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A-740-75
Shell Canada Limited (Shell Canadian Tankers (1964) Limited) (Appellant) (Defendant)
v.
Laurentian Pilotage Authority (Respondent) (Plaintiff)
Court of Appeal, Pratte and Le Dain JJ. and Marquis D.J.—Quebec, June 28 and 29, 1977.
Maritime law — Pilotage fees — Two pilots assigned to steer ship — Whether appellant, according to by-laws of pilotage authority, responsible for fees for two pilots or for those of only one pilot — Pilotage Act, S.C. 1970-71-72, c. 52, s. 43 — Quebec Pilotage District General By-law, SOR/57-51, s. 6 as amended by SOR/72-5, s. 1; SOR/72-388, s. 3 as amended by SOR/73-135, s. I — Interpretation Act, R.S.C. 1970, c. I-23, s. 36(/),(g) and (h) — Canada Shipping Act, R.S.C. 1970, c. S-9, ss. 307 and 330.
Appellant is owner of a ship that made several voyages in a compulsory pilotage area under respondent's jurisdiction. During these voyages, the respondent ordered the ship to take aboard not one but two pilots, and subsequently demanded double the pilotage dues set out in the tariff. Appellant main tained it did not owe additional money because the regulations under which the tariffs assessed had been repealed and it paid only half the amount demanded. Respondent instituted pro ceedings to obtain the remainder. The Trial Division allowed this action and held that, according to the by-laws then in effect, respondent was entitled to double the stated dues. The appellant appeals this decision.
Held, the appeal is allowed. The Trial Judge's decision that section 6(1) referred to the new Schedule C as well as the repealed Schedule A was based on section 36 of the Interpreta tion Act. Schedule A of the old by-law was simply repealed, however, and nothing took its place as a schedule to this by-law. The Interpretation Act cannot serve as a basis for dismissing the appellant's claim that section 6(1)•, of the old by-law was rendered ineffective by the amendments made to the new regulations in 1973 and by the revocation at the same time of Schedule A of the old by-law. Since the main purpose of section 6(1) was to impose the obligation of paying the dues set in Schedule A, and not to establish the principle of payment of double pilotage dues, the argument that the section referred to the existing tariff as well as the repealed Schedule A is much less forceful. The reference to Schedule A in section 6(1) was not a redundancy but an essential part of the provision which ceased to have effect when Schedule A ceased to exist.
APPEAL.
COUNSEL:
Jacques A. Laurin for appellant.
Guy P. Major and Michel Bourgeois for
respondent.
SOLICITORS:
McMaster, Minnion, Patch, Hyndman, Legge, Camp & Paterson, Montreal, for appellant.
Guy P. Major, Montreal, for respondent.
The following is the English version of the reasons for judgment delivered orally by
PRATTE J.: Appellant is the owner of a ship which, in 1973, made several voyages in a compul sory pilotage area located in the region that the Pilotage Act, S.C. 1970-71-72, c. 52, places under respondent's jurisdiction. During these voyages respondent required the ship to take on board not one but two pilots and subsequently demanded that appellant pay double the pilotage dues set out in its tariff. Appellant maintained that it did not owe respondent additional money because two pilots rather than one had been assigned to steer its ship, and therefore paid only half the amount demanded. Respondent then instituted proceedings to obtain the remainder. The Trial Division allowed this action and held' that, according to the by-laws then in effect, respondent was entitled to double the stated pilotage dues in cases where two pilots were assigned to a ship. It is this decision that is disputed by appellant.
The pilotage that gave rise to this claim was provided shortly after the Pilotage Act came into force. At that time pilotage was regulated by the new legislation and also by by-laws. Some of these by-laws had been adopted under the new Act (sections 14 and 22) by the Pilotage Authorities established by that Act; others had been adopted under the Canada Shipping Act, R.S.C. 1970, c. S-9, before the new Act came into force. Accord ing to section 43 of the new Act, this latter group were to remain in effect for two years unless revoked by the new Pilotage Authorities.
1 [1976] 2 F.C. 102.
The pilotage dues claimed by respondent were incurred in the area previously known as the Quebec Pilotage District during April, May, June and July 1973. In order to find out which by-laws apply in this case, and also in order to be able to understand the problem raised by the case, it is necessary to know what by-laws applied before the Pilotage Act came into force on February 1, 1972 and what amendments were subsequently made to them.
