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Lloyd's Maritime Law Newsletter

McAsphalt Industries Ltd. v. Algoma Central Railway (The Algocen) - Fed.Ct. Trial Div. (Collier J.) - 2 February 1984

Revenue earning tug damaged in collision - Amount of damages recoverable

The plaintiffs manufactured and distributed asphalt products. In 1979 they purchased a tug, and in 1980 they purchased a barge with the object of moving asphalt from greater distances to the Toronto area market. In August 1981 the tug and barge performed their first revenue producing trip (the Domtar trip). In September 1981 the next revenue producing trip involved the tug alone. The tug was lying at Port Colborne, having just completed the second trip, when she was struck by the defendants’ cargo carrier Algocen . The defendants admitted liability. The present proceedings related to the amount of damages for consequential loss suffered by the plaintiffs.

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