Opinion ID: 197910
Heading Depth: 1
Heading Rank: 3

Heading: Finding of Liability and Award of Damages

Text: 41 Perez y Ca. raises on appeal a number of arguments as to why the district court's findings of liability and award of damages were erroneous. In particular, Perez y Ca. contends that the district court erred in determining that Perez y Ca. caused the paint damage to the cars, in failing to determine that the docking permit application absolved it of any liability for damage to the vehicles, in failing to determine that Tokyo Marine's insured, Mitsubishi, was comparatively negligent in failing to mitigate damages, and in assessing special damages. All of these arguments, except for the one concerning interpretation of the docking permit application, are challenges to the district court's findings of fact. We review such findings only for clear error, see Fed.R.Civ.P. 52(a), and find such error only where we are firmly convinced that a mistake has been made, see Strahan v. Coxe, 127 F.3d 155, 172 (1st Cir.1997). 42 After reviewing the evidence, we conclude that the district court's findings of liability and damages were not clearly erroneous. There was evidence before the court supporting its conclusions that the ship painting operations caused the damage to the cars, that there was no alternative location where Mitsubishi could have stored the vehicles, and that Mitsubishi mitigated damages by promptly restoring the vehicles to their original condition, thereby preventing further damages such as decreased sales. Similarly, there was evidence to support the court's finding that the amounts paid by Mitsubishi to Professional Car Paint, the company that repaired the vehicles, were reasonable. 43 Perez y Ca. had also argued that liability was foreclosed by clause 9 of the docking permit application, which stated that Perez assumes no responsibility for the safety of the cargo or equipment handled by the applicant ... while this cargo is being handled or in storage in the facilities of Perez. Under Puerto Rico law, however, such release clauses are interpreted against exoneration because releases from liability for future negligent conduct are not favored. See Cabrera v. Doval, 76 P.R. Dec. 777, 781, 1954 WL 10805 (1954). Thus, such a clause will release a party from liability for future negligence only where the clause clearly and explicitly states so. We agree with the district court that clause 9 did not meet this standard.