Recently, because their boat ran out of gas, recreational boaters ran aground, tipped over and could have drowned near the Alviso Marina at the southern tip of San Francisco Bay. The San Jose Fire Department, had to rescue them and the motorboat.

The event raises issues: (1) Does maritime law apply? (2) Can San Jose recover its cost of securing the vessel? (3) Is the owner of the vessel liable for monetary damage to the passengers? (4) Was there insurance?

I.                   MARITIME (Admiralty) JURISDICTION

The motor vessel did not have to overturn while in the water, overturning on a mudflat is sufficient one jurisdictional criteria or test. See Sisson v. Ruby, 497 U.S. 358, 364-65 (1990)[holding that storage and maintenance of a vessel at a marina on navigable waters fell within the substantial relationship requirement).

II.                SALVAGE

The securing of the vessel from further damage constitutes salvage, a special area of admiralty law.  “Salvage” is defined as “[T]he reward or compensation allowed by maritime law for service rendered in saving maritime property at risk or in distress by those under no legal obligation to render it, which results in benefit to the property . . .” The Neshaminy, 228 Fed. 285 (Third Cir. 1915). Although federal statute, 46 U.S.C., §2304 requires the captain of a vessel to render assistance to any individual found at sea who is in danger of being lost, it does not impose a duty to rescue property; that is, to salvage the vessel. This applies to government agencies and private parties. Gough v. U.S. Navy, 2009 U.S. Dist. LEXIS 75589, at *11-12 (S.D. Cal. Aug. 25, 2009) [“ Under the principles of general maritime law, a private party has no affirmative duty to rescue [*12] a vessel or person in distress. Wright v. United States, 700 F. Supp. 490, 494 (N.D. Cal. 1988). This same principle applies to the U.S. Coast Guard. Id.”] Note, various state or local ordinances may supplement legal responsibility issues as to salvage.

III.             IS OWNER LIABLE?

Too few facts known to say with any probability. If the owner was not aboard, the owner could sue in federal court, pursuant to The Limitation of Liability Act, 46 U.S.C., §30501, requiring the passengers and San Jose to prove the owner was in privity (reasonably close connection) with the fault that legally contributed to cause the grounding. If not, the owner’s financial exposure would either be nothing or limited to the fair market value of that small motorboat in its condition after the grounding.

IV.             INSURANCE

The owner is not required to have insurance. Not having insurance is foolish. There are no airbags or injury damping bumpers. There are no seatbelts typically. Vessels, especially recreational types, are not built to withstand collisions. There is no shoulder of the road to pull off to in order to repair failed engines, rudders, or appurtenances. Serious injury or death is much more likely to occur in accidents involving boats, jet skis and all other manner of vessels. Insurance is relatively inexpensive: a lot less expense than being sued without having such coverage. Be smart. 



This entry has been created for information and planning purposes.

It is not intended to be, nor should it be substituted for, legal

advice, which turns on specific facts.