Sommer Corporation v. United Fruit Company, Defendant-Third Party v. Panama Canal Company, Third Party

Sommer Corporation sued United Fruit Company to recover damages to cargo shipped aboard United’s vessel, the HAR BOKER. Damage to at least one piece of cargo occurred during loading operations by stevedores and longshoremen in the employ of the Panama Canal Company. United tendered defense of Sommer’s suit to the Canal Company but this offer was rejected. United then impleded the company as third party defendant.

The United States District Court for the Canal Zone ruled that under the Carriage of Goods at Sea Act United’s liability was limited to $500.00, and further held that United was…