Arrested Development: Ship Released From Arrest Despite Pending Appeal

In Platypus Marine, Inc. v. TATU (TATU), the Federal Court of Canada (Court) ordered that the defendant ship be released from arrest because there was no outstanding judgment. Although the plaintiff was appealing a judgment dismissing part of the plaintiff's claim, the ship owner had paid the full amount awarded against it. In those circumstances, the ship owner successfully argued that there was no legal basis to sustain the arrest once the judgment had been satisfied. The Court's decision is a helpful reminder that plaintiffs who benefit from their procedural right to arrest a vessel must be mindful to follow the correct procedural steps to preserve the arrest.

BACKGROUND

The TATU (Vessel) is a luxury yacht owned by Platinum Premier Corporation Limited (Owner). The plaintiff, Platypus Marine, Inc. (Plaintiff) is a ship repairer. In the underlying action, the Plaintiff claimed approximately US$285,000 for various services provided to the Vessel such as moorage,