McNamara v. Picken
950 F. Supp. 2d 193
D.D.C.2013Background
- McNamara v. Picken concerns a motion for partial summary judgment on Count Two (conversion) in a DC District Court civil action.
- Plaintiff asserts conversion of two categories of money: (i) partnership funds used to pay pre-merger debts; (ii) money earned by plaintiff prior to the merger that was deposited into the partnership account.
- Court previously held there was no identifiable fund for the first category, suggesting contractual remedy rather than conversion for pre-merger debts.
- For the second category, the court finds a readily identifiable fund—the $185.42 check payable to plaintiff for pre-merger services—and thus a potential conversion claim.
- Court concludes the first category is contractual; the second category supports conversion, and the motion is granted in part and denied in part.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether plaintiff has an identifiable fund for conversion. | McNamara had rights to specific funds rather than mere contract rights. | No identifiable fund; funds were fungible partnership money; claim more like contract. | Limited to second category; first category not actionable for conversion. |
| Whether money used for pre-merger debts constitutes conversion or breach of contract. | Funds used to pay pre-merger debts were misdirected from partnership accounts. | Effect is a contractual obligation under partnership terms, not conversion. | First category remains contractual; conversion not supported. |
| Whether a pre-merger earned income check deposited into the partnership account supports a conversion claim. | The check ($185.42) was payable to plaintiff individually and improperly deposited. | No identifiable fund; funds were commingled in partnership accounts. | Yes; the $185.42 check is an identifiable fund subject to conversion. |
| Whether the conversion claim is distinct from breach of contract. | Conversion stands independently from contract, based on identifiable funds. | Conversion cannot enforce a mere obligation to pay money. | Conversion claim allowed for the second category; first category remains contractual. |
Key Cases Cited
- Washington Gas Light Co. v. Public Serv. Comm’n of Dist. of Columbia, 61 A.3d 662 (D.C. 2013) (defines conversion for money and seeks identifiable funds when applicable)
- Baltimore v. District of Columbia, 10 A.3d 1141 (D.C. 2011) (clarifies ownership and control aspects in conversion analysis)
- Crown Life Ins. Co. v. Smith, 657 So. 2d 821 (Ala. 1994) (identifiable refund checks represent funds subject to conversion)
