Georgetown University Law Center Scholarship @ GEORGETOWN LAW 2014 Inside the Blackwall Box: Explaining U.S. Marine Salvage Awards Joshua C. Teitelbaum Georgetown University Law Center,
[email protected] Georgetown Business, Economics and Regulatory Law Research Paper No. 12-017 This paper can be downloaded free of charge from: https://scholarship.law.georgetown.edu/facpub/960 http://ssrn.com/abstract=2060944 22 Sup. Ct. Econ. Rev. 55-121 (2014) This open-access article is brought to you by the Georgetown Law Library. Posted with permission of the author. Follow this and additional works at: https://scholarship.law.georgetown.edu/facpub Part of the Admiralty Commons, Law and Economics Commons, and the Law of the Sea Commons Inside the Blackwall Box: Explaining U.S. Marine Salvage Awards Joshua C. Teitelbaum* Under U.S. maritime law, a salvor of imperiled maritime property on navigable waters is entitled to a monetary award from the owner. When the salvage service is rendered volun- tarily in the absence of a contract, the court determines the salvage award according to six factors enumerated by the Supreme Court in The Blackwall, 77 US (10 Wall) 1 (1869). The law, however, does not specify a precise formula or rule for calculating awards on the basis of the Blackwall factors. How do courts turn their findings on theBlackwall factors into salvage awards? This Article addresses this question by examining the reported decisions of U.S. courts in salvage cases from 1799 to 2007. It employs two statistical meth- ods—fractional polynomial regression and regression tree analysis—to make inferences about the mapping from factors to awards implicit in the salvage cases.