Chirag v. Schiffahrts

983 F.Supp.2d 188

Bahri CHIRAG, et al., Plaintiffs,

v.MT MARIDA MARGUERITE SCHIFFAHRTS, et al., Defendants.

No. 3:12cv00879 (SRU).

United States District Court, D. Connecticut.

Nov. 15, 2013.

Jason R. Margulies, Michael A. Winkleman, Lipcon, Margulies, Alsina & Winkleman, P.A., Miami, FL, Kenneth Wynne Bohonnon, Bohonnon Law Firm, New Haven, CT, for Plaintiffs.

Patrick F. Lennon, Lennon Murphy Caulfield & Phillips, LLC, Southport, CT, John Greco, Todd P. Kenyon, Betancourt, Van Hemmen, Greco & Kenyon, LLC, Red Bank, NJ, Richard J. Basile, St. Onge, Steward, Johnston & Reens, Stamford, CT, for Defendants.

RULING ON DEFENDANT'S MOTION TO DISMISS ON FORUM NON CONVENIENS GROUNDS

STEFAN R. UNDERHILL, District Judge.

This case arises from an unfortunate international incident, which has no real connection to this country or this court. In May 2010, Somali pirates hijacked a tanker in the Gulf of Aden, somewhere off the coast of Yemen. The tanker, the MT Marida Marguerite Schiffahrts (“Marida Marguerite”), was a German owned and operated, Marshall Islands-flagged vessel with a crew that included sailors from India, Bangladesh, and Ukraine. The pirates, seeking ransom, held the crew hostage at sea for eight months. During this prolonged period of captivity, the sailors were subjected to severe physical and mental abuse, including torture.

The plaintiffs, Bahri Chirag and Dangwal Sandeep, are two members of Marida Marguerite's crew. After they were freed and repatriated to India, they filed this suit against their employer, as well as defendants Marida Tankers, Inc. (“MTI”) and Heidmar, Inc., under a variety of tort and regulatory compliance theories, all of which “arise under the Jones Act, and the General Maritime Law of the United States.” ¹See Am. Compl. ¶ 6 (doc. # 47). Defendant MTI is a Marshall Islands company that operates a “vessel pool,” which included Marida Marguerite. Defendant Heidmar is a global company headquartered in Norwalk, Connecticut that manages vessel pools including, the plaintiffs allege, MTI.

Defendant MTI has moved to dismiss on the grounds of forum non conveniens (doc. # 50), asserting that this lawsuit has no material connection to the United States and that it should be litigated in an alternate forum. Shortly after this motion was filed, I dismissed Marida Marguerite for lack of personal jurisdiction. See Dismissal Order (doc. # 65). For the reasons set forth below, I conclude that the relevant factors clearly favor adjudication of this dispute in Germany, where all necessary defendants will be amenable to process. Therefore, MTI's motion to dismiss is granted.

I. DISCUSSIONA. Forum Non Conveniens in Jones Act Cases

Both parties assert that I must determine whether the Jones Act and/or General Maritime Law govern this case before applying the doctrine of forum non conveniens. Def. Am Br. 3 (doc. # 53); Pls.' Am. Br. 4 (doc. # 74). MTI contends that I must first conduct a choice-of-law analysis and, if that analysis counsels the application of foreign law, I must then apply the doctrine of forum non conveniens. Def. Am. Br. 3 (citing Akofin v. Jumbo Nav., N.V., 481 F.Supp.2d 310 (S.D.N.Y.2007)). Plaintiffs, citing Antypas v. Cia. Maritima San Basilio, S.A., 541 F.2d 307, 310 (2d Cir.1976), claim that that I lack discretion to dismiss on forum non conveniens grounds at all if the Jones Act applies. Pls.' Am. Br. 4. Antypas, however, did not involve a forum non conveniens dismissal and the dictum it contains to that effect was squarely rejected three decades ago. Cruz v. Maritime Co. of Philippines, 702 F.2d 47, 48 (2d Cir.1983).

In Cruz, the Second Circuit held that “when the Jones Act is applicable ... the district court must exercise its power to adjudicate, absent some exceptional circumstances such as ... the equitable principle of forum non conveniens.” 702 F.2d at 48. Additionally, “maritime choice of law principles are not involved in a forum non conveniens analysis,” so it is unnecessary to decide whether U.S. or foreign law applies before dismissing in favor of an alternate forum. Id. Thus, Cruz clearly establishes that I may dismiss due to forum non conveniens whether or not the Jones Act applies, and without first deciding if this case warrants the application of U.S. law. Cruz, 702 F.2d at 48;see also Alcoa S.S. Co., Inc. v. M/V Nordic Regent, 654 F.2d 147, 153 (2d Cir.1980) (en banc) (“There is neither reason nor authority for creating an exception to the general forum non conveniens standard established in Gilbert simply because the case invokes the admiralty and maritime jurisdiction of the court.”); Karvelis v. Constellation Lines SA, 608 F.Supp. 966, 971–72 (S.D.N.Y.1985), aff'd,806 F.2d 49 (2d Cir.1986) (“It is within the court's discretion to decline jurisdiction despite Jones Act applicability.”); Ioannides v. Marika Mar. Corp., 928 F.Supp. 374, 377 (S.D.N.Y.1996) (“The principles articulated in Gulf Oil Corp. v. Gilbert, 330 U.S. 501, 67 S.Ct. 839, 91 L.Ed. 1055 (1947), govern defendants' forum non conveniens motion notwithstanding that this is a maritime case in which a Jones Act claim is asserted.” (citing Cruz and Alcoa )).

