American Mail Line, Ltd., a Corporation v. Tokyo Marine & Fire Insurance Co., Ltd., a Corporation

This litigation resulted from a fire in the cargo carried by the S. S. Oregon Mail in August, 1955. Tokyo Marine & Fire Insurance Co., Ltd., sued American Mail Line, Ltd., for the value of the non-delivered cargo which consisted of a quantity of barley in bulk. Mail Line answered and set up a statutory exemption from liability for fire as well as a consensual clearance. A cross-libel was also filed for the share of Mail Line of the General Average sacrifice. The barley was carried under an ocean bill of lading, and therefore Tokyo Marine was subrogated to the rights of cargo.

The trial court entered findings, conclusions and final decree, whereby it was determined that Mail Line was not entitled to an exemption by the fire statute and was not relieved of responsibility by the terms of the ocean bill of lading and that Tokyo Marine was not required to pay its share of the General Average. Appeal was taken therefrom.

The evidence was quite voluminous. Oregon Mail, a steamship owned by Mail Line, had barley loaded into its No. 1 lower hold and No. 1 tween deck at Vancouver, Washington. Subsequently, at Longview, Washington, lumber was loaded over the barley in No. 1 lower tween…