Full Volume 19 - Federal Maritime Commission

822
FEDERAL MARITIME COMMISSION
overassessed by tbe New York Shippinll Association for tbe period 1969 1971 Tbe
improper basis of assessment for tbe Puerto Rican carriers resulted in the underassess
ment of that group It necessarily follows since tbe total assessment obligation is fixed
tbat tbe Stales Marine Group was overassessed Tbe fact tbat the Commission did not
in earlier phases of tbe proceediRll require anacijustment of the tonnase manhour basis
upon which the Group s carso was assessed as was done with respect to automobiles
newsprint and Puerto Rican trade carlloes does not mean that in implementing tbe
Commission s order requiring acijustments of assessments the breakbulkcarriers cannot
be compensated for overassessments caused by tbe underassessments on the Puerto
Rican carriers Agreement No T 2336New York Shipping Association Cooperative
Working ArraRllement 248 2S3
Incomputinll any liability to the States MlUine Group by the New York Sbipping
Association for overassessments for the benefits for lonllshoremen for tbe 19691971
period account must be taken of any valid claims that reduce tlte size of tbe liability
allainst which tbe Group s claims are to be oftset The present amount of sucb total
liability ie tbe underassessment of tbe Puerto Rican carriers for tbe 19691971 period
has by virtue of Commission approved settlement been reduced by credits by NYSA
to the automobile interests As thus reduced tbe amount of overassessments is
689 S99 Id 2S32S4
The States Marine Group s claim for overassessment by the New York Sbippinll
Association for tbe benefit for lonllshoremen for tlje period 19691971 has not been
satisfied by virtue of the Group s assessment treatment durinll tbe 1971 1974 and 1974
1977 assessment periods Once liability bas been established it cannot be removed by
contentions that since assessments are raised continuously over successive periods all
periods must be considered in determiniRll assessmentJiabilities Id 2S4
Since payments are made for lonllshoremen benefit funds on a continuing basis over
many assessment periods it is arauab1e that liability to certain carriers for overpayment
for earlier periods could be discharlled by assessment reductions for later periods Such
is not the case with respect to overpayments made by the States Marine Group for tbe
period 19691971 vs alleged compensation because of increased payments by the Puerto
Rican carriersfor the 1971 1974 assessment period The arllumentthat such is tbe case
rests on many assumptiolls noneof which has been or can be proved in tbe context of
the present proceeding The weakest link in the argument is tlte assumption as to what
would have happened witb respect totbe assessment for cargo in the Puerto Rican trade
if the assessment formula for tbe period 1971 1974 had been litigated Tbe assessment
formulas for Puerto Rican cargo for tbe 1971 1974 and 19741977 were periods approved
in the context of settlements Considerations underlying settlements do not necessarily
coincide with the process of making findings on a record in a litigated proceeding Since
it cannot be sbown that the Puerto Rican carriers were overassessed for tbe 1971 1974
periods it follows ipso facto that the States Marine Group cannot be shown to have
been underassessed by virtue of such overassessment Id 2SS2S8
The States Marine Group did not allree notto pursue and did notwaive its claim
against tbe New York Shipping Association for overassessments for the benefit of
lonllshoremen for the 19691971 period NYSA remains liable for the satisfaction of tbe
claim NYSA is itself an entity subject to the Shipping Act 1916 and bears the
responsibility to make such acijustments as are necessary to implement Commission
approval of the assessment agreement Id 260
Claim of the States Marine Group for interest as part of the outstanding liability of tbe
New York Sbipping Association for assessment overpayments by the Group for the
period 19691971 is denied Whether to grant interest is a matter for Commission
discretion and neitber equity nor promotion of effective regulation requires such grant