the logs, nor did he have to dead-end the

cargo. He made these choices voluntarily,

without suggestion or direction from the

charterer (Statement of Facts, Petition

pp. 12-15, supra). The three elements set

forth apply to negligent conduct as well

as to some proposition of assumption of

39

risk, and negligence is what the 1972

Amendments considers. Therefore, the

reason stated for avoiding Restatement

§§ 343, 343A does not apply in the present

case because the rule deals with negligent

conduct similar to that governing land-

based workmen.

(2) Are Landowners a Favored Class?

The Oregon Supreme Court argued that

landowners receive favored treatment by

the law and that the draftsmen of the 1972

Amendments could not have intended to

import such rules into maritime law.

Neither proposition is true and the second

does not follow the first. State courts

should not decide cases based on non

segquiturs when those decisions affect

important federal questions.

(3) Restatement §§ 409-429, Which

Envision Indemnity From the

Causative Agent, Do Not Apply

40

Under the 1972 Amendments Which

Prevent the Shipowner or Char-

terer From Securing Indemnity

From The Negligent Stevedore.

At least two recent decisions have

determine¢ that Restatement §§ 413,

416 do nc render the shipowner liable to

the injured longshoreman under the 1972

Amendments: Kelleher v. Empresa Hondurena

de Vapores, S.A., 57 Cal. App.3d 52, 129

Cal. Rptr. 32 (1976); Teofilovich v.

D'Amico Medit./Pacific Line, 1976 A.M.C.

1621, _—sSpiF. Supp. —“‘éd(CC«WW]Dw «@Csd«jw 1976).

In each instance, the Court recognized that

legislative history militated against an

expansion of liability by the employment

of "non delegable" vicarious liability.

Moreover, the policy behind Restatement

§§ 413, 416 rests upon the theory that the

landowner [shipowner or charterer] can

secure indemnity from the responsible in-

41

dependent contractor [stevedore]. 2 Re-

Statement 396, Torts Second § 416, comment

c. See also, Prosser, Law of Torts (4th

ed, West Publishing Co., 1971) 468 § 71.

33 U.S.C. § 905(b) prohibits the shipowner

Or charterer from recovering indemnity

from the stevedore, thereby eliminating

the fairness and equality necessary for

application of these Restatement sections.

E. The Oregon Supreme Court Standard Not

Only Does Not Govern Maritime Negli-

gence Cases Arising Under the 1972

Amendments But Also Ignores the Un-

disputed Facts of This Case.

The Oregon Supreme Court sets up

Straw man after straw man, constantly

criticizing Congressional language (A-35,

A-36, A-37, A-38) but never really coming

to grips with the problem it poses, the

shipowner's standard of care under the 1972

Amendments. It rejects Restatement §§ 343,

42 43

343A (A-45 - A-46), Restatement §§ 409-429 ment of the 1972 Amendments, 33 U.S.C. §

(A-58), and the meaningless verbiage of 905(b); House Report No. 92-1441, 3 U.S.C.

Heaven v. Pender, 11 Q.B.D. 503, 509 (1883) Cong. & Ad. News 4698, 4703-4704. This

(A-61). It then reverts to Restatement decision conflicts with Munoz v. Flota

§ 410 [which should not apply because of Merchante Grancolombiana S.A., supra, and

lack of indemnity, see Argument I, D(3) Ruffino v. Scindia Steam Navigation Co.,

supra] and apparently holds that: Supra, among others. As the Fifth Circuit

"Under any duty thus far held this year in Hess v. Upper Mississippi

suggested by federal decisions,

if the employer of an independent Towing Corp., supra, 559 F.2d 1030 (5th

contractor dictates a ‘particular 4

method for performing the con- Cir. 977), the shipowner is not liable to

tracted work which is unreason-

ably dangerous to the workmen of the employee of an independent contractor

the independent contractor, tak-

ing into consideration the pos- when the work under contract involves the

sible alternative methods, he is

responsible in damages for in- danger which leads to the loss. Under

juries caused to such wgrtmen a he

these. <ee e” (A-62)3 these principles, the Oregon Supreme Court

The Oregon court has created a "duty" adopted an errant test!

which is akin to the absolute warranty of Moreover, the test adopted, if

seaworthiness, despite the fact that the proper, absolves Weyerhaeuser. It did not

Congress removed this strict duty by enact- dictate, direct, or supervise the loading

(Tr. pp. 158-159, 200, 288, 348, 480,

3a sounder analysis appears to be that of 486). It hired an expert stevedore and

‘Judge Orrick in Gallardo v. Westfal-Larsen, : :

1977 A.M.C. 1325 (N.D. Cal. 1977). turned the job over to it (Ex. 44; Tr. pp.

44

488-489). It relied upon the expertise

and safety-consciousness of the longshore-

men and their employer to handle the job

(Tr. pp. 192-193, 496). It rejected bull

winches but no one advised the shipper

that these obsolete machines would

allegedly increase safety (Tr. pp. 140,

160, 198, 341, 440, 527, 529). The men in

the hold decided to "dead-end" the logs

(Tr. pp. 237-238, 252, 267, 327). No

Weyerhaeuser employee even graced the

scene (Tr. pp. 196, 438). Foreseeabil-

ity forms an essential element of negli-

gence. Newman v. Utility Trailer, 278 Or.

395, 397-400, 564 P.2d 674 (1977). As

Mr. Rappana, Mr. Shepler's partner,

testified without contradiction:

"I don't think anybody could

foresee what happened." (Tr.

p. 330).

On this basis, if no other, the Supreme

Court of Oregon erred in imposing liability

45

upon Weyerhaeuser under any test. The

unfortunate effect of the matter, however,

and the reason this court should review

the case and speak authoritatively upon

the issue, is the garbling of the standard

of care of the shipowner under the 1972

Amendments.

II. EQUITABLE CREDIT

“The jury found that plaintiff had

suffered $500,000.00 damages as the result

of the concurrent negligence of the

stevedore (seventy-two percent) and the

charterer (twenty-eight percent). (A-l -

A-2). Assuming arguendo the propriety of

the Circuit Court submission of the cause

against Weyerhaeuser to the jury (Argument

I, supra), in no event should judgment be

entered against the charterer for more than

its proportionate share of the loss:

$140,000.00 or twenty-eight percent of

$500,000.00.

46 47

The Fourth Circuit applied this justify this court in granting this

"equitable credit" doctrine in favor of petition for certiorari.

the shipowner in Edmonds v. Compagnie Textwriters, courts, and advocates

Generale Transatlantique, supra, 558 F.2d have condemned the ridiculous result which

186 (4th Cir.1977) (Rehearing en banc would require a one percent negligent

granted June 3, 1977, argued October 6, shipowner to pay 100% of the longshoreman's

1977). The Ninth Circuit rejected the damages without hope of indemnity or con-

doctrine in Shellman v. United States tribution from the plaintiff's ninety-nine

Lines, supra, 528 F.2d 675 (9th Cir. percent negligent employer.4 33 U.S.C. §

1975), cert. denied, 425 U.S. 936, 96 905(b). Admiralty employs equitable prin-

S. Ct. 1668, 48 L. Ed.2d 177 (1976); ciples. This court should not foster an

see also Dodge v. Mitsui Shintaku Ginko inequity of such proportion, for to do so

K.K. Toyko, supra, 528 F.2d 669 (9th Cir.

1975), cert. denied, 425 U.S. 944, 96 S.

Ct. 1685, 48 L. Ed.2d 188 (1976). The

Supreme Court of Oregon refused to grant

equitable credit here, although it conceded

"Application of the doctrine does have

some appeal, ... .” (A-76). This conflict

in the circuits and conflict between a

state court and a federal appellate court

may cripple the shipping industry, en-

courage negligence by stevedoring com-

panies and induce biased and false testi-

mony from stevedoring employees.

4citations to texts, treatises, and

cases supporting the concept of an

equitable credit appear in Appendix F,

infra (A-90 - A-92).

48

In any event, it appears incredible to

believe that Congress would have passed

the 1972 Amendments in an attempt to

alleviate some inequities which had

developed in the system and intentionally

create a greater one.

The equitable credit doctrine does not

reduce the workmen's net recovery by one

penny in most instances. Absent equitable

credit, the injured longshoreman is the

only one of three parties always required

to bear the financial burden of his own

proportional contributory fault.

Furthermore, linguistic analysis of

33 U.S.C. § 905(b) demonstrates the seman-

tic stresses and strains placed upon the

Statutory language by interpreting "caused

by the negligence of the vessel" to mean

something other than (to the extent)

"caused by the negligence of the vessel."

If a loss is caused by the negligence of

49

the stevedore, it is not caused by the

negligence of the vessel.

CONCLUSION

Because this petition raises two unde-

cided federal questions of importance--the

shipowner's duty under the 1972 Amendments,

and the appropriateness of the equitable

credit doctrine--this court should grant

this petition and hear the case on the

merits.

Respectfully submitted,

SOUTHER, SPAULDING,

KINSEY, WILLIAMSON

& SCHWABE

KENNETH E. ROBERTS

PAUL N. DAIGLE

RIDGWAY K. FOLEY, JR.

By

RIDGWAY K. FOLEY, JR.

Attorneys for Peti-

tioner Weyerhaeuser

crt.

APPENDIX A

IN THE CIRCUIT COURT OF THE STATE OF OREGON

FOR THE COUNTY OF MULTNOMAH

PATRICIA ANNE SHEPLER,

individually and as personal

representatve of the Estate

of Oren Lee Shepler, de-

ceased,

No. 410 645

Plaintiff, SPECIAL

)

)

)

)

)

) INTERROGATORIES

vs. )

)

)

)

)

)

WEYERHAEUSER COMPANY, a

Washington corporation,

Defendant.

