Practice and procedure of U.S. Maritime Arrest and garnishment or how American ship repairers inc. comes out on top

摘要

In the "Chronicles of Rodyk" certain essential facts, as they relate to American Ship Repairers Inc. ("Am Ship") are missing. Am Ship provided its repair services to the cruise ship S.S. Harmony ("Vessel") in Brooklyn, New York. Am Ship's standard terms call for the application of U.S. general maritime law. Am Ship asserts a priority lien under U.S. law on the Vessel. The Vessel was arrested in New York waters pursuant to a verified complaint. See Ex. A attached. The complaint also sought attachment of electronic fund transfers ("EFTs") via New York City banks in the clearing business, made by Dubai Shipping Co. ("DSC") to the mortgagee bank "Copenhagen Maritime Bank" ("Cop. Bank"). The garnishee banks, after initial personal service, were served by fax daily until the EFT was made and successfully attached in the sum of $ 5 million. "Ram" Rambusch, Esq. has appeared on behalf of Cop. Bank to contest the attachment based on the funds being, allegedly, DSC's own money and not that of the shipowner itself, Harmony Shipping Co. Ltd. ("HSC"). An evidentiary hearing has been set, after discovery on Am Ship's alter ego contentions and of Cop. Bank and DSC as to why DSC made a $ 5 million mortgage "repayment" on behalf of HSC, the registered vessel owner, (see Ex. A). The attachment has been sustained until completion of that discovery and further motion practice.