Tanks and Vessels Industries Ltd v Devon Cider Company Ltd [2009] EWHC 1360 (Ch) (17 June 2009)

Tanks and Vessels Industries Ltd v Devon Cider Company Ltd [2009] EWHC 1360 (Ch) (17 June 2009)

TVI retained title to both the Palletiser and the Vessels until payment; Devon Cider's continued possession after expiry of the hire period (Palletiser) and after demand (Vessels) constituted conversion. The Palletiser agreement was a hire, not hire-purchase, with no agreed residual value. The Vessels were supplied on terms that title would not pass until payment. TVI is entitled to an order for delivery up of both items, but Devon Cider may alternatively pay damages assessed at market value as of the date of conversion.

Citation
[2009] EWHC 1360 (Ch)
Parties
Claimant: Tanks and Vessels Industries Limited; Defendant: Devon Cider Company Limited
Jurisdiction
England and Wales
Judgment Date
17 June 2009
Procedural Posture
Trial (claim and Counterclaim) / Judgment After Trial
Outcome
Claim allowed in part; counterclaim dismissed.
Legal Topics
Conversion, Sale of Goods, Retention of Title, Bailment, Damages, Hire Agreements
Commercial Law Tort Law Conversion Sale of Goods Retention of Title Bailment Damages Hire Agreements

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 6 Authorities cited 10 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

Tanks and Vessels Industries Limited

Claimant

Devon Cider Company Limited

Defendant

Procedural Posture

Trial (claim and Counterclaim) / Judgment After Trial

Legal Issues

  1. 1 Whether TVI retained title to the Palletiser and Vessels supplied to DCC/Devon Cider
  2. 2 Whether Devon Cider's retention of the Palletiser and Vessels constituted conversion under the Torts (Interference with Goods) Act 1977
  3. 3 Whether the agreement for the Palletiser was a hire or hire-purchase agreement

Ratio Decidendi

TVI retained title to both the Palletiser and the Vessels until payment; Devon Cider's continued possession after expiry of the hire period (Palletiser) and after demand (Vessels) constituted conversion. The Palletiser agreement was a hire, not hire-purchase, with no agreed residual value. The Vessels were supplied on terms that title would not pass until payment. TVI is entitled to an order for delivery up of both items, but Devon Cider may alternatively pay damages assessed at market value as of the date of conversion.

Court Disposition

Claim allowed in part; counterclaim dismissed.

Orders

  • Order for delivery up of the Palletiser and Vessels to TVI, with alternative for Devon Cider to pay damages by reference to market value at date of conversion (£12,000 for Palletiser as at September 2007; £72,000 for Vessels as at 18 January 2008).
  • Consequential damages for loss of use of the Palletiser not awarded in addition to market value damages.