September 12, 2024
Joe Warner/Special to Delaware News Journal; USA TODAY NETWORK
Okaloosa County, Florida, had planned to sink the SS United States and turn it into an artificial reef. But according to a legal motion filed Wednesday, the ship's landlord Penn Warehousing blocked the sale.
The court-ordered eviction deadline for the SS United States arrived Thursday, but the ship isn't moving — and according to new court documents, its landlord is to blame.
The conservancy for the historic ocean liner filed a motion Wednesday in federal court claiming the ship's landlord Penn Warehousing has prevented the group from complying with court orders. The documents state that Penn Warehousing demanded $3 million from the conservancy and the ship's potential buyer, Okaloosa County in Florida, before it would release the vessel from Pier 82 in South Philadelphia. Penn Warehousing blocked the sale contract, the conservancy argues, in the hopes of seizing and selling the ship itself for breaching of the court's orders.
Due to these "bad faith" actions, the conservancy is asking the court to extend its eviction deadline to Dec. 5. A hearing is scheduled for Friday morning before Senior U.S. District Judge Anita B. Brody.
"We've been dealing with the impacts of Penn Warehousing's underhanded tactics for some time, but the revelation that they attempted to negotiate the sale of the ship without our knowledge or authorization is upsetting," the conservancy said in a statement. "It is more proof that Penn Warehousing has engaged in a deliberate pattern of behavior intended to force the Conservancy's default, and seize the SS United States, so that they can sell the historic ship for their own financial gain."
News broke in August that Okaloosa County, located on the Florida Panhandle, was interested in acquiring the SS United States to sink the vessel in the Gulf of Mexico and turn it into an artificial reef. According to the 12-page legal motion, the conservancy and Okaloosa County executed a tentative agreement on Aug. 27 that required a separate agreement between Penn Warehousing and the county regarding the ship remaining docked in Philadelphia through hurricane season.
In the subsequent meeting to finalize that document, the conservancy alleges, its landlord "repeatedly demanded" a $3 million "ransom" from Okaloosa County. An agreement was never finalized, and this breakdown ultimately caused the conservancy to miss the eviction deadline, the legal document states.
Penn Warehousing did not immediately respond to request for comment.
The legal action is the latest in a tumultuous saga for the SS United States, which is the largest passenger ship ever built in the U.S. and since 1952 has held the record for the fastest trans-Atlantic crossing. The ship has resided at Pier 82 since 1996. A U.S. district judge ordered the conservancy to relocate the ship in June, concluding a yearslong court battle between the group and Penn Warehousing, which terminated their lease in 2022 over $290,700 in unpaid docking fees. On the latter matter, the court sided with the conservancy, which argued the fees were an improper rent hike. But the court deemed the lease termination valid, and gave the conservancy 90 days to leave the pier.
The conservancy had appealed for a deadline extension, which was denied, and attempted to crowdfund $500,000 to preserve the ship. Its future now rests in the district court's hands.
After the court ruling, Escambria County, also on the Florida Panhandle, floated similar plans in July to sink the SS United States to create an artificial reef. With delays in the Okaloosa County deal, Escambria County has re-emerged as a possible destination as leaders and marine organizations there recently began a campaign to acquire the ship.
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