Bunker Holdings, Ltd. v. Yang Ming Liberia Corp., No. 16-35539 (9th Cir. 2018)
Annotate this CaseUnder 46 U.S.C. 31342(a), the bunker supplier would be entitled to a maritime lien if it provided necessaries to a vessel on the order of the owner or a person authorized by the owner. The Ninth Circuit affirmed the district court's grant of summary judgment against Bunker Holdings, a supplier of bunkers (marine fuel) in the supplier's in rem action for a maritime lien against a container ship. The panel held that, under United States law, Bunker Holdings was not entitled to a maritime lien, because it did not provide the bunkers on the order of the owner or a person authorized by the owner of the vessel.
Court Description: Maritime Law. The panel affirmed the district court’s summary judgment against a supplier of bunkers (marine fuel) in the supplier’s in rem action for a maritime lien against a containership, and the panel reversed the district court’s award of costs to the vessel owner. Assuming that United States law applies, the panel held that, under 46 U.S.C. § 31342(a), the bunker supplier would be entitled to a maritime lien if it provided necessaries to a vessel on the order of the owner or a person authorized by the owner. Agreeing with other circuits, the panel held that the supplier did not provide the bunkers on the order of the owner or a person authorized by the owner because the owner ordered the bunkers from a fuel broker, which purchased the bunkers, pursuant to a separate contract, from the supplier and did not act as the owner’s agent or have authority to bind the vessel.
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