McBride v. The Stillwater Yacht Club
McBride v. The Stillwater Yacht Club
Trial Court Opinion
1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 CHARLES MCBRIDE, et al., Case No. 25-cv-08179-SVK
8 Plaintiffs, ORDER RE PLAINTIFFS’ AD INTERIM STIPULATION; GRANTING 9 v. REQUEST FOR ISSUANCE OF MONITION AND TEMPORARILY 10 THE STILLWATER YACHT CLUB, et al., ENJOINING PROSECUTION OF OTHER SUITS 11 Defendants. Re: Dkt. No. 3 12 Plaintiffs Charles McBride and Mulroy Bay, LLC (of which Mr. McBride is the sole 13 member and owner) (collectively, “Plaintiffs”) bring this action for exoneration from or limitation 14 of liability under 46 U.S.C §§ 30501 et seq., in connection with the grounding, attempted salvage 15 and ultimate loss of the vessel M/V EMERALD C (the Emerald C). Dkt. 1 (“Compl.”). Before 16 the Court are Plaintiffs’ “Ad Interim Stipulation” seeking an Order (1) setting the amount of 17 security for a limitation fund, (2) requesting issuance of the concurrently filed Notice of Monition 18 and (3) requesting the stay and injunction of any other proceedings commenced against Plaintiffs, 19 the Emerald C or any other property that is the subject of this limitation of liability action. Dkts. 20 2-3 (“Notice of Monition” and “Ad Interim Stipulation,” respectively). Having considered 21 Plaintiffs’ submissions and the relevant law, the Court hereby GRANTS Plaintiffs’ requests. 22 “The Limitation of Liability Act ‘permits a vessel owner to limit its liability to the value of 23 the vessel and its then pending freight, provided that the loss or damage is incurred without the 24 ‘privity or knowledge’ of the owner.’” In re Matter of Stoughton, No. 20-cv-0725-JCC,
2020 WL 252557332, at *1 (W.D. Wash. May 20, 2020) (quoting In re Estate of Charles A. Muer,
146 F.3d 26410, 414 (6th Cir. 1998) (quoting
46 U.S.C. § 30505(b))). “After an owner has complied with the 27 requirements of
46 U.S.C. § 30511(b) and Supplemental Admiralty and Maritime Claims Rule 1 F(1), ‘on application of the plaintiff the court shall enjoin the further prosecution of any action or 2 proceeding against the plaintiff or the plaintiff’s property with respect to any claim subject to 3 limitation in the action.’”
Id.(quoting Supp. Admir. R. F(3)). Additionally, upon compliance with 4 the requirements of Supplemental Admiralty Rule F(1), “the court shall issue a notice to all 5 persons asserting claims with respect to which the complaint seeks limitation, admonishing them 6 to file their respective claims with the clerk of the court.” Supp. Admir. R. F(4). So, to adjudicate 7 Plaintiffs’ requests, the Court must determine if Plaintiffs have complied with the requirements set 8 forth in § 30511(b) and Supplemental Admiralty Rule F(1).