INTERROGATORY NO. 1: Was

the charterer negligent? Yes

(Yes or No)

INTERROGATORY NO. 2: If so,

by what percent was charterer's

negligence responsible for plain-

tiff's decedent, Oren Lee Shepler's

death? 28%

(percent)

INTERROGATORY NO. 3: Was

plaintiff's decedent, Oren Lee

Shepler, negligent? No ,

(Yes or No)

INTERROGATORY NO. 4: If So,

by what percent was Oren Lee

Shepler's negligence responsible

for his death? 0%

(percent)

INTERROGATORY NO. 5: Was

the stevedore company negligent? Yes

(Yes or No)

INTERROGATORY NO. 6: If so,

by what percent was the stevedore

company's negligence responsible

for Oren Shepler's death? 72%

(percent)

INTERROGATORY NO. 7: What

is the total amount of plaintiff's

damages expressed in terms of

dollars? $500,000.00

/s/ Thomas F. Coulter

JURY FOREMAN

-

‘

IN THE CIRCUIT COURT OF THE STATE OF OREGON

FOR THE COUNTY OF MULTNOMAH

PATRICIA ANNE SHEPLER,

individually, and as personal

representatve of the Estate No. 410 645

of Oren Lee Shepler, De-

ceased,

Plaintiff, JUDGMENT

ORDER

WEYERHAEUSER COMPANY, a

Washington corporation, and

PACIFIC COAST SHIPPING

)

)

)

)

)

)

)

)

vs. )

)

)

)

COMPANY, LIBERIA, )

)

)

Defendants.

The above-entitled cause having come

on regularly for trial by jury before the

Honorable Robert E. Jones, Judge of the

above-entitled Court, plaintiff appearing

in person and by Frank Pozzi, of her at-

torneys, and the defendant Weyerhaeuser

Company appearing by Paul N. Daigle, of

its attorneys, and the defendant Pacific

Coast Shipping Company, Liberia, appearing

by John R. Brooke, of its attorneys, and

the jury having been duly selected, em-

paneled and sworn, opening statements hav-

ing been made by counsel, evidence having

been received on behalf of the respective

parties, arguments having been submitted

to the jury by counsel, and the Court hav-

ing entered a directed verdict in favor of

the defendant Pacific Coast Shipping Com-

pany, Liberia, and the Court then having

instructed the jury upon the law, and the

jury thereupon having retired for deliber-

ations, did return its verdict in favor

of the plaintiff and against the defendant

Weyerhaeuser Company and said verdict hav-

ing been received and entered and accepted

by the Court and the Court being fully

advised in the premises now, therefore,

based upon said verdict,

IT IS HEREBY ORDERED AND ADJUDGED

that plaintiff, Patricia Anne Shepler,

A-5

have of and recover from the said defendant

Weyerhaeuser Company, the sum of Five Hun-

dred Thousand Dollars ($500,000) in lawful

money of the United States of America, toge-

ther with her costs- and disbursements in-

curred herein taxes [sic] and allowed in

the sum of $154.00, the aggregate of which

is to bear interest at the rate of six per

cent [sic] (6%) per annum from the date of

entry hereof until paid, and that execu-

tion issue therefor.

DATED this 19th day of December, 1975.

/s/ Robert E. Jones

Judge

A-6

APPENDIX B

IN THE SUPREME COURT OF THE STATE OF OREGON

In Banc

PATRICIA ANNE SHEPLER,

individually and as personal

representative of the Estate

of Oren Lee Shepler, Deceased,

Plaintiff-Respondent,

vs.

WEYERHAEUSER COMPANY, a

Washington corporation,

Defendant-Appellant,

and

PACIFIC COAST SHIPPING

COMPANY, LIBERIA,

Defendant-Respondent.

No. 410-645

SC 24345

LENT, J.

This is an action for damages for

death by wrongful act of another brought

by the personal representative of Oren

Shepler. Shepler, a longshoreman in the

us -

A-7

employ of Portland Stevedore Company

(Portland), was injured in a fall on

December 21, 1972, during the loading of

logs in the vessel M/S PACKING. He died

from his injuries two days later. The

action asserts a right to recover for

damages resulting from negligence and

involves the 1972 Amendments to the

Longshoremen's and Harbor Workers' Compen-

Sation Act (LHWCA), 33 USC § 901 et seq.

The action is against Pacific Coast

Shipping Co., the owner of the PACKING,

and Weyerhaeuser Co., as charterer of the

vessel. The case was tried in December

1975. At the conclusion of plaintiff's

case in chief, the trial court granted a

directed verdict in favor of Pacific

Coast. The jury found Weyerhaeuser at

fault. (In using the word "Getecdent~tatie— TTS

refer to Weyerhaeuser. )

A-8

Defendant appeals from the judgment

entered upon this verdict. We affirm.

Defendant contends that the trial

court erred in interpreting the standard

of care owed by a vessel to a longshoreman

under LHWCA and that a nonsuit or directed

verdict should have been entered in its

favor. It further complains of the

failure of the trial court to instruct the

jury on particular matters and attacks

various instructions which were given.

Additionally, defendant submits that under

the LHWCA, where a jury finds the vessel

to be only partially at fault it is in-

equitable to require the vessel to pay the

entire damages assessed by the jury.

Finally, defendant charges that it was

error to exclude evidence that employes of

Portland who were witnesses in the trial

were biased because Portland had a finan-

cial stake in the outcome of the

A-9

litigation. (Under LHWCA, the stevedore-

employer has a lien against third-party

recoveries for compensation benefits paid

under the Act.) To place these claims of

error in perspective, we turn first to the

undisputed facts.

The primary issue is to determine

whether the evidence is sufficient

under the 1972 amendments to support a

finding of negligence on the part of

defendant. This requires us preliminarily

to ascertain the nature of the duty owed

under the amendments by the vessel! to a

longshoreman employed by a master stevedore.

lfhe term "vessel" means any vessel upon

which or in connection with which any per-

son entitled to benefits under this chap-

ter suffers injury or death arising out of

or in the course of his employment, and

said vessel's owner, owner pro hac vice,

agent, operator, charter or bare boat

charterer, master, officer, or crew mem-

ber. 33 USC § 901(21).

A-10

UNDISPUTED FACTS

Defendant ships logs and lumber to

its purchasers throughout the world. In

1972, after a trial voyage, defendant

chartered the PACKING. Pacific Coast

Shipping, the owner, and Weyerhaeuser

executed a "Beizai Charter Party," a

modified form of voyage charter, for 24

consecutive voyages, which contained the

following provisions:

"* * * Charterers to load,

stow and discharge the cargo

free of risks and expenses to

owners. Charterers to have the

liberty of working all avail-

able hatches. The vessel to

provide motive power, winches,

gins and falls at all times

and, if required, to supply

light for night work on board

free of expenses to charterers."

The owners retained control over cargo

stowed on the weather deck, because the

height of the deck load would affect the

stability of the vessel.

A-11

To load the ship for its sixth voyage

defendant employed Portland. Defendant

had concluded that the amount of cargo

carried on pepreses trips was insufficient.

On December 6, 1972, Captain A. B.

McKimmey, manager of off-shore cargo

operations for defendant, wrote a letter

to the master of the PACKING, with a copy

to Portland, which staced:

"* * * When Weyerhaeuser

Line first chartered the vessel,

it was represented as having a

carrying capacity of 4.5 million

board feet of logs (Scribner

scale).

"To date, the largest load

we have been able to put on

board has been 4.1 million

board feet which has not al-

lowed full use of the vessel to

SS charterers.

"On this voyage we intend

to full load the vessel to

capacity to determine just how

much of a load she will actually

carry. Our object is to make

use of all her cubic space

under deck * * *,

"Your cooperation with

the Surveyors, Stevedores, and

our Supercargo will be appre-

ciated * * *,"

A-12

The owner responded that carrying

capacity is a function of the type of logs

stowed as well as the method of storage

and observed that the charter agreement

was "* * * that you are to have full use

of the cubic space under deck." Another

representative of defendant rejoined that

Captain McKimmey was "new to Weyerhaeuser”

and “not entirely familiar with all the

chartering arrangements,” and that the

Original letter was "not intended to force

a greater tonnage than we are allowed

under our charter."2

The sixth voyage of the PACKING under

the charter commenced with the loading of

logs in Astoria, Oregon. The loading of

the No. 1 hatch was deferred until the

2As a consecutive voyage charterer under

the terms of this particular charter-party,

defendant vis-a-vis the longshoremen was

in the same position as owner of the

vessel. See note l, ante.

A-13

vessel moved up the Columbia River to the

Sd

Weyerhaeuser dock at Longview, Washington,

in order to obtain a better selection of

logs and use of a shoreside crane.

There were peculiar difficulties in

the loading of the PACKING because of

its outmoded design. On modern vessels

designed for the stowage of logs, the

hatch openings extend nearly the full

length of the hatch. On the PACKING,

converted as a log carrier, the hatch

opening or "square" was considerably

smaller than the hatch itself, creating a

forward trunk (that part of the hatch

forward of the square) of nearly 29 feet

and an aft trunk of 24 feet. As in most

log ships, there are no intermediate

decks, and the hatch is open from the main

deck to the ship's bottom, a depth of

approximately 40 feet.

A-14

Because of the hatch configuration,

stowed logs could not be butted tightly

against the aft bulkhead because, as the

longshoremen attempted to swing and land

the load aft of the square, the slings

used to carry the load would strike the

hatch coaming.

The physical work of loading logs

aboard the vessel, both at Astoria and

Longview, was performed by Portland pur-

Suant to its contract with defendant. The

contract called for a “cost-plus, fixed-

fee commodity rate.” In other words,

defendant was to pay the actual cost of

labor in addition to a fixed fee deter-

mined by the quantity of stowage.

Loading operations commenced at

Longview on December 20, 1972. Two

Weyerhaeuser employes, a loading superin-

tendent and a "supercargo," were in the

vicinity during the loading. Supervisory

A-15

persons of Portland, also, worked on or

about the ship. These were the stevedore

superintendent, the "walking boss," and,

below the “walking boss" in hierarchy, the

gang (or “"hatch") boss, who was the

immediate supervisor of Shepler.

In an attempt to obtain a tight stow,

the longshoremen were “dead-ending."

Dead-ending involves securing a "wire"

(cable) with a device called a "bear claw"

to a stable object and running the wire

under the material to be moved. By

lifting the load with the crane, the load

moves in the direction of the anchored end

of the wire. By this method the longshore-

men hoped to move logs from the center of

the hold to the bulkheads and into the

wings.

On December 21, 1972, the hold in

Hatch No. 1 was partially loaded. A gap

between the stow and the aft bulkhead had

A-16

developed due to the impossibility of

butting the logs tightly against the

bulkhead. This gap, or “hole,” was

approximately 26 feet deep, and the

longshoremen climbed over and about the

logs next to the hole in order to place

the wire and bear claw and down over the

ends to unfasten the wire and retrieve the

bear claw from the anchoring logs.

Shepler was injured that afternoon

while engaged in trying to retrieve a

buried bear claw after a load of logs

had been moved by dead-ending. Shepler

fell and sustained head injuries, from

which he died.

