Opinion ID: 381814
Heading Depth: 2
Heading Rank: 2

Heading: Fumigation Of The Arizona And Southwall

Text: 234 The end to our labors today draws nigh, if not those of the District Judge. We believe that a remand is necessary to determine Stevenson's right to receive reimbursement from ADM for the cost of fumigating the Arizona and Southwall flour. The District Judge properly found that ADM had not entered into an enforceable agreement to pay for the fumigation. But even so, it is clear from our discussion of the Nedon claims that Stevenson had an obligation to care for the Arizona and Southwall flour. The record suggests that at the time of the fumigation, and without the benefit of the knowledge that the fumigation would turn out to be futile, Stevenson may well have been acting reasonably by deciding to fumigate. In that situation, unlike the decision in the Nedon, it may well have seemed prudent and not futile to fumigate onboard the ships. Thus, the fumigation may have been a required exercise by Stevenson of its duties under COGSA, as interpreted by Lykes, supra. The District Judge did not make that finding, however. He stopped with the finding that Stevenson had not obtained an enforceable agreement with ADM. 235 We remand in order for findings concerning whether the fumigation even though ultimately unsuccessful was a reasonable action required by COGSA. If so, Stevenson is entitled to reimbursement for the fumigation under admiralty principles, 106 and irrespective of any state law principles. 107 Although reimbursement is normally obtained in the first instance from the shipper, Bolivia, in this case Bolivia could then recover from ADM, which was responsible for the infestation. Since liability must eventually fall on ADM, the District Judge should simply hold ADM liable, if liability is appropriate at all. 236 To summarize briefly, we affirm the decision of the District Judge in all but one respect. The Judge should have considered other bases upon which Stevenson might recover the expense of fumigating the Arizona and Southwall flour. That matter should be resolved on remand, hopefully in an expedited proceeding. We see no need to augment this already extensive record on remand but the District Judge may in his discretion do so. 237 AFFIRMED IN PART, REVERSED IN PART and REMANDED.