## Facts

- Red Husky, LLC leased a 1998 Kenworth semi-tractor to Daniel Bowne and Bowne Transport, LLC in August 2008.
- In August 2010, Bowne began renting a building owned by the Roy Bayer Trust on a month-to-month basis.
- Bowne stopped paying rent, defaulted on the tractor lease, and abandoned the building, leaving the Kenworth and other personal property on the premises.
- In September 2011, Red Husky attempted to retrieve the Kenworth, but Penny Harris (trustee) refused, asserting the Trust had a lien based on unpaid rent and property left in the building.
- Red Husky sued in November 2011 seeking replevin of the Kenworth and damages; the Trust was joined as a necessary party in June 2012.
- The trial court entered default judgment against Bowne on replevin and breach of lease, granted Red Husky summary judgment against Harris and the Trust ordering release of the Kenworth, and later awarded Red Husky $10,000 for deterioration during the period of detention.
- Harris appealed the summary judgment; Red Husky cross-appealed, seeking additional damages for loss of use.

## Issues

1. Whether summary judgment was proper because the Trust had no valid lien or superior interest allowing it to detain a third party’s vehicle left on leased premises.
2. Whether the trial court abused its discretion by awarding $10,000 for deterioration and by failing to award additional damages for loss of use of the wrongfully detained vehicle.

## Decision

- The Court of Appeals affirmed summary judgment for Red Husky, holding the Trust did not have a valid lien against the Kenworth that justified refusing to release it.
- The court affirmed the $10,000 damages award for deterioration as supported by the evidence.
- The court remanded for the trial court to determine whether Red Husky was entitled to additional damages for loss of use of the Kenworth.

## Legal Principles

- A landlord’s rent dispute with a tenant does not, without a valid lien or enforceable security interest recognized by law, create a right to detain personal property owned by a third party and left on the leased premises.
- Summary judgment is proper when there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law on the existence and priority of any claimed lien.
- In replevin-type actions, damages may include compensation for deterioration in value during wrongful detention when supported by evidence.
- Loss-of-use damages may be recoverable in addition to deterioration damages, but entitlement and amount depend on the evidentiary showing and may require factfinding.

## Conclusion

The appellate court upheld Red Husky’s right to immediate possession because the Trust lacked a valid lien against the Kenworth, affirmed $10,000 for deterioration during wrongful detention, and sent the case back for a focused determination of whether Red Husky proved additional loss-of-use damages.


Roy Bayer Tr. v. Red Husky, LLC, 13 N.E.3d 415 (Ind. Ct. App. 2014)