On 1 July 2010, the M/V Mielke Wave, owned by the petitioner, Michael Mielke, collided with the Wellcraft on Lake St Clair, Michigan. Both vessels were destroyed and began to sink immediately. The claimant, St Clair Marine Salvage Inc (St Clair), was requested by the Sheriff’s Department to assist in salving the vessels. After recovering the Mielke Wave, St Clair filed a claim seeking: 1) a salvage award 2) special compensation, and 3) storage and winterisation charges.
Held: Regarding the salvage award, the court determined that St Clair had satisfied the elements of a pure salvage claim. In order to determine the appropriate salvage award, the court looked into the Blackwall factors and art 13.1 of the International Convention on Salvage 1989 (Salvage Convention 1989) and found that USD 3,000 represented the reasonable and accurate salved value of the Mielke Wave.
Regarding special compensation, the court determined that St Clair failed to prove that the Mielke Wave threatened 'substantial physical damage to human health or to marine life or resources in coastal or inland waters or areas adjacent thereto...'. Also, St Clair failed to prove that environmental remediation efforts actually 'prevented or minimized' damage. Therefore, the court denied the St Clair’s claim for special compensation.
As for storage and winterisation charges, the court held that there was no legal authority establishing that storage and/or winterisation fees can be recovered as part of a salvage award pursuant to the Salvage Convention 1989. Therefore, the court denied St Clair’s claim for these charges.