29 F.

3d 67
63 USLW 2044

Spyridon KOLLIAS, Petitioner,

v.
D & G MARINE MAINTENANCE, State Insurance Fund, and
Director, Office of Workers' Compensation
Programs, United States Department of
Labor, Respondents.
B & A MARINE CO. and State Insurance Fund, Petitioners,
v.
Eleftherios GOUVATSOS and Director, Office of Workers'
Compensation Programs, United States Department of
Labor, Respondents.
Nos. 567, 741, Dockets 89-4114, 92-4109.

United States Court of Appeals,

Second Circuit.
Argued Oct. 21, 1993.
Decided July 6, 1994.

Bernard Rolnick, New York City (Jane R. Goldberg, Philadelphia, PA, of

counsel), for Spyridon Kollias.
Joshua T. Gillelan, II, Office of the Sol., U.S. Dept. of Labor, Washington,
DC (Thomas S. Williamson, Jr., Sol. of Labor, Carol A. De Deo,
Associate Sol., U.S. Dept. of Labor, of counsel), for Director, OWCP.
Richard A. Cooper, New York City (Amy Levitt, Martin Krutzel, Fischer
Brothers, Bernard Rolnick, New York City, Jane R. Goldberg,
Philadelphia, PA, of counsel), for D & G Marine Maintenance, State Ins.
Fund and B & A Marine Co.
Before: MESKILL, PIERCE and MAHONEY, Circuit Judges.
MESKILL, Circuit Judge:

These petitions for review require us to determine whether the Longshore and
Harbor Workers' Compensation Act (LHWCA), 33 U.S.C. Secs. 901-950,
applies to injuries sustained on the high seas. In Docket No. 89-4114 (Kollias
case), petitioner Spyridon Kollias petitions for review of a final order of the
Benefits Review Board (Board) denying his claim for LHWCA benefits. The
Board based its denial of benefits on the ground that Kollias' injury had
occurred on the high seas, which is not a statutorily covered situs as defined in
the coverage provision of the LHWCA, 33 U.S.C. Sec. 903(a) (section 3(a)). In
Docket No. 92-4109 (Gouvatsos case), petitioner B & A Marine Co. (B & A
Marine) petitions for review of a final order of the Board granting LHWCA
benefits to B & A Marine's employee, respondent Eleftherios Gouvatsos. The
Board granted Gouvatsos' claim for benefits on the ground that Gouvatsos'
injury, which had occurred on the high seas, was covered by the LHWCA
because the phrase "navigable waters of the United States" in section 3(a)
includes the high seas. We grant Kollias' petition and reverse the Board's denial
of benefits; we deny the petition in the Gouvatsos case and affirm the Board.

BACKGROUND
Kollias Case
2

Kollias, an employee of respondent D & G Marine Maintenance (D & G

Marine), was injured while working as a repairman on the T.T.
WILLIAMSBURGH (WILLIAMSBURGH). Kollias' injury occurred during a
voyage from Galveston, Texas, to Long Beach, California. At the time of the
injury, the WILLIAMSBURGH was on the high seas, which have been defined
as those waters beyond the territorial waters of the United States, which extend
three miles from the coast. See Moragne v. States Marine Lines, 398 U.S. 375,
397-98, 90 S.Ct. 1772, 1786, 26 L.Ed.2d 339 (1970); United States v. Hilton,
619 F.2d 127, 131 n. 1 (1st Cir.), cert. denied, 449 U.S. 887, 101 S.Ct. 243, 66
L.Ed.2d 113 (1980); Cove Tankers Corp. v. United Ship Repair, 528 F.Supp.
101, 105 (S.D.N.Y.1981) (Cove Tankers I ), aff'd on other grounds, 683 F.2d
38 (2d Cir.1982) (Cove Tankers II ). After Kollias' injury, the
WILLIAMSBURGH made an unscheduled stop in Curacao and traveled
through the territorial waters of other foreign nations on an unscheduled basis.