TRIAL RESULT

Two of plaintiff's several allega-

tions of negligence were submitted

to the jury; namely, that defendant was

negligent: (a) in failing to "authorize"

A-17

the use of a bull winch? under the

circumstances, and (b) in requiring the

dead-ending of the log drafts. The case

was submitted to the jury on special

interrogatories, and the jury found that

Shepler was not negligent and that defen-

dant's negligence was 28% responsible for

Shepler's death and Portland's negligence

was 72% responsible.

SUFFICIENCY OF EVIDENCE

Defendant assigns as error the fail-

ure to grant its motions for involuntary

nonsuit, for a directed verdict and to

strike plaintiff's two specifications of

negligence which were submitted to the

jury. This requires us to determine

3A bull winch (sometimes called a stow-

ing machine or stowing winch) is a small

gas double drum donkey set up on deck

which supplies the power to utilize a sys-

tem of pad eyes, blocks and lines in the

hold to pull or “yard” the log ends up

tight against the bulkhead.

A«18

whether there was sufficient evidence to

‘submit the case to the jury upon those two

specifications.

Neither party directs our attention

to the scope of review which we exercise

in a case arising under 33 USC, § 905(b).

It could be argued that our scope of

review is the same as that of a United

States Court of Appeals reviewing a

federal district court decision. If that

were so, our task would be to determine

whether as a matter of law the record is

"critically deficient of that minimum

quantum of evidence from which a jury

might reasonably afford relief." Marant

v. Farrell Lines, Inc., 550 F2d 142 (3d

Cir 1977), quoting from Denneny v. Siegel,

407 F2d 433, 439 (3d Cir 1969). On the

other hand, if our scope of review is that

we ordinarily exercise on appeal in ac-

tions on the law side of the court, we are

A-19

probably more limited. Since the verdict

was for plaintiff, we could not find error

in these respects unless we could affirma-

tively say there is no evidence to support

the verdict.4 Purthermore, we should be

precluded from weighing the evidence and

should be required to consider it in the

light most favorable to plaintiff,° to-

gether with all inferences favorable to

plaintiff which could be reasonably drawn

from such evidence. §

We have concluded that under either

test the evidence was sufficient to pre-

sent a jury case, and, therefore, there

was no error in this respect.

4oregon Constitution, Amended

Art. VII, § 3.

SMyers v. Cessna Aircraft, 275 Or 501,

553 P2d 355 (1976).

63Jacobs v. Tidewater Barge Lines, 277

Or 809, 562 P2d 545 (1977).

A-20

The task of the jury, of course, is

to weigh the evidence, judge the credi-

bility of the witnesses and the reliabil-

ity of their testimony, and to resolve all

conflicts in the evidence. In performing

that task in this case, the jury had |

before it evidence from which it could

have found further facts in addition to

the undisputed facts already discussed.

FURTHER FACTS

While the vessel was still at Astoria,

defendant's loading superintendent told

Portland's walking boss that the long-

shoremen were to work to get all available

space full of logs. Defendant made the

decision to use a shore crane rather than

the ship's gear to load this hatch at

Longview in an effort to get a tighter

stow. Portland's superintendent was aware

of Captain McKimmey's letter concerning a

tight stow and that defendant wanted such

A-21

a stow in this hatch. Defendanc's loading

superintendent approached Portland's

superintendent at Longview and asked if

they could get "a real tight stow" on this

hatch and what could be done to do so.

Portland's man said, "If you want [a] real

tight stow, the only way I know how is to

put bull winches on there and pull them

back to the bulkhead tight." Defendant's

supercargo, also, told defendant's loading

superintendent that the only way they

could utilize the space in the hold "and

abide by the instructions" was to use

stowing winches. Portland's walking boss

and the hatch boss, also, asked for bull

winches at least once when both defen-

dant's loading superintendent and super-

cargo were present. Portland's operations

manager (the stevedore superintendent's

superior) also spoke to both defendant's

loading superintendent and Captain McKimmey

A-22

about the necessity of using bull winches

to get a tight stow. McKimmey discussed

the fact that this would entail extra cost.

Bull winches are no longer commonly

used, because modern log vessels have

large hatch squares with small wings and

trunks, which permit logs to be landed in

the hold without additional handling

required to obtain an adequately tight

stow. Portland had bull winches zvailable,

however, and they can be used safely if

adequate precautions are taken. The use

of bull winches would have been more

costly to defendant because their use

requires two extra longshoremen, one to

serve as winch “driver" (operator) and the

other as hatch tender to relay signals

between the driver and the men in the hold

as to the operation of the winch. This

additional cost was discussed with defen-

dant's loading superintendent.

A-23

After consulting with his supervisor

in Tacoma, Washington, by telephone, de-

fendant's loading superintendent informed

Portland's personnel that defendant would

not authorize the use of bull winches.

The gang boss and the walking boss were

told by defendant's representative that

defendant “wanted a tight stow * * * no

matter how long it took." On the following

morning, December 21, Portland's hatch

boss again tried without success to obtain

authorization to use bull winches.

It is the supercargo's duty to super-

vise the loading or cargo in the sense of

what cargo goes into which hold and in

what order; however, he does not give or-

ders to the longshoremen. Prior to the

vessel's coming in, the supercargo was

aware of Captain uckinesy*e lett ur, and

through it and orders from defendant's

loading superintendent was aware that

A-24

defendant wanted to get more logs into the

hold. The supercargo had discussed with

defendant's loading superintendent the use

of bull winches, but as above stated the

latter's superiors would not authorize

that use.

The supercargo ordered the length of

logs to be brought shipside under the

crane for lifting into the hold. The logs

were brought by truck, and the logs in a

load were not only of uneven length but,

also, neither end of the load was even.

This complicated the task of attempting to

butt the log ends against the after

bulkhead. The supercargo was not getting

the logs he wanted from defendant's yard,

and seeing that waste space was developing,

he again discussed with his loading super-

intendent that they could carry out defen-

dant's instructions only by using bull

winches. The superintendent agreed to take

A-25

the matter up with his superiors and a

short time later told the supercargo such

use would not be authorized and that "we

were to do the best we could with what we

had.”

As the work progressed and the hold

began to fill “higher up," the more

difficult it became to get the log ends

close to the aft bulkhead because of

lessening of space in which to swing the

load. On the morning of the day Shepler

fell, the supercargo told defendant's

loading superintendent that it would be

very difficult for the men to work under

the conditions existing. A large, deep

hole was developing as the stow rose

higher in the hold. It was the biggest

hole in a log stow the walking boss had

ever seen, and the supervisor knew it to

be unusually deep.

A-26

Although the Portland employes did

not complain to defendant's employes

that it was unsafe to achieve what defen-

dant wanted without bulls, and although

neither the loading superintendent nor the

supercargo specifically ordered the

longshoremen to dead-end; nevertheless,

dead-ending was the only procedure feasi-

ble to attempt to carry out loading

instructions in the absence of bull

winches. Both the loading superintendent

and supercargo were present at the hold

from time to time and saw that the long-

shoremen were dead-ending, using the bear

claw, and that the hole aft of the stow

was being created. At least the supercar-

go, if not his superior, knew that dead-

ending, which requires a man to work near

the ends of wet logs and to go down to af-

fix the wire with a bear claw, and later

to remove it when jammed, is a “dangerous

A-27

procedure," is the supercargo's words. On

the other hand, if bull winches were used,

the stow would have been tight against the

bulkhead, the hole would not have devel-

oped, and the men would have had no occa-

sion to work at any deep hole at the ends

of the logs. The absence of bull winches

and the use of the technique of dead-

ending combined to make both the loading

procedure itself dangerous and to create a

dangerous condition; namely, the hole. The

hold thereby became a dangerous place to

work.

This methou of working log cargo is

to be contrasted with a normal log loading

operation, in which the longshoremen

would merely land the logs and free the

slings. Any space left over in the wings

or trunks would be “blow” or waste space.

Although holes do develop in these stows,

there is little danger of falling into a

A-28

hole, as work is not done at the ends of

the loads.

Although the longshoremen don't take

orders from the supercargo, he has some

responsibility. As he testified, "I think

all supervisory personnel have a responsi-

bility [for safety of personnel] of some

type or another. You certainly don't want

somebody doing anything unsafe if you see

it.*

Just prior to his fall, Shepler had

climbed down over the ends of the logs be-

tween the stow and the bulkhead in an ef-

fort to free a jammed, or buried, bear

claw. Despite wearing special shoes, he

fell from the logs, which were wet from

rain, and, although wearing protective

headgear, he sustained head injuries which

caused his death.

A-29

THE LAW APPLICABLE TO A NEGLIGENCE ACTION

UNDER § 905(b)

Prior to the 1972 amendments to

LHWCA, there existed for some injured

longshoremen what has been described as

the “third-party circular liability law-

suit."7? This was the result of two de-

cisions (and their progeny) of the United

States Supreme Court. In Seas Shipping

Co. v. Sieracki, 328 US 85 (1946), the

shipowner's absolute, non-delegable war-

ranty of seaworthiness owed to seamen

since The Osceola,® 189 US 158 (1903)

7It has, also, been described as "tri-

angular." See Ramirez v. Toko Kaiun K.K.,

388 F Supp 644, 649 (DC ND Cal. 1974);

Croshaw v. Koninklijke Nedlloyd, B.V.

Rijswijk, 398 F Supp 1224, 1228 (Dist.

Ct.D.Ore 1975); 28 Hastings Law Journal

771 (1977).

8see, also, Mitchell v. Trawler Racer,

Inc., 362 US 539 (1960), for proposition

that due diligence by the shipowner will

not discharge the duty to furnish a sea-

worthy vessel.

A-30

was extended to a longshoreman engaged in

working the ship's cargo. In Ryan Co. v.

Pan-Atlantic Corp., 350 US 124 (1956), the

shipowner's right to indemnity from the

longshoreman's employer (stevedore) was

established where the unseaworthiness

causing the injury was created by the

stevedore's breach of its implied warranty

to perform its services in a workmanlike

manner; i.e., properly and safely.

The circularity of the lawsuit oc-

curred thusly:? The longshoreman would

sue the shipowner for damages for personal

injuries resulting from the unseaworthi-

ness of the vessel. If the unseaworthi-

ness resulted from a breach of the steve-

9we do not yet discuss for this back-

ground picture of the 1972 amendments that

situation in which the longshoreman's re-

covery against the shipowner was based ex-

clusively upon the latter's negligence.

