Page 1 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900

PDX\124008\183116\DBO\16867654.2 

Noah Jarrett, OSB #994484 

Email: njarrett@schwabe.com 

David R. Boyajian, OSB #112582 

Email: dboyajian@schwabe.com 

SCHWABE, WILLIAMSON & WYATT, P.C. 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Facsimile: 503.796.2900 

Attorneys for Plaintiff, 

Global Maritime Investments Cyprus Limited 

IN THE UNITED STATES DISTRICT COURT 

FOR THE DISTRICT OF OREGON 

PORTLAND DIVISION 

GLOBAL MARITIME INVESTMENTS 

CYPRUS LIMITED, 

Plaintiff, 

vs. 

M/V JIA DA, her engines, tackle, etc., 

in rem; and JIADA SHIPPING CO., 

LIMITED, in personam, 

Defendants.

No. 3:15-cv-1955

Admiralty

VERIFIED COMPLAINT FOR 

ATTACHMENT OF VESSEL 

GLOBAL MARITIME INVESTMENTS CYPRUS LIMITED’S 

VERIFIED COMPLAINT 

Plaintiff, GLOBAL MARITIME INVESTMENTS CYPRUS LIMITED (the “Plaintiff”) 

files this Verified Complaint pursuant to Rules B and C of the Supplemental Rules for Certain 

Admiralty and Maritime Claims of the Federal Rules of Civil Procedure and shows the 

following: 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 1 of 10
Page 2 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

I. JURISDICTION, VENUE, AND PARTIES 

1. This is an admiralty and maritime claim within the meaning of Rule 9(h) 

of the Federal Rules of Civil Procedure and Supplemental Admiralty Rule C and 

Supplemental Admiralty Rule B of the Federal Rules of Civil Procedure. 

2. Jurisdiction is proper in this Court pursuant to 28 U.S.C. §1333 and 46 

U.S.C. §31325(c) and venue is proper in this district pursuant to 28 U.S.C. §1391(c). 

3. At all material times, the Plaintiff was and is a company incorporated 

under the laws of Cyprus, whose registered office in Cyprus is at 1 Kostaki Pantelidi 

Street, Kolokassides Building, 3rd Floor, CY-1010 Nicosia, Cyprus and a business 

address at 21 Whitefriars Street, London, United Kingdom, EC4Y 8JJ. Plaintiff is also a 

debtor-in-possession in a Chapter 11 case proceeding in the United States Bankruptcy 

Court for the Southern District of New York (the “Bankruptcy Court”). Plaintiff’s 

Chapter 11 case is procedurally consolidated with the Chapter 11 cases of certain 

affiliates under the lead case In re GMI USA Management, Inc., Case No. 15-12552-SMB 

(the “Bankruptcy Cases”). 

4. The M/V JIA DA, IMO Number 9583598 (the “Vessel”), is a bulk carrier 

registered under Hong Kong flag and is, or will soon be, within the jurisdiction of this 

Honorable Court. 

5. Upon information and belief, Jiada Shipping Co., Limited is a foreign 

company incorporated under the laws of Hong Kong whose business address is at 889# 

Gaoping Road, City of Shanghai, People’s Republic of China and is the owner of the 

Vessel (“the Owner”) and the Owner has no office or place of business in the State of 

Oregon. See, Declaration of David R. Boyajian, filed herewith.

/ / / 

/ / / 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 2 of 10
Page 3 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

II. BACKGROUND FACTS 

6. Pursuant to a Time Charter dated October 25, 2012 (the “Vessel Charter”) 

of the Vessel, among (i) the Owner as the Owner and (ii) Plaintiff as the Charterer, the 

Plaintiff agreed to and did provide to the Vessel bunkers on the terms and conditions set 

out in the relevant Charter, a true and correct copy of which is attached hereto as Exhibit 

“A”. 

7. On September 15, 2015, the Plaintiff and affiliated companies filed their 

voluntary petitions for relief under Chapter 11, Title 11 of the United States Code (the 

“Bankruptcy Code”) in the Bankruptcy Court. Declaration of John P. Melko, attached 

hereto as Exhibit “B”. 

8. The Plaintiff and its affiliates continue to operate and to manage their 

businesses as “debtors in possession” pursuant to §§ 1107 and 1108 of the Bankruptcy 

Code. No trustee or examiner has been appointed in the Chapter 11 cases pursuant to § 1104 

of the Bankruptcy Code. No official committee of unsecured creditors has been appointed in 

these Chapter 11 cases. 

9. Upon the filing of the Bankruptcy Cases, an automatic stay arose by 

operation of law pursuant to 11 U.S.C. 362(a) which among other things prohibits any 

attempt to collect or enforce amounts owed prepetition by the Plaintiff. As is customary 

in shipping, airline and similar multi-national cases, the Plaintiff requested and was 

granted an Order specifically enforcing the protective provisions of the Bankruptcy Code. 

These orders are requested, and granted, as a matter of regular practice, largely to alert 

non-US creditors to the provisions of the Bankruptcy Code. A true and correct copy of 

such order is attached hereto as Exhibit “C”. 

10. The Owner was notified via overnight courier of the Bankruptcy Cases on 

September 16, 2015. 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 3 of 10
Page 4 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

11. Upon completion of its then current voyage, the Vessel was delivered to the 

Owner on September 18, 2015 and immediately went into drydock for scheduled 

maintenance. 

12. On September 18th, the Debtor GMI companies, including the Plaintiff, filed a 

Motion for an Order Authorizing Rejection of Executory Contract – Time Charter Contract for 

M/V Jia Da. The Motion sought an order authorizing rejection of the Time Charter, effective as 

of the date of the Motion, since the ship had already been delivered to the Owner. The Court 

entered its Order Approving Rejection of Executory Contract – Time Charter Contract for M/V/ 

JIA DA on October 2, 2015. A true and correct copy of the Rejection Order is attached hereto as 

Exhibit “D”. 

13. In multiple emails between September 21, 2015 and the date of this filing, 

HTM Shipping Co., Limited as the Manager of the Vessel on behalf of the Owner, 

acknowledged the existence of the Bankruptcy Cases.

14. When the Vessel was re-delivered to the Owner on September 18 following 

the rejection of the Vessel Charter, bunkers in an amount equal to approximately 

US$830,028.13 remained aboard (the “Bunkers”). Under Clause 32 of the Vessel 

Charter, the Plaintiff is entitled to compensation of any bunkers remaining on board the 

Vessel at the time of redelivery at the price paid upon original delivery which was 

US$635.50 per metric ton for IFO and US$938.00 per metric ton for LSMGO. On 

October 7, 2015, the Plaintiff submitted a Hire Statement for amounts owed during 

redelivery (the “Hire Statement”). A true and correct copy of the Hire Statement is 

attached hereto as Exhibit “E”. The Hire Statement evidences that bunkers on board 

upon redelivery were 789.200 metric tons of IFO and 59.730 metric tons of LSMGO as 

BOR and 321.028 metric tons of IFO and 72.976 metric tons of LSMGO as Excessive 

BORD. The total amount owed for the bunkers at the above price and quantities is 

US$830,028.13. 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 4 of 10
Page 5 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

15. After multiple requests for payment, on October 8, 2015, the Plaintiff 

notified the Owner that it will claim the value of the Bunkers on termination of the Vessel 

Charter and that it is entitled to payment from the Owners for the Bunkers at the charter 

party price, or alternatively the Owner must deliver the Bunkers into the custody of the 

Plaintiff at a mutually agreeable place (the “Notice”). The Notice also confirmed that the 

Bunkers are an asset of the Chapter 11 bankruptcy estate and that their value must be 

returned to all creditors of the estate so that proper legal process is followed under U.S. 

Bankruptcy Law. The Notice also notified the Owner that if it burned the Bunkers, it would 

be considered conversion of the Plaintiff’s property. 

16. As of the date of this filing, the Owner contests Plaintiff’s right to payment 

for the value of the Bunkers and has refused to pay for the Bunkers. 

