TT and US companies win $M lawsuit

A LOCAL business enterprise together with a Miami shipping company yesterday won a million dollar lawsuit against Caribbean Commercial Insurance (CCI).

In a judgement handed down yesterday in the San Fernando High Court, Justice Joseph Tam ordered CCI to pay Newport Enterprises of Duncan Village, San Fernando, $768,000 plus six percent interest from 1996 for goods lost at sea. The judge also ordered CCI to pay cost to TecMarine Lines Incorporation of NorthWest 25th Street, Miami, Florida, for having to defend a breach of contract lawsuit filed by Newport. On February 9 1996, Newport purchased three crates of electronic equipment valued $768,000 from Florida Radio and Appliances Corporation. Newport delivered the equipment to TecMarine’s freight station at Miami for shipment to Trinidad.

In its writ filed in the Sub-Registry, San Fernando, Newport stated that it paid US$1,037.70 to TecMarine as freight charges, then took out a marine insurance policy from CCI to cover transportation of the goods to Port-of-Spain aboard the vessel “UBE Panther V3.” Cost of insurance was $6,528. Newport however, claimed that the goods were lost because they were not found in the vessel when it docked at Port-of-Spain. The company sued CCI for the value of the goods ($768,000), by virtue of its coverage in the CCI policy of insurance.

In its defense, CCI denied the goods were lost at sea. In fact, the insurance company alleged that the goods were never loaded on the ship in Miami. Newport was forced to join TecMarine as a second defendant having regard to the allegation. The Miami company, in its defence, stated that the local High Court had no jurisdiction to hear the case. TecMarine contended that any dispute arising under the subject bill of lading must only be declared in the United States. But the trial took place in the San Fernando High Court and lasted a month during which time personnel from TecMarine testified. Justice Tam found CCI liable. Attorney Parakeet Deonarine argued the case for Newport. Attorney Mark Morgan represented TecMarine while David Patrick appeared for CCI. The judge found as a fact that the goods were loaded and the policy took effect until it reached port. In ordering CCI to pay the cost of the goods plus interest, Justice Tam also ordered the insurance company to pay TecMarine’s legal cost.