Coastal Recycled Cooking Oils Pty Ltd v Innovative Business Action and Strategies Pty Ltd [2007] NSWSC 831

Coastal Recycled Cooking Oils Pty Ltd v Innovative Business Action and Strategies Pty Ltd [2007] NSWSC 831

Coastal had title to sue in conversion as oil deposited in its drums became its property; IBAS (via employees) removed oil from those drums, amounting to conversion. Humphries, as sole director and controlling mind of IBAS, directed or procured the conversions and was also liable. Damages were quantified based on lost tonnage, subject to adjustments, resulting in a judgment for $285,969.50.

Parties
Plaintiff: Coastal Recycled Cooking Oils Pty Ltd; First Defendant: Innovative Business Action and Strategies Pty Ltd; Second Defendant: Stephen Johnson; Third Defendant: Mark Mulligan; Fourth Defendant: Stephen Humphries
Jurisdiction
Australia
Judgment Date
03 August 2007
Procedural Posture
Civil / Judgment
Outcome
Judgment for the plaintiff against IBAS and Humphries for $285,969.50, with costs.
Legal Topics
Conversion, Title to Sue, Vicarious Liability, Damages, Director's Liability
Tort Law Equity Conversion Title to Sue Vicarious Liability Damages Director's Liability

Case Brief

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Parties

Coastal Recycled Cooking Oils Pty Ltd

Plaintiff

Innovative Business Action and Strategies Pty Ltd

First Defendant

Stephen Johnson

Second Defendant

Mark Mulligan

Third Defendant

Stephen Humphries

Fourth Defendant

Procedural Posture

Civil / Judgment

Legal Issues

  1. 1 Did the defendant take oil from the plaintiff's tanks and drums?
  2. 2 Did the plaintiff have sufficient property interest in the oil to found a claim in conversion?
  3. 3 What damages or relief is the plaintiff entitled to for the conversion?

Ratio Decidendi

Coastal had title to sue in conversion as oil deposited in its drums became its property; IBAS (via employees) removed oil from those drums, amounting to conversion. Humphries, as sole director and controlling mind of IBAS, directed or procured the conversions and was also liable. Damages were quantified based on lost tonnage, subject to adjustments, resulting in a judgment for $285,969.50.

Court Disposition

Judgment for the plaintiff against IBAS and Humphries for $285,969.50, with costs.

Orders

  • Judgment entered for Coastal Recycled Cooking Oils Pty Ltd against Innovative Business Action and Strategies Pty Ltd and Stephen Humphries in the sum of $285,969.50.
  • Defendants IBAS and Humphries to pay Coastal's costs.