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Nordholm I/S v. Canada

T-1215-89

Gibson J.

8/1/96

81 pp.

Collision between Canadian destroyer escort Kootenay and bulk carrier Nordpol in open coastal waters 25 miles west of Vancouver Island in busy shipping lanes entering into and exiting Juan de Fuca Strait in conditions of reduced visibility by reason of fog, no precipitation, light winds and inconsequential tides-Both parties claim other party responsible for accident-Semble: while case might be appropriate for application of voluntary assumption of risk principle, issue not resolved as neither party raised issue- Question of determining degree to which each vessel at fault-On evidence and in view of applicable rules, Nordpol not proceeding at safe speed, failed to take avoiding action and failed to have due regard to close-quarter situation and risk of collision-However, Nordpol did act in all respects in manner consistent with practices of similar ships in waters in question, which practices should have been well known to those in command and control of Kootenay- Kootenay not proceeding at safe speed, having regard to conditions prevailing, and failed to have due regard to prevailing circumstances and conditions-With respect to allocation of liability, Nordpol not vessel creating position of difficulty: Billings Victory, The (1949), 82 Ll.L. Rep. 877 (Adm.)-Chief officer of Nordpol therefore entitled to be judged with some degree of leniency: Ready, The, [1951] 1 Lloyd's Rep. 196 (Adm.)-Greater fault with Kootenay: liability apportioned 70% on Kootenay and 30% on Nordpol-Award of damages must be in Canadian currency and date of conversion of Canadian currency must be date of commission of tort: Shibamoto & Co. Ltd. et al. v. Western Fish Producers Inc. (Bankrupt) et al. (1991), 48 F.T.R. 176 (F.C.T.D.)-With respect to defendant's claim based on loss of use or loss of investment, application of historic cost base formula used in Admiralty Commissioners v. S.S. Chekiang, [1926] A.C. 637 (H.L.) appropriate- Twenty-eight sea days lost-Based on evidence and applying Admiralty Commissioners v. S.S. Susquehanna, [1926] A.C. 655 (H.L.), no damages for lost sea time of officers and crew of Kootenay during period of repair have been established-Plaintiff's damages established at $430,891.90, defendant's, at $652,918.69.

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