By Cherrie Anne E. Villahermosa
Variety News Staff

AN international shipping company sued by a Philippine insurance firm for damaged cargo (spoiled foodstuffs) has asked the federal court to dismiss the complaint.
Mariana Express Lines Limited and CTSI Logistics Inc., through attorney David Ledger, filed an answer to the complaint of Paramount Life and General Insurance Corp. in federal court on Thursday.
Marianas Express, which operates in the CNMI through its local agent CTSI Logistics Inc., also seeks the dismissal of the complaint.
Marianas Express at the same time filed a notice of removal of the action from the Superior Court to the federal court.
Ledger stated in his notice of removal that the lawsuit filed in Superior Court on March 2 is now pending and they were served with the complaint and summons on March 12.
Ledger added that they have not yet answered the summons and complaint in Superior Court.
According to Ledger, the lawsuit is proper in the federal court for it has both admiralty jurisdiction and federal question jurisdiction under 28 USC 1331, in particular the Harter Act of 1893, 46 USC App. Sections 1300-1315 which control the rights and liabilities of the parties when a Bill of Lading was issued for the cargo allegedly damaged.
Marianas Express is engaged in the business of the carriage of goods by sea and CTSI is engaged in the business of shipping agent.
The defendants admitted issuing a bill of lading, that the container of food items arrived on Saipan on April 30, 2005, that the food items were removed from the container and destroyed, but denied all allegations of negligence.
According to the defendants: the complaint fails to state a claim upon which relief may be granted; the plaintiff lacks standing to bring the action against the defendants; the alleged damage was either caused or contributed to by negligence and comparative fault of persons other than the defendants thus barring or reducing the plaintiffs’ claim and damages accordingly.
The defendants stated that the “alleged damage was either caused by third persons over whom the defendants have no control or right of control; the damage, if any, was caused solely by the negligent superseding acts of persons other than the defendants (as well as) their failure to mitigate the alleged damage and failure to take reasonable steps to avoid the consequences of the alleged incident.”
The defendants stated that the plaintiff has failed to exhaust exclusive contractual remedies.
They stated that the plaintiff is not entitled to a trial by jury and request the court to dismiss the action.
The defendants want an award of attorney’s fees and cost of defense as well as additional relief as may be appropriate in the circumstances.
The plaintiff’s complaint stated that Mariana Express issued a bill of lading to Yaong Corp on April 17, 2005, purporting to receive into its custody and control a container loaded with various foodstuffs including dried and frozen seafood.
The container was to be shipped under the care of Mariana Express from Manila, the Philippines, to Saipan.
The complaint stated that on April 30, 2005, the container arrived at the port of Saipan and upon opening and inspection of the container by CNMI Custom agents, it was discovered that the container had not been refrigerated for the duration of the journey and the contents of the container had thawed.
The foodstuffs in the container were spoiled and no longer fit for human consumption. The entire content of the container was disposed of at the Marpi landfill.
The plaintiff, through attorney George Hasselback, filed a claim of negligence against the defendants, seeking general, special and statutory damages in an amount to be proven at trial.
The plaintiff is also seeking pre-judgment interest, attorney’s fees and cost of suit..