492 S.W.3d 579
Ky. Ct. App.2016Background
- Blair’s home burglary led to Caudill selling Blair’s ring to Creative Touch Jewelry; Jasper bought the ring, which was then dissembled with gold sold and diamonds retained.
- Caudill pled guilty to second-degree burglary; restitution was ordered to Blair.
- Blair sued Jasper (Creative Touch Jewelry) for conversion of the diamond ring seeking compensatory (and punitive) damages.
- Trial court directed verdict against Jasper on liability for conversion; jury awarded Blair $15,000 in compensatory damages; punitive damages were denied.
- Jasper argues no personal liability, asserts corporate/ex-partner ownership of the ring, and challenges the directed verdict and damages.
- Appellate court affirmed the directed verdict and damages; dissenter would reverse on liability and damages.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Directing verdict proper for conversion liability? | Blair | Jasper | Yes; SC found sufficient evidence to support liability |
| Elements of conversion proven? | Blair | Jasper | Elements (1)-(2),(5),(7) proven; (3),(4),(6) shown via Jasper’s control and intent and causation |
| Damages measure when recovered property returned? | Blair | Jasper | Damages upheld; expert valued ring at $28,140; diamonds returned; lower award within instructions |
Key Cases Cited
- Bierman v. Klapheke, 967 S.W.2d 16 (Ky. 1998) (directed-verdict standard; view evidence in light favorable to nonmoving party)
- Jones v. Marquis Terminal, Inc., 454 S.W.3d 849 (Ky. App. 2014) (elements of conversion; dominion, demand, damage)
- Pathways, Inc. v. Hammons, 113 S.W.3d 85 (Ky. 2003) (substantial-factor causation)
- Nolin Prod. Credit Ass’n v. Canmer Deposit Bank, 726 S.W.2d 693 (Ky. App. 1986) (measure of damages for conversion; FMV at time of conversion)
- Urban v. Lansing’s Adm’r, 39 S.W.2d 219 (Ky. 1931) (intent element in conversion; no wrongful intent required)