Mistaken Improvement

Question 1

Munro v Wilmott

Answer 1

Facts: Owner of a car had left it for nearly three years in the yard of an inn, with the consent of the licensee - licensee found car to be causing to difficulty to drivers who used the yard; unable to trace its owner, licensee had car repaired and sold for profit.

Held: P wins damages, but damages discounted by D’s mistaken improvement. P did not have authority to and was not acting as an agent of necessity.

Question 2

Greenwood v Bennett

Answer 2

Facts: P owned Jaguar car, rogue employee damaged it and sold it to D. D repaired car at own expense, sold to a financing company, which in turn sold to A. Stolen car discovered and cops recovered it from A.

Held (Denning): D wins, order P to pay D the £226; for that is the only way of putting the position right. The plaintiffs should not be allowed unjustly to enrich themselves at his expense. P ordered, if they recover the car, or its improved value, to recompense D for the work he has done on it.