Meaning of Conversion
A conversion is an act of willful
interference , without lawful justification, with any chattel a manner
inconsistent with the right of another, whereby that other is deprived
of the use and possession of it. A person who treats goods as if they
were his when they are not, is liable to be sued in conversion
Prof.
Definition :
Winfield defines conversion as, "any act in relation
to the goods of a person which constitutes an unjustifiable denial of
his right to them." Conversion is the wrongful taking or using or
destroying of the goods.
An act of conversion may be committed :
1. When the property is wrongfully taken :
Anyone who without authority takes possession of another
man's goods with the intention of asserting dominion over them is
guilty of conversion. A mere taking unaccompanied by an intention to
exercise permanent or temporary dominion may be a trespass and not
conversion.
2. When it is wrongfully parted with :
If a man who is entrusted with the goods of another, puts
them into the hands of a third person contrary to orders, it is a
conversion. The wrongful act is done when he purports to give to the
third person along with the mere possession some right over the property
it self.
3. When it is wrongfully sold :
Any person, who, however innocently, obtains possession
of the goods of a person who has been fraudulently deprived of them, and
disposes of them, whether for his own benefit or that of any other
person, is guilty of conversion. Wrongful sale of goods is conversion.
4. When it is wrongfully retained .
Where a man has possession of another's chattel and
refuses to deliver it this is an assertion of a right inconsistent with
his general dominion over it and consequently amounts to an act of
conversion.
5. When it is wrongfully destroyed :
Destruction of a chattel belonging to another is an act of
conversion, for its effect is to deprive the owner of it altogether e.g.
spinning cotton into yarn or grinding corn into flour if done without
the authority of the owner.
Richardson V/s. Atkinson 1723 1 Str.576 -- The defendant drew out some wine out of the plaintiffs cask and mixed water with the reminder to make good the deficiency. He was held liable for the conversion of the whole cask as he had converted part of the contents by taking them away and the remaining part by destroying their identity.
6. When there is a denial of the lawful owners right :
Interference with a chattel in a manner inconsistent with
the right of the owner accompanied by a denial of title of the owner
amounts to conversion.
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