Wardley International Bank, Inc. v. Nasipit Bay Vessel v. Mobil Oil Corporation and Mobil Sales and Supply Corporation

Wardley. International Bank, Inc. (Ward-ley) appeals from the district court’s judgment and order disbursing the sale proceeds of the vessel M/Y NASIPIT BAY. Wardley contends that the district court’s findings of fact as prepared by the prevailing party’s counsel are clearly erroneous. Further, Wardley challenges the subordination of its alleged ship mortgage to the maritime liens of Mobil Oil Corporation (Mobil) and Mobil Sales and Supply Corporation (Mobil Sales) as contrary to the priority scheme set forth in 46 U.S.C. § 951 and § 953 (1982). We have jurisdiction pursuant to 28 U.S.C. § 1291 (1982), and we affirm.

FACTS AND PROCEEDINGS BELOW

In August 1980, Maritime Company of the Philippines (MCP) purchased M/V NA-SIPIT BAY from Maritime Company Overseas, Inc., of Monrovia, Liberia (Overseas). The purchase price was $2,450,000 with final payment due May 31, 1983. The agreement provided for the execution of (1) a promissory note in the amount of the purchase price, (2) a preferred ship mortgage under Philippine law, and (3) an assignment of all earnings and any insurance or other compensation derived from the vessel. Additionally, the documents required the approval of…