In such cases, of course, the Ryan doc-

trine was inapplicable.

A-31

dore's implied warranty to perform steve-

doring services in a safe and workmanlike

manner, the shipowner would either implead

the stevedore or, after judgment for the

longshoreman, seek indemnity from the

stevedore. This "closed the circle” and

resulted usually in the longshoreman

receiving indirectly from the employer

substantially more than the employer would

have had to pay the longshoreman by way of

benefits under LHWCA. This circularity

did violence to the statutory scheme of

LHWCA that the exclusive remedy of the

injured longshoreman against his employer

was for benefits under the compensation

law.10

10The employing stevedore did have a

lien against the longshoréman's recovery

for the amount of compensation benefits

the employer had paid under LHWCA, and,

thus, the plaintiff did not obtain a

double recovery.

A-32

The thrust of the 1972 amendments was

to trade a rather substantial increase in

compensation benefits for the longshore-

man's right to recover damages from the

shipowner for personal injuries resulting

from the unseaworthiness of the vessel.

The injured longshoreman retained a right,

however, to bring an action against the

shipowner (the "“vessel")11 for injuries

resulting from the latter's negligence.

The operative section of LHWCA after the

1972 amendment is:

"In the event of injury to a

person covered under this chapter

caused by the negligence of a ves-

sel, then such person, or anyone

otherwise entitled to recover dam-

ages by reason thereof, may bring

an action against such vessel as a

third part:y in accordance with the

provisions of section 933 of this

title andi the employer shall not

be liable to the vessel for such

damages directly or indirectly and

any agreements or wirrants to the

llsee footnote l.

A-33

contrary shall be void. If such

person was employed by the vessel

to provide stevedoring services,

no such action shall be permitted

if the injury was caused ‘by the

negligence of persons engaged in

providing stevedoring services to

the vessel. * * * The liability

of the vessel under this subsec-

tion shall not be based upon the

warranty of seaworthiness or a

breach thereof at the time the

injury occurred. The remedy pro-

vided in this subsection shall be

exclusive of all other remedies

against the vessel except reme-

dies available under this chap-

ter.” 33 USC § 905(b).

The amendment eliminates the long-

shoreman's strict liability remedy against

the shipowner qua shipowner!2 and bars the

shipowner from shifting his liability for

his negligence to the stevedore. Thus, the

circular liability lawsuit is laid to rest.

l2see Streatch v. Associated Container

Transp. Ltd., 388 F Supp 935 (D.Cal.C.D.

1975) suggesting that the negligence rem-

edy is to be taken as referring to the

shipowner in his capacity as shipowner;

therefore, the shipowner may also be

vulnerable upon a strict liability theory

as a products distributor.

A-34

It appears that we are the first state

supreme court to be confronted with the

task of divining the intent of Congress in

the 1972 amendments!3 with respect to the

nature of the shipowner's duty as distin-

guished from the standard of care im-

posed.14 some case law has now emerged

through published decisions of the federal

district courts and of the courts of ap-

peal for the various maritime circuits;

l3we have already disposed of one appeal

in a post-amendment case in Jacobs v.

Tidewater Barge Lines, 277 Or 809, 562 P2d

545 (19/7), but there the parties tried

the case below on the basis of 2 Restate-

ment (Second) of Torts , §§ 343 and 343A

(1965); we were not, therefore, required

to choose between conflicting contentions

as to the nature of the duty and its

source.

14see Theis, Amended Section Five of the

Longshoremen's and Harborworkers' Compen-

sation Act, 41 Tenn.L.R. 773, 780 (1974);

but compare, Deacon, The Injured Long-

shoreman vs. The Shipowner After 1972:

Business Invitees, Land-Based Standards,

and Assumption of Risks, 28 Hastings L.J.

771 (1977).

A-35

however, there is no consensus as to the

point of departure for testing any given

set of evidence to determine if it may

yield findings of fact which would consti-

tute negligence on the part of the ship-

owner. The standard of care, on its face,

is that imposed by the statute; i.e., that

old favorite, reasonable care, or what the

reasonably prudent person would, or would

not, do in the same or similar circum-

stances to avoid harm to others.!5 The

nature of the duty is ignored, however, in

the statute. The draftsman tells us only

15"Negligence is conduct falling below

the standard established for the protec-

tion of others against unreasonable risk

of harm. This standard of conduct is or-

dinarily measured by what the reasonable

man of ordinary prudence would do in the

circumstances. Fleming, Th w of Torts,

3d ed, p. lll. But compare. renzweig,

Negligence wethout Fault (1951), ques-

tioning whether, despite lip service

thereto, the courts are abandoning the

constituent (to negligence) concepts of

the “reasonable man" and his "foresight."

A- 36

that the vessel owes to the longshoreman a

duty to be careful. What precisely is re-

quired to discharge the duty does not ap-

pear from the statute.

No court which has seriously strug-

gled with this pro! lem has felt free to

apply the statutory words as written.

Every such court has gone to the legisla-

tive history as embodied in the House Re-

port of the Education and Labor Committee,

No. 92-1441, September 25, 1972, and the

Senate Report of the Labor and Public

Welfare Committee, No. 92-1125, September

14, 1972 (hereinafter the Reports). Our

task is made more difficult by reason of

the fact that some of the federal courts,

in purporting to interpret or construe the

Statute in light of the language of the

Reports, have chosen to ignore language in

the Reports where such language is incon-

sistent with the result the court

A-37

apparently desires to reach in the given

case. As a consequence, the federal court

decisions are of help to us only in a very

general way.

It is tempting to deal with this case

under the words of the statute without

resort to the Reports, and if all courts

did so it would force Congress to "clean

up its act." In other words, Congress

should set forth in the statute itself

several rules which now find expression

only in the Reports. To be fair to the

litigants before us and to those who may

be coming before the trial courts, we

shall do what has been done in each

circuit and go to the Reports for guidance

in ascertaining the nature of the duty of

the shipowner to the longshoreman. We,

therefore, now set forth those portions

of the Reports which we deem pertinent to

this discussion and to the decision of ©

A-38

this case. In doing 80, we shall use the

words of the Senate Report, because

although the Reports are not identical we

believe they do not conflict with each

other in substance.!6 The Senate

Report, therefore, in pertinent part is

as follows:

se @ &@ eh

"* * * The Committee believes

that where a longshoreman or other

worker covered under this Act is in-

jured through the fault of the vessel,

the vessel should be liable for dam-

ages as a third party, just as land-

based third parties in non-maritime

pursuits are liable for damages when,

through their fault, a worker is in-

jured,

vr ne fe &@ &

"Accordingly, the Committee has

concluded that, given the improve-

ment in compensation benefits which

this bill would provide, it would be

fairer to all concerned and fully

consistent with the objective of

protecting the health and safety of

167he House Report may be found at 3

United States Code Congressional and Admin-

4720, with particular attention to pp.

4701-4705.

A-39

employees who work on board vessels

for the liability of vessels as

third parties to be predicated on

negligence, rather than the no-fault

concept of seaworthiness. This

would place vessels in the same posi-

tion, insofar as third party liabil-

ity is concerned, as land-based third

parties in non-maritime pursuits.

"The purpose of the amendments

is to place an employee injured aboard

a vessel in the same position he would

be if he were injured in norn-maritime

employment ashore, insofar as bring-

ing a third party damage action is

concerned, and not to endow him with

any special maritime theory of lia-

bility or cause of action under what-

ever judicial nomenclature it may be

called, such as ‘unseaworthiness',

‘non-delegable duty', or the like.

"Persons to whom compensation is

payable under the Act retain the

right to recover damages for negli-

gence against the vessel, but under

these amendments they cannot bring

a damage action under the judicially-

enacted doctrine of unseaworthiness.

Thus a vessel shall nox be liable

in damages for acts or omissions of

stevedores or employees of steve-

dores subject to this Act, Crumedy

vs. The J. H. Pisser, 358 U.S. 423,

Albanese vs. Matts, 382 U.S. 283,

Skibinski vs. Waterman SS Corp.

330 [sic] F.2d 539; for the manner

or method in which stevedores or em-

ployees of stevedores subject to

this Act perform their work, A.N.G.

Stevedores vs. Ellerman Lines,

369 U.S. 355, Blassingill vs.

A-40

Waterman SS Corp., 336 F 2d 367;

for gear or equipment of stevedores

or employees of stevedores subject

to this Act whether used aboard

ship or ashore, Alaska SS Co. vs.

Peterson, 347 U.S. 396, Italia

Societa vs. Oregon Stevedoring Co.,

376 U.S. 315, or for other cate-

gories of unseaworthiness which

have been judicially established.

This listing of cases is not in-

tended to reflect a judgment as to

whether recovery on a particular

actual setting could be predicated

on the vessel's negligence.

"Permitting actions against

the vessel based on negligence will

meet the objective of encouraging

safety because the vessel will still

be required to exercise the same

care aS a land-based person in pro-

viding a safe place to work. Thus,

nothing in this bill is intended

to derogate from the vessel's re-

sponsibility to take appropriate

corrective action where it knows

or should have known about a dan-

gerous condition.

"So, for example, where a

longshoreman slips on an oil spill

on a vessel's deck and is injured,

the proposed amendments to Sec-

tion 5 [33 USC § 905] would still

permit an action against the ves-

sel for negligence. To recover

he must establish that: 1) the

vessel put the foreign substance

on the deck, or knew that it was

there, and willfully or negli-

gently failed to remove it; or

2) the foreign substance had been

A-41

on the deck for such a period of

time that it should have been dis-

covered and removed by the vessel

in the exercise of reasonable care

by the vessel under the circum-

stances. The vessel will not be

chargeable with the negligence of.

the stevedore or employees of the

stevedore.

"Under this standard, as

adopted by the Committee, there

will of course, be disputes as to

whether the vessel was negligent

in a particular case. Such issues

can only be resolved through the

application of accepted principles

of tort law and the ordinary pro-

cess of litigation--just as they

are in cases involving alleged

negligence by land-based third par-

ties. The Committee intends that

on the one hand an employee injured

on board a vessel shall be in no

less favorable position vis a vis

his rights against the vessel as

a third party than is an employee

who is injured on land, and on

the other hand, that the vessel

shall not be liable as a third

party unless it is proven to have

acted or have failed to act ina

negligent manner such as would

render a land-based third party

in non-maritime pursuits liable

under similar circumstances.

se ae & 2

"Finally, the Committee does

not intend that the negligence

remedy authorized in the bill

shall be applied differently in

different ports depending on the

A-42

law of the State in which the port

may be located. The Committee in-

tends that legal questions which

may arise in actions brought under

these provisions of the law shall be

determined as a matter of Federal

law. In that connection, the Com-

mittee intends that the admiralty

concept of comparative negligence,

rather than the common law rule as

to contributory negligence, shall

apply in cases where the injured

employee's own negligence may have

contributed to causing the injury.