Kollias sought compensation for his injury from D & G Marine pursuant to
section 4(a) of the LHWCA, which provides that "[e]very employer shall be
liable for and shall secure the payment to his employees of the compensation
payable under [the LHWCA]." 33 U.S.C. Sec. 904(a). D & G Marine's
compensation insurer, State Insurance Fund (Fund), was also a party to the
action.

After a hearing, an administrative law judge (ALJ) of the United States

Department of Labor denied Kollias' claim on the ground that Kollias' injury
had not occurred on a covered situs, which is defined in section 3(a) as "upon
the navigable waters of the United States (including any adjoining pier, wharf,
dry dock, terminal, building way, marine railway, or other adjoining area
customarily used by an employer in loading, unloading, repairing, dismantling,
or building a vessel)." The parties did not dispute that Kollias met the
LHWCA's status requirement, that is, that he satisfied the statutory definition of
"employee." 33 U.S.C. Sec. 902(3) (section 2(3)). Although the ALJ made no
factual findings with respect to Kollias' citizenship, the WILLIAMSBURGH's
country of registry, or the location of D & G Marine, the parties appear to agree
that Kollias is a New York resident, D & G Marine is based in New York, and
the WILLIAMSBURGH is an American flag ship. We will assume, without
deciding, that these representations are accurate.

Kollias appealed to the Board, which affirmed. In its decision, the Board noted
that Kollias had received state workers' compensation benefits paid voluntarily
by D & G Marine and that the parties had agreed that state workers'
compensation coverage would be available to Kollias if he were not covered
under the LHWCA.

Kollias then filed a petition for review in this Court. This Court received full
briefing and heard oral argument on May 31, 1990. The Court then remanded
the case to the Board for further factual findings and retained jurisdiction. 909
F.2d 1473. The questions put to the Board were: (1) was the
WILLIAMSBURGH's stop in Curacao unscheduled, and (2) did the
WILLIAMSBURGH travel or was it scheduled to travel through other foreign
territorial waters. After the Board provided answers to these questions, the
parties submitted supplemental briefs relating to the new findings and presented
further oral argument on October 21, 1993. The Director of the Office of
Workers' Compensation Programs of the Department of Labor (Director), who
is charged by the Secretary of Labor with administering the LHWCA, has
participated in the Kollias case in this Court as a respondent and supports
Kollias' position.Gouvatsos Case

Gouvatsos, an employee of B & A Marine, a New York ship repair company,

was injured while working as a repairman and supervisor on the AMOCO
CREMONA, a ship of Bermudian registry. At the time of Gouvatsos' injury, the
AMOCO CREMONA was on the high seas during a return voyage from
Bagaritos, Mexico, to Galveston Roads, Texas. The record does not reveal
Gouvatsos' citizenship or residence, but the Director represents that Gouvatsos
is American. For purposes of this case, we assume that this representation is

accurate.
8

Gouvatsos sought compensation for his injury from B & A Marine pursuant to
the LHWCA. The Fund, B & A Marine's compensation insurer, was an
additional party to the action. The parties agreed that the sole issue presented
by Gouvatsos' claim was whether his injury had occurred on a statutorily
covered situs for purposes of section 3(a) of the LHWCA. After receiving
written submissions, an ALJ of the Department of Labor granted Gouvatsos'
claim for benefits. B & A Marine and the Fund appealed to the Board, which
affirmed. B & A Marine and the Fund then petitioned for review in this Court.
The Director has participated in the case in this Court as a respondent and
supports Gouvatsos' position.

Issues on Appeal
9

The Director and the claimants generally contend that the LHWCA applies to
the high seas and, therefore, provides a remedy for the claimants' injuries. More
specifically, they assert that the presumption against extraterritorial application
of statutes does not bar the application of the LHWCA to the high seas in these
cases.1 In addition, the Director argues that its construction of the LHWCA is
entitled to deference. The employers and the Fund (collectively "the
employers") contend, on the other hand, that the presumption against
extraterritoriality precludes the application of the LHWCA to the high seas and
that the Court should not defer to the Director's interpretation of the
jurisdictional scope of the statute.

