Assistance, Inc. v. Teledyne Industries, Inc.

Plaintiff-Appellant Assistance, Inc. (Assistance) is the owner of the vessel Willis Shank. On October 5, 1967, but as of September 15, 1967, Assistance, as owner, entered into a bareboat charter agreement with Geophysical Aero-Marine Services, Inc. (GAMS). On September 15, 1967, GAMS entered into a time charter agreement with “Geotech, a Teledyne company.” The latter’s correct name is apparently Teledyne Industries, Inc. We will refer to it as Geotech. In the last mentioned agreement GAMS was designated as “owner” and Geotech as “Charterer.”

The object of the charter was to conduct geophysical seismic surveys off the coast of Southern California.

On November 3, 1967, during the times of the subject charters and while running a survey, the Willis Shank grounded upon the Hyperion Outfall sewer, a fraction of a mile offshore from El Segundo, California. At the time the ship was in command of a captain employed by GAMS and all of the ship’s personnel (as opposed to survey personnel) were on the payroll of, and paid by, GAMS.

Assistance brought an action against Geotech and others not involved here. It recovered judgment against GAMS and an insurance company codefendant for…