Also, the Committee intends that

the admiralty rule which precludes

the defense of ‘assumption of risk’

in an action by an injured employee

shall also be applicable.

ne ke & & OM

Despite the fact that neither the stat-

ute nor the committee report anywhere con-

tains any reference to the longshoreman as

being a business visitor or invitee on the

one hand or to the vessel or shipowner as

being in a position equivalent to that of

an occupier of land on the other hand, the

majority of the courts have proceeded to

analyze the nature of the duty as if it

were mandated that 2 Restatement (Second)

—a— A-43

of Torts, §§ 343 and 343A (hereinafter

743 and 343A), are applicable. We believe

these courts to have been influenced

largely by Vickery, Some Impacts of the

1972 Amendments to the Longshoremen's and

Harbor Workers’ Compensation Act, 41

Insurance Counsel Journal 63 (January

1974). Mr. Vickery is practicing in

Houston, Texas, and according to biograph-

ical material accompanying his article,

"He worked extensively with the Congress

on the 1972 Amendments to the Longshore-

man's Act as a representative of several

Gulf Maritime and Steamship Associations."

After first noting that:

"Practitioners believe that

the courts will apply ‘land' con-

cepts of negligence as against the

shipowner and the admiralty con-

cept of comparative negligence as

A-44

against the plantiff,1? as the

Congress intends [,] * * *"

he states, apparently without fear of con-

tradiction: "The situation of the ship-

owner is comparable to that of a land ow-

ner or occupier of premises who contracts

with an independent contractor to perform

services on the premises." He then sets

forth a description of the nature of the

duty accompanied by copious citations.

The seven “principles” which he advocates

171t is interesting that the author

speaks of applying the concept of compara-

tive negligence as against the plaintiff.

We had always assumed that comparative

negligence under the. general maritime law

was something in favor of the plaintiff to

ameliorate the harsh doctrine of contribu-

tory negligence existing at common law.

Also interesting is the fact that the au-

thor ignores the committee reports’ in-

junction that the defense of assumption

of risk would not be available to the

vessel. This is probably because the

"principles" which he advocates as being

applicable reintroduce the concept of

implied assumption of risk.

A-45

as being applicable appear to be a para-

phrase of 343 and 343A and comments there-

to.

That 343 and 343A embody the concept

(specifically forbidden by the Reports) of

assumption of risk as a duty-limiting fac-

tor is apparent from comment e to 343A.18

For judicial recognition of this point,

see, for example, Brown v. Ivarans Rederi

18"e, In the ordinary case, an invitee

who enters land is entitled to nothing

more than knowledge of the conditions and

dangers he will encounter if he comes. If

he knows the actual conditions, and the

activities carried on, and the dangers in-

volved in either, he is free to make an

intelligent choice as to whether the ad-

vantage to be gained is sufficient to jus-

tify him in incurring the risk by entering

Or remaining on the land. The possessor

of the land may reasonably assume that he

will protect himself by the exercise of

ordinary care, or that he will voluntarily

assume the risk of harm if he does not

succeed in doing so. Reasonable care on

the part of the possessor therefore does

not ordinarily require precautions, or

even warning, against dangers which are

known to the visitor, or so obvious to him

that he may be expected to discover them."

A-46

A/S, 545 F2d 854 (3d Cir 1976) at page

863, n. 10.

Apart from the fact tnat description

of the shipowner's duty by resorting to

343 and 343A introduces the forbidden ele-

ment of assumption of risk, there is an

additional fact even more important for re-

jecting application of those sections as

the proper analysis. No one seriously

disputes that the development of the law

of torts, and particularly negligence con-

cepts in the field of occupier of land

vis-a-vis entrant upon the land, has been

largely influenced by the favorable posi-

tion which land and the rights of owners

of land historically have held in English

and American law. The scholars usually

recognize and comment upon this situation

at the outset of their discussions of this

relationship:

A-47

"Responsibility for injury on

dangerous premises has attracted

its own, rather complex pattern of

legal rules and withstood to a sig-

nificant, if diminishing degree,

the pervasive tendency to measure

the existence and scope of duties

of care by the broad standards of

foreseeability of harm and reason-

able conduct. Until well into the

midst of the nineteenth century,

the prominent social value attached

to landholding defied all serious

challenge to the claim by occupiers

to untramelled use and enjoyment of

their domain with least subordina-

tion to the interests of others.

Qualified only by such concern for

neighbours as exacted by the law

of nuisance and trespass, the land-

owner was virtually immune to de-

mands for the safety of persons who

came upon his land, except not to

injure them wilfully, set traps or

use excessive force in expelling

trespassers. With respect to the

conditions of the premises, even a

lawful visitor entered for all

practical purposes at his own risk.

Only belatedly and after protracted

judicial groping did this singular

tenderness for a sectional interest

group begin to yield to the com-

bined thrust of industrialization,

with its attendant proliferation

‘of physical dangers, and a growing

sense of social responsibility.

The eventual adjustment, however,

continued to make substantial al-

lowance to the lingering sentiment

of the past by falling markedly

A-48

short of exposing occupiers to the

full rigour of the developing negli-

gence doctrine. Apprehensive of

subjecting defendants to the uncon-

trolled arbitrament of yneympathetic

juries, the new formula’ ensured

retention of a large measure of

judicial control by the expedient of

dividing persons entering land into

distinct categories, fixed by refer-

ence to the purpose of their visit,

with co. responding and precisely de-

fined standards of care owed to each.

"This emphasis on categories and

labels involves a high degree of for-

malism which experience has proved to

be a fertile source of unrealistic

distinctions, capricious results and

all too many appeals on what should

be questions of fact but are distorted

into questions of law. In response

to increasing dissatisfaction, drastic

reform in England finally introduced

a ‘common duty' of reasonable care in

favour of all lawful visitors alike.

"lenunciated by Willes J. in

Indermaur v. Dames (1866) L.R. 1 C.P.

274 and Gautret v. Edgerton (1867)

L.R. 2 C.P. 371. .

"2occupiers' Liability Act,

1957. See Street, chap. 10, sect. 2;

Salmond, cheap. 12; Odgers, [1957]

Cam. L.J. 39; Payne, 21 Mod. L. Rev.

359."

{author's emphasis] Fleming, The

Law of Torts 404, 3d ed. (1965).

A-49

2 Harper and James, The Law of Torts 1430

et seq. (1956).

There is no indication whatsoever in

the Reports that Congress intended that the

land-based law to be applied was that of

occupier and invitee. We regard as a pre-

mise, at least of the common law, that not

only the existence but the nature of a

duty arises out of some relationship of

the parties; whatever the relationship be-

tween vessel and longshoreman may be, it is

To like effect, see Prosser, Law of Torts

351, 4th ed., Hornbook Series (1971), and

A-50

not that of occupier of land and invitee,!9

At the other end of the scale are

those, including this plaintiff, who urge

that we must apply maritime negligence law

without any leavening by “land=based" con-

cepts. At the extreme of this view is the

position of Gilmore and Black,29 who urge

19por the purposes of this case, we need

not reach the issue of general maritime

law applicable to matters within the admir-

alty and maritime jurisdiction versus the

common law. See U.S.Const. art III, § 2;

Southern Pacific v. Jensen, 244 U.S. 205

(1917); “The Lottawanna," 21 Wall. 558

(1874); Kermarec v. Compagnie General Trans-

atlantique, 358 U.S. 625 (1959), where the

court stated: "The issue must be decided

in the performance of the Court's function

in declaring the general maritime law, free

from inappropriate common-law concepts. * *

* We hold that the owner of a ship in navi-

gable waters owes to all who are on board

for purposes not inimical to his legitimate

interests the duty of exercising reason-

able care under the circumstances of each

case." pp. 630-32. It may well be in a

case where necessary to do so this court

or the United States Supreme Court will

hold the last-quoted sentence to be the

correct measure and nature of duty under

the 1972 amendments.

20Gilmore and Black, The Law of Admiralty,

A-51

that the concept of negligence which has

been developed in seamen's actions under

the Jones Act should be applied. The ba-

sis of their argument seems to be:

"* * * that it makes sense

for the shipowner to owe the same

Standard of care to commercial

invitees like repairmen and long-

shoremen that he owes to crew

members, and that a unitary stan-

dard of care would greatly sim-

plify the law of the new negli-

gence action." Robertson, "Neg-

ligence Actions by Longshoremen

Against Shipowners Under the 1972

Amendments to the Longshoremen's

and Harbor Workers' Compensation

Act," pp. 449-50 Journal of

Maritime Law and Commerce (April

1976).

Robertson notes that Benedict on Admiralty?!

disagrees with Gilmore and Black as to ap-

plication of the Jones Act "standard" but

that Benedict does predict the emergence of

a “thoroughgoing and healthy negligence

action" based upon general maritime princi-

ples. See, also, n. 19, ante, and accom-

panying text.

2lpenedict on Admiralty, 7th ed. Jhirad.

A-52

Decision of post-1972 amendment cases

solely under the general maritime negli-

gence law completely untrammeled by

land-based common law concepts would fly

directly in the face of the Reports and is

no more warranted than is the action of

those courts which have proclaimed that

the shipowner no longer has any duty to

furnish a safe place to work, thereby

conveniently overlooking that which is

plainly to be seen in the Reports. See

the discussion of this aspect infra at

page 34. We, therefore, reject that

position urged by plaintiff.

The Third Circuit, in Hurst v. Triad,

554 F2d 1237 (3d Cir 1977) suggests that

the nature of the duty is better described

in terms of 2 Restatement (Second) of

Torts, § 414. Chapter 15, Restatement

(Second) of Torts, is concerned with the

liability of an employer of an independent

A-53

contractor. Section 409 sets forth the

so-called "general rule" that the employer

of an independent contractor is not

liable for physical harm caused to another

by an act or omission of the contractor or

his servants. As indicated in comment b,

however, the general rule is now primarily

important only as a preamble to the

catalog of its exceptions. The exceptions

are contained in Sections 410-429, which

make up the balance of Chapter 15.

