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America Discovery Group vs. Atlantic Mutual Insurance Company,? the U.S. Fourth Circuit Court of Appeals added a seventh factor to be considered by courts within that Circuit (which includes the federal trial court in Norfolk hearing the Titanic salvage case): ?the degree to which the salvors have worked to protect the historical and archeological value of the wreck and the items salved.? Judge Smith of federal district court in Norfolk applied the factors from the court decisions noted above in deciding RMST?s salvage award. Preliminarily, in deciding whether RMST was even entitled to a salvage award, the court found, applying the law noted above from The Sabine, ?there can be little doubt that the Titanic, which now lies 12,500 feet below the surface, has faced, and continues to face, marine peril.? She further ruled RMST?s salvage efforts were voluntary; that RMST owed no contractual duty to perform the salvage. Finally, as to the third factor bearing on entitlement to any salvage award, the court found ?RMST?s efforts have been successful in retrieving thousands of artifacts from the wreck site.? Next, the court addressed the seven factors described above which bear on the amount of the salvage award due RMST. CONCLUSION : AUCTION OF ARTIFACTS CANCELLED, THEY REMAIN ON PUBLIC DISPLAY In April 2012, RMST had planned to auction the artifacts from the Titanic in a single lot. But the auction was cancelled because RMST was in discussions with multiple parties for the purchase of the entire collection. Steve Sellers, a representative of RMST?s parent, was quoted in January of this year, ?It?s not about money so much as it is about turning the ownership over to someone better equipped for stewardship of these artifacts.? Portions of the Titanic artifacts were on display at The Henry Ford Museum in Dearborn, MI, through September 30, 2012. Regardless of where the Titanic artifacts collection ultimately comes to rest, though, Judge Smith?s salvage decision, which preserves these artifacts together as a collection, for generations to publicly view and study, represents a milestone in, and a positive impact on, the evolving law of salvage. Blackwall factor #1: ?The amount of time, money, and energy that RMST has expended since 1993 represents an enormous invest- ment for the salvors...In expedition costs alone, RMST has spent $9,049,000?.When considered in conjunction with its efforts co nserving and exhibiting the artifacts, RMST has devoted well over 500,000 hours of labor to the salvage of the Titanic.? Blackwall factor #2: ?The Titanic lies two and a half miles below the surface of the North Atlantic. Without question, recovering arti- facts at such a depth requires state of the art equipment and expertise. As of 2007, there were only ve manned submersibles in the world capable of descending to this depth, three of which were employed by RMST?. Because those vessels were designed for purposes of research, not salvage, RMST was required to invent approximately twenty new tools with which to equip the submersibles. Blackwall factor #3: ?The most frequently used vessels include the Nadir, a surface support ship, and the Nautile, a manned submers- ible, which RMST chartered?[a]t the time of these expeditions, the Nadir had an estimated value of $10,000,000, whereas the Nautile was worth approximately $44,000,000?. As RMST did not own this equipment, however, the court views this factor to be less important than the others. This factor?s relevance exists solely in exemplifying the technological demands of salvaging the Titanic wreck site, and to that extent, the factor weighs in RMST?s favor.? Blackwall factor #4: ?[T]he Titanic wreck site lies approximately 400 nautical miles offshore, in an area of the North Atlantic in which the only ?open weather window? occurs in the summer, in the midst of hurricane season?.The dangers on the surface, however, pale in comparison to the dangers faced by the passengers of the manned submersibles diving to the ocean oor. The water pressure at that depth is 6,300 pounds per square inch, meaning that a breach in, or even signi cant damage to, the hull of the submersible would cause the instantaneous death of the entire crew.? Blackwall factor #5: ?According to RMST?s experts?the fair market value of the artifacts is currently over one hundred and ten million dollars?.Although the appraisers determined fair market value by comparing the artifacts to ?other reasonably comparable assemblages of artifacts and collectibles . . . because of the uniqueness of these artifacts, there are no precise comparables.? ?That gure is representative of the invaluable service that RMST has provided in its salvage of the Titanic.? Blackwall factor #6: ?[T]he Titanic artifacts were previously lost on the bottom of the ocean, depriving the public of all social utility in their historic symbolism and cultural beauty. Instead, RMST has recovered those items from a fate of being lost to future ge nerations?such a rescue can be considered ?the ultimate rescue from the ultimate peril.? Moreover, the wreck of the Titanic itself is in a process of bio- deterioration that, in one projection, may lead to the deterioration of the promenade decks by the year 2030, with the decking at all levels continuing to collapse towards the keel as the walls fail. Factor #7: (from Columbus-America Discovery Group vs. Atlantic Mutual Insurance Company): ?RMST has been in possession of some of the artifacts before the court for almost seventeen years. In that time, RMST has been dedicated not only to preserving the condition of the artifacts, but also to exhibiting them to the public in a series of exhibitions around the world.?There is extensive evidence before the court of RMST?s efforts at conservation, education, and exhibition, and thus, the court nds RMST?s efforts to be deserving of a sal vage award that includes recognition of these efforts.? Highlights of Judge Smith?s extensive analysis included: www.marinelink.com MN 31MNOct2012 Layout 18-31.indd 31MNOct2012 Layout 18-31.indd 3110/2/2012 9:47:01 AM10/2/2012 9:47:01 AM
