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Energy State Limited v. M/V Crimson Monarch

United States District Court, W.D. Washington

May 22, 2017

ENERGY STATE LIMITED, a Hong Kong corporation Plaintiff,
v.
M/V CRIMSON MONARCH IMO No. 9675597, its engines, tackle and apparel, etc. Defendant IN REM.

         IN ADMIRALTY

          LE GROS BUCHANAN & PAUL Markus B.C. Oberg, WSBA #34914 Mary C. Butler, WSBA #44855 Attorneys for Defendants Attorneys for Plaintiff Energy State Limited

          ORDER APPOINTING BUCK FOWLER JR., OF MARINE LENDERS SERVICES, LLC, AS SUBSTITUTE CUSTODIAN

         THIS MATTER came before the Court on Plaintiff Energy State Limited's ("Plaintiff) Motion to Appoint a Substitute Custodian. This Court has reviewed the files and records herein, including specifically, Plaintiffs Motion to Appoint a Substitute Custodian, and the Declaration of Buck Fowler, Jr.

         Being fully advised on this matter, this Court HEREBY FINDS:

         1. Plaintiff filed its Verified Complaint on May 22, 2017, requesting that the Defendant vessel M/V CRIMSON MONARCH, IMO No. 9675597, its engines, machinery, and other appurtenances, etc. ("Defendant Vessel"), be condemned and sold to pay Plaintiffs claims and for other proper relief.

         2. It is anticipated that the Clerk of the Court will be authorized by this Court to issue a Warrant of Arrest commanding the United States Marshal for this District to arrest and take the Defendant Vessel into custody and to detain it in custody until further order of this Court.

         3. It is contemplated that the United States Marshal will seize the Defendant Vessel forthwith. Custody by the U.S. Marshal requires the services of one or more keepers at a charge of at least $900.00 per-day per keeper, not including charges for moorage and the other services usually associated with safekeeping vessel similar to the Defendant Vessel.

         4. The Defendant Vessel is currently at Smith Cove Anchorage in Seattle, Washington. After arrest, it may be necessary to move the vessel to the facilities of Marine Lenders Services, LLC, at 5350 30th Avenue NW, Seattle, Washington, or to other suitable moorage. It may also be necessary to offload any remaining cargo from the vessel.

         5. Plaintiff is agreeable to allowing Marine Lenders Services, LLC, to assume the responsibility of safekeeping the Defendant Vessel and Marine Lenders Services, LLC, has consented to act as custodian of the Defendant Vessel until further order of this Court. Fees and expenses to be charged by Marine Lenders Services, LLC, will be substantially less than the cost of leaving the Defendant Vessel in the custody of the U.S. Marshal.

         6. Buck W. Fowler Jr, Managing Member by declaration, has stated that Marine Lenders Services, LLC, has no interest in the outcome of this lawsuit, can arrange for adequate facilities and supervision for the proper safekeeping of the vessel, and has obtained the legal liability insurance through Travelers (Policy No. 6F238672 660) with policy limits of not less than $2, 000, 000.00 which is expected to be adequate to respond in damages for loss of or injury to the Defendant Vessel resulting from their legal liability or for damages sustained by third parties due to any acts, faults or negligence of the substitute custodian. Further, in bis declaration, Buck W. Fowler Jr, on behalf of Marine Lenders Services, LLC, has agreed to accept custody of the Defendant Vessel and its equipment in accordance with the terms of this Order.

         7. In consideration of the U.S. Marshal's consent to the appointment of Marine Lenders Services, LLC as substitute custodian, Plaintiff agrees to release the United States and the U.S. Marshal from any and all liability and responsibility arising out of the care and custody of the Defendant Vessel and its equipment, from the time the U.S. Marshal transfers custody of the Defendant Vessel over to the substitute custodian, and Plaintiff further agrees to indemnify and hold the United States and the U.S. Marshal harmless from any and all claims whatsoever arising out of the substitute custodian's possession and safekeeping of the vessel.

         Order

         NOW, THEREFORE, LT IS HEREBY ORDERED as follows:

         1. That upon the seizure of the Defendant Vessel, the M/V CRIMSON MONARCH, IMO No. 9675597, its engines, tackle and other appurtenances pursuant to the Warrant of Arrest, the U.S. Marshal for the Western District of Washington is authorized and directed to surrender custody of the Defendant Vessel to Marine Lenders Services, LLC as substitute custodian herein, and that upon such surrender, the Marshal shall be discharged from his/her duties and ...


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