Please record your special examination number in the upper right-hand corner of this page and return these examination questions with your blue books.

This is a three-hour examination. There are three questions. When calculating the final grade, I will give each answer equal weight (i.e., 33 1/3% of the final grade).

This is an open-book examination. During the examination you may consult any written materials except materials checked out of the reserve section of the law library.

Read each question carefully and follow the directions. Think before you write. Organize your answer and emphasize those points you think are most significant. If you find an ambiguity or if you need more facts, make reasonable assumptions and state these clearly in your answer. Be concise. Be clear. Good luck!

Contec, a Honduran corporation, purchased a specially-equipped Ford diesel truck from ABC Inc., a Texas corporation. The manager of Contec contacted a freight forwarder, Yellow Rose Co., to arrange transportation of the truck from Galveston to Honduras. An employee of Yellow Rose contracted with Land-Sea Service, Inc. to ship the truck. The Yellow Rose employee completed the bill of lading on a form provided by Land-Sea. The bill of lading does not indicate whether the cargo is to be stowed on deck or below deck.

Land-Sea promptly had Texas Terminal, a stevedoring firm, load the truck on the M/V GALVESTON BAY, a vessel chartered by Land-Sea under a time charter from San Miguel, the owner. The truck was stowed on the deck, where it was placed in an open container that was lashed to the deck with chains.

On the voyage to Honduras the M/S GALVESTON BAY ran into severe weather. Several closed containers on the deck broke free of their lashings and fell on top of the truck. When the truck was subsequently unloaded at the Honduran port, surveyors declared it a total loss.

Contec consults you about what remedies it might have. Advise it.

Steve West was employed by Southern Shipyards for approximately 20 years. At the time of his accident, West was working as a mechanic. His duties included repairing land-based locomotive cranes, stationary cranes, and yard equipment; cutting grass; working in the compressor room; and maintaining Southern's dry dock. West also worked occasionally as a substitute deck hand aboard the derrick barge (D/B BAYOU) owned by Southern and most often used in salvage operations. West claims to have worked 23% of his time on the D/B BAYOU. West was injured in April 1993 while substituting for a regular crewman as a deck hand on the D/B BAYOU on a one-day salvage job on the Mississippi River.

West consults you about what remedies he might have against Southern. Advise him.

Comment, using examples, on the content of the following quotation:

"State law has played an insignificant role in the development of U.S. admiralty and maritime law."