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Flashcards in Wrongful Conversion Deck (4)
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1

Wrongful Conversion

the right to a simple possessory interest that will generally never vest in a legal title because title is wrongfully converted

2

Wrongful Conversion
Who has the better possessory interests
Who acquires title

The Wrongful Converter and subsequent purchasers have simple possessory interests good against all except true owner

They do not aquire title (subject exception)

3

When can the true owner sue for damages and how?

Can sue wrongful converter at any time

Can sue later purchaser (as long as not within exception)

Damages

1) Replevin--> action taken to recover actual property

2) Trover--> Tort Remedy for fair market value of the item when stolen (might get additional damages)

4

What are the exceptions to the rule that a subsequent purchaser can never acquire a title that has been wrongfully converted?

Generally--> Exceptions (title passes to bona fide purchaser):

i.Money and negotiable instruments

ii.Entrusted possession to merchant who regularly sells goods of that kind (not pawn shops) and subject to UCC

iii.Voidable title doctrine; knowingly passes title because of fraud in inducement
(Voidable by the person being defrauded until sold to a third party)