Cruise Ship Law

DAVID DOBSON et al., as Parents and Guardians of ETHAN DOBSON, an Infant, Respondents-Appellants, v LINDA J. GIOIA et al., Appellants-Respondents, and FRANCIS A. MARTIN et al., Respondents-Appellants.
SUPREME COURT OF NEW YORK, APPELLATE DIVISION, THIRD DEPARTMENT
2007 NY Slip Op 3042; 2007 N.Y. App. Div. LEXIS 4440
April 12, 2007, Entered

PROCEDURAL POSTURE:The parties cross-appealed an order by the Saratoga County Supreme Court (New York) that, inter alia, partially granted the cross-motion of defendant owners, a husband and his wife, for summary judgment in plaintiff parents' action for personal injuries and spoliation of evidence.

OVERVIEW: After the owners' boat flipped to the left and capsized while being operated by a relative, the husband took it to defendant repairman for repairs. While the owners were attempting to sell the boat, it remained in the custody of the repairman, who claimed that the husband granted him permission to operate it for recreational purposes. During one such excursion, the boat again flipped over, injuring the parents' child. The owners' insurer was allegedly told by the parents' attorney to preserve the boat in its current condition and that no repairs, alterations or modifications be made to it. However, the engine and other component parts had already been removed from the boat for purposes of the damage estimate. The appellate court found that the imposition of sanctions against the owners for the alleged spoliation of evidence under CPLR 3126 by its insurer was properly denied. However, triable issues regarding whether the husband was a de facto owner under Navigation Law § 48, and whether the repairman had been properly informed of the alleged misalignment problems. Therefore, the trial court erred in granting summary judgment to the owners.

OUTCOME: The order was modified by reversing the partial grant of the owners' cross-motion for summary judgment, the cross-motion was denied to that extent, and, as so modified, the order was affirmed.