Opinion ID: 1302950
Heading Depth: 2
Heading Rank: 1

Heading: whether the trial judge erred in granting ssi summary judgment as to cox's liability on ssi's conversion claim

Text: Cox argues that the trial judge erred in granting summary judgment to SSI regarding Cox's liability on its conversion cause of action because a claim for money cannot be the subject of a conversion action. Cox also argues that: (1) there has been no demand by SSI for the return of the claimed property and refusal by Cox, and (2) SSI gave Cox permission to deal with the property at issue and therefore acquiesced in his scheme. Conversion is a wrongful act and has been defined as the unauthorized assumption in the exercise of the right of ownership over goods or personal chattels belonging to another to the exclusion of the owner's rights. Owens v. Andrews Bank & Trust Co. , 265 S.C. 490, 220 S.E. (2d) 116 (1975). Conversion may arise by some illegal use or misuse, or by illegal detention of another's chattel. Id. Money may be the subject of conversion when it is capable of being identified and there may be conversion of determinate sums even though the specific coins and bills are not identified. Id; 89 C.J.S. Trover and Conversion § 23 (1955). Therefore, Cox is incorrect in his statement that money may not be the subject of a conversion action. Cox alleges that SSI failed to set forth a conversion claim because the money is not determinate or identifiable. We find that SSI has sufficiently established a determinate amount of money that was converted. SSI's complaint and an accompanying affidavit state that Cox has wrongfully retained not less than $121,489.64 due to his handling of the sale of 35 vehicles. SSI can also identify into which account these sums were deposited. Further, any problems SSI has encountered in determining the specific amounts Cox mishandled is due to Cox's fault as he kept no records, made no reports to SSI, and made no report of this income for tax purposes. Additionally, summary judgment was granted to SSI as to Cox's liability only. SSI will still have to specifically prove each element of its damages. Cox also alleges that the trial judge erred in granting summary judgment to SSI as to Cox's liability on the conversion claim because there was no demand by SSI that the funds be returned or refusal by Cox. Although this issue was raised in Cox's answer to SSI's complaint, it was never ruled on by the trial judge or raised in an appropriate post-trial motion. Therefore, this issue is not properly before this Court. Talley v. South Carolina Higher Educ. Tuition Grants Committee , 289 S.C. 483, 347 S.E. (2d) 99 (1986) (an issue raised but not ruled on by the trial judge is not preserved for appeal). Even if such argument was properly before this Court, we find it to be without merit. Demand and refusal are unnecessary where as here, the conversion resulted from Cox's securing possession of the property, or in this case, the money, illegally, tortiously, by fraud, or other wrongful conduct. 18 Am. Jur. (2d), Conversion § 84 (1985); McPherson v. Neuffer & Hendrix , 45 S.C.L. (11 Rich.) 267, 281 (1858) (if a party wrongfully assumes property belonging to another or wrongfully uses it, it amounts to a direct conversion and a demand and refusal are not necessary before bringing an action). Cox's last argument as to why the trial court judge erred in granting SSI summary judgment as to Cox's liability on the conversion claim is that SSI failed to establish a conversion claim because SSI gave Cox permission to deal with the property. This argument is without merit. Although SSI gave Cox permission to sell the vehicles, SSI did not give Cox permission to retain any of the proceeds of the sales. The evidence overwhelmingly reflects that Cox wrongfully retained funds owing to SSI. Although argued in Cox's brief, there is no evidence in the record itself that there was any arrangement between SSI and Cox that allowed Cox to retain the proceeds from the sale of leased vehicles. By Cox's own admissions, no one at SSI knew that he was depositing and keeping proceeds in his own account from the sale of the vehicles and not passing them along to SSI. Cox stated that he never told anyone that he was doing this and was unaware of anyone at SSI having knowledge of such. SSI could not acquiesce in Cox's scheme because SSI was unaware that Cox was acting in a manner inconsistent with its rights in relation to its property. Consequently, the trial judge did not err in granting summary judgment to SSI on the issue of liability as to its conversion claim against Cox.