Atlantic Sounding Co. v. Townsend
Full Opinion (html_with_citations)
delivered the opinion of the Court.
The question presented by this case is whether an injured seaman may recover punitive damages for his employerâs willful failure to pay maintenance and cure. Petitioners argue that under Miles v. Apex Marine Corp., 498 U. S. 19 (1990), seamen may recover only those damages available under the Jones Act, 46 U. S. C. § 30104. We disagree. Historically, punitive damages have been available and awarded in general maritime actions, including some in maintenance and cure. We find that nothing in Miles or the Jones Act eliminates that availability.
I
Respondent Edgar L. Townsend was a crew member of the Motor Tug Thomas. After falling on the steel deck of the tugboat and injuring his arm and shoulder, respondent claimed that petitioner Atlantic Sounding,
Petitioners thereafter filed an action for declaratory relief regarding their obligations with respect to maintenance and cure. Respondent filed his own suit under the Jones Act and general maritime law, alleging negligence, unseaworthiness, arbitrary and willful failure to pay maintenance and cure, and wrongful termination. In addition, respondent filed similar counterclaims in the declaratory judgment action, seeking punitive damages for the denial of maintenance and cure. The District Court consolidated the cases. See 496 F. 3d, at 1283-1284.
Petitioners moved to dismiss respondentâs punitive damages claim. The District Court denied the motion, holding that it was bound by the determination in Hines v. J. A. LaPorte, Inc., 820 F. 2d 1187, 1189 (CA11 1987) (per curiam), that punitive damages were available in an action for maintenance and cure. The court, however, agreed to certify the question for interlocutory appeal. See 496 F. 3d, at 1284. The United States Court of Appeals for the Eleventh Circuit agreed with the District Court that Hines controlled and held that respondent could pursue his punitive damages claim for the willful withholding of maintenance and cure. 496 F. 3d, at 1285-1286. The decision conflicted with those of other Courts of Appeals, see, e. g., Guevara v. Maritime Overseas Corp., 59 F. 3d 1496 (CA5 1995) (en banc); Glynn v. Roy Al Boat Management Corp., 57 F. 3d 1495 (CA9 1995), and we granted certiorari, 555 U. S. 993 (2008).
II
Respondent claims that he is entitled to seek punitive damages as a result of petitionersâ alleged breach of their âmaintenance and cureâ duty under general maritime law. We find no legal obstacle to his doing so.
Punitive damages have long been an available remedy at common law for wanton, willful, or outrageous conduct. Under English law during the colonial era, juries were accorded broad discretion to award damages as they saw fit. See, e.g., Lord Townsend v. Hughes, 2 Mod. 150, 86 Eng. Rep. 994 (C. P. 1676) (â[I]n civil actions the plaintiff is to recover by way of compensation for the damages he hath sustained, and the jury are the proper judges thereofâ (emphasis in original)); 1 T. Sedgwick, Measure of Damages §349, p. 688 (9th ed. 1912) (hereinafter Sedgwick) (âUntil comparatively recent times juries were as arbitrary judges of the amount of damages as of the factsâ). The common-law view âwas that âin eases where the amount of damages was uncertain[,] their assessment was a matter so peculiarly within the province of the jury that the Court should not alter it.ââ Feltner v. Columbia Pictures Television, Inc., 523 U. S. 340, 353 (1998) (quoting Dimick v. Schiedt, 293 U. S. 474, 480 (1935); alteration in original).
The juryâs broad discretion to set damages included the authority to award punitive damages when the circumstances of the ease warranted. Just before the ratification of the Constitution, Lord Chief Justice Pratt explained: â[A] jury ha[s] it in [its] power to give damages for more than the injury received. Damages are designed not only as a satisfaction to the injured person, but likewise as a punishment to the guilty, to deter from any such proceeding for the future, and as a proof of the detestation of the jury to the action itself.â Wilkes v. Wood, Lofft 1, 18-19, 98 Eng. Rep. 489, 498-499 (C. P. 1763); see also Pacific Mut. Life Ins. Co. v. Haslip, 499 U. S. 1, 25 (1991) (Scalia, J., concurring in judgment) (â[P]unitive or âexemplaryâ damages have long been a part of Anglo-American lawâ); Huckle v. Money, 2 Wils. 205, 207, 95 Eng. Rep. 768, 769 (C. P. 1763) (declining to grant a new trial because the jury âha[s] done right in giving exemplary damagesâ).
