Born in 1833, James Lovell Shute was the eighth of ten children born to Andrew Breden and Catherine Grover Shute. About 1851, James L. Shute arrived in Gloucester Mass., the place he would call home for the remainder of his life. Several other members of his family (Nancy, Henry and Calvin) also came to Gloucester, and that may have been due to Nancy marrying Joseph Burnham in 1844.

A carpenter by trade, as was his brother Henry, James L. Shute first took care of the cemetery owned by the Universalist Church after arriving in Gloucester. Later he repaired the church's Christopher Wren-style steeple. As a member of the Universalist Church he served on a variety of committees, and was influential in the decision to raise the church so a lower level could be added when more space was needed.

At some point he became acquainted with the Samuel Merchant family and joined Samuel Merchant in the fishing business. On Feb. 6, 1857, James married Sarah Abigail "Abbie", Samuel's daughter and they raised a family of eight children in Gloucester. After Samuel's death in 1860, James and his brother-in-law William T. Merchant continued in the fishing trade under the name of Shute & Merchant at a large wharf located at the place known as the Head of the Harbor.