Otto Candies, L.L.C. v. Nippon Kaiji Kyokai Corporation
Court of Appeals for the Fifth Circuit
1Opinion of the Court
EDITH H. JONES, Circuit Judge:
Appellant Nippon Kaiji Kyokai Corporation (“NKK”) appeals from the judgment in a negligent misrepresentation case based on statements NKK made in a classification survey of the MTV SPEEDER that was a prerequisite to the vessel’s sale. We hold that general maritime law cautiously recognizes the tort of negligent misrepresentation as applied to classification societies and that on the specific facts presented in this case, NKK owed a legal duty to Otto Candies. Finding no error in the district court’s judgment, we affirm.
BACKGROUND
The SPEEDER is a high speed,…
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