Facts
- The dispute arose from a marital breakdown, during which Mr. White alleged his wife’s solicitors, Withers LLP, wrongfully retained his personal and financial documents during divorce proceedings.
- Mr. White claimed these documents were important to his business and personal affairs.
- Withers LLP retained the documents during their representation of Mrs. White.
- The claim focused on whether the solicitors’ retention of the documents constituted conversion.
- The trial court had initially dismissed Mr. White’s claim.
- The matter was appealed to the Court of Appeal to determine if the solicitors’ conduct satisfied the legal requirements for conversion.
Issues
- Whether professional firms, specifically solicitors, can be liable for the tort of conversion by retaining client property without consent.
- Whether the professional status or good faith actions of solicitors provide a defence against conversion when lacking lawful authority.
- Whether the retention of documents belonging to a third party during legal proceedings can amount to conversion.
Decision
- The Court of Appeal determined that solicitors can be held liable for conversion if they retain a client’s property without consent.
- The court rejected any immunity based on professional status for solicitors in relation to conversion.
- Good faith or acting in the interests of their client did not excuse the solicitors from liability, as they lacked lawful authority to retain Mr. White's documents.
- The case emphasized that conversion is a strict liability tort and liability arises from the nature of the interference with property rights, not intent or motive.
Legal Principles
- Conversion involves wrongful interference with another’s possession of goods, including acts such as taking, using, or retaining property without lawful justification.
- Liability for conversion is strict; neither the defendant’s intent nor knowledge of wrongdoing is required.
- Consent and lawful authority are essential when dealing with another’s property, even within a professional-client relationship.
- Professional or good faith conduct does not immunize solicitors or other professional firms from liability for conversion.
Conclusion
The Court of Appeal confirmed that solicitors and professional firms can be strictly liable for conversion if they retain property without consent or lawful authority, regardless of their intentions or the context of legal proceedings. This decision highlights the importance for practitioners to ensure clear consent and proper authority when handling client or third-party property.