Sections 410 through 415 are exceptions

based upon the employer's own conduct,

while the exceptions in Sections 416

through 429 are based upon a theory of the

employer's vicarious liability for the

A-54

tortious conduct of the independent

contractor or his servarts, 22

In Hurd (sic) the injured longshore-

men urged that they were entitled to re-

cover under the duty described in Section

414 on the theory that the shipowner had

"ultimate control" over the stevedoring

operations. Section 414 provides as

follows:

"One who entrusts work to

an independent contractor, but

who retains the control of any

part of the work, is subject to

liability for physical harm to

others for whose safety the em-

ployer owes a duty to exercise

22The federal district court in Brown v.

Ivarans Rederi A/S, 545 F2d 854 (2d Cir

1976), had instructed the jury pursuant to

Section 416. The Court of Appeals rightly

observed that this was improper because of

the injunction in the committee reports

against holding the shipowner vicariously

liable for negligence of the stevedore.

We observe that even here the statutory

language as such would permit recovery

against the shipowner vicariously. This

is one more reason Congress should turn

its attention to Section 905(b).

A-55

reasonable care, which is caused

by his failure to exercise his

control with reasonable care."

The court rejected their contention on the

bases: (1) that using the shipowner's

ultimate control in order to create a duty

of supervision would amount once again to

the establishment of a non-delegable duty;

(2) ultimate control over stevedoring

operations is not the sort of control to

which Section 414 is directed. For

Section 414 to apply, the contractor must

be controlled as to his methods of work or

as to operative detail. The court then

expressly approved the district court's

analysis that Section 414 is part of the

"federal common law" applicable to long-

A-56

shoreman suits against vessel owners under

the 1972 amendments. 23

Another court has recently considered

the nature of the duty with some reference

to Section 413, Restatement (Second) of

Torts. In Munoz v- Flota Merchante Gran-

colombiana SA, 553 F2d 837 (2d Cir 1977),

the panel, speaking through Chief Judge

Kaufman, held that the evidence was insuf-

ficient as a matter of law to make a ques-

tion for the jury as to negligence of the

23wWe can only believe a choice of the

term "federal common law" was inadvertent.

It has always been considered that although

there may be a common federal law, there

is no federal common law. "There is at

least superficial incongruity in [the

committee reports] calling for both

land-based law and federal uniformity, as

the traditional source of a federally

uniform body of law in these matters has

been the general maritime law. There is,

as such, no federal common law." Robertson,

"Negligence Actions by Longshoremen Against

Shipowners Under the 1972 Amendments to

the Longshoremen's and Harbor Workers'

Compensation Act, 7 J of Maritime L & C

447, 466 (April 1976).

A-57

shipowner. (The facts there are not par~-

ticularly important for our discussion.)

The court first stated:

"The shipowner's responsi-

bility for maritime accidents

cannot follow from mere invoca-

tion, without more, of the talis-

manic claim of 'negligence.'

ea 8" p. 839.

The court recognized that it had applied

343A in an earlier Second Circuit case?4

where it was an open and obvious dangerous

condition. In Munoz the court found that

the shipowner had relinquished control of

the hold, then in a reasonably safe condi-

tion, to an experienced stevedore, that

the stevedore's negligence had created a

latent dangerous condition which was

24nNapoli v. Hellenic Lines, Ltd., 536

F2d 505 (2d Cir 1976).

A-58

unknown to the owner,248 and that in

such circumstances there was no jury case

without risking return to the concept of

liability without fault for shipowners,

which Congress had rejected. The court

stressed the fact that the work entrusted

to the stevedore was "within its normal

competence," indicating that by reason of

that fact Section 413, Restatement (Second)

of Torts was inapplicable. We might well

question that, but it is unnecessary for

Our purposes to travel that pathway.

Inherent in the defendant's choice

not to authorize the use of bull winches

is an exercise of control of the method of

work, if not indeed control as to opera-

24acompare this with the evidence from

which the jury could have found in the

case at bar that the defendant's repre-

sentat ve, the supercargo, both knew of

the condition created by the method of

stow and admitted he recognized its dan-

ger to the longshoremen.

A-59

tive detail. Since, as we have already

pointed out, the jury could have found

that dead-ending was the only feasible al-

ternative to the use of bull winches, it

may also be inferred that dead-ending was

"required" as a concomitant of defendant's

injunction against using bull winches.

Thus, the defendant also exercised in this

respect control as to the method of work,

if not the operative detail.25

In Brown v. Ivarans Rederi A/S,

Supra, the panel of the Third Circuit

25we recognize this is not the same con-

trol over operative detail as existed in

Butler v. O/Y Finnlines, Ltd., 537 F2d

1205 (4th Cir 1976), where the vessel's

third mate was actually in the hatch super-

vising stowage to the extent of counter-

manding the manner in which a counter-

weight was to be stowed. Nevertheless,

there was evidence as pointed out from

which the jury could find that defendant

controlled Portland as to Portland's

methods of work in the two respects sub-

mitted to the jury. See also 2 Restate-

ment (Second) of Torts § 414.

A-60

discussed some approaches to the analysis

of the nature of the duty owed under Sec-

tion 905(b) and concluded the opinion with

a suggestion to the district court for re-

trial as to "the standard of care."26 The

Brown court concluded:

" * * * Tt would appear that

the principles of the law of neg-

ligence, as adopted in the admir-

alty field during the history of

our court, are to form the basis

of any recovery against shipowners

insofar as such principles are not

inconsistent with § 905(b)."

The utility of the suggestion is question-

able, since what is consistent with § 905

(b) is the very object of the inquiry.

Since we predict that the United

State Supreme Court will not in the rela-

tively near future go so far as is

26we do not wish to belabor the point un-

necessarily, but we respectfully disagree

that it is the standard of care as distin-

guished from the nature of the duty with

which the courts must deal in applying §

905(b).

A-61

suggested by Professor Ehrenzweig in Negli-

gence Without Fault (1951), and as yet has

wd

not adopted the thoroughgoing and healthy

negligence action based upon general mari-

time principles predicted by Benedict (see

note 21, ante, and accompanying text), we

suggest the nature of the duty might well

be that proposed in Heaven v. Pender, 1l

Q.B.D. 503, 509 (1883):

"Whenever one person is placed

by circumstances in such a position

in regard to ancther that every one

of ordinary sense who did think

would at once recognize that if he

did not use ordinary care and skill

in his own conduct with regard to

those circumstances, he would cause

danger of injury to the person or

property of the other, a duty

arises to use ordinary ca and

skill to avoid such danger."

Surely under that rule it would be a ques-

tion for the jury as to whether negligence

of the defendant was the cause of Shep-

ler's death in this case. We need not

adopt that rule, however, for disposition

A-62

of this case,

Under any duty thus far suggested

by federal decisions, if the employer of

an independent contractor dictates a

particular method for performing the

contracted work which is unreasonably

dangerous to the workmen of the indepen-

dent contractor, taking into consideration

the possible alternative methods, he is

responsible in damages for injuries caused

to such workmen thereby. This is a duty

to the employes of an independent contrac-

tor which is universally imposed upon the

employer of such a contractor in any

context, whether on land or at sea, and

about which there can be no real argument.

See Section 410 of Restatement (Second) of

Torts, which provides:

"The employer of an independent

contractor is subject to the same

liability for physical harm caused

by an act or omission committed by

the contractor pursuant to orders

A-63

or directions negligently given

by the employer, as though the

act or omission were that of the

employer himself."

Comment b, which concerns the extent of the

rule, has the following to say:

"This Section deals onl

with the liability of an cmployer

who does not intend that the con-

tractor shall cause physical harm

to any other person, but who ei-

ther employs a contractor to do

work which, no matter how care-

fully done, involves an unreason-

able risk of physical harm to

others to whom he owes a duty to

exercise care, or who employs a

contractor to do work which

could be safely done but for the

fact that he directs the contrac-

tor to do it in a manner involv-

ing such risk. The liability is

based upon the fact that the

employer has been negligent in

ditecting his contractor to do

work which is dangerous in itself

or in the manner in which it is

done. Therefore, the employer is

subject to liability, under the

rule stated in this Section, for

only such physical harm as is

caused by the dangerous character

of the work or the dangerous man-

ner in which it is directed to

be done. He is not subject to

liability for any harm caused by

some improper method which the

A-64

contractor, without any direc-

tion of his employer, adopts in

doing the work."

We do not hold that the duty of the owner

or the charter of a vessel is limited to

that set forth in Section 410, but do hold

that his duty must go at least that far.

That is all that is necessary for a deci-

sion in this case,

Defendant also assigns as error the

court's instructing the jury that defen-

dant owed a duty to provide a safe place

to work. In this respect the complained-

of portion of the court's charge is as

follows:

“When a charterer exercises

control in whole or in part for

stowing cargo, such a charterer

has the duty to provide persons

. employed aboard a vessel with a

reasonably safe place to work,

in this case, within the allega-

tions of negligence, that I am

going to submit to you within

those two allegations.

"* *£ *& © *

"If such negligence as al-

leged is proven to you by the

A-65

plaintiff, this would render the

charterer Weyerhaeuser liable for

damages sustained by a workman

injured or killed as a result of

the charterer's failure to pro-

vide a safe place to work."

Apparently the "exception" to this charge

was taken in the nature of a colloquy be-

tween defense counsel and the court in a

pre-instruction conference:

"THE COURT: * * * Any other

instructions, exceptions other

than what we have previously

noted?

"MR. DAIGLE: Just briefly,

your Honor. No. 4, your Honor,

reads:

"'If such negligence as al-

leged is proven to you by plain-

tiff, this would render the char-

terer liable for damages sustained

by a workman injured or killed as

a result of the charterer's fail-

ure to provide a safe place to

work, '

"I don’t think a charterer

has the duty to provide a safe

place to work. With reference

to the previous Instruction No,

3, it says:

"'When a charterer exercises

control in whole or in part for

stowing cargo, such charterer has

a duty to provide persons employed

aboard a vessel with a reasonably

safe place to work.'

A-66

"THE COURT: And I have added

in within the allegations of negli-

gence.

