World Fuel Servs. Trading v. Hebei Prince Shipping Co., Ltd., No. 14-1434 (4th Cir. 2015)Annotate this Case
Hebei Prince Shipping Co., Ltd. (“Hebei Prince”) owned the M/V HEBEI SHIJIAZHUANG (“the Vessel”). The Vessel was leased to Tramp Maritime Enterprises, Ltd. under three consecutive time charters that prohibited Tramp Maritime from incurring “any lien or encumbrance” against the Vessel. World Fuel Services Trading, DMCC (“DMCC”) provided marine fuel (referred to as “bunkers”) to the Vessel but was never paid. DMCC subsequently filed this in rem action against the Vessel in federal district court asserting that it was owed $809,420 for the unpaid bunkers and that it was entitled to enforce a maritime lien on the Vessel under the Federal Maritime Lien Act (FMLA). The district court granted summary judgment in favor of DMCC. The Fourth Circuit affirmed, holding (1) the district court had admiralty jurisdiction to consider DMCC’s claim; and (2) DMCC was entitled to bring its claim that it had an enforceable maritime lien under the FMLA.