Summary of supplemental admiralty rule b attachment
1 / 11

Summary of Supplemental Admiralty Rule B Attachment - PowerPoint PPT Presentation

  • Uploaded on

Summary of Supplemental Admiralty Rule B Attachment. Prepared by: Freehill Hogan & Mahar, LLP. Text of Rule B .

I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
Download Presentation

PowerPoint Slideshow about 'Summary of Supplemental Admiralty Rule B Attachment' - emily

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.

- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
Summary of supplemental admiralty rule b attachment

Summary of Supplemental Admiralty Rule B Attachment

Prepared by:

Freehill Hogan & Mahar, LLP

Text of rule b
Text of Rule B

If a defendant isnotfoundwithinthe district …a verifiedcomplaint may contain a prayer for process to attach the defendant’s tangibleorintangible personal property - up to the amount sued for - …The courtmustreview the complaint and affidavit, and if the conditions of this Rule B appear to exist, enteranorder so stating and authorizing process of attachment.

Requirements for rule b
Requirements for Rule B

  • Defendant Not Found Within the District

  • Maritime Claim

  • Property Within the District

  • No Bar to the Attachment

Defendant not found in district
Defendant Not Found in District

  • Depends on answer to two questions

    • Does the defendant do enough business within the district to be subject to the court’s in personam jurisdiction?

    • Does the defendant have an agent for service of process in the district?

Must have a maritime claim
Must Have a Maritime Claim

  • Must have a valid maritime claim against the defendant(s)

    • Attorney’s fees & interest

  • Claims for indemnity / claims not ripe: may not support an attachment

  • Claims of alter ego status

  • Claims of paying agent status

Property within the district
Property Within the District

  • Broad language – “tangible or intangible”

  • Electronic Fund Transfers

    • Why Southern District of New York?

    • State law – Winter Storm & Aqua Stoli cases

    • Transfers to or from the defendant

    • Still a hot issue

  • Letters of Credit

No statutory bar
No Statutory Bar

  • Must ensure there is no bar to pre-judgment attachment of defendant’s assets

    • Example: Foreign Sovereign Immunities Act

    • Contract precluding ancillary relief

    • Foreign litigation or arbitration

No need requirement
No Need Requirement

  • Some judges had held that there was a “need” requirement to Rule B

  • Overruled by Aqua Stoli case in 2006

Steps for obtaining serving rule b order
Steps for Obtaining & Serving Rule B Order

  • Verified complaint & affidavit

  • Ex parte relief / without notice to defendant

  • Prima facie showing

  • Daily service on banks

  • Notice to defendant after property restrained

Post attachment hearing rule e 4 f
Post-Attachment Hearing(Rule E(4)(f))

  • Defendant entitled to prompt hearing (within 3 days)

  • Plaintiff bears burden of proof

  • Prima facie showing / reasonable grounds / probable cause

  • Review of extraneous evidence

  • Grounds for challenging

Counter security

  • Admiralty Rule E(2): for limited costs (e.g. bond premium, bank charges)

  • Admiralty Rule E(7): for counterclaim arising out of the same transaction

  • Court has discretion

  • Failure to post after court order