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Tort Claims

Crescent Towing & Salvage Co Inc and Anr v Chios Beauty MV and Ors – US Court of Appeals (5th Circuit)(Garwood, Smith and Clement Ct JJ) – 23 June 2010

Negligence – Vessel breaking free from moorings in New Orleans during Hurricane Katrina and damaging other vessels – Whether vessel negligent in proceeding to New Orleans in face of impending hurricane – Practice – Letter of Undertaking limiting vessel’s liability to specified sum “inclusive of interest and costs” – Whether plaintiffs entitled to recover post-judgment interest insofar as specified sum exceeded

(2010) 801 LMN 2

On 25 August 2005 the Chios Beauty left Vera Cruz, Mexico, bound for New Orleans to load a cargo of grain. She was equipped with NAVTEX, a dedicated receiver providing worldwide weather reports, as well as IMARSAT, which provided satellite-based weather information. At the time, her master mistakenly believed that Tropical Storm Katrina was near the Virgin Islands. Katrina was actually northwest of the Bahamas.

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