GILLIAM, District Judge.
At the outset it is necessary to determine the legal nature of the relationship between the parties at the time of the sinking of the dredge. Was it a bailment for mutual benefit, as the libellant asserts? If so, it is agreed by the parties that there rested on the respondent the legal duty to exercise reasonable care for the preservation of the bailed property. Or did the arrangement amount merely to a permit or license granted by respondent...
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