DISCUSSION
I. Presumption Against Extraterritoriality
10

The claimants' and Director's contentions that the claimants are entitled to relief
under the LHWCA rest on the premise that the LHWCA may be applied
extraterritorially, that is, beyond the territorial jurisdiction of the United States.
According to recent Supreme Court pronouncements, however, we must
presume that Congress intended its enactments to apply only within the
territorial jurisdiction of the United States, unless the legislation reflects a
contrary intent. See Smith v. United States, --- U.S. ----, ----, 113 S.Ct. 1178,
1181, 122 L.Ed.2d 548 (1993); EEOC v. Arabian Amer. Oil Co., 499 U.S. 244,
248, 111 S.Ct. 1227, 1230, 113 L.Ed.2d 274 (1991) (Aramco ). The
presumption against extraterritorial application of statutes embodies several
important policies. For example, it "protect[s] against unintended clashes
between our laws and those of other nations which could result in international

discord." Aramco, 499 U.S. at 248, 111 S.Ct. at 1230. Moreover, the
presumption recognizes that Congress "is primarily concerned with domestic
conditions." Foley Bros. v. Filardo, 336 U.S. 281, 285, 69 S.Ct. 575, 577, 93
L.Ed. 680 (1949). Accordingly, "[w]e assume that Congress legislates against
the backdrop of the presumption against extraterritoriality." Aramco, 499 U.S.
at 248, 111 S.Ct. at 1230.
A. Applicability of the Presumption
11

We must begin our analysis by considering whether the presumption against

extraterritoriality applies at all with respect to the LHWCA. The Director and
Kollias assert a host of arguments against the applicability of the presumption
in this context. None of these arguments is persuasive.

12

First, the Director and Kollias contend that neither of the two primary
considerations underlying the presumption--avoidance of international discord
and Congress' focus on domestic matters--is implicated here. See Aramco, 499
U.S. at 248, 111 S.Ct. at 1230. With respect to the potential for international
discord, they assert that there is no such potential created by application of the
LHWCA to the high seas because the choice of law analysis in Lauritzen v.
Larsen, 345 U.S. 571, 583-90, 73 S.Ct. 921, 928-32, 97 L.Ed. 1254 (1953),
adequately accounts for foreign interests. The Supreme Court has recently held,
however, that the presumption against extraterritoriality, which embodies
numerous policies, applies even if the potential for international discord is
weak or nonexistent. See Sale v. Haitian Centers Council, --- U.S. ----, ----, 113
S.Ct. 2549, 2560, 125 L.Ed.2d 128 (1993); Smith, --- U.S. at ---- n. 5, 113 S.Ct.
at 1183 n. 5.

13

With respect to the second primary consideration underlying the presumption-Congress' focus on domestic matters--the Director and Kollias assert that
maritime legislation, such as the LHWCA, naturally applies extraterritorially
and that Congress does not, therefore, in the maritime context, legislate against
the backdrop of the presumption against extraterritoriality. They conclude that
maritime legislation is not subject to the presumption. In support of this
argument, they rely primarily on United States v. Bowman, 260 U.S. 94, 98, 43
S.Ct. 39, 41, 67 L.Ed. 149 (1922), in which the Supreme Court held that a
criminal statute prohibiting conspiracy to defraud a corporation in which the
United States is a stockholder applied extraterritorially, despite Congress'
failure to indicate that the statute should be so applied. In Bowman, the Court
explained that, if a statute is to be applied extraterritorially, "it is natural for
Congress to say so in the statute, and failure to do so will negative the purpose
of Congress in this regard." Id. at 98, 43 S.Ct. at 41. The Bowman Court then

noted, however, that "the same rule of interpretation should not be applied to
criminal statutes which are, as a class, not logically dependent on their locality
for the Government's jurisdiction, but are enacted because of the right of the
Government to defend itself against obstruction, or fraud wherever
perpetrated." Id.
14

