Florida Yacht Owner Sues Marine Engineering Firm After Catastrophic Engine Rebuild Failure on Riva Motor Yacht

Holzberg Legal

Papi Grande LLC, a Florida vessel owner, has filed a comprehensive federal maritime lawsuit in the Southern District of Florida against FHG Marine Engineering Inc. and its president, Richard Grennen. The action, filed under Case No. 0:26-cv-62252-MD, arises from an alleged multi-million-dollar failure during the disassembly, overhaul, and testing of twin MTU diesel engines aboard the luxury 122-foot Riva motor yacht named Chop Chop.

Yacht Owner Files Admiralty Lawsuit Alleging Fraudulent Misrepresentation in Luxury Vessel Engine Overhaul

According to the complaint, the dispute began following a propulsion failure on the yacht’s starboard engine in February 2023. Papi Grande engaged South Florida-based FHG Marine Engineering to investigate the issue and perform precautionary inspections on both MTU 12V 4000 M93 engines. The engineering firm allegedly represented that it possessed certified technicians, proprietary manufacturer tooling, and the technical qualifications required to perform a comprehensive overhaul in strict compliance with manufacturer standards. Based upon these representations, the yacht owner entered into a formal service agreement in March 2023, expecting the sequential rebuild to take mere months without requiring full engine removal from the vessel.

Marine Contractor Accused of Using Improper Tooling, Causing Catastrophic Engine Block Damage

The complaint details how the scope and timeline expanded drastically over a two-year period, resulting in hull modifications to remove both engines and over one million dollars in payments. Papi Grande alleges that during an in-shop dynamometer test run in September 2024, the port engine sustained severe main bearing failure, causing catastrophic damage to the new crankshaft and engine block. The lawsuit asserts that FHG lacked the mandatory manufacturer-designed rear seal installation and flywheel housing tools, opting instead to employ improvised block-and-chain methods to avoid purchasing specialized equipment. Furthermore, the complaint claims that the company’s sole factory-certified technician was terminated after refusing to proceed with unapproved procedures, leaving uncertified personnel to handle delicate assemblies.

Sea Trial Breakdown Reveals Severe Mechanical Defects and Incomplete Marine Repairs

Following more than a year of subsequent repair attempts and assurances that the engines were restored, FHG delivered the machinery for reinstallation in late 2025. However, during an initial sea trial in December 2025, both engines immediately suffered critical malfunctions upon the very first throttle application. An independent inspection by replacement marine diesel specialists discovered pervasive defects across both systems, including fuel leaks within the high-pressure fuel pump control box, improperly assembled heat exchangers, contaminated cooling systems filled with water and incorrect coolants, damaged electrical harnesses, and recurring engine shutdowns linked to extreme oil pressure and temperature spikes.

Yacht Owner Demands Damages for Breach of Maritime Contract, Workmanlike Performance, and Gross Negligence

The federal complaint asserts six legal counts against the defendants, including fraud in the inducement, violations of the Florida Deceptive and Unfair Trade Practices Act, negligent misrepresentation, breach of maritime contract, breach of the implied warranty of workmanlike performance, and gross negligence. Papi Grande seeks recovery of all funds paid for the failed overhauls, the extensive costs incurred to diagnose and rebuild the damaged machinery through qualified technicians, vessel depreciation, dockage expenses, and loss of vessel use under applicable admiralty law.

Contact an Experienced Maritime and Yacht Litigation Attorney for Marine Repair Disputes

Vessel owners, yacht managers, and charter operators who experience severe property damage, improper marine repairs, or deceptive contractor practices have actionable remedies under general maritime law. Marine contractors and shipyards owe strict contractual duties and an implied warranty of workmanlike performance to complete work safely and competently. If your vessel suffered substantial mechanical failure or contractual breach due to uncertified workmanship, contact an experienced maritime litigation attorney to evaluate your claims.

Contact us now to speak with an admiralty and maritime lawyer.

Disclaimer: Our firm does not represent the plaintiff in this case and is not involved in the litigation. The information provided is a summary of allegations based on publicly available court filings. We make no representations about the truth of these allegations, are not commenting on the merits of the case, and are not predicting any outcome.

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