"MR. DAIGLE: Yes, sir. My

point is that a charterer, in this

case Weyerhaeuser, may very well <-

I don't say they do, but assuming

they exercise control over the

loading operation for the first hour

of the first day -- the way that in-

Struction reads is that if Weyer-

haeuser exercised control on the

first part of the job, then they are

liable for something that happened

three days later after the first

hour that complete control was

turned over to the stevedore company.

"THE COURT: I tied that up. I

understand. You have the exception.

I did tie that up by saying it has

to be there. The control aspects

in those two aspects has to be the

cause of the injury. That cures

that. As I say, the reason I've

been doing this I might say about

95 percent of the lawyers prefer

they can say now the Judge will

tell you this, I want to be sure

and call your attention to the

facts of this."

Immediately following the conclusion

of the court's complete charge to the jury,

counsel for the respective parties made

oral argument. Insofar as the transcript

reflects, no exceptions were taken to the

A-67

charge given either before or after the

Oral argument which followed the charge to

the jury. Later the jury asked for rein-

Struction on certain points concerning the

defendant maintaining any control or parti-

cipating in the control of the loading of

the vessel, and requested a restatement of

instructions regarding the legal responsi-

bilities of the men in the hold. In part,

the court reinstructed the jury as follows:

"This is all true unless the

charterer u.dertakes and exercises

control in whole or in any material

part for a particular operation and

in this case it is a question of

fact if the charterer Weyerhaeuser

undertook to participate in the

control of a particular loading

style for this ship; that is, to

load it in a particular manner.

"And it is a question of fact

whether such loading would require

either a bull winch operation of

[sic] dead-ending of logs.

“When a charterer exercises

control in whole or in part for

stowing cargo, such a charterer

has the duty to provide persons

employed aboard a vessel with a

reasonably safe place to work, in

this case, within the allegations

A-68

of negligence. This means it is

the duty of such a charterer to

use reasonable care in order to

avoid injury to a workman aboard

the vessel in any situation in

which it can reasonably be anti-

cipated that a failure to use

such care might result in such

injury.

* 2 @ @ &@ @

"If such negligence as al-

leged is proven to you by plain-

tiff, this would render the

charterer liable for damages sus-

tained by a workman injured or

killed as a result of the char-

terer's failure to provide a safe

place to work.”

To the complained-of portion of the charge,

on reinstruction, defendant in its brief

sets forth its “exception” as follows:

"The Court erroneously re-

instructed the jury a second

time on the same subject as re-

vealed in the affidavit of Paul

N. Daigle, correcting and sup-

plementing the record on appeal:

"'T, PAUL N. DAIGLE, being

first duly sworn, depose and say:

"'Approximately one hour

after the jury requested to be

reinstructed (Tr. pag. 611) I

received a telephone call from

Judge Jones who stated that the

jury had requested to be rein-

structed on the same matters

set forth in their original re-

quest. At that point I stated

A-69

to Judge Jones I had no objec-

tions to his submitting the in-

structions in written form to the

jury and I assume that he did

so." (Trial court file)"

We have grave reservations concerning

the sufficiency of the "exceptions" here

claimed. We believe it the better practice

to take exceptions to instructions as

given at an appropriate time after the

charge rather than prior thereto. Next,

we doubt that the "exception" purportedly

taken by affidavit is any exception at

all. In the interest of fairness, however,

we shall consider these exceptions as if

properly taken, assuming that the same

exception as was taken *» the instruction’

before the charge was given has been taken

to the reinstructions.

The exception actually challenges the

instruction on two grounds, the first be-

ing that the defendant had no duty to pro-

A-70 A-71

vide a safe place to work and the second ably safe place to work at the time the

being that the defendant had no duty to master stevedore and his employes board

provide a safe place to work after relin- the vessel, but further to exercise ordi-

quishing control of the vessel to the nary care to maintain a reasonably safe

stevedore. place to work. Otherwise, the following

Whether the shipowner has a duty to language from the reports has no meaning

provide a safe place to work has been some- whatsoever:

what puzzling to the federal courts. For "Permitting actions against

the vessel based on negligence

instance, in Crowshaw v. Koninklijke will meet the objective of en-

couraging safety because the ves-

Nedlloyd, B. V. Rijswijk, 398 F Supp 1224 sel will still be required to

exercise the same care as a land-

(DC Or 1975), an early case arising after based person in providing a safe

place to work. Thus, nothing in

the 1972 amendments, the court at page 1229 this bill is intended to derogate

from the vessel's responsibility

asserts: "The shipowner does not owe the to take appropriate corrective

action where it knows or should

longshoreman a duty to provide him with a have known about a dangerous

condition.

safe place to work." Compare this state- "So, for example, where a

longshoreman slips on an oi]

ment with language on page 1230: "Shipow- spill on a vessel's deck and is

injured, the proposed amendments

ners retain the initial obligation to pro- to Section 5 [33 USC § 905]

would still permit an action

vide invitees with a reasonably safe place against the vessel for negligence.

To recover he must establish that:

to work." We believe that a fair construc- 1) the vessel put the foreign

substance on the deck, or knew

tion of the Reports as a whole not only that it was there, and willfully

Or negligently failed to remove

requires the shipowner to provide a reason- it; or 2) the foreign substance

|

A-72

had been on the deck for such a

period of time that it should

have been discovered and removed

by the vessel in the exercise of

reasonable care by the vessel

under the circumstances."

The duty thus embodied under the Reports

is no more than that of any land-based per-

son; namely, to provide a safe place to

work for an independent contractor and his

employes. On the other hand, it is clear

from the Reports as a whole that the

shipowner may delegate the duty to provide

a safe place to work in all instances in

which a land-based person might do so and,

therefore, escape liability imposed

vicariously although still being liable

for his own negligence. Applying that

construction to the exception here taken,

we find the first ground of the exception

to be erroneous and the second not to be

valid because there was evidence from which

the jury could find that the defendant was

exercising control over the method of the

A-73

work and the instruction given by the

court conditions the defendant's duty to

provide a safe place to work upon a finding

by the jury that the defendant was exer-

cising such control. Furthermore, the

obligation was limited by the court's

charge to the two particulars of negli-

gence submitted to the jury.

Defendant's assignment of error No.

1 follows:

"The Circuit Court erred in

refusing to rule as a matter of

law that Plaintiff failed to prove

liability against Defendant Weyer-

haeuser Company, and in improperly

instructing the jury in regard to

Defendant Weyerhaeuser's liability."

This assignment of error was then broken

down into 12 subdivisions. Apparently de-

fendant itself believed that all of these

12 subdivisions were subsumed in one gen-

eral question, for in stating the issues

presented on appeal defendant set forth

one general question to cover all 12 sub-

divisions:

A-74

"(A) Under the 1972 Amend-

ments to the Longshoremen's and

Harbor Workers' Compensation Act,

does a voyage charterer who

hires an independent expert

stevedore to conduct loading

operations owe any responsi-

bility to provide a_ safe place

to work or to warn2’ of open

and obvious conditions to a

longshoreman-stevedore's em-

ployee injured or killed dur-

ing the loading?"

Our prior discussion has disposed of the

first five subdivisions. The other seven

are concerned with failure to give certain

instructions requested by defendant. We

have examined each of these and find that

there was no error either because they were

incomplete statements of the law, were erro-

neous under the nature of the duty we have

concluded was owed, or were adequately cov-

ered in other portions of the court's charge.

27plaintiff did not charge defendant

with a failure to warn Shepler of the con-

dition in the hold, and our discussion of

the nature of the duty under the evidence

of this case shows that the giving of a

warning does not in and of itself satisfy

the duty owed.

A-75

OFFSET FOR STEVEDORE'S NEGLIGENCE

Defendant urges that should we uphold

the verdict we should not uphold the judg-

ment against defendant for more than 28% of

the total damages awarded, on the basis

that the jury found defendant to be only

28% negligent. Defendant would have us ap-

ply what has come to be known as the equit-

able credit doctrine. A fair exposition of

the doctrine is as follows:

"1. Plaintiff retains his no-

fault compensation benefits in full.

"2. His recovery against the

shipowner is reduced by the percen-

tage of his own negligence.

"3. The shipowner's liability

is reduced by the percentage of the

stevedore's negligence, as well as

that of the plaintiff.

"4. The stevedore is not liable

for damages because the Act limits

his exposure to compensation payments.

Furthermore, he may enforce his

equitable lien against plaintiff's

recovery from the shipowner. Because

his own negligence has reduced plain-

tiff's recovery by [a percentage], how-

ever, his lien is diminished by the

amount that percentage constitutes of

the total judgment." Crowshaw v.

Koninklijke Nedlloyd, B.V. Rijswijk,

Supra.

~~

A-76

Application of the doctrine does have

some appeal, but we decline to apply it in

this case for the following reasons: (1)

It appears to us to be exactly contrary to

the Reports and would permit the shipowner

in effect to obtain indemnity indirectly

and to reduce the stevedore's lien against

the compensation under the Act; (2) A ma-

jority of the federal courts of appeal

which have considered the question have

rejected application of the doctrine. In-

cluded in these are the Ninth Circuit.

See Shellman v. United States Lines, Inc.,

528 F2d 675 (9th Cir 1975), cert den 96

S Ct 1668 (1976). In the Fourth Circuit,

which did apply the doctrine, there was a

vigorous and able dissent by one of the

three judges of the panel which heard the

case. See dissenting opinion of Circuit

Judge Hall, Edmonds v. Compagnie General

Transatlantique, F2d (4th Cir

A-77

1977); (3) On the face of it it seems un-

fair to have the stevedore's percentage of

negligence determined in a case in which

the stevedore is not a party and has no

power to control any portion of the pre-

sentation of evidence upon which the trier

of fact assesses the stevedore's percen-

tage of negligence of fault; (4) There is

no assignment of error before us as to any

ruling made by the trial judge upon this

point. Insofar as we can tell from the

record, the trial judge was not asked to

do what defendant would now have this

court do.

EVIDENCE AND THE FINANCIAL INTEREST OF

PORTLAND

Defendant's second assignment of er-

ror is as follows:

"The Circuit Court erred in

preventing defendant Weyerhaeuser

from demonstrating the bias and

financial interest of Portland

Stevedoring Company in the out-

come of the present litigation."

A-78

Plaintiff called certain witnesses who at

the time of Shepler's fall were regular em-

ployes of Portland. The trial judge

prevented defendant, upon cross-examina-

tion of these witnesses, from showing that

Portland had a financial interest in the

cutcome of the case as it pertained to

Portland's lien against the recovery for

compensation benefits paid to plaintiff.