Despite the Director's and Kollias' claim that the LHWCA is "not logically
dependent on [its] locality for the Government's jurisdiction," we find Bowman
unpersuasive with respect to the LHWCA. The Supreme Court's recent
discussions of the presumption against extraterritoriality, none of which
mentions Bowman, seem to require that all statutes, without exception, be
construed to apply within the United States only, unless a contrary intent
appears. See, e.g., Smith, --- U.S. at ---- & n. 5, 113 S.Ct. at 1183 & n. 5;
Aramco, 499 U.S. at 248, 111 S.Ct. at 1230. At best, therefore, the holding in
Bowman should be read narrowly so as not to conflict with these more recent
pronouncements on extraterritoriality. Reading Bowman as limited to its facts,
only criminal statutes, and perhaps only those relating to the government's
power to prosecute wrongs committed against it, are exempt from the
presumption. Bowman, 260 U.S. at 98, 43 S.Ct. at 41; cf. United States v.
Larsen, 952 F.2d 1099, 1100-01 (9th Cir.1991) (applying Bowman to hold that
21 U.S.C. Sec. 841(a)(1) may be applied extraterritorially). Under that narrow
reading of Bowman, the LHWCA is subject to the presumption against
extraterritoriality.

15

The Director and Kollias further contend that the presumption does not apply to
the LHWCA because it does not apply to the Jones Act, 46 U.S.C.App. Sec.
688. The Director states that the presumption against extraterritoriality is
relevant to the LHWCA only if "the extraterritorial application of the LHWCA
is subject to construction under different principles than those applied to the
Jones Act in Lauritzen." We are not persuaded.

16

Even assuming that the Jones Act and the LHWCA should be treated
identically in this respect, it is not clear that the presumption against
extraterritoriality is inapplicable to the Jones Act. The parties cite no cases
holding that the Jones Act is exempt from the presumption, nor have we found
any. Rather than establishing that the Jones Act is not subject to the
presumption, the Director and Kollias cite Lauritzen, 345 U.S. at 583-90, 73
S.Ct. at 928-32, which discusses the choice of law analysis appropriate in
maritime tort cases in which the Jones Act or general maritime law is invoked.
See Romero v. International Terminal Operating Co., 358 U.S. 354, 382, 79
S.Ct. 468, 485, 3 L.Ed.2d 368 (1959) (although Lauritzen itself was a Jones Act
case, its choice of law analysis also applies in cases invoking "general maritime

principles of compensation for personal injury"). The choice of law analysis in

Lauritzen is, however, unrelated to the presumption against extraterritoriality;
indeed, to hold that the LHWCA is subject to the presumption is to say nothing
about whether Lauritzen applies in the LHWCA context. Accordingly, we
reject the Director's and Kollias' contention that Jones Act cases require
exemption of the LHWCA from the presumption against extraterritoriality.
17

