Murray v. Schooner Charming Betsy
Facts
The vessel was American built and originally owned by citizens of the United States, but at St. Thomas it was sold bona fide to Jared Shattuck, who traded as a Danish subject, had taken an oath of allegiance to Denmark, and held property and family ties there. After Shattuck renamed the vessel the Charming Betsy and loaded it with American produce, it sailed as a Danish vessel for Guadeloupe, was captured by a French privateer, and then recaptured by Captain Murray of the Constellation. Believing Shattuck to be an American citizen violating the non-intercourse law, or the sale to be a cover for evasion, Murray sold the cargo in Martinique and brought the vessel into Philadelphia, where it was libelled. The Danish consul claimed vessel and cargo as the bona fide property of a Danish subject.
Issue
Whether the Charming Betsy and its cargo were forfeitable under the 1800 non-intercourse act after a bona fide sale to Shattuck; whether the recaptors were entitled to salvage; and whether probable cause existed to justify sending the vessel in for adjudication so as to excuse damages.
Rule
A federal statute should not be construed to violate the law of nations if any other possible construction remains. Under the non-intercourse act, forfeiture applies only when the vessel is within the statutory description at the time of the act producing forfeiture, and a person who has made himself the subject of a foreign power is not within the act's description as a person under the protection of the United States while within that sovereign's territory. Salvage requires circumstances like those in Amelia, including that the vessel be in a condition to annoy American commerce or be in imminent hazard of condemnation, and damages for wrongful seizure should be limited to actual loss rather than vindictive or speculative amounts.
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If the statute can reasonably be read either to reach all formerly American-owned vessels or only vessels falling within the statutory description at the time of the prohibited voyage, which interpretation should a court adopt?