Randall Hale worked as a seaman on an Exxon Shipping Co. oil tanker for eight ye
ID: 400327 • Letter: R
Question
Randall Hale worked as a seaman on an Exxon Shipping Co. oil tanker for eight years without incident. One night, he boarded the ship for duty while intoxicated, in violation of company policy. This policy also allowed Exxon to discharge employees who were intoxicated and thus unfit for work. Exxon discharged Hale. Under a contract with Hale's union, the discharge was submitted to arbitration. The arbitrators ordered Exxon to reinstate Hale on an oil tanker. Exxon filed a suit against the union, challenging the award as contrary to public policy, which opposes having intoxicated persons operate seagoing vessels. Can a court set aside an arbitration award on the ground that the award violates public policy? Should the court set aside the case? ExplainExplanation / Answer
Answer 1 :
a. As a seaman Randall Hale worked on an Exxon Shipping Co. oil tanker without any incident for eight years.
b. Company discharged Hale for violating company policy.
c. Exxon filed a suit against the union, as arbitrators ordered Exxon to reinstate Hale on an oil tanker.
Answer 2 :
Rule of law that applies to this case is :
a. Maritime laws : Law regarding Safety at life at sea.
Answer 3 :
As Randall Hale violated the company policy, Exxon can discharge the employment contract as it is against the law.
Answer 4 :
a. In such cases, court can set aside an arbitration award on the ground that award violates public policy of having a intoxicated person on vessel.
b. Because it compromises security of the vessel which may result in serious damage. Though arbitrators have ordered to reinstate Hale on an oil tanker. Exxon have full rights to oppose the decision by filing case in the court.
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