This Court has also found the award of punitive damages to be authorized as a matter of common-law doctrine. In Day v. Woodworth, 13 How. 363 (1852), for example, the Court recognized the âwell-established principle of the common law, that in actions of trespass and all actions on the case for torts, a jury may inflict what are called exemplary, punitive, or vindictive damages upon a defendant....â Id., at 371; see also Philadelphia, W., & B. R. Co. v. Quigley, 21 How. 202, 214 (1859) (âWhenever the injury complained of has been inflicted maliciously or wantonly, and with circumstances of contumely or indignity, the jury are not limited to the ascertainment of a simple compensation for the wrong committed against the aggrieved personâ); Barry v. Edmunds, 116 U. S. 550, 562 (1886) (â[According to the settled law of this court, [a plaintiff] might show himself, by proof of the circumstances, to be entitled to exemplary damages calculated to vindicate his right and protect it against future similar invasionsâ).
The general rule that punitive damages were available at common law extended to claims arising under federal maritime law. See Lake Shore & Michigan Southern R. Co. v. Prentice, 147 U. S. 101, 108 (1893) (â[C]ourts of admiralty... proceed, in cases of tort, upon the same principles as courts of common law, in allowing exemplary damages ... â). One of this Courtâs first cases indicating that punitive damages were available involved an action for marine trespass. See The Amiable Nancy, 3 Wheat. 546 (1818). In the course of deciding whether to uphold the juryâs award, Justice Story, writing for the Court, recognized that punitive damages are an available maritime remedy under the proper circumstances. Although the Court found that the particular facts of the case did not warrant such an award against the named defendants, it explained that âif this were a suit against the original wrong-doers, it might be proper to . . . visit upon them in the shape of exemplary damages, the proper punishment which belongs to such lawless misconduct.â Id., at 558; see also Barry, supra, at 563 (âIn The Amiable Nancy, which was the case of a marine tort, Mr. Justice Story spoke of exemplary damages as The proper punishment which belongs to .. . lawless misconductâ â (citation omitted)).
The lower federal courts followed suit, finding that punitive damages were available in maritime actions for tortious acts of a particularly egregious nature. See, e. g., McGuire v. The Golden Gate, 16 F. Cas. 141, 143 (No. 8,815) (CC ND Cal. 1856) (âIn an action against the perpetrator of the wrong, the aggrieved party would be entitled to recover not only actual damages but exemplary, â such as would vindicate his wrongs, and teach the tort feasor the necessity of reformâ); Ralston v. The State Rights, 20 F. Cas. 201, 210 (No. 11,540) (DC ED Pa. 1836) (â[I]t is not legally correct... to say that a court cannot give exemplary damages, in a case like the present, against the owners of a vesselâ); Boston Mfg. Co. v. Fiske, 3 F. Cas. 957 (No. 1,681) (CC Mass. 1820)
C
Nothing in maritime law undermines the applicability of this general rule in the maintenance and cure context. See G. Gilmore & C. Black, Law of Admiralty § 6-13, p. 312 (2d ed. 1975) (hereinafter Gilmore & Black) (explaining that a seaman denied maintenance and cure âhas a free option to claim damages (including punitive damages) under a general maritime law countâ); Robertson 163 (concluding that breach of maintenance and cure is one of the particular torts for which general maritime law would most likely permit the
The right to receive maintenance and cure was first recognized in this country in two lower court decisions authored by Justice Story. See Harden v. Gordon, 11 F. Cas. 480 (No. 6,047) (CC Me. 1823); Reed v. Canfield, 20 F. Cas. 426 (No. 11,641) (CC Mass. 1832). According to Justice Story, this common-law obligation to seamen was justified on humanitarian and economic grounds: âIf some provision be not made for [seamen] in sickness at the expense of the ship, they must often in foreign ports suffer the accumulated evils of disease, and poverty, and sometimes perish from the want of suitable nourishment.... [T]he merchant himself derives an ultimate benefit [because i]t encourages seamen to engage in perilous voyages with more promptitude, and at lower wages.â Harden, supra, at 483; see also Reed, supra, at 429 (âThe seaman is to be cured at the expense of the ship, of the sickness or injury sustained in the shipâs serviceâ).
This Court has since registered its agreement with these decisions. âUpon a full review ... of English and American authorities,â the Court concluded that âthe vessel and her owners are liable, in case a seaman falls sick, or is wounded, in the service of the ship, to the extent of his maintenance and cure, and to his wages, at least so long as the voyage is continued.â The Osceola, 189 U. S. 158, 175 (1903). Decisions following The Osceola have explained that in addition to wages, âmaintenanceâ includes food and lodging at the expense of their ship, and âcureâ refers to medical treatment. Lewis, 531 U. S., at 441; see also Gilmore & Black § 6-12, at 305-306 (describing âmaintenance and cureâ as including medical expenses, a living allowance, and unearned wages).
