We’re again with the most recent half in our sequence on frequent California hashish claims. Right now, we’ll be masking one we regularly see within the context of purchaser v. vendor disputes: conversion.
How does California outline a conversion declare?
The technical definition of conversion is “the wrongful train of dominion over the private property of one other.” It basically signifies that the defendant interfered with the plaintiff’s proper to possession of tangible property (not together with actual property). If a conversion declare is discovered, the plaintiff is entitled to get better the complete worth of the property. The plaintiff can also be entitled to punitive and different extra damages in sure contexts (extra on that under). As I discussed above, we sometimes see this declare pop up when a vendor gives product to a purchaser however doesn’t receives a commission – because the vendor hasn’t acquired the advantage of the discount, the client’s continued possession of the product might type the premise of a California hashish declare for conversion.
Statute of limitations
The statute of limitations for conversion is three years. This implies the declare must be filed inside three years of the wrongful taking. There are exceptions to this rule although. First, if the defendant’s taking was initially lawful (like somebody borrowed your instruments together with your permission), the clock begins ticking when the defendant rejects the plaintiff’s property rights (you ask in your instruments again and so they refuse to provide them again). Second, if the defendant fraudulently conceals the conversion, the clock begins ticking when the plaintiff discovers or ought to have found the conversion. This second situation is usually often called the “discovery rule.”
Parts of a conversion declare
California Civil Jury Directions (CACI) is a useful that reveals the weather of for California claims and causes of motion. The related CACI instruction for conversion gives that to be able to set up this declare, the plaintiff should show all the following:
- That the plaintiff owned (or possessed) some merchandise of non-public property;
- That the defendant considerably interfered with the plaintiff’s private property by knowingly or deliberately taking possession of the private property (or stopping plaintiff from getting access to, destroying, or refusing to return the private property);
- That the plaintiff didn’t consent;
- That the plaintiff was harmed; and
- That the defendant’s conduct was a considerable consider inflicting the plaintiff’s hurt.
So what must be established is that this: the plaintiff lawfully owned one thing, the defendant wrongfully interfered with that possession, and the defendant’s interference prompted the plaintiff’s hurt. If a plaintiff proves all of those parts and there aren’t any relevant defenses, they will succeed on their California hashish declare. The difficulty then turns into what cures can be found.
Treatments for claims of conversion
California Civil Code sections 3336-3338 particularly deal with damages for conversion. The traditional measure of damages is the complete honest market worth of the property, plus curiosity. The honest market worth is measured on the time of conversion – so for instance, if product costs quickly fell between the time of the conversion and the time of the lawsuit, the plaintiff could be entitled to that preliminary, increased worth.
Conversion claims are particularly scary as a result of they doubtlessly open the door to punitive damages. Punitive damages can be found the place plaintiff reveals by clear and convincing proof that defendant was responsible of oppression, fraud, or malice. In a case of willful conversion – i.e., somebody breaks right into a California hashish enterprise and steals one thing – this might not be all that arduous to show. Normally, this may be rather more troublesome to show.
Lastly, when the details of the conversion declare additionally represent receipt of stolen property below Penal Code § 496, the plaintiff could search treble damages (damages x3), prices of go well with, and affordable attorneys’ charges. There’s a line of California case legislation that particularly establishes that Part 496 can apply to “strange enterprise disputes the place conventional cures for breach of contract, fraud, and conversion had been out there.”
For our different articles on frequent California claims, see: