Ecclestone v Khyami

Ecclestone v Khyami

The car was a gift from Ms Ecclestone to Mr Khyami, who transferred title to Elite in satisfaction of a debt. Elite lawfully acquired title and possession from Mr Khyami, and subsequently sold the car to Ansol. Ms Ecclestone's claim for conversion failed as she had no better right to the car. Her obtaining of an injunction based on false evidence constituted conversion against Elite and Ansol. Illegality in Elite's method of obtaining possession did not defeat its title, as title was derived from Mr Khyami. Elite is entitled to damages for conversion; Ansol is entitled to delivery up, damages, and interest. An inquiry under the cross-undertaking in damages is ordered for Ansol but refused...

Parties
Claimant: Tamara Ecclestone; First Defendant: Omar Khyami; Second Defendant: Elite Performance Cars Limited; Third Defendant: Ansol Trading Limited (trading as Four Seasons Autos)
Jurisdiction
England and Wales
Judgment Date
20 January 2014
Procedural Posture
Civil / Judgment After Trial
Outcome
Claim dismissed as against Elite and Ansol; judgment for Elite and Ansol on their counterclaims for conversion and related relief.
Legal Topics
Conversion, Illegality Defence, Injunctions, Damages, Ownership of Goods, Cross Undertaking in Damages
Tort Property Law Civil Procedure Conversion Illegality Defence Injunctions Damages Ownership of Goods +1 more

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Parties

Tamara Ecclestone

Claimant

Omar Khyami

First Defendant

Elite Performance Cars Limited

Second Defendant

Ansol Trading Limited (trading as Four Seasons Autos)

Third Defendant

Procedural Posture

Civil / Judgment After Trial

Legal Issues

  1. 1 Whether the Lamborghini Aventador was a gift from Ms Ecclestone to Mr Khyami
  2. 2 Whether Mr Khyami transferred title in the car to Elite
  3. 3 Whether Elite transferred title in the car to Ansol

Ratio Decidendi

The car was a gift from Ms Ecclestone to Mr Khyami, who transferred title to Elite in satisfaction of a debt. Elite lawfully acquired title and possession from Mr Khyami, and subsequently sold the car to Ansol. Ms Ecclestone's claim for conversion failed as she had no better right to the car. Her obtaining of an injunction based on false evidence constituted conversion against Elite and Ansol. Illegality in Elite's method of obtaining possession did not defeat its title, as title was derived from Mr Khyami. Elite is entitled to damages for conversion; Ansol is entitled to delivery up, damages, and interest. An inquiry under the cross-undertaking in damages is ordered for Ansol but refused...

Court Disposition

Claim dismissed as against Elite and Ansol; judgment for Elite and Ansol on their counterclaims for conversion and related relief.

Orders

  • Ms Ecclestone's claim for conversion dismissed
  • Elite awarded £7,500 damages for conversion