D
The settled legal principles discussed above establish three points central to resolving this case. First, punitive damages have long been available at common law. Second, the common-law tradition of punitive damages extends to maritime claims.
Ill
A
The only statute that could serve as a basis for overturning the common-law rule in this case is the Jones Act. Congress enacted the Jones Act primarily to overrule The Osceola, supra, in which this Court prohibited a seaman or his family from recovering for injuries or death suffered due to his employersâ negligence. To this end, the statute provides in relevant part:
âA seaman injured in the course of employment or, if the seaman dies from the injury, the personal representative of the seaman may elect to bring a civil action at law, with the right of trial by jury, against the employer. Laws of the United States regulating recovery for personal injury to, or death of, a railway employee apply to an action under this section.â 46 U. S. C. § 30104(a) (incorporating the Federal Employersâ Liability Act, 45 U.S. C. §§51-60).
The Jones Act thus created a statutory cause of action for negligence, but it did not eliminate pre-existing remedies available to seamen for the separate common-law cause of
In addition, the only statutory restrictions expressly addressing general maritime claims for maintenance and cure were enacted long after the passage of the Jones Act. They limit its availability for two discrete classes of people: foreign workers on offshore oil and mineral production facilities, see § 503(a)(2), 96 Stat. 1955, codified at 46 U. S. C. § 30105(b), and sailing school students and instructors, § 204, 96 Stat. 1589, codified at 46 U. S. C. § 50504(b). These provisions indicate that âCongress knows how toâ restrict the traditional remedy of maintenance and cure âwhen it wants to.â Omni Capital Intâl, Ltd. v. Rudolf Wolff & Co., 484 U. S. 97, 106 (1987). Thus, nothing in the statutory scheme for maritime
Further supporting this interpretation of the Jones Act, this Court has consistently recognized that the Act âwas remedial, for the benefit and protection of seamen who are peculiarly the wards of admiralty. Its purpose was to enlarge that protection, not to narrow it.â The Arizona v. Anelich, 298 U. S. 110, 123 (1936); see also American Export Lines, Inc. v. Alvez, 446 U. S. 274, 282 (1980) (plurality opinion) (declining to âread the Jones Act as sweeping aside general maritime law remediesâ); OâDonnell v. Great Lakes Dredge & Dock Co., 318 U. S. 36, 43 (1943) (âIt follows that the Jones Act, in extending a right of recovery to the seaman injured while in the service of his vessel by negligence, has done no more than supplement the remedy of maintenance and cure . . . â); Pacific S. S. Co. v. Peterson, 278 U. S. 130, 134, 138-139 (1928) (holding that the Jones Act âwas not intended to restrict in any way the long-established right of a seaman to maintenance, cure and wagesâ).
Not only have our decisions repeatedly observed that the Jones Act preserves common-law causes of action such as maintenance and cure, but our case law also supports the view that punitive damages awards, in particular, remain available in maintenance and cure actions after the Actâs passage. In Vaughan v. Atkinson, 369 U. S. 527 (1962), for example, the Court permitted the recovery of attorneyâs fees for the âcallousâ and âwillful and persistentâ refusal to pay maintenance and cure. Id., at 529-531. In fact, even the Vaughan dissenters, who believed that such fees were generally unavailable, agreed that a seaman âwould be entitled to exemplary damages in accord with traditional concepts of the law of damagesâ where a âshipownerâs refusal to pay maintenance stemmed from a wanton and intentional disregard of the legal rights of the seaman.â Id., at 540 (opinion of Stewart, J.); see also Fiske, 3 F. Cas., at 957 (Story, J.) (arguing
Nothing in the text of the Jones Act or this Courtâs decisions issued in the wake of its enactment undermines the continued existence of the common-law cause of action providing recovery for the delayed or improper provision of maintenance and cure. Petitioners do not deny the availability of punitive damages in general maritime law, or identify any cases establishing that such damages were historically unavailable for breach of the duty of maintenance and cure. The plain language of the Jones Act, then, does not provide the punitive damages bar that petitioners seek.
B
Petitioners nonetheless argue that the availability of punitive damages in this case is controlled by the Jones Act because of this Courtâs decision in Miles, 498 U. S. 19; see also post, at 428-429 (opinion of Alito, J.). In Miles, petitioners argue, the Court limited recovery in maritime cases involving death or personal injury to the remedies available under the Jones Act and the Death on the High Seas Act (DOHSA),
Miles does not address either maintenance and cure actions in general or the availability of punitive damages for such actions. The decision instead grapples with the entirely different question whether general maritime law should provide a cause of action for wrongful death based on unseaworthiness. By providing a remedy for wrongful death suffered on the high seas or in territorial waters, the Jones Act and DOHSA displaced a general maritime rule that denied any recovery for wrongful death. See 498 U. S., at 23-34. This Court, therefore, was called upon in Miles to decide whether these new statutes supported an expansion of the relief available under pre-existing general maritime law to harmonize it with a cause of action created by statute.
