Marine Recreational Opportunities Inc v Berman - US Court of Appeals (2nd Circuit) (Lumbard, Van Graafeiland and Winter Ct JJ) - 31 January 1994

Limitation of liability - Whether former vessel owner who is sued in respect of negligence alleged prior to transfer of title is an “owner” of a vessel within meaning of limitation statute

In 1991 Marine Recreational Opportunities Inc (“MRO”) purchased a pleasure craft, a 1987 Cruisers Inc 286 Rogue Sport, at a public auction. On 31 May 1991 MRO sold the vessel to Zachary Berman for $41,000. Title and possession of the vessel transferred from MRO to Zachary Berman on that date. On 2 June 1991 Zachary Berman, accompanied by his son Gerald, and Josephina Berman, took the vessel out on Long Island Sound. When the boat hit a large wave or wake, Gerald Berman was allegedly thrown around the boat and seriously injured.