No Punitive Damages for Breach of the Warranty of Seaworthiness: McBride v. Estis Well Service, L.L.C.

No Punitive Damages for Breach of the Warranty of Seaworthiness: McBride v. Estis Well Service, L.L.C.

By: Jamie Johnson

Thursday evening, September 25, 2014, the clerk of the United States Court of Appeals for the Fifth Circuit released the en banc decision in McBride v. Estis Well Service, L.L.C.  The issue was whether Jones Act seamen injured and killed due not only to the alleged negligence of the employer but also the unseaworthiness of the vessel could sue to recover punitive damages under the general maritime law unseaworthiness remedy, which arose in the wake of Atlantic Sounding Co. v. Townsend. In that case, the United States Supreme Court held that a seaman could recover punitive damages for refusal to pay maintenance and cure.At the trial level of McBride, the court denied recovery for punitive damages for breach of the warranty of seaworthiness.  That decision was reversed in October 2013 by the three judge panel of the Fifth Circuit, consisting of Judges Higginson, Stewart and Barksdale, who determined that the reasoning of the Supreme Court in the Townsend decision applied and allowed punitive damages based on the unseaworthiness remedy.A petition for rehearing en banc was granted and heard before the entire court in May 2014.  Judge Davis wrote the en banc decision with a concurrence by Judge Clement in which Judges Jolly, Jones, Smith, and Owen joined.  Judge Haynes also wrote a separate concurring opinion in which Judge Elrod joined.The primary dissenting opinion was written by Judge Higginson (author of the original panel decision) and joined in by Judges Stewart, Barksdale (also both on the original tribunal), Dennis, Prado and Graves.  Judge Graves also wrote a dissent joined in by Judge Dennis.The link to the Fifth Circuit decision is as follows:http://www.ca5.uscourts.gov/opinions/pub/12/12-30714-CV2.pdf