Duncan Hannah, a lance-corporal in the Royal Artillery, was stationed at Gwernhaylod House in Overton-on-Dee, Shropshire, in August 1940. The house had been conveyed to the defendant Hugh Edmund Ethelston Peel on 13 December 1938, but Peel never occupied it, as it was requisitioned under the Defence Regulations on 5 October 1939, released after some months, and requisitioned again on 16 July 1940, for which Peel received £250 a year in compensation.
On 21 August 1940, while occupying an upstairs room in the house being used as a sick bay, Hannah was adjusting the blackout curtains when his hand touched something loose that he thought to be a piece of dirt or plaster. He picked it up and dropped it outside the window on to the window-ledge. The next morning in daylight he found that the object was a brooch covered with spider's web and dirt.
At the end of October 1940, after cleaning the brooch and showing it to his wife, Hannah consulted Major Lawrie, his commanding officer, and on his advice the brooch was handed by Major Lawrie on behalf of the plaintiff to Sergeant Blodwell Williams of the Flintshire police at the Overton police station, for which a receipt was given.
In a letter of 22 November 1941, the agents for the defendant asserted their claim, stating that on the assumption that the brooch was in the wall crevice when Major Peel purchased the house, the brooch is Major Peel's property. The defendant offered the brooch to Spink & Son Ltd, who offered £60 and later raised that to £66, and they themselves sold the brooch for £88.
The plaintiff claimed the return of the brooch or its value on the ground that he was the finder, while the defendant denied the plaintiff's right and pleaded that as freeholder his title was superior.
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