Gulf Island-IV, Inc. v. Blue Streak-Gulf Is Ops

BENAVIDES, Circuit Judge:

The appellants, “Gulf Island,” appeal from the district court’s entry of summary judgment based upon res judicata. The appeal involves an attack on the district court’s application of the doctrine of res judicata. We reverse.

I. FACTS AND PROCEDURAL HISTORY

In June 1985, the vessel L/B GULF ISLAND IV capsized in the Gulf of Mexico and suffered severe damage. In October 1985, after the vessel had been repaired, Hurricane Juan overturned it, and the vessel suffered additional damage. According to the parties on appeal, a partnership known as Blue Streak Gulf Island…