Cruz is consistent with Piper Aircraft Co. v. Reyno, 454 U.S. 235, 102 S.Ct. 252, 70 L.Ed.2d 419 (1981), which held that “[t]he possibility of a change in substantive law should ordinarily not be given conclusive or even substantial weight in the forum non conveniens inquiry.” Id. at 247, 102 S.Ct. 252;see also Gazis v. John S. Latsis (USA) Inc., 729 F.Supp. 979, 985–86 (S.D.N.Y.1990); Damigos v. Flanders Compania Naviera, S.A. Panama, 716 F.Supp. 104, 108–09 (S.D.N.Y.1989). It also accords with the Supreme Court's more recent decision in Sinochem International Co. Ltd. v. Malaysia International Shipping Corp., 549 U.S. 422, 127 S.Ct. 1184, 167 L.Ed.2d 15 (2007), which held that lower courts need not permit discovery or expend valuable resources deciding threshold issues where the forum non conveniens analysis counsels dismissal. Id. at 432, 127 S.Ct. 1184 (“A forum non conveniens dismissal ... is a determination that the merits should be adjudicated elsewhere.... A district court therefore may dispose of an action by a forum non conveniens dismissal, bypassing questions of subject-matter and personal jurisdiction, when considerations of convenience, fairness, and judicial economy so warrant.” (internal citations omitted)). Consequently, despite plaintiffs' declarations to the contrary, I may proceed with the forum non conveniens analysis without first determining choice of law or related issues that would be significant if this case were litigated here on the merits.²B. The Forum Non Conveniens Analysis

“The doctrine of forum non conveniens permits a court to dismiss a claim even if the court is a permissible venue with proper jurisdiction.” PT United Can Co. v. Crown Cork & Seal Co., Inc., 138 F.3d 65, 73 (2d Cir.1998). The defendant bears the burden of demonstrating why the plaintiffs' choice of forum should be disturbed. Karvelis, 608 F.Supp. at 971–72.

District courts enjoy broad discretion to determine “where litigation will be most convenient” and where it “will serve the ends of justice.” PT United Can, 138 F.3d at 73. The Second Circuit, however, has “outlined a three-step process to guide the exercise of that discretion.” Norex Petroleum Ltd. v. Access Indus., Inc., 416 F.3d 146, 153 (2d Cir.2005) (citing Iragorri v. United Tech. Corp., 274 F.3d 65, 73–74 (2d Cir.2001) (en banc)). First, I must decide the level of deference to afford the plaintiffs' choice of forum. Id. Second, I must determine whether an available and adequate alternative forum exists in which the case may be heard. Id.;Piper, 454 U.S. at 254 n. 2, 102 S.Ct. 252. Third, I must balance the private and public interest factors identified by the Supreme Court in Gulf Oil Corp. v. Gilbert, 330 U.S. 501, 67 S.Ct. 839, 91 L.Ed. 1055 (1947), which are “implicated in the choice of forum.” Id.

The private interest factors include: (1) the relative ease of access to sources of proof; (2) access to witnesses, including the cost of attendance and availability of compulsory process; (3) where the evidence is located, including “possibility of view of premises, if view would be appropriate to the action”; (4) enforceability of a potential judgment; and (5) “all other practical problems that make trial of a case easy, expeditious and inexpensive.” Gilbert, 330 U.S. at 508, 67 S.Ct. 839.

The public interest factors include: (1) the administrative burden on the court of litigating a case whose center of gravity lays elsewhere; (2) the burden on the court of “untangl[ing] problems in conflict of laws” and making determinations about foreign law; (3) the burden on the jury of deciding an essentially foreign case; and (4) the “local interest in having localized controversies decided at home.” Id. at 508–09, 67 S.Ct. 839.

i. Deference to the Plaintiff's Choice of Forum

Ordinarily, there is a strong presumption in favor of the plaintiff's choice of forum. Gilbert, 330 U.S. at 508–09, 67 S.Ct. 839;see also Calavo Growers of California v. Generali Belgium, 632 F.2d 963, 966–68 (2d Cir.1980). This presumption typically applies with less force when a foreign plaintiff chooses a U.S. forum, because “it ‘is much less reasonable’ to presume that the choice was made for convenience”and more likely that the plaintiff is engaged in forum shopping. Iragorri, 274 F.3d at 71 (quoting Piper, 454 U.S. at 256, 102 S.Ct. 252).

Rather than approach the issue categorically, Iragorri prescribes a “sliding scale” of deference, instructing courts to consider the totality of the circumstances supporting a plaintiff's choice of forum. Norex, 416 F.3d at 154. “[T]he greater the plaintiff's or the lawsuit's bona fide connection to the United States and to the forum of choice and the more it appears that considerations of convenience favor the conduct of the lawsuit in the United States, the more...