The Court in Miles first concluded that the âunanimous legislative judgment behind the Jones Act, DOHSA, and the many state statutesâ authorizing maritime wrongful-death actions supported the recognition of a general maritime action for wrongful death of a seaman. Id., at 24 (discussing Moragne v. States Marine Lines, Inc., 398 U. S. 375 (1970), which overruled The Harrisburg, 119 U. S. 199 (1886)). Congress had chosen to limit, however, the damages available for wrongful-death actions under the Jones Act and DOHSA, such that damages were not statutorily available for loss of society or lost future earnings. See Miles, 498 U. S., at 21, 31-32. The Court thus concluded that Congressâ judgment must control the availability of remedies for wrongful-death actions brought under general maritime law, id., at 32-36.
But application of that principle here does not lead to the outcome suggested by petitioners or the dissent. See post, at 425-426. Unlike the situation presented in Miles, both the general maritime cause of action (maintenance and cure) and the remedy (punitive damages) were well established before the passage of the Jones Act. See supra, at 409-414. Also unlike the facts presented by Miles, the Jones Act does not address maintenance and cure or its remedy.
Moreover, petitionersâ contention that Miles precludes any action or remedy for personal injury beyond that made available under the Jones Act was directly rejected by this Court in Norfolk Shipbuilding & Drydock Corp. v. Garris, 532 U. S. 811, 818 (2001). That case involved the death of a harbor worker. Ibid. There, the Court recognized a maritime cause of action for wrongful death attributable to negligence although neither the Jones Act (which applies only to seamen) nor DOHSA (which does not cover territorial waters) provided such a remedy. Id., at 817-818. The Court acknowledged that âit will be the better course, in many cases that assert new claims beyond what those statutes have seen fit to allow, to leave further development to Congress.â Id., at 820. But the Court concluded that the cause of action at issue there was ânew only in the most technical senseâ because â[t]he general maritime law has recognized the tort of negligence for more than a century, and it has been clear since Moragne that breaches of a maritime duty are actionable when they cause death, as when they cause injury.â Ibid. The Court thus found that âCongressâs occupation of this field is not yet so extensive as to preclude us from recognizing what is already logically compelled by our precedents.â Ibid.
Because Miles presented no barrier to this endorsement of a previously unrecognized maritime cause of action for
It remains true, of course, that â[a]dmiralty is not created in a vacuum; legislation has always served as an important source of both common law and admiralty principles.â Miles, supra, at 24. And it also is true that the negligent denial of maintenance and cure may also be the subject of a Jones Act claim. See Cortes v. Baltimore Insular Line, Inc., 287 U. S. 367 (1932).
As this Court has repeatedly explained, âremedies for negligence, unseaworthiness, and maintenance and cure have different origins and may on occasion call for application of slightly different principles and procedures.â Fitzgerald v. United States Lines Co., 374 U. S. 16, 18 (1963); see also Peterson, 278 U. S., at 138, 139 (emphasizing that a seamanâs action for maintenance and cure is âindependentâ and âcumulativeâ from other claims such as negligence and that the maintenance and cure right is âin no sense inconsistent with, or an alternative of, the right to recover compensatory damages [under the Jones Act]â). See also Gilmore & Black § 6-
IV
Because punitive damages have long been an accepted remedy under general maritime law, and because nothing in the Jones Act altered this understanding, such damages for the willful and wanton disregard of the maintenance and cure obligation should remain available in the appropriate case as a matter of general maritime law.
It is so ordered.
Atlantic Sounding Co., Inc., is a wholly owned subsidiary of Weeks Marine, Inc., the other petitioner in this case.
Although punitive damages awards were rarely upheld on judicial review, but see Roza v. Smith, 65 F. 592, 596-597 (DC ND Cal. 1895); Gallagher v. The Yankee, 9 F. Cas. 1091, 1093 (No. 5,196) (DC ND Cal. 1859), that fact does not draw into question the basic understanding that punitive damages were considered an available maritime remedy. Indeed, in several cases in which a judgment awarding punitive damages was overturned on appeal, the reversal was based on unrelated grounds. See, e. g., The Margharita, 140 F. 820, 824 (CA5 1905); Pacific Packing & Nav. Co. v. Fielding, 136 F. 577, 580 (CA9 1905); Latchtimacker v. Jacksonville Towing & Wrecking Co., 181 F. 276, 278 (CC SD Fla. 1910).
