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Maatschaapij v. United Technologies Corp.

UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT


August 24, 1979; As Amended.

KONINKLIJKE LUCHTVAART MAATSCHAAPIJ, N.V. (K.L.M. ROYAL DUTCH AIRLINES), PLAINTIFF-APPELLANT ,
v.
UNITED TECHNOLOGIES CORPORATION, UNITED AIRCRAFT CORPORATION, TAYLOR FORGE DIVISION, ENERGY PRODUCTS GROUP, GULF AND WESTERN INDUSTRIES INC. AND TITANIUM METALS CORPORATION OF AMERICA, DEFENDANTS-APPELLEES ,

Appeal from a judgment of the United States District Court for the Southern District of New York (Hon. Edward Weinfeld, Judge) in favor of appellees. After trial before a magistrate limited to the question of whether appellant sustained damages for loss of use of a DC-8-63 aircraft, grounded for 42 days during the 1973-74 OPEC oil embargo allegedly as a result of an engine explosion, the District Court held that appellant failed to prove damages under several theories. The Court of Appeals held that rental value of the aircraft for the period of idleness, measured by rental actually paid on a long-term lease, less deductions for the costs of use and depreciation was a proper measure of damages, but that findings of the Magistrate rejecting as speculative claims for increased operating costs and lost revenue, on the other hand, were not clearly erroneous. Affirmed in part, reversed in part and remanded for further proceedings.

CELLPADDING=8> UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT

Nos. 78-7553, 627 -- August Term, 1978.

1979.C02.40411 <http://www.versuslaw.com>

August 24, 1979; As Amended.

KONINKLIJKE LUCHTVAART MAATSCHAAPIJ, N.V. (K.L.M. ROYAL DUTCH AIRLINES), PLAINTIFF-APPELLANT ,
v.
UNITED TECHNOLOGIES CORPORATION, UNITED AIRCRAFT CORPORATION, TAYLOR FORGE DIVISION, ENERGY PRODUCTS GROUP, GULF AND WESTERN INDUSTRIES INC. AND TITANIUM METALS CORPORATION OF AMERICA, DEFENDANTS-APPELLEES ,

Appeal from a judgment of the United States District Court for the Southern District of New York (Hon. Edward Weinfeld, Judge) in favor of appellees. After trial before a magistrate limited to the question of whether appellant sustained damages for loss of use of a DC-8-63 aircraft, grounded for 42 days during the 1973-74 OPEC oil embargo allegedly as a result of an engine explosion, the District Court held that appellant failed to prove damages under several theories. The Court of Appeals held that rental value of the aircraft for the period of idleness, measured by rental actually paid on a long-term lease, less deductions for the costs of use and depreciation was a proper measure of damages, but that findings of the Magistrate rejecting as speculative claims for increased operating costs and lost revenue, on the other hand, were not clearly erroneous. Affirmed in part, reversed in part and remanded for further proceedings.

FRANK A. SILANE, New York, N.Y. (George N. Tompkins, Jr., and Condond & Forsyth, New York, N.Y., of counsel), for Plaintiff-Appellant.

BENJAMIN HALLER, New York, N.Y. (Hill, Betts & Nash, New York, N.Y., of counsel), for Defendant-Appellee, United Technologies Corporation.

JOSEPH A. COHEN, New York N.Y. (Alexander, Ash, Schwartz & Cohen, New York, N.Y., of counsel), for Defendant-Appellee, Titanium Metals Corporation of America.

MAURICE L. NOYER, New York, N.Y. (Einar M. Rod and Haight, Gardner, Poor & Havens, New York, N.Y., of counsel), for Defendant-Appellee, Taylor Forge Division, Energy Products Group, Gulf and Western Industries, Inc.

19790824

© 1998 VersusLaw Inc.



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