Zim Israel Navigation Co Ltd v 3-D Imports Inc and Ors (The ‘Zim Montreal’) - US District Court (SDNY)(Ward DJ) - 10 December 1998

General Average - Shipowner bringing proceedings to collect General Average contributions from cargo owners - Some cargo owners bringing counterclaims for breach of COGSA and settling with shipowner on basis that they would only pay a proportion of their due general average contribution and on basis that those owed money from the General Average Fund would be paid 100% of the amount specified in the Adjustment - Shipowners accordingly only receiving about 70% of total sum owed in General Average contributions - Shipowners asserting that defendant cargo owner whose COGSA claim had been time-barred should only be entitled to 70% of amount specified in Adjustment - Defendant cargo owner applying for summary judgment for 100% of specified Adjustment

The plaintiff was the owner of the vessel Zim Montreal . In November 1981 the vessel suffered a fire that damaged some of the cargo on board, including a portion of cargo owned by one of the defendants (‘the defendant’). A General Average loss was declared. Since some of the defendant’s goods were saved and some lost, the Adjustment showed that the defendant both owed and was owed money. For the portion of its cargo that was saved from the fire, the defendant was to contribute $137,815.82 to the Fund. The defendant was to receive $880,438.91 for its lost goods, resulting in a net payment of $742,623.09.