Finally, Kollias asserts that the presumption against extraterritoriality does not
apply in his case because application of the LHWCA would not be
extraterritorial at all. He contends that, because he was injured on an American
flag vessel and because the law of the flag governs the internal affairs on a
vessel, see McCulloch v. Sociedad Nacional de Marineros de Honduras, 372
U.S. 10, 21, 83 S.Ct. 671, 677, 9 L.Ed.2d 547 (1963), the WILLIAMSBURGH
was in effect a United States territory as it traveled across the high seas. This
argument is unpersuasive. First, the law of the flag does not necessarily govern
shipboard conduct; in the Jones Act context, for example, the Lauritzen
analysis provides a guide to determining the applicable body of law. See, e.g.,
Hellenic Lines v. Rhoditis, 398 U.S. 306, 308-09, 90 S.Ct. 1731, 1733-34, 26
L.Ed.2d 252 (1970) (applying Lauritzen to determine that United States law
governs maritime tort case in which Greek seaman with Greek employment
contract is injured on Greek flag vessel while in a United States port, but
employer's base of operations is in the United States). Although no case has
previously held that Lauritzen applies in cases in which the LHWCA is
invoked, we are confident that the Lauritzen analysis or another choice of law
analysis would be used to determine the applicable body of law in such cases.
Cf. Romero, 358 U.S. at 382, 79 S.Ct. at 485 (Lauritzen analysis applies when
general maritime law, not Jones Act, is invoked). Indeed, it would be
particularly inappropriate automatically to apply the law of the flag in LHWCA
cases because, under the LHWCA, the shipowner is an irrelevant party.
Compare 33 U.S.C. Sec. 904(a) (employer is liable for LHWCA compensation)
with, e.g., Lauritzen, 345 U.S. at 574, 73 S.Ct. at 924 (Jones Act claim against
shipowner). The premise of Kollias' argument, that United States law applies to
all United States flag ships, is thus unpersuasive.

18

In any case, the concept of extraterritoriality does not refer to the body of law
that governs the dispute; if it did, extraterritorial application of United States
statutes would be an impossibility because any place where United States law
governed a particular dispute would be considered United States territory.
Accordingly, we decline to characterize the WILLIAMSBURGH as a kind of
floating United States territory, where application of the LHWCA would not be
extraterritorial.

19

For the above reasons, we are not persuaded that the LHWCA is exempt from
the generally applicable presumption against extraterritoriality. The LHWCA
may not be applied on the high seas, therefore, in the absence of a sufficiently
clear indication that Congress intended extraterritorial application of the statute.
We now proceed to determine whether such an indication appears.
B. Overcoming the Presumption

1. Standard
20

In Aramco, the Court stated that the presumption is not overcome unless there
appears " 'the affirmative intention of the Congress clearly expressed.' " 499
U.S. at 248, 111 S.Ct. at 1230 (quoting Benz v. Compania Naviera Hidalgo,
S.A., 353 U.S. 138, 147, 77 S.Ct. 699, 704, 1 L.Ed.2d 709 (1957)). In
determining that the presumption was not overcome with respect to Title VII,
the Aramco Court considered both the language contained in the statute and the
absence of certain provisions, such as one addressing conflicts with foreign
laws. Id. at 248-56, 111 S.Ct. at 1230-34. The Aramco Court also noted that the
interpretation of Title VII by the Equal Employment Opportunity Commission
(EEOC), one of the two agencies with primary responsibility for enforcing Title
VII, was entitled only to limited deference because the EEOC is not
empowered to issue rules and regulations interpreting Title VII and because the
EEOC had previously expressed inconsistent views on the extraterritorial
application of Title VII. Id. at 258, 111 S.Ct. at 1235 (citing Skidmore v. Swift
& Co., 323 U.S. 134, 140, 65 S.Ct. 161, 164, 89 L.Ed. 124 (1944)). The Court
concluded that "even when considered in combination with petitioners' other
arguments, the EEOC's interpretation is insufficiently weighty to overcome the
presumption against extraterritorial application." Id.

21

The Aramco dissent and some commentators have interpreted the majority
opinion in Aramco as setting forth a "clear statement" rule, such that the
presumption against extraterritoriality cannot be overcome absent a clear
statement in the statute itself. See id. at 261, 111 S.Ct. at 1237 (Marshall, J.,
dissenting); see, e.g., The Supreme Court, 1990 Term--Leading Cases, 105
Harv.L.Rev. 177, 370 (1991) (instead of "importing ... the clear statement rule
into the extraterritoriality context, ... the [Aramco ] Court should have
consulted Title VII's legislative history and employed [a] balancing test"). If the
presumption against extraterritoriality were a clear statement rule, reference to
legislative history and other extrinsic indicia of congressional intent, including
administrative interpretations, would be prohibited. In Aramco itself, however,
the Court considered the EEOC's interpretation of Title VII. Aramco, 499 U.S.
at 258, 111 S.Ct. at 1235. Moreover, the Supreme Court has made clear since

