Marine Link
Saturday, October 22, 2016

Shipyard Responsible For Poor Construction

July 19, 2004

The U.S. District Court for the Southern District of New York ruled that a shipyard is responsible under products liability for poor construction. In the instant case, the shipyard - South Korea's Hyundai Corporation - contracted to enlarge a container ship by fabricating and inserting a new mid-body. Thirteen years later, the ship broke in two during a storm at sea. The break occurred at the point where the new mid-body was joined to the original after-body. Evidence indicated that many of the welds connecting the two portions were bad and that the shipyard knew of the bad welds when the ship was redelivered to the owner. The court held that insertion of a new mid-body was a sale, rather than a repair. The court also held that privity was not required in a products liability case brought in admiralty (the ship having been sold between the time of redelivery and the time of the casualty). In the Matter of the Complaint of Rationis Enterprises, Inc., 97 Civ. 9052 (S.D.N.Y., HK Law).

Maritime Reporter Magazine Cover Oct 2016 - Marine Design Annual

Maritime Reporter and Engineering News’ first edition was published in New York City in 1883 and became our flagship publication in 1939. It is the world’s largest audited circulation magazine serving the global maritime industry, delivering more insightful editorial and news to more industry decision makers than any other source.

Maritime Reporter E-News subscription

Maritime Reporter E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

Subscribe for Maritime Reporter E-News