This case concerned the salvage of the MY Situations, which began taking on water while moored at a private dock in Fort Lauderdale, Florida, US, on 21 June 2009. A jogger reported the sinking vessel, and the police issued a distress call. Port Everglades Launch Service Inc (operating as Cape Ann Towing & Salvage (Cape Ann)) responded after receiving a direct call from a marine police officer. Cape Ann pumped out the water, located and temporarily repaired the source of water ingress, deployed pollution prevention equipment, and towed the vessel safely to a boatyard. The owner and the vessel’s captain were both out of state and unaware of the incident. The pre-casualty fair market value of the yacht was approximately USD 695,816, and the cost of repairs for water damage was USD 238,291.62. The salvage operation occurred in calm weather during daylight with minimal risk to Cape Ann or its equipment, and no immediate danger to the vessel was present. Cape Ann later sought a salvage award for its services.
Held: The elements of a salvage claim are satisfied.
The vessel was in maritime peril, Cape Ann acted voluntarily without any pre-existing duty, and the operation achieved success by preventing further damage and towing the yacht to a safe marina. Although expert evidence showed that the vessel could likely have remained afloat for approximately 27 hours without intervention, the Court accepted that a reasonable apprehension of peril existed at the time Cape Ann arrived.
In assessing the appropriate salvage award, the Court applied the traditional Blackwall factors. While Cape Ann acted promptly and competently, the operation was characterised as low-order salvage. The conditions were calm, the risk to salvors and equipment was minimal, and the work largely resembled a routine dockside pump-out. Environmental protection efforts neither enhanced nor reduced the award, as there was no evidence of actual pollution damage.
The Court determined the vessel’s pre-casualty fair market value to be USD 695,816 and its post-casualty (salved) value to be USD 457,524 after repair costs. Rejecting claims of overreaching or bad faith by either party, the Court awarded Cape Ann 6% of the salved value, 5% for low order salvage plus a 1% uplift for professional salvor status, totalling USD 27,451.46, together with prejudgment interest at 3.25%.