Aramco that reference to nontextual sources is permissible. For example, in

Haitian Council Centers, the Supreme Court analyzed whether section 243(h)
of the Immigration and Nationality Act of 1952 applied extraterritorially by
looking to "all available evidence about the meaning of Sec. 243(h)." --- U.S. at
----, 113 S.Ct. at 2562. Indeed, in considering the impact of an amendment to
the statute, the Court noted that "[n]ot a scintilla of evidence of such an intent
[for extraterritorial application] can be found in the legislative history" and
concluded that section 243(h) did not apply extraterritorially. Id. at ----, 113
S.Ct. at 2561-62.
2. Application
22

With these guidelines in mind, we consider whether the LHWCA contains a

sufficiently clear indication of congressional intent to apply the statute
extraterritorially. We conclude that it does.

23

First, the administration section of the LHWCA, located in section 39, provides
for the establishment of compensation districts that cover the high seas and,
therefore, expressly contemplates coverage of injuries sustained on the high
seas. 33 U.S.C. Sec. 939(b) (section 39(b)). Section 39(b) provides:

24
Judicial
proceedings under sections 918 [collection of defaulted payments] and 921
[review of compensation orders] of this title in respect of any injury or death
occurring on the high seas shall be instituted in the district court within whose
territorial jurisdiction is located the office of the deputy commissioner having
jurisdiction in respect of such injury or death.
25

Id. (emphasis added); see also Reynolds v. Ingalls Shipbuilding Div., 788 F.2d
264, 268 (5th Cir.), cert. denied, 479 U.S. 885, 107 S.Ct. 278, 93 L.Ed.2d 253
(1986); Cove Tankers I, 528 F.Supp. at 108. The emphasized language
provides a strong indication that Congress intended the statute to apply
extraterritorially. Indeed, section 39(b) is far stronger evidence of an
extraterritorial intent than that which was ultimately found insufficient in
Aramco.

26

In Aramco, the petitioners contended that Congress' intent that Title VII should
apply extraterritorially was evident from the words "employer" and
"commerce" in the statute because the definitions of those terms referred to
"foreign commerce." The Court held, however, that such broad jurisdictional
terms, which form boilerplate language in numerous congressional enactments,
are insufficiently clear expressions of intent to overcome the presumption
against extraterritoriality. Aramco, 499 U.S. at 251, 111 S.Ct. at 1231. The

petitioners also cited Title VII's alien exemption provision, which specifically
exempted employers with respect to their employment of aliens outside any
state, as evidence of congressional intent that the statute apply extraterritorially.
Because there existed, however, plausible reasons for the alien exemption
clause other than an intent that the statute should have extraterritorial
application, the Aramco Court declined to find that the presumption was
overcome by virtue of that provision. Id. at 255, 111 S.Ct. at 1234.
27

By contrast, here, the reference to the high seas in section 39(b) is not merely
broad, boilerplate language that arguably contemplates application beyond the
territorial jurisdiction of the United States and that might, therefore, indicate an
intent that the LHWCA apply extraterritorially. Rather, it is specific language
directing the venue for a civil action relating to an injury sustained on the high
seas. No plausible explanation exists for section 39(b)'s reference to the high
seas other than that Congress intended LHWCA coverage for injuries sustained
on the high seas. Accordingly, the language in section 39(b) is persuasive
evidence that Congress intended the LHWCA to apply extraterritorially.

