U.S. Oil Trading LLC v. M/V VIENNA EXPRESS, No. 17-0922 (2d Cir. 2018)Annotate this Case
USOT appealed the district court's orders and partial final judgments rejecting USOT's claims that it was entitled to assert maritime liens against vessels owned or chartered by Hapag. The district court ruled that USOT's claims were governed by the Commercial Instruments and Maritime Liens Act and that physical suppliers who were subcontractors were not entitled to maritime liens.
The Second Circuit affirmed the district court's judgment insofar as it concluded that USOT did not adduce evidence that it was ordered to provide the bunkers by Hapag or by an agent authorized by Hapag to order bunkers; affirmed the district court's conclusion that maritime liens cannot properly be conferred on the basis of equitable principles such as unjust enrichment; and vacated and remanded the district court judgment on the issue of whether Hapag directed that USOT be the physical supplier pursuant to the exception to the subcontractor rule.