OELWERKE TEUTONIA
v.
ERLANGER ET AL., PARTNERS UNDER THE FIRM NAME OF ERLANGER & GALINGER; ERLANGER ET AL., PARTNERS UNDER THE FIRM NAME OF ERLANGER & GALINGER, V. OELWERKE TEUTONIA

U.S. | 1919-02-03
Nos. 162, 181
248 U.S. 521 Supreme Court of the United States (1919) Negative Treatment
Also reported at: 63 L. Ed. 399 · 39 S. Ct. 180 · 1919 U.S. LEXIS 2259 · SCDB 1918-191
Cited by 29 cases

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Synopsis

The Supreme Court affirmed a lower court's reduction of salvage compensation awarded to Erlanger & Galinger, who chartered a vessel to rescue the steamship Nippon and its cargo after it ran aground on Scarborough Reef in 1913. The Court held that absent a violation of principle or clear mistake by the lower courts, appellate review of salvage award amounts is not favored, and that the salvors' expenses are their own concern when no contract or prior request existed. The Court found the salvors' work was rightfully performed and fairly efficient, warranting the 40-50 percent salvage award set by the Philippine Supreme Court rather than the 50 percent awarded at trial.


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Opinion of the Court
Mr. Justice Holmes

Mr. Justice Holmes delivered the opinion of the court.

These are cross appeals from a judgment on a complaint, for salvage of cargo brought by Erlanger & Galinger to which the defendant, Oelwerke Teutonia, answered denying , the services and setting up a counterclaim for damages alleged to have been caused by the negligence and incompetence of the plaintiffs. The Court of First Instance found for the plaintiffs and awarded to them one-half of the net proceeds of the property saved.

On appeal the Supreme Court of the Philippine Islands, while othér-wise confirming the findings of the Court of First Instance, reduced the award to forty per cent, of the main part of the cargo, which was copra, and to twenty per cent, of a small item of agar-agar which does not need further mention. We assume that the plaintiffs receive a corresponding proportion of the interest accruing upon the fund. The main facts are these. The steamship Nippon, loaded principally with copra, went aground on Scarborough Reef, 120 or 130 miles from Luzon, in the. afternoon of May 8, 1913. The next day the chief officer and nine of the crew were sent off in the only seaworthy small boát in search of help and on the twelfth reached Santa Cruz, Luzon, .and telegraphed to Manila for “ immediate assistance for saving crew.” Help was sent at once and on the thirteenth the captain and crew went to Hongkong on a mail steamer that stopped for them, the captain preferring to take that course rather than to go to Manila by a coast guard cutter that had been sent to the wreck.

On May 14 the plaintiffs chartered a cutter, and took possession of the Nippon on the 17th. Shortly after this the work of salvage was begun. It was finished in July when the vessel, the claim for which has been paid, and a great part of the cargo were saved.

There were protests on behalf of interested parties after tfye plaintiffs had started and it is denied that the vessel was abandoned. But all the earliest communications and circumstances indicate that the only hope when? the chief officer left the ship was to save the fives of those left on board, and that there was no greater expectation when the captain was taken off. It is unnecessary to say more about the evidence than that it shows no ground for departing from the usual rule when two courts have agreed about the facts. As the only point of difference with regard to them .concerns the amount of salvage allowed, that is the only question upon which we shall say a word.

Unless there has been some violation of principle or clear mistake, appeals to this Come concerning the amount of the allowance are not encouraged. Hobart v. Drogan, 10 Pet. 108, 119; Post v. Jones, 19 How. 150, 160. The plaintiffs complain that their expenses were not taken into account or were not given sufficient consideration. But, as was pointed out by the Court below, the cost was their affair. There was no contract and no request. They went into a speculation and their only claim is a lien upon goods that they have rescued for a share in the saving that they have made for the owners; The right to share in a benefit that is the result of their work is the only ground upon which the plaintiffs can stand. Of course, within that limit the necessary work and the danger are matters to be considered. Here the danger might have been great but it was not, and the work seems to deserve neither much praise nor much blame. There was more of commercial speculation and less of help not to be found elsewhere than is usual in salvage cases, and we are not prepared to say that the Supreme Court ought to have allowed more. We are equally unprepared to say that it should have allowed less. The services were rendered rightfully and were fairly efficient. Neither side would be likely to inspire enthusiasm and both justly may be left where they were left by the Court below.

Decree affirmed.


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Cited By

  • Spencer Kellogg & Sons, Inc. v. Hicks, 285 U.S. 502 (U.S. 1932)
    …in no case exceed the amount or value pf the interest of such owner in such vessel, and her freight then pending.” The Hypodame, 6 Wall. 216, 223; The North Star, 106 U.S. 17, 18; The Carib Prince, 170 U. S. 655, 658; Oelwerke Teutonia v. Erlanger, 248 U. S. 521, 524, In such circumstances the New Jersey Compensation Law is applied by the courts of that State, which hold that the relation of employer and employee exists during such transportation. DePue v. Salmon Co., 92 N. J. L. 550; 106 Atl. 379; Alberta…
  • Waterman S. S. Corp. v. Dean, 171 F.2d 408 (4th Cir. 1948)
    …decision of the District -Court should not be disturbed. The trial court is given wide discretion in fixing the amount of a salvage award, and appeals questioning only the amount awarded are not encouraged. Oelwerke Teutonia v. Erlanger & Galinger, 248 U.S. 521, 39 S.Ct. 180, 63 L.Ed. 399; Cape Fear Towing & Transportation v. Pearsall, 4 Cir., 90 F. 435; 1 Benedict on Admiralty, (6th Ed. 1940), 340-41. The amount of the award is primarily a matter of judgment to be exercised by the trial court and beyond a…
  • …any event, appellate courts will not disturb a salvage award unless it is based on erroneous principles or a misapprehension of the facts or is so grossly excessive or inadequate as to be deemed an abuse of discretion. Oelwerke Teutonia v. Erlanger, 248 U.S. 521, 39 S.Ct. 180, 63 L.Ed. 399 (1919); Norris, The Law of Salvage, § 311, at 464 (1958); 1 Norris, The Law of Seamen § 235, at 315 (3d ed. 1976). Appellant makes no showing on this record that any of these standards has been violated. The proportional…

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