Bremen V. Zapata Off-Shore Case

THE BREMEN V. ZAPATA OFF-SHORE CO. (1972)

Pedro Javier Fernández Díaz-Chirón

Exe. MIBL 2013

Basic Information

Case: The Bremen Et Al. v. Zapata Off-Shore Co. (1972)

Parties name and their role in the litigation:

Unterweser - Petitioner (German Corporation)

Zapata - Respondent (Louisiana oil company or natural gas producer/Owner of drilling rig).

Court issuing opinion:

U.S. Supreme Court (National Interest)

U.S. Court of Appeals for the Fifth Circuit

Case Origin - Florida Middle U.S. District Court (Federal court conflicto – Diversity situation)

Date of Opinion:

Date of Decision (announced) - June 12, 1972

Date of Argument (orally argued) - March 21, 1972

Material Facts:

Facts that gave rise to the litigation - the “story”:

In 1967, the Petitioner, Unterweser, a German corporation contracted with the respondent, Zapata, an United States corporation, to tow an oil rig from lousiana to Italy. During the towing, the rig was damaged and was towed to Tampa, Florida (at the respondent’s request), where the United States corporation filed suit. The German corporation, however, asked the district court to enforce the forum-selection clause that was in their contract, providing for the litigation of any dispute to have jurisdiction in the High Court of Justice in London.

Facts that the court relied on in reaching its decision:

1. Enforcement of the forum-selection clause - Forum selection clauses have always not been apreciated by American courts because such clauses were contrary to public policy.

2. The parties made a contract which provided a neutral forum for the resolution of any disputes. The languaje of the clause was clearly mandatory and all-encompassing.

3. The rig could foreseeably have been damaged at any time and place during the course of the towage, so, in such case, suit could have been maintained in any jurisdiction where the acciedent occurred.

4. Unterweser did not sufficently...