“An obvious risk posed by the decision… is that it lays the foundation for novel workarounds to longstanding equitable principles,” Sikousis Legacy wrote in its petition, adding that such legal maneuvers could render maritime attachment legally ineffective.
The Ninth Circuit had found that Sikousis Legacy failed to establish probable cause to hold the Berica’s owner or other entities in the Bergshav Group liable for Bepalo’s debts. The panel upheld U.S. District Judge Charles R. Breyer’s conclusion that there was insufficient evidence to show the Bergshav Group dominated or controlled Bepalo in a way that justified piercing the corporate veil.
Justices $10M Tanker Seizure Suit : Background of the Dispute
Sikousis Legacy’s claims arose after Bepalo chartered its liquid petroleum gas carriers to transport gas but allegedly failed to pay the full charter fees amid financial troubles exacerbated by the COVID-19 pandemic. Bepalo sought a six-month reduction in daily hire rates in May 2020, which was denied by Sikousis Legacy. The following month, the Bergshav Group initiated a restructuring in Cyprus.
