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Keywords

tortlitigationnegligenceliabilityappeal

jurisdictionappeal

Related Cases

Earles v. U.S., 935 F.2d 1028, 1991 A.M.C. 2605

Facts

On October 27, 1984, Tony Sutton borrowed a jet ski boat, the WHISKEY RUNNER, and sailed with friends to a party. Afterward, they returned through Huntington Harbor at a high speed and struck an unilluminated Navy mooring buoy, resulting in the sinking of the boat and the deaths of five individuals. The owners of the WHISKEY RUNNER and others filed for exoneration from liability, leading to litigation against the United States for the Navy's alleged negligence in failing to illuminate the buoy.

The WHISKEY RUNNER, with Earles at its helm, entered Huntington Harbor at a high rate of speed, subsequently calculated at 40–45 miles per hour (the local speed limits ranged between 3 and 8 knots), and struck Oscar 8, an unilluminated Navy mooring buoy.

Issue

Does the discretionary function exception to the Federal Tort Claims Act apply to the Suits in Admiralty Act, thereby precluding recovery for the alleged negligence of the Navy?

The crux of its argument on appeal is that the district court erred by failing to hold that the Discretionary Function Exception applies to the SIAA and would preclude recovery under the facts of this case.

Rule

The discretionary function exception states that a claim cannot be maintained against the United States when it is based on the exercise or performance or the failure to exercise or perform a discretionary function or duty by a federal agency or employee.

The Exception states, in relevant part, that a claim cannot be maintained against the United States when that claim is 'based upon the exercise or performance or the failure to exercise or perform a discretionary function or duty on the part of a federal agency or an employee of the Government, whether or not the discretion involved be abused.'

Analysis

The court determined that the discretionary function exception applies to the Suits in Admiralty Act, aligning with the majority of other circuits. It reasoned that the exception is intended to prevent judicial second-guessing of legislative and administrative decisions grounded in social, economic, and political policy. The court remanded the case to determine whether the Navy's reliance on the Coast Guard's decision regarding buoy illumination was a discretionary act based on policy considerations.

Thus, where challenged conduct involves an element of judgment grounded in social, economic or political policy, the Exception should apply and preclude judicial 'second-guessing' by barring the exercise of jurisdiction over the claim.

Conclusion

The Court of Appeals vacated the district court's judgment and remanded the case for further proceedings to determine the applicability of the discretionary function exception.

Because the district court held to the contrary, we must vacate its judgment and remand for a determination whether the Exception should apply to bar recovery under these facts.

Who won?

The United States prevailed in the appeal as the court held that the discretionary function exception applies, which may preclude recovery under the Suits in Admiralty Act.

The United States has timely appealed.

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