Columbus-America Discovery Group v. Atlantic Mut. Ins. Co.

Decision Date14 June 1995
Docket NumberCOLUMBUS-AMERICA,Nos. 94-1105,94-1106 and 94-1200,s. 94-1105
PartiesDISCOVERY GROUP; Jack F. Grimm; Joanne Lampe Charlton, Personal Representative of the Estate of Harry G. John, Plaintiffs-Appellees, and Trustees of Columbia University in the City of New York, Plaintiff, v. ATLANTIC MUTUAL INSURANCE COMPANY; Insurance Company of North America; Salvage Association; London Assurance; Alliance Assurance Company, Limited; Royal Exchange Assurance; Indemnity Marine Assurance Company, Limited; Marine Insurance Company, Limited; Superintendent of Insurance of the State of New York, Claimants-Appellants, and The Unidentified Wrecked and Abandoned Sailing Vessel, its engines, tackle, apparel, appurtenances, cargo, etc., located within a box defined by the following coordinates: Northern Boundary--31 degrees 37 minutes North Latitude; Southern Boundary--31 degrees 33 minutes North Latitude; Western Boundary--77 degrees 2 minutes West Longitude; Eastern Boundary--76 degrees 57 minutes West Longitude, (believed to be the S.S. Central America), in rem, Defendant, Cigna Group, Commercial Union Assurance Company, Limited; Commercial Union Insurance Company; William H. McGee & Company, Incorporated; Royal Insurance; Royal Insurance Company, Limited; Royal Insurance Company of America; Chubb & Son, Incorporated; Sun Alliance Group; Underwriters at Lloyd's; Greof America Corporation; Guardian Royal Exchange; Indemnity Mutual Marine Assurance Company; Sun Insurance Company of New York; Sun Insurance Office, Limited; Great Western Insurance Company; Sun Mutual Insurance Company; Union Mutual Insurance Company; Oriental Mutual Insurance Company; Commercial Mutual Insurance Company; Mercantile Mutual Insurance Company; New York Mutual Insurance Company; Pacific Mutual Insurance Company; Indemnity Marine; London Associated Corporation; Royal Associated Corporation; Royal Marine; Indemnity Mutual; Royal Exchange & London Offices; Union Bank of London; Commonwealth Fire Insurance Company; Dennis Standefer; The R/V Liberty Star, her master, officers, crew a
CourtU.S. Court of Appeals — Fourth Circuit

ARGUED: Guilford D. Ware, Crenshaw, Ware & Martin, P.L.C., Norfolk, VA; George R. Daly, Marilyn Lee Lytle, Bigham, Englar, Jones & Houston, New York City; John H. Reilly, Jr., Dickerson & Reilly, New York City, for appellants. Robert Ward Trafford, Porter, Wright, Morris & Arthur, Columbus, OH; Richard T. Robol, Columbus-America Discovery Group, Columbus, OH, for appellees. ON BRIEF: James L. Chapman, IV, Martha M. Poindexter, Crenshaw, Ware & Martin, P.L.C., Norfolk, VA; Douglas A. Jacobsen, Bigham, Englar, Jones & Houston, New York City, for appellants. William J. Kelly, Jr., James D. Curphey, David R. Cohen, Porter, Wright, Morris & Arthur, Columbus, OH; Jane E. Rindsberg, Columbus-America Discovery Group, Columbus, OH; R. Hewitt Pate, Hunton & Williams, Richmond, VA; David N. Ventker, Timothy M. Richardson, Huff, Poole & Mahoney, P.C., Virginia Beach, VA, for appellees. Allan S. Reynolds, Reynolds, Smith & Winters, Norfolk, VA, for amici curiae American Institute of Marine Underwriters, et al. Steven T. Catlett, Jeffrey S. Sutton, Jones, Day, Reavis & Pogue, Columbus, OH; Barbara Hoffman, Schwartz, Weiss, Steckler & Hoffman, New York City, for amicus curiae Explorers Club. Alan Garrick Choate, Baltimore, MD; Alison Little, Pepper Pike, OH, for amici curiae Maritime Historical Soc., et al.

                                               TABLE OF CONTENTS
                  I.  INTRODUCTION                                                          561
                 II.  THE INTERVENORS' CLAIM                                                562
                      A.  A Tripartite Alliance                                             562
                      B.  Ryan's search                                                     563
                      C.  The Columbus-America Effort                                       564
                      D.  From the Control Room to the Courtroom                            565
                          1.  The Intervenors' Proprietary Interest in the CONRAD Data      566
                          2.  Columbus-America's Alleged Misuse of the Data                 567
                III.  THE SALVAGE AWARD                                                     568
                      A.  The Doctrine of Unclean Hands                                     569
                          1.  The CONRAD Data Revisited                                     569
                          2.  Columbus-America's Disclosures to the District Court          569
                      B.  The Moiety Rule                                                   570
                      C.  The BLACKWALL Analysis                                            571
                          1.  The Labor Expended by the Salvor                              571
                          2.  The Salvor's
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