Similar to trespass to land, there is a tort for trespass to personal property called “trespass to chattel.” In essence, a trespass to chattel occurs when someone wrongfully interferes with another’s right of possession to a particular item. When the interference is substantial enough as to warrant requiring the Defendant to pay the value of the chattel, the claim becomes “conversion.”

           The most common forms of conversion are: (1) wrongfully acquiring the property such as by theft; (2) improperly transferring or selling property; (3) refusing to return the property to the owner; (4) substantially changing the property; (5) severely destroying or damaging the property; and/or (6) misusing the property. Although some of these actions may merely constitute trespass to chattel, the longer the withholding period and the more considerable the use, the more likely the claim will be treated as conversion.

           It is important to note that accidentally causing damage or loss to another’s property is not considered conversion, unless the person causing the damage is using the chattel without permission at the time the loss occurred. Likewise significant is the limitation that conversion only applies to personal property and rights that have been reduced to physical form. For example, a Defendant can be sued for conversion of a promissory note, a bill of lading or a receipt. A person cannot be sued for conversion of real property or intangibles such as a trucking route or client list.

           Anyone with possession or the immediate right to possession of a chattel have the right to bring a lawsuit, even if they are not the true owner. However, if the person bringing the suit is not the true owner, then he or she is responsible for compensating the owner from any recovery for the owner’s interest. If a victim prevails in proving a claim of conversion, the victim can elect to either: (1) receive the fair market value of the property as of the time and place of the conversion, or (2) require the return of the chattel.

           If you have a question about conversion or any other tort, please contact an attorney of your choice.