712 F.3d 245
5th Cir.2013Background
- On May 31, 2011, the vessel JULIE MARIE, owned by Bertucci, allided with the Leo Kerner Bridge in Louisiana.
- The bridge sustained damage and was closed for pedestrians and vehicles for several days.
- Bertucci filed a Limitation of Liability Act action; numerous claimants, including Appellants, answered in the limitation proceeding.
- Carol Steele, on behalf of Barataria residents, filed a separate class action for damages from the bridge closure; district court consolidated with the limitation proceeding.
- The district court dismissed Appellants' claims, ruling that maritime economic damages require physical damage to a proprietary interest per Testbank.
- The panel affirmed, holding that Appellants failed to plead physical damage to any proprietary property and thus could not recover under Testbank.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does maritime law bar pure economic damages absent physical damage to a proprietary interest? | Appellants argue Testbank should not apply due to lack of maritime activity by residents. | Bertucci argues Testbank controls and requires physical damage to a proprietary interest for recovery. | Yes; Testbank applies, restricting recovery to physical damage to proprietary interests. |
| Are Appellants within the Testbank rule despite no maritime activity? | Appellants contend a federal maritime claim may apply while avoiding Testbank’s limitations. | Defendant asserts no principled distinction; Testbank extends to similarly situated non-maritime claimants. | Appellants remain barred under Testbank; no principled distinction suffices. |
| May state-law remedies permit recovery where maritime law denies it? | Appellants seek state-law recovery for economic damages caused by bridge closure. | Maritime jurisdiction forecloses state-law remedies when admiralty denies recovery. | No; state law does not supply remedy when maritime claims are denied in admiralty. |
| Could some Appellants plausibly plead physical damages to recover? | Some claimants allegedly suffered injuries or damages related to access disruption. | Interference with access is not physical damage; no plausible physical damages pleaded. | No plausible physical-damage claims; dismissal affirmed. |
Key Cases Cited
- State of Louisiana ex rel. Guste v. M/V TESTBANK, 752 F.2d 1019 (5th Cir. 1985) (recovery limited to physical damage to proprietary interest)
- Robins Dry Dock v. Flint, 275 U.S. 303 (1927) (economic loss rule in maritime cases)
- In re Taira Lynn Marine Ltd. No. 5, LLC, 444 F.3d 371 (5th Cir. 2006) (limits recovery to proprietors with physical damage)
- Reserve Mooring Inc. v. Am. Commercial Barge Line, LLC, 251 F.3d 1069 (5th Cir. 2001) (economic damages require physical injury to property)
- IMTT-Gretna v. Robert E. Lee SS, 993 F.2d 1193 (5th Cir. 1993) (no state-law substitute for denied admiralty remedy)
- Louisville & Nashville R.R. Co. v. M/V BAYOU LACOMBE, 597 F.2d 469 (5th Cir. 1979) (illustrates applicability of proprietary-interest requirement)
