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Sosa vs. M/V Lago Izabal

$25,843,903 was awarded to a 27-year-old Mexican seaman earning $8,224 annually after he received serious burns aboard the defendant's freighter when the engine exploded.

The plaintiff was employed by Defendant Tracey Navigation, a shipping company based in the Cayman Islands, and worked in the position of Oiler aboard the defendant's vessel, monitoring the engine room machines for proper functioning. Three months after plaintiff was hired to work, the vessel's engine exploded as the ship attempted to dock in Texas. Diesel fuel spilled over plaintiff and ignited. He sustained second and third degree burns over 80% of his body, resulting in severe scarring, loss of use of the hands, which are frozen in a claw-like position, vision and hearing impairment, sexual dysfunction, and totally disabling psychiatric injuries. The defendant paid $190,000 for plaintiff's medical expenses prior to trial.

The plaintiff brought suit against the vessel and shipping company under general maritime law alleging that the vessel was rendered unseaworthy by the unsafe condition of the engine. Evidence revealed that on the vessel's last voyage the engine had broken down and caught fire twice. The captain had ordered the ship to sail before requested replacement parts for the engine were procured. The plaintiff contended that the defendant shipping company knew that the ship's engine was not functioning properly and needed repairs and that periodic maintenance of the vessel's machinery had not been performed.

The defendant challenged the court's jurisdiction on the grounds that the Suit involved a Mexican national suing a Grand Cayman corporation whose vessel used Mexico as its homeport. The federal district court rules that U.S. jurisdiction over plaintiff's action is proper. Despite the vessel's registration and the shipping company's claims that it was based in a foreign nation, the court finds that defendant's real base of operations for the management of the vessel was in Houston, Texas: the vessel regularly loaded cargo in Houston; employees salaries were paid through a Houston bank; and 90% of the shareholders of the shipping company were U.S. residents.

The court states that the vessel was unseaworthy due to the explosion of its engine while in normal use. The defendant shipping company, having had knowledge of the vessel's engine problems prior to the commencement of the voyage during which the engine exploded, was held liable for the bench award of $25,843,903 to the plaintiff. $10 million of the award was allocated to plaintiff's pain and suffering, and $10.9 million went toward plaintiff's future annual expenses including round-the-clock nursing care.

Verdict for Plaintiff: $25,843,903.00

Commercial maritime companies have a responsibility to maintain safety aboard their vessels and to protect the rights of their crew members. Maritime laws, including the U.S. federal law known as the Jones Act, offer protections for seamen in the event that an injury or death is suffered as a result of negligent actions committed by either the vessel’s master or fellow crew members. The 33 seafarers working aboard the El Fargo cargo vessel, which was lost at sea after taking on water and experiencing propulsion issues during Hurricane Joaquin, were not sufficiently protected from perils at sea by their employer and were also placed in harm’s way by the ship’s captain, Michael Davidson, who kept sailing despite warnings that the storm would intensify.

Cruise Passenger Sexual Assault Claim

Two passengers celebrating their birthdays were sexually assaulted in their cabin by a steward employed by Defendant. The steward entered Plaintiffs’ cabin while they were taking an afternoon nap. When Plaintiffs woke up, the steward was sexually assaulting them. The parties settled for an undisclosed amount.

Settlement Amounts Confidential
*Due to a confidentiality agreement, the name of the plaintiff, the cruise line, and the settlement amount have not been mentioned even though the confidentiality agreements only apply to the amount of the settlement.

Cruise Passenger Sexual Assault Claim

14-year-old girl passenger was raped and sexually assaulted by a bar waiter employed by Defendant. The waiter dragged the girl into the ship's pantry while she was walking alone on an open deck at night. The bar waiter pled guilty to sexual abuse of a minor. The parties settled for an undisclosed amount.

Settlement Amounts Confidential
*Due to a confidentiality agreement, the name of the plaintiff, the cruise line, and the settlement amount have not been mentioned even though the confidentiality agreements only apply to the amount of the settlement.