Plaintiff answers this assignment by

stating there was no offer of proof as to

what these witnesses would have said, and

this court is therefore unable to deter-

mine what evidence might have been elicited

and consequently cannot determine, even if

there were error, whether it was prejudi-

cial. It is doubtful whether an offer of

proof is required where an objection is

sustained upon cross-examination. See

Arthur v. Parish, 15 Or 582, 47 P2d 682

(1935); Beemer v. Lenske, 241 Or 47, 402

a —<

A-79

P2d 90 (1965); and Stillwell v. S.I.A.C.,

243 Or 158, 411 P2d 1015 (1966). Defen-

dant did make an offer of proof by an at-

torney for Portland as to Portland's finan-

cial interest in any recovery by plaintiff.

On the other hand, there is no offer of

proof that the witnesses who had been em-

ployed by Portland would themselves be fi-

nancially benefited by any recovery or

failure of recovery in the case. The of-

fer of proof by the attorney's evidence

did not go to this point.

Although it is not applicable to this

case, Our own Workmen's Compensation Act

expresses a legislative policy that in a

third-party action the jury is not to be

made aware that the plaintiff is entitled

to workmen's compensation benefits. Fur-

thermore, in Strandholm v. General Const.

Co., 235 Or 145, 382 P2d 843 (1963), we

affirmed the trial court in granting a

A-80

new trial after a defense verdict where

the fact that plaintiff was entitled to

benefits under LHWCA was deliberately dis-

closed to the jury by the defendant.

We are really dealing with a policy

question concerning the collateral source

doctrine, and this court has quite re-

cently carefully considered the question.

In Reinan v. Pacific Motor Trucking Co.,

270 Or 208, 527 P2d 256 (1974), we noted:

"* * * The salutary policy

underlying the collateral source

rule is simply that if an injured

party received some compensation

from a source wholly independent

of the tortfeasor, such compensa-

tion should not be deducted from

what he might otherwise recover

from the tortfeasor. The eviden-

tiary consequence of this rule is

that proof of such payments is

generally regarded as inadmissible

in view of its potentias misues

by the jury. 70 Or at 213.

{emphasis added]

We further noted: "“"[T]hat the likelihood

of misuse by the jury clearly outweighs

the value of this type of evidence and the

A-81

likelihood of an impermissible prejudicial

impact on the jury's deliberations cannot

be discounted." As a policy decision, we

therefore continued our traditional adher-

ence to the strict exclusionary rule. We

decline to reexamine that decision on the

record in this case.

Affirmed.

A-82

SUPREME COURT OF THE STATE OF OREGON

November 15, 1977

Mr. Ridgway K. Foley, Jr.

Souther, Spaulding, Kinsey,

Williamson & Schwabe

Attorneys at Law

1200 Standard Plaza

Portland, Oregon 97204

Mr. Raymond J. Conboy

Pozzi, Wilson & Atchison

Attorneys at Law

910 Standard Plaza

Portland, Oregon 97204

Re: Shepler v. Weyerhaeuser Company,

279 Or 477

Gentlemen:

The court in retrospect believes that

the opinion in Shepler v. Weyerhaeuser Com-

pany, 279 Or 477 at 500 (1977), was par-

tially incorrect in the wording of footnote

23. Below is a substitute footnote 23,

which will appear in the bound volume of

the Oregon Reports:

We believe the use of the term

"federal common law" may be un-

fortunate. "There is at least

superficial incongruity in [the

committee reports] calling for

both land-based law and federal

uniformity, as the traditional

source of a federally uniform

body of law in these matters has

been the general maritime law.

A-83

There is, as such, no federal

common law." Robertson, "Negli-

gence Actions by Longshoremen

Against Shipowners Under the

1972 Amendments to the Longshore-

men's and Harbor Workers' Compen-

Sation Act," 7 J of Maritime L

& C 447, 466 (April 1976). But

see Erie R. Co. v. Tompkins, 304

US 64, 78 (1937): "There is no

federal general common law."

See also Jacobson v. Tahoe Re-

gional Planning Agency, 558 F2d

928, 937 (1977).

Justice Tongue did not participate in

this decision.

Very truly yours,

/s/ Loren D. Hicks

Loren D. Hicks

State Court Administratcc

LDH:dj

A-84

APPENDIX C

Article III, § 2, cl. 1 of the United

States Constitution:

"Jurisdiction of Courts

"Section 2. The judicial Power shall

extend to all Cases, in Law and Equity,

arising under this Constitution, the Laws

of the United States, and Treaties made,

or which shall be made, under their

Authority; --to all Cases affecting

Ambassadors, other public Ministers and

Consuls;--to all Cases of admiralty and

maritime Jurisdiction;--to Controversies

to which the United States shall be a

Party;--to Controversies between two or

more States;--between a State and Citizens

of another State;--between Citizens of

different States;--between Citizens of the

same State claiming Lands under Grants of

different States, and between a State, or

the Citizens thereof, and foreign States,

Citizens or Subjects.

A-85

28 U.S.C. § 1257(3):

"State courts; appeal; certiorari

"xz ke ke kk

(3) By writ of certiorari, where the vali-

dity of a treaty or statute of the United

States is drawn in question or where the

validity of a State statute is drawn in

question on the ground of its being repug-

nant to the Constitution, treaties or laws

of the United States, or where any title,

right, privilege or immunity is specially

set up Or claimed under the Constitution,

treaties or statutes of, or commission

held or authority exercised under, the

United States. June 25, 1948, c. 646, 62

Stat. 929."

28 U.S.C. § 2101(c):

"Supreme Court; time for appeal or

certiorari; docketing; stay

nek ke ke

A-86

“(c) Any other appeal or any writ of cer-

tiorari intended to bring any judgment or

decree in a civil action, suit or proceed-

ing before the Supreme Court for review

shall be taken or applied for within

ninety days after the entry of such judg-

ment or decree. A justice of the Supreme

Court, for good cause shown, may extend

the time for applying for a writ of

certiorari for a period not exceeding

sixty days."

A-87

APPENDIX D

33 U.S.C. § 905(b):

"(b) In the event of injury to a

person covered under this chapter caused

by the negligence of a vessel, then such

person, Or anyone otherwise entitled to

recover damages by reason thereof, may

bring an action against such vessel as a

third party in accordance with the pro-

visions of section 933 of this title and

the employer shall not be liable to the

vessel for such damages directly or in-

directly and any agreements or warranties

to the contrary shall be void. If such

person was employed by the vessel to

provide stevedoring services, no such

action shall be permitted if the injury

was caused by the negligence of persons

engaged in providing stevedoring services

to the vessel. If such person was em-

ployed by the vessel to provide ship

A-88

building or repair services, no such ac~

tion shall be permitted if the injury was

caused by the negligence of persons en-

gaged in providing ship building or repair

services to the vessel. The liability of

the vessel under this subsection shall not

be based upon the warranty of seaworthi-

ness or a breach thereof at the time the

injury occurred. The remedy provided in

this subsection shall be exclusive of all

other remedies against the vessel except

remedies available under this chapter."

APPENDIX E

Restatement § 343:

"Dangerous Conditions Known

to or Discoverable by Possessor

"A possessor of land is sub-

ject to liability for physical harm

caused to his invitees by a con-

dition on the land if, but only

if, he

"(a) knows or by the exer-

cise of reasonable care would

discover the condition, and

A-89

should realize that it involves

an unreasonable risk of harm to

such invitees, and

"(b) should expect tiat

they will not discover or rea-

lize the danger, or will fail

to protect themselves against

it, and

"(c) fails to exercise rea-

sonable care to protect them

against the danger."

Restatement § 343A:

"Known or Obvious Dangers

"(1) A possessor of land is

not liable to his invitees for

physical harm caused to them by

any activity or condition on the

land whose danger is known or

obvious to them, unless the pos-

sessor should anticipate the

harm despite such knowledge or

obviousness.

"(2) In determining whether

the possessor should anticipate

harm from a known or obvious dan-

ger, the fact that the invitee

is entitled to make use of public

land, or of the facilities of a

public utility, is factor of

importance indicatin. that the

harm should be antici ated."

A-90

APPENDIX F

EQUITABLE CREDIT COMMENTS

The legislative history of the 1972

Amendments does not directly come to grips

with this particular problem, although one

experienced maritime lawyer, who partici-

pated in the Congressional hearings, ob-

serves that the language "... the vessel

will not be chargeable with the negligence

of the stevedore or employees of the

stevedore," appears in the Committee re-

ports and concludes:

—__—

"It is apparent from this

language that the Congress did

not intend for the shipowner to

be responsible for more than its

proportionate part of a long-

shoreman's damages in a situa-

tion where the accident resulted

from the concurrent negligence

of the shipowner and the steve-

dore."

Vickery, E. D., “Some Impacts of the 1972

Amendments to the Longshoremen's and

Harbor Workers’ Compensation Act 41 Ins.

A-91

C. J. 63 (Jan. 1974). Gilmore and Black

remark:

"eee «+ ee+ if the Congress really meant

that the 1% negligent shipowner should

pay full damages to the injured

worker and recover nothing from the

99% negligent empioyer, it might have

Said so more clearly." Gilmore &

Black, The Law of Admiralty, (2d ed

The Foundation Press, Inc., Mineola,

N.Y. 1975) 452 § 4-1.

District Judge Skopil recognized this

contention in Croshaw v. Koninklijke

Nedlloyd, B.V. Rijswijk, 398 F. Supp. 1224

(D. Or. 1975) and, although bound by a

prior District decision, expressed approval

of the equitable resolution proposed by J.

Cohen and D. Dougherty, "'The 1972 Amend-

ments to the Longshoremen's and Harbor

Workers’ Compensation Act: An Opportunity

for Equitable Uniformity in Tripartite

{ndustrial Accident Litigation.'" 19

N.Y.L.F. 587 (1974).

A-92

An excellent article discussing and

analyzing the concept of crediting the

shipowner with the amount of loss attrib-

utable to the stevedore's negligence ap-

pears in Coleman, Randall C. and Daly, Jr.

Warren B., "Equitable Credit: Apportion-

ment of Damages According to Fault in

Tripartite Litigation Under the 1972 Amend-

ments to the Longshoremen's and Harbor

Workers’ Compensation Act", 35 Maryland L.

Rev. 351-411 (1976). See also Marant v.

Farrell Lines, Inc., 550 F.2d 142 (3rd Cir.

1977).

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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