Although these eases do not refer to âpunitiveâ or âexemplaryâ damages, scholars have characterized the awards authorized by these decisions as such. See Robertson 103-105; Edelman, Guevara v. Maritime Overseas Corp.: Opposing the Decision, 20 Tulane Mar. L. J. 349, 351, and n. 22 (1996).
The dissent correctly notes that the handful of early cases involving maintenance and cure, by themselves, do not definitively resolve the question of punitive damages availability in such cases. See post, at 429-431 (opinion of Alito, J.). However, it neglects to acknowledge that the general common-law rule made punitive damages available in maritime actions. See supra, at 411-412. Nor does the dissent explain why main
In the wake of Vaughan, a number of lower courts expressly held that punitive damages can be recovered for the denial of maintenance and cure. See, e. g., Hines v. J. A. Laporte, Inc., 820 F. 2d 1187, 1189 (CA11 1987) (per curiam) (upholding punitive damages award of $5,000 for an âarbitrary and bad faith breach of the duty to furnish maintenance and cureâ); Robinson v. Pocahontas, Inc., 477 F. 2d 1048, 1049-1052 (CA1 1973) (affirming punitive damages award of $10,000 which was based, in part, on the defendantâs initial withholding of maintenance and cure on the pretext that the seaman had been fired for cause).
DOHSA applies only to individuals killed (not merely injured) by conduct on the high seas. See 46 U. S. C. § 30802. Because this case involves injuries to a seaman, and not death on the high seas, DOHSA is not relevant.
Respondentâs claim is not affected by the statutory amendments to the Jones Act that limit maintenance and cure recovery in cases involving foreign workers on offshore oil and mineral production facilities, see 46 U. S. C. § 30105, or sailing school students and instructors, § 50504. See supra, at 416-417.
In light of the Courtâs decision in Norfolk Shipbuilding & Drydock Corp. v. Garris, 532 U. S. 811, 818 (2001), our reading of Miles cannot, as the dissent contends, represent an âabrup[t]â change of course. See post, at 425.
For those maintenance and cure claims that do not involve personal injury (and thus cannot be asserted under the Jones Act), the dissent argues that punitive damages should be barred because such claims are based in contract, not tort. See post, at 431-432. But the right of maintenance and cure âwas firmly established in the maritime law long before recognition of the distinction between tort and contract.â OâDonnell v. Great Lakes Dredge & Dock Co., 318 U. S. 36, 42 (1943). Although the right has been described as incident to contract, it cannot be modified or waived. See Cortes, 287 U. S., at 372.
The fact that, in some eases, a violation of the duty of maintenance and cure may also give rise to a Jones Act claim, see post, at 426-427 (opinion of Alito, J.), is significant only in that it requires admiralty courts to ensure against double recovery. See Fitzgerald v. United States Lines Co., 374 U. S. 16, 18-19 (1963) (authorizing a jury trial when a maintenance and cure claim is joined with a Jones Act claim because â[Requiring a seaman to split up his lawsuit, submitting part of it to a jury and part to a judge ... can easily result in too much or too little recoveryâ). Thus, a court may take steps to ensure that any award of damages for lost wages in a Jones Act negligence claim is offset by the amount of lost wages awarded as part of a recovery of maintenance and cure. See, e. g., Petition of Oskar Tiedemann & Co., 367 F. 2d 498, 505, n. 6 (CA3 1966); Crooks v. United States, 459 F. 2d 631, 633 (CA9 1972).
Although this Court has recognized that it may change maritime law in its operation as an admiralty court, see Edmonds v. Compagnie Generale Transatlantique, 443 U. S. 256, 271 (1979), petitioners have not asked the Court to do so in this case or pointed to any serious anomalies, with respect to the Jones Act or otherwise, that our holding may create. Nor have petitioners argued that the size of punitive damages awards in maintenance and cure cases necessitates a recovery cap, which the Court has elsewhere imposed. See Exxon Shipping Co. v. Baker, 554 U. S. 471, 514-515 (2008) (imposing a punitive-to-compensatory ratio of 1:1). We do not decide these issues.
Because we hold that Miles does not render the Jones Actâs damages provision determinative of respondentâs remedies, we do not address the dissentâs argument that the Jones Act, by incorporating the provisions of the Federal Employersâ Liability Act, see 46 U. S. C. § 30104(a), prohibits the recovery of punitive damages in actions under that statute. See post, at 427-428.