PORTLAND – A federal judge has ruled the fishing vessel Sailor may not recoup any more than fair market value, plus interest, for damage caused when the boat sank at Rockland Fish Pier in February 2002.

The ruling came Wednesday in a decision by U.S. District Judge D. Brock Hornby.

Sailor owner Gary Hatch of Owls Head claimed a bolt protruding from the city wharf punctured a hole in the hull of his 67-foot fishing vessel while it was moored alongside the pier, causing it to sink Feb. 16, 2002.

The fair market value of the boat before the sinking was $150,000 to $180,000 – a fact not disputed by either party.

What has been disputed is whether the repair value to the vessel exceeded fair market value.

Under the rule of maritime law, “if the cost of repairing a vessel exceeds the vessel’s pre-casualty fair market value, then the vessel is considered a ‘constructive total loss’ and the owner may recover no more than its fair market value, i.e., no damages for lost profits or loss of use,” the judge decided.

In the lawsuit, Hatch sought $1,165,602 in damages, including damages for lost profits and other expenses. The court record shows Wayfarer Marine provided an estimate for repair of $187,543.

Hatch also attempted to claim $190,000 worth of fishing permits as part of the value of the vessel.

“The undisputed evidence … shows that [Hatch’s] vessel was a constructive total loss,” the judge wrote. “The plaintiff’s potential damages are therefore limited to the fair market value of the vessel plus interest.”

Camden attorney Sandy Welte, who represents the city, said Monday that the judge’s ruling in favor of the city was appropriate. The case will be ready for trial Aug. 30, he said, but an actual trial date has not been scheduled.

Hatch’s attorney, Clayton Howard of Damariscotta, was unavailable Monday for comment on the ruling or to say whether the judge’s decision would be appealed.

According to the court, Hatch salvaged the boat, did minimal repairs and sold it to “Cajee Inc. for $25,000 ‘as is, where is.”

The $190,000 worth of fishing permits, which Hatch wanted to apply to the boat’s fair market value, were transferred to a new vessel he bought named Shearwater. The decision also notes that there is no record showing how much Hatch actually spent to repair the vessel before selling it.

The city argued that if the value of the fishing permits were added to the boat’s value, it would result in a windfall for Hatch.