17. The Vessel with the Bunkers onboard arrived in the Columbia River System 

on October 11, 2015 and is expected to depart on October 17, 2015. Plaintiff seeks arrest 

and attachment of the Vessel in order to maintain the bankruptcy estate of the Plaintiff 

intact. 

18. As of the date of this Complaint, US$830,028.13 is due and owing for 

compensation of the Bunkers. 

III. RULE C ARREST 

19. Paragraphs 1-18 are incorporated by reference as if fully set forth herein.

20. Plaintiff sues the Vessel, her engines, tackle, auxiliary vessels, equipment, 

furniture, rigging, appurtenances, etc., in rem, and the Owner, in personam, and repeats 

and realleges by reference the allegations contained in paragraphs 1-21 as if specifically 

set forth herein. 

21. The Vessel Charter is a maritime contract because it’s substantial purpose 

is the charter of a vessel. 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 5 of 10
Page 6 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

22. The Owner has refused to comply with Clause 32 of the Vessel Charter 

and is in breach of the Vessel Charter. 

23. It is well settled that claims for breach of charter gives rise to maritime 

liens. See, Rainbow Line, Inc. v. M/V TEQUILA, 480 F.2d 1024, 1027 (2d Cir. 1973) 

(“The American law is clear that there is a maritime lien for the breach of a charter 

party...”); R Caribbean, Inc. v. Dredge “Jumby Bay”, 147 F. Supp. 2d 3278, 381 (D.V.I 

2001) (recognizing a maritime lien for breach of a partially executed charter party). 

24. As a result of the aforesaid breach of the Vessel Charter, the Plaintiff is 

entitled to assert and foreclose its maritime lien on the Vessel and recover any deficiency 

from the Owner. 

IV. RULE B ATTACHMENT 

25. Paragraphs 1-18 are incorporated by reference as if fully set forth herein. 

26. Under 11 U.S.C. 542, any entity that is in possession of property of the 

debtor’s bankruptcy estate or that owes a debt that is the property of the estate must 

deliver such property to or pay such debt to the trustee (“Section 542”). 

27. As the Owner has refused to pay the US$830,028.13 owed to the Plaintiff 

to benefit the estate, the Owner is in violation of Section 542 and the automatic stay and 

the Plaintiff and bankruptcy estate have suffered damages by Owner’s failure to remit 

payment. 

28. The Owner cannot be found within the District of Oregon, but has tangible 

property which belongs to it within the jurisdiction, including the Vessel currently 

loading grain within the Columbia River System. 

/ / / 

/ / / 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 6 of 10
Page 7 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

V. PRAYER 

WHEREFORE, the Plaintiff prays: 

1. That process of arrest, in due form of law, according to the course and 

practice of this Court in causes of admiralty and maritime jurisdiction within the meaning 

of Rule 9(h) of the Federal Rules of Civil Procedure, may issue against the Vessel and 

her engines, tackle, apparel, etc., and all other necessaries and equipment belonging and 

appurtenant thereto, as provided in Rule C of the Supplemental Rules for Certain 

Admiralty and Maritime Claims, and that all persons claiming any interest in the Vessel 

may be cited to appear and answer the matters aforesaid, and that the Vessel, her engines, 

tackle, apparel, etc., and all other necessaries belonging and appurtenant thereto, may be 

seized, condemned and sold to pay the demands and claims aforesaid, with interest, costs 

and attorneys’ fees and to pay any other amounts advanced by the Plaintiff or required to 

be paid by the Owner to the Plaintiff under the Vessel Charter, together with interest, 

costs and attorneys’ fees, and that the Plaintiff may have such other and further relief as 

in law and justice it may be entitled to receive; 

2. That process in due form of law, according to the course and practice of 

this Court in the form of a writ of maritime attachment be issued against the Vessel and 

her engines, tackle, apparel, etc., and all other necessaries and equipment belonging and 

appurtenant thereto an the amount of US$830,028.13 together with interest and costs, as 

provided in Rule B of the Supplemental Rules for Certain Admiralty and Maritime 

Claims, and that all persons claiming any interest in the Vessel may be cited to appear 

and answer the matters aforesaid; 