When the Pilotage Act came into force, pilotage in the Quebec District was governed by a general by-law adopted under the Canada Shipping Act. This by-law, entitled the "Quebec Pilotage District General By-law", contained a great many adminis trative provisions regarding pilotage and in addi tion section 6(1) imposed the obligation of paying pilotage dues. This section read as follows:
6. (1) The pilotage dues as set forth in Schedule A shall be paid for the services of each pilot used in respect of each vessel unless exempted by the Act or by this By-law.
Schedule A of the by-law, to which this section refers, contains the tariff of pilotage dues.
After the Pilotage Act came into force, these by-laws remained in effect under the transitional provisions contained in section 43.
On September 18, 1972, respondent adopted tariff regulations. These regulations, however, did not concern the Quebec Pilotage District but only the rest of the area under respondent's jurisdiction. I mention them because on March 8, 1973 they were amended to include the area we are interest ed in. On that date the regulations were amended by the addition of Schedule C, containing a new tariff of pilotage charges for the Quebec District, and of subsection 3(3) requiring payment of the charges set out in Schedule C. This subsection was not worded in the same way as section 6(1) of the old by-law, but read as follows:
3...
(3) The charges set forth in Schedule C are prescribed as the
pilotage charges to be paid to the Authority for pilotage on and after the date of the coming into force of this subsection.
On the day these amendments were adopted respondent, acting under section 43(6) of the Act, revoked Schedule A of the old "Quebec Pilotage District General By-law". 2 This by-law, however, still contained section 6(1), cited above, which thenceforth referred to a Schedule A that no longer existed.
The Trial Judge held that these provisions of the by-law obliged appellant, whose ship had been steered by two pilots, to pay double the pilotage charges set out in the tariff contained in Schedule C of the new regulations. In his view, since "sec- tion 6(1) authorizing payment of the second pilot was never repealed, it remains in effect and now refers to the new Schedule C." The Judge appears to have based this conclusion on section 36(f),(g) and (h) of the Interpretation Act, R.S.C. 1970, c. I-23. I do not find this argument convincing. Sec tion 36 applies "Where an enactment ... is repealed and another enactment ... is substituted therefor." Contrary to what has been said by counsel for the respondent, nothing of the kind took place in this case. Schedule A of the old by-law was simply repealed, and nothing took its place as a schedule to this by-law. Therefore, the Interpretation Act cannot serve as a basis for dismissing appellant's claim that section 6(1) of the old by-law was rendered ineffective by the amendments made to the new regulations in 1973, and by the revocation at the same time of Schedule A of the old by-law.
The principal argument put forward by counsel for the respondent was different. He maintained that the circumstances surrounding the adoption and amendment of the by-laws I have mentioned (in particular, the fact that section 6(1) of the old by-law was not repealed) revealed an intention of retaining the principle of what he called "payment of double pilotage dues" established by section 6(1). From this he concluded that the regulations and by-laws must be interpreted in such a way as
2 Appellant has not disputed the validity of this revocation.
to give effect to this principle, or in other words, that section 6(1) of the old by-law must be inter preted as referring not only to Schedule A but rather to the existing tariff. This argument would have a great deal of force if the purpose of section 6(1) had been solely or mainly to state the rule of payment of double pilotage dues. It might then have been possible to interpret the reference to Schedule A in that section as a simple redundancy. In fact, however, the main purpose, of section 6(1) was not to establish the principle of payment of double pilotage dues. Its main purpose was to impose the obligation of paying the dues set by Schedule A. The relationship between section 6(1) and Schedule A in the old by-law was the same as the relationship between section 3(3) and Schedule C in the new regulations. The reference to Schedule A in section 6(1) was therefore not a redundancy but an essential part of this provision, which consequently ceased to have effect when Schedule A ceased to exist.
Counsel for the respondent advances the subsidi ary argument that, regardless of the old by-law, the obligation to pay double pilotage dues results from the wording of Schedule C of the new regula tions, since in several subsections of that Schedule the word "pilot" is singular rather than plural. I find this argument difficult to understand. Accord ing to section 26(7) of the Interpretation Act, "Words in the singular include the plural...." One must therefore avoid attaching too much importance to the use of the singular in the tariff. In addition, since pilotage is usually provided by a single pilot, it does not seem strange to me that the author of the tariff used the word pilot in the singular rather than the plural when referring to this service.
For these reasons I would allow the appeal, set aside the decision of the Trial Division and dismiss respondent's action with costs for the trial as well as the appeal.
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LE DAIN J. concurred.
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MARQUIS D.J. concurred.
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