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Borkowski v. F/V Madison Kate

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Before Lynch, Chief Judge, Lipez and Howard, Circuit Judges.

The appellants in this maritime matter are three commercial fishermen who served aboard the F/V Madison Kate on a fishing voyage from Stonington, Connecticut in March 2006. Contrary to the requirements of federal maritime law, there was no written agreement memorializing the terms of appellants’ employment. Upon return to port, each of the fishermen and the other crew members was paid a portion of the boat’s net proceeds, consisting of the value of the trip’s catch, less various expenses and the owner’s share.*fn1 Their payments were made pursuant to what is known in the fishing industry as the “lay-share system,” under which the net proceeds are divided up into “shares” that are then awarded, in whole or part, to crew members depending on, among other things, their experience and performance. Appellants Wood and Borkowski each received a full share; appellant Ayres received a three-quarter share.*fn2 The fishermen sued, claiming violations of federal maritime law and state wage laws. After an abbreviated bench trial, the district court awarded Ayres an additional quarter-share; Wood and Borkowski received no damage award. The fishermen claim on appeal that the district court committed legal error in limiting their damages. Although we employ somewhat different reasoning than did the district court, we affirm the judgment.

I.

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