28

Second, Congress' overriding purpose in enacting the LHWCA was to provide

consistent workers' compensation coverage to eligible longshore and harbor
workers, a goal that would be frustrated by limiting the LHWCA to territorial
application. Congress' specific aim when it enacted the original version of the
LHWCA in 1927 was "to fill the void created by the inability of the States to
remedy injuries on navigable waters." Northeast Marine Terminal Co. v.
Caputo, 432 U.S. 249, 258, 97 S.Ct. 2348, 2354, 53 L.Ed.2d 320 (1977); see
Southern Pacific Co. v. Jensen, 244 U.S. 205, 217-18, 37 S.Ct. 524, 529, 61
L.Ed. 1086 (1917) (holding that state workers' compensation systems could not
operate seaward of the water's edge). In 1972, Congress substantially amended
the LHWCA to extend the statute's landward reach and thereby to ensure
coverage of longshore and harbor workers who might walk between the pier
and ship in the course of their work and who would, under the original version
of the LHWCA, thereby have walked in and out of coverage as they crossed the
"Jensen line." See P.C. Pfeiffer Co. v. Ford, 444 U.S. 69, 73, 100 S.Ct. 328,
332, 62 L.Ed.2d 225 (1979); see also Director, OWCP v. Perini North River
Assocs., 459 U.S. 297, 316-17 & n. 26, 103 S.Ct. 634, 647 & n. 26, 74 L.Ed.2d
465 (1983) (quoting S.Rep. No. 92-1125, 92nd Cong., 2nd Sess. 13 (1972)
(1972 Senate Report); H.R.Rep. No. 92-1441, 92nd Cong., 2nd Sess. 10-11
(1972), reprinted in 1972 U.S.Code Cong. & Ad.News 4698, 4708 (1972 House
Report)). A central purpose underlying the LHWCA was thus to create " 'a
uniform compensation system' " in which a longshoreman's or harbor worker's
coverage did not depend on the precise site of his injury. Perini North River
Assocs., 459 U.S. at 317 n. 26, 103 S.Ct. at 647 n. 26 (emphasis added)

(quoting 1972 Senate Report at 12-13; 1972 House Report at 10-11).

29

Although an early proposed version of section 3(a) of the 1927 LHWCA

expressly provided for coverage of injuries sustained on the high seas, see
S.Rep. No. 973, 69th Cong., 1st Sess. 2 (1926), the legislative history of section
3(a) does not fully explain the ultimate exclusion of that provision. One likely
explanation, however, is that Congress intended to exclude all seamen from
LHWCA coverage and that Congress understood the term "seamen" to
encompass all workers employed on a vessel on the high seas. See Calbeck v.
Travelers Ins. Co., 370 U.S. 114, 124 n. 13, 82 S.Ct. 1196, 1202 n. 13, 8
L.Ed.2d 368 (1962). The seamen themselves apparently opposed LHWCA
coverage, because they preferred the tort recovery available under the Jones
Act, 46 U.S.C.App. Sec. 688. To Provide Compensation for Employees Injured
and Dependents of Employees Killed in Certain Maritime Employments:
Hearing on S. 3170 Before the House Judiciary Comm., 69th Cong., 1st Sess.
177-78 (1926); 68 Cong.Rec. 5410, 5412 (1927). The exclusion of the explicit
reference to the high seas in section 3(a) thus appears to have been an effort to
exclude seamen, not to exclude extraterritorial application. Accordingly,
interpreting the LHWCA to apply on the high seas is not inconsistent with the
legislative history of the statute, but rather accords with Congress' intent to
expand statutorily covered sites and to provide consistent, uniform coverage.
See Reynolds, 788 F.2d at 271; Cove Tankers II, 683 F.2d at 42.

30

Finally, the Director, the policymaker designated by the Secretary of Labor to

administer the LHWCA, interprets the LHWCA as overcoming the
presumption and as applying extraterritorially. This interpretation apparently
has been consistent over time. Although the level of deference due to the
Director in this context is not entirely clear, compare Aramco, 499 U.S. at 258,
111 S.Ct. at 1235 ("persuasive value [of EEOC interpretation of Title VII] is
limited"), with Director, OWCP v. General Dynamics Corp., 982 F.2d 790, 795
(2d Cir.1992) (reasonable interpretation of LHWCA by Director, who has
rulemaking authority, is entitled to deference if the interpretation has been
consistent over time), we may, at a minimum, consider the Director's
interpretation in combination with indicia of congressional intent. See Aramco,
499 U.S. at 258, 111 S.Ct. at 1235.

