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Am. Cargo Transp., Inc. v. US, No. 08-35010

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By FindLaw Staff on November 05, 2010 3:39 PM

Action for Violation of Cargo Preference Laws

In Am. Cargo Transp., Inc. v. US, No. 08-35010, an action against the Department of State Agency for International Development, alleging a violation of federal cargo preference laws and requesting injunctive and declaratory relief, as well as damages for unjust enrichment, the court affirmed summary judgment for defendant where 1) claims for injunctive and declaratory relief under 46 C.F.R. section 381.5 were moot because the U.S. adopted plaintiff's position going forward -- that defendant was required to seek Department of Transportation Maritime Administration's concurrence before making a recommendation about the cargo because plaintiff offered to carry a full shipload; and 2) this case did not fall within the exception to sovereign immunity in the Suits in Admiralty Act.

As the court wrote:  "This appeal centers around federal cargo shipping preferences related to the United States government's Food for Peace program. Specifically, we consider whether the government's changed position with respect to the administrative process governing international food aid shipments moots this appeal and whether the government is nonetheless subject to money damages for failing to comply with those requirements."

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