3. That this Court recognize and confirm any judgment(s) rendered on the 

claims set forth herein as a Judgment of this Court, along with awarding Plaintiff’s 

attorney’s fees, pre and post judgment interest and costs in connection with these actions; 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 7 of 10
Page 8 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

4. That this Court retain jurisdiction over this matter through the entry of any 

judgment or award associated with any of the claims currently pending, or which may be 

initiated in the future, including any appeals thereof; and 

5. That the breach of the Vessel Charter may be declared to give rise to a 

valid and subsisting lien upon the Vessel, her engines, tackle, apparel, etc., and all other 

equipment and necessaries belonging and appurtenant thereto, which to the extent 

permitted by applicable law is prior and superior to the interest, liens or claims of any and 

all persons, firms or corporations whatsoever; 

6. That it may be decreed that any and all persons, firms and corporations 

claiming any interest in the Vessel are forever barred and foreclosed from all rights or 

equities of redemption or claim of, in or to the Vessel, her engines, tackle, apparel, etc., 

and all other necessaries and equipment belonging and appurtenant thereto and every part 

thereof; 

7. That this Honorable Court shall direct the manner in which actual notice 

of the commencement of this suit shall be given by the Plaintiff to the Owner or 

individual in charge of the Vessel; and 

8. That judgment be issued against the Vessel, in rem, in the amount of 

US$830,028.13 due for the payment of the Bunkers under the Vessel Charter, at the time 

the warrant of arrest is issued, plus interest, charges, costs and attorneys’ fees, as well as 

any and all other amounts required to be paid by the Owners to the Plaintiff under the 

Vessel Charter with interest and costs and further, that the Plaintiff reserves its right to 

proceed against the Owner for any deficiency that may remain due after applying the 

available proceeds of the sale of the Vessel to the judgment herein, and that the Plaintiff 

have such other and further relief as in law and justice it may be entitled to recover. 

9. That judgment be issued against the Owner, in personam, in the amount of 

US$830,028.13 due for the payment of the Bunkers under the Vessel Charter, at the time 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 8 of 10
Page 9 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

the writ of attachment is issued, plus interest, charges, costs and attorneys’ fees, as well 

as any and all other amounts required to be paid by the Owners to the Plaintiff under the 

Vessel Charter with interest and costs and further, and that the Plaintiff have such other 

and further relief as in law and justice it may be entitled to recover. 

10. To the extent possible, the Plaintiff reserves rights to transfer any claims 

hereunder to the Bankruptcy Court as these claims against the bankruptcy estate are core 

proceedings pursuant to 28 U.S.C. 157(b)(2)(B). 

11. That this Court grant Plaintiff such other and further relief which it may 

deem just and proper. 

Dated this 16th day of October, 2015. 

Respectfully submitted, 

SCHWABE, WILLIAMSON & WYATT, P.C. 

By: s/ David R. Boyajian 

Noah Jarrett 

David R. Boyajian 

Telephone: 503.222.9981 

Facsimile: 503.796.2900 

Of Attorneys for Plaintiff, Global Maritime 

Investments Cyprus Limited 

 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 9 of 10
Page 10 - VERIFIED COMPLAINT FOR ATTACHMENT OF 

VESSEL 

SCHWABE, WILLIAMSON & WYATT, P.C.

Attorneys at Law 

1211 SW 5th Ave., Suite 1900 

Portland, OR 97204 

Telephone: 503.222.9981 

Fax: 503.796.2900 

PDX\124008\183116\DBO\16867654.2 

VERIFICATION OF COMPLAINT

I, David R. Boyajian, pursuant to Section 1746 of Title 28 of the United States Code, 

hereby declare and say the following under penalty of perjury: 

I am an attorney for the above-captioned plaintiff, Global Maritime Investments Cyprus 

Limited, and I am duly authorized to make this Verification on its behalf. I have read the 

foregoing Verified Complaint for Attachment of Vessel, and the allegations contained therein are 

true and correct to the best of my knowledge, information and belief. 

 s/ David R. Boyajian 

 David R. Boyajian 

Case 3:15-cv-01955-PK Document 1 Filed 10/16/15 Page 10 of 10