358 S.W.3d 428
Tex. App.2012Background
- Court reviews Henson v. Reddin in a conversion dispute over a polyurethane spraying machine mounted in a trailer; Henson owned half of Discount Industrial Coating, Inc.; Reddin purchased and installed parts (fusion gun, transfer pump, foam kit, hoses, etc.) to repair the machine for potential purchase; Henson moved the trailer away and did not return the parts; Reddin sued for conversion seeking recovery of the parts’ value; the county court at law awarded damages of $4,561.52 plus prejudgment interest and entered findings of fact and conclusions of law; Henson appeals asserting insufficiency of the evidence on both liability and damages.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was there legally and factually sufficient evidence of conversion? | Reddin shows Henson unlawfully controlled and refused return of property. | Henson denies knowledge or intent to convert; no deal or unauthorized control. | Yes; legally and factually sufficient evidence supports conversion. |
| Are damages of $4,561.52 legally and factually supported? | Purchase price evidence establishes value; parts were destroyed soon after installation. | Purchase price alone does not prove fair market value; depreciation or actual value required. | Yes; damages supported under actual value or fair market value. |
Key Cases Cited
- Khorshid, Inc. v. Christian, 257 S.W.3d 748 (Tex. App.—Dallas 2008) (defines elements of conversion and lack of innocence as a defense not available to avoid liability)
- Burns v. Rochon, 190 S.W.3d 263 (Tex. App.—Hou. [1st Dist.] 2006) (discusses value measures and depreciation in damages for conversion)
- Automek, Inc. v. Orandy, 105 S.W.3d 60 (Tex. App.—Hou. [1st Dist.] 2003) (sufficiency of evidence to support conversion judgment)
- Wutke v. Yolton, 71 S.W.2d 549 (Tex. Civ. App.—Beaumont 1934) (admissibility and method for determining actual value when FMV is unavailable)
- Lee v. Dykes, 312 S.W.3d 191 (Tex. App.—Hou. [14th Dist.] 2010) (purchase price as starting point; depreciation and market value considerations)