31

In light of the express reference to the high seas in section 39(b) of the
LHWCA, congressional intent to provide consistent coverage for longshore and
harbor workers and the Director's interpretation, we conclude that the
presumption against extraterritoriality is overcome in the LHWCA.
Accordingly, the statute may be applied beyond the territorial jurisdiction of
the United States, including on the high seas.

II. "Navigable Waters"

32
33

Given our conclusion that Congress intended that the LHWCA apply
extraterritorially, we interpret the phrase "navigable waters of the United
States" in section 3(a) as including the high seas. We thus expand on our
previous holding in Cove Tankers II, 683 F.2d at 41, that "navigable waters of
the United States" should be read to include the high seas only under certain
limited circumstances.

III. Claimants' Entitlement to Benefits

34

In the cases before us, the injuries of Kollias and Gouvatsos, who both
undisputedly meet the definition of "employee" contained in section 2(3),
occurred on the high seas. 2 No choice of law issue has been raised by the
employers, and we thus conclude that United States law, that is, the LHWCA,
is the applicable law. Because the high seas fall within the permissible
jurisdictional reach of the LHWCA, the statute covers both claimants' injuries.
The Board, therefore, improperly denied Kollias' claim for benefits under the
LHWCA and properly granted Gouvatsos' claim.

35

In light of this conclusion, we need not reach Kollias' alternative contention that
relitigation of the issue of the LHWCA's coverage of his injury is barred
because that issue was resolved in a prior case in which he sought relief
pursuant to the Jones Act, 46 U.S.C.App. Sec. 688. See Kollias v. Bay Tankers,
742 F.2d 1441 (2d Cir.) (mem.), cert. denied, 469 U.S. 1073, 105 S.Ct. 567, 83
L.Ed.2d 508 (1984). Moreover, we need not determine whether the Board's
findings with respect to Kollias' receipt of and eligibility for state workers'
compensation benefits were clearly erroneous, as urged by the Director.
Resolution of this question is irrelevant to the ultimate issue of whether Kollias
is entitled to LHWCA benefits. See Perini North River Assocs., 459 U.S. at
307-09 & n. 19, 103 S.Ct. at 642-43 & n. 19 (federal and state coverage for
injured maritime workers may overlap, and federal coverage is not exclusive in
overlapping areas); Sun Ship v. Pennsylvania, 447 U.S. 715, 719-21, 100 S.Ct.
2432, 2435-36, 65 L.Ed.2d 458 (1980) (federal coverage and state coverage for
longshore and harbor workers are not mutually exclusive); Calbeck, 370 U.S. at
126-27, 82 S.Ct. at 1203 (an injury may be covered by the LHWCA "whether
or not [it] was also within the constitutional reach of a state work[ers']
compensation law"); 33 U.S.C. Sec. 903(e) (providing that any liability
imposed under the LHWCA shall be reduced by "any amounts paid to an
employee for the same injury, disability, or death for which [LHWCA] benefits
are claimed").CONCLUSION

36

In the Kollias case, we grant the petition, reverse the Board's denial of benefits
and remand for further proceedings consistent with this opinion. In the
Gouvatsos case, we deny the petition and affirm the Board's grant of benefits.

The parties, with the exception of Gouvatsos, addressed the extraterritoriality

issue in letter briefs filed at this Court's request after the October 21, 1993, oral
argument in these cases

Because it is undisputed before this Court that both Kollias' and Gouvatsos'
injuries occurred on the high seas and that both were "employees" within the
meaning of section 2(3), we need not address the Director's assertion that,
contrary to the claim of D & G Marine and the Fund, the presumption
prescribed in section 20(a) of the LHWCA, 33 U.S.C. Sec. 920(a), applies to
factual questions underlying issues of coverage under sections 2(3) and 3(a)