Skerries Salmon Ltd v Braer Corporation & Ors [1998] ScotCS 83 (1 December 1998)

Skerries Salmon Ltd v Braer Corporation & Ors [1998] ScotCS 83 (1 December 1998)

The pursuer's claim is for pure relational economic loss, as there was no physical contamination of its property; section 1 of the 1971 Act does not extend to such losses, and the action is irrelevant in law.

Citation
[1998] ScotCS 83
Parties
Pursuer: Skerries Salmon Limited; First Defender: The Braer Corporation; Second Defender: Assuranceforeningen Skuld; Minuter: The International Oil Pollution Compensation Fund
Jurisdiction
Scotland
Judgment Date
01 December 1998
Procedural Posture
Civil / Procedure Roll Debate on Preliminary Pleas
Outcome
Action dismissed
Legal Topics
Oil Pollution Liability, Economic Loss, Statutory Interpretation, Recoverability of Damages

Case Brief

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Parties

Skerries Salmon Limited

Pursuer

The Braer Corporation

First Defender

Assuranceforeningen Skuld

Second Defender

The International Oil Pollution Compensation Fund

Minuter

Procedural Posture

Civil / Procedure Roll Debate on Preliminary Pleas

  1. 1 Whether economic loss suffered by a salmon farm outside the exclusion zone, with no physical contamination, is recoverable under section 1 of the Merchant Shipping (Oil Pollution) Act 1971
  2. 2 Whether the pursuer's averments are relevant and sufficiently specified to support the claim

Ratio Decidendi

The pursuer's claim is for pure relational economic loss, as there was no physical contamination of its property; section 1 of the 1971 Act does not extend to such losses, and the action is irrelevant in law.

Court Disposition

Action dismissed

Orders

  • Sustain plea-in-law 1 for the defenders
  • Dismiss the action