WOODEN SHIP CASE

Evening Post, Volume CVII, Issue 10, 12 January 1924, Page 7

WOODEN SHIP CASE

INTRICATE LITIGATION.

(BNITBD PRBSS ASSOCIATION. COPIRIGHT.)

(AUSTRALIAN-NEW ZEALAND CABLE ASSOCIATION.)

NEW YORK, 10th January. Ihe trustee in bankruptcy of the Patterson and Macdonald Shipbuilding Company has filed a petition in the Supreme Court asking the tribunal to grant him a writ of, certiorari in the cross appeal in the wooden ship contract case. It will be recalled that the company's representatives, after securing an award from an arbitration board of 313,000 dollars, attempted to obtain a Court order making this award stand enforceable as a judgment, of. the District Court of California. The District Court of Appeals declined to grant such an order, and the trustee is now appealing to the Supreme Court to rehear the case. The Commonwealth's attorneys are preparing a formal answer, objecting to such rehearing, and it is expected the Supreme Court will announce the decision on 28th January, or shortly after. Observers who have carefully studied this series of intricate lawsuits are inclined to believe that the Supreme Court will probably grant the company a writ of certiorari, and will combifce the issue with the Commonwealth's writ of certiorari, giving the caeo and all its angles a complete rehearing for ultimate decision on. the company's claims and the Commonwealth's counter-claims

The Patterson and Macdonald Shipbuilding Company, which was building wooden ships for the Commonwealth, became bankrupt before completing contracts, and a special master in bankruptcy was appointed. The Commonwealth advanced certain claims against the company for ships not completed and undertakings not fulfilled, and the company presented opposing claims ■ against the Commonwealth. These conflicting claims were presented to a, Board of Arbitrators, who decided that the Commonwealth's just claims were approximately 9,375,000 dollars, and the company's 9,688,000 dollars. The Commonwealth brought an action sei.ung to set aside the arbitrators' award, but the Court refused the Commonwealth's petition. The Common^ wealth then appealed to a higher Court, but again without success. The Commonwealth finally appealed to the Supreme Court for a writ of certiorari, maintaining" that as a sovereign friendly Power Austrajia was justified in asking for a rehearing of tha entire case. The Supreme Court acceded. ■