Date: 20030114
Docket: T-49-02
Neutral citation: 2003 FCT 28
ACTION IN REM AGAINST M.V. "VILJANDI", TROPICAL SHIPPING OF CANADA INC., TROPICAL SHIPPING & CONSTRUCTION CO., LTD., TROPICAL SHIPPING INTERNATIONAL, LTD., MOS SHIPPING LTD. AND CIS NAVIGATION, INC.
BETWEEN:
NESTLÉ CANADA INC.
and
NESTLÉ PUERTO RICO INC.
Plaintiffs
and
THE VESSEL "VILJANDI"
and
TROPICAL SHIPPING OF CANADA INC.
and
TROPICAL SHIPPING & CONSTRUCTION CO. LTD.
and
TROPICAL SHIPPING INTERNATIONAL, LTD.
and
MOS SHIPPING LTD.
care of ESTONIAN SHIPPING
and
CIS NAVIGATION, INC.
and
INTERNATIONAL SHIPPING AGENCY INC.
Defendants
Upon motion on behalf of the Defendants MOS Shipping Ltd. and CIS Navigation Inc. for an order reversing the decision of Prothonotary Richard Morneau dated September 19, 2002, staying the proceedings herein and referring the Plaintiffs to the United States District Court for the Southern District of New York for determination and any and all disputes between them and the latter Defendants.
[1] The motion is dismissed on the basis of subsection 46(1) of the Marine Liability Act, S.C. 2001, c. 6 (the "Act"), and the interpretation thereof made by the Federal Court of Appeal in Katsuragi (The) v. Incremona-Salerno Marmi Affini Siciliani, 2002 FCA 479.
[2] Subsection 46(1) of the Act reads as follows:
| 46. (1) If a contract for the carriage of goods by water to which the Hamburg Rules do not apply provides for the adjudication or arbitration of claims arising under the contract in a place other than Canada, a claimant may institute judicial or arbitral proceedings in a court or arbitral tribunal in Canada that would be competent to determine the claim if the contract had referred the claim to Canada, where (a) the actual port of loading or discharge, or the intended port of loading or discharge under the contract, is in Canada; (b) the person against whom the claim is made resides or has a place of business, branch or agency in Canada; or (c) the contract was made in Canada. |
46. (1) Lorsqu'un contrat de transport de marchandises par eau, non assujetti aux règles de Hambourg, prévoit le renvoi de toute créance découlant du contrat à une cour de justice ou à l'arbitrage en un lieu situé à l'étranger, le réclamant peut, à son choix, intenter une procédure judiciaire ou arbitrale au Canada devant un tribunal qui serait compétent dans le cas où le contrat aurait prévu le renvoi de la créance au Canada, si l'une ou l'autre des conditions suivantes existe :
a) le port de chargement ou de déchargement -- prévu au contrat ou effectif -- est situé au Canada; b) l'autre partie a au Canada sa résidence, un établissement, une succursale ou une agence; c) le contrat a été conclu au Canada. |
[3] In Katsuragi, supra, Mr. Justice Nadon, for the Federal Court of Appeal, wrote the following:
[14] The Motions Judge found, correctly in my view, that the presumption of non-retroactivity had not been overturned. I agree entirely with him that the Act does not provide, expressly or by necessary implication, that subsection 46(1) is to apply retroactively. However, contrary to the view taken by the Motions Judge, it is my opinion that the only facts relevant to the determination of the temporal application of subsection 46(1) are those identified in the statute, namely the date of institution of the proceedings and the date on which the subsection came into force. [...]
[4] As, in the case at bar, subsection 46(1) of the Act came into force on August 8, 2001, as the Plaintiffs' Statement of Claim herein was filed on January 9, 2002, and as all the factual requirements for the application of subsection 46(1) are met, subsection 46(1) clearly applies and, therefore, the proceedings herein ought not to be stayed pursuant to section 50 of the Federal Court Act.
[5] Consequently, the motion is dismissed with costs.
Yvon Pinard
Judge
MONTREAL, QUEBEC
January 14, 2003
FEDERAL COURT OF CANADA
TRIAL DIVISION
NAMES OF COUNSEL AND SOLICITORS OF RECORD
DOCKET: T-49-02
STYLE OF CAUSE: NESTLÉ CANADA INC.
and
NESTLÉ PUERTO RICO INC.
Plaintiffs
and
THE VESSEL "VILJANDI"
and
TROPICAL SHIPPING OF CANADA INC.
and
TROPICAL SHIPPING & CONSTRUCTION CO. LTD.
and
TROPICAL SHIPPING INTERNATIONAL, LTD.
and
MOS SHIPPING LTD.
care of ESTONIAN SHIPPING
and
CIS NAVIGATION, INC.
and
INTERNATIONAL SHIPPING AGENCY INC.
Defendants
PLACE OF HEARING: Montreal, Quebec
DATE OF HEARING: January 13, 2003
REASONS FOR ORDER: THE HONOURABLE MR. JUSTICE PINARD
DATED: January 14, 2003
APPEARANCES:
|
Mr. Laurent Fortier |
FOR PLAINTIFFS |
|
Mr. P. Jeremy Bolger |
FOR DEFENDANTS |
SOLICITORS OF RECORD:
|
Stikeman Elliott Montreal, Quebec |
FOR PLAINTIFFS |
|
Borden Ladner Gervais Montreal, Quebec |
FOR DEFENDANTS |