9 Section 30511(b) and Rule F(1) contain two requirements. First, a vessel owner must file a limitation action “within 6 months after a 10 claimant gives the owner written notice of a claim.” Second, the vessel owner must create a fund of money to benefit any potential 11 claimants. 12 Matter of Stoughton,
2020 WL 2557332, at *1 (quoting
46 U.S.C. § 30511(b); Supp. Admir. R. 13 F(3)). The amount of the fund must be “equal to the value of the owner’s interest in the vessel and 14 pending freight” as well as “security for costs and … for interest[.]” Supp. Admir. R. F(1). 15 Pursuant to this District’s Admiralty & Maritime Local Rules, “[t]he amount of security for costs 16 under Fed. R. Civ. P. Supp. F(1) shall be $1,000 unless otherwise ordered, and may be combined 17 with the security for value and interest.” Admir. L.R. 5-1. 18 Plaintiffs filed their verified complaint on September 25, 2025. Plaintiffs allege that 19 “McBride [] received invoices from multiple parties claiming sums due for services provided in 20 the effort to salvage the Vessel in the days following the grounding.” Compl. 1, ¶ 22. The 21 Emerald C was allegedly grounded on March 26, 2025, such that any claims made in the days 22 following the grounding fall within the 6-month time period. See Compl., ¶ 8. The first 23 requirement is thus satisfied. 24 Plaintiffs’ Ad Interim Stipulation sets forth that “the total value of Plaintiffs’ interest in the 25 and pending freight is zero dollars ($0.00).” Dkt. 3 at 2. This is supported by the Plaintiffs’ 26 verified allegation that “The EMERALD C was a total loss, and was broken up and hauled away 27 to a landfill to be disposed of. Nothing of value was saved from the Vessel. There was no pending ] Accordingly, the Court ORDERS as follows: 2 1. The Court APPROVES a limitation fund in the amount of $1,000, pursuant to 3 Plaintiffs’ stipulation and the Admir. L.R. Such amount is subject to challenge by 4 future parties or revision by the Court in the interests of justice. 5 2. Having found the requirements of Supp. Admir. R. F(1) to be satisfied, the Court 6 GRANTS Plaintiffs’ request for a notice of monition. Plaintiffs SHALL publish 7 the notice of monition, attached to this order as Attachment A, in each of The 8 Monterey County Herald, The Carmel Pine Cone, and The Mercury News once per 9 week for four successive weeks beginning no later than October 20, 2025. 10 3. By the date Plaintiffs publish the second notice, Plaintiffs must mail a copy of the 11 monition to every person known to have made any claim against Plaintiffs or 12 Plaintiffs’ property arising out of the March 26, 2025 grounding. 13 4. Pursuant to Supplemental Admiralty and Maritime Claims Rule F(3), the Court 14 TEMPORARILY RESTRAINS AND ENJOINS further prosecution of any 3 15 claim, action, or proceeding against Plaintiffs or Plaintiffs’ property relating to the a 16 March 26, 2025 grounding until March 20, 2026. Once the final parties to this 2 17 action are determined, if consent of such parties is received, the Court may Z 18 permanently enjoin such prosecution. 19 20 SO ORDERED. 21 Dated: October 8, 2025 22 23 Susomn SUSAN VAN KEULEN 24 United States Magistrate Judge 25 26 27 28
Attachment A NOTICE IS HEREBY GIVEN, pursuant to
46 U.S.C. § 30505and Federal Rule of Civil Procedure Supplemental Rule F, that Charles McBride and Mulroy Bay, LLC, owners of M/V EMERALD C, a 54 foot Ocean Alexander motor yacht, O/N 1237578, have filed a Complaint pursuant to
46 U.S.C. §§ 30501, et seq., seeking exoneration from or limitation of liability for any claims arising out of the grounding and loss of the M/V EMERALD C on or about March 26, 2025, in Stillwater Cove, Monterey County, California Any person, firm, entity, or corporation asserting claims with respect to the casualty involving the M/V EMERALD C must file their respective claims, under Case No. 25-cv-08179-SVK with the Clerk of the Court for the United States District Court for the Northern District of California, San Jose Division, 280 South 1st Street, San Jose, CA 95113 within 30 days after this notice is last published or by December 20, 2025, whichever occurs later. Any claimant must also serve a copy of the claim on upon Plaintiffs’ counsel, David R. Shane, 1000 Drakes Landing Road, Suite 200 Greenbrae, CA 94904. Each claim must identify the name and address of the claimant, the facts on which the claimant relies in support of the claim, the date on which the claim accrued and the nature of the claimant’s injury or damage. In addition, if the claimant contests the right of Charles McBride or Mulroy Bay, LLC, either or both of them, to exoneration from or limitation of liability, such claimant shall either (1) include such challenge in the claim or (2) file and serve an answer to the Complaint in the above-captioned case. The Court has TEMPORARILY RESTRAINED AND ENJOINED prosecution of any other action or proceeding against Charles McBride or Mulroy Bay, LLC or their property with respect to any claim subject to limitation in this action. This notice has been APPROVED for publication and mailing pursuant to Supplemental Rule F(4) of the Federal Rules of Civil Procedure.
Reference
- Full Case Name
- Charles McBride, et al. v. The Stillwater Yacht Club, et al.
- Status
- Unknown