Mark Kane Bugely (defendant) rented a car worth $6500 for two days ending September 16, 1985. The rental contract permitted Bugely to extend the rental term, provided he called the firm and obtained its agreement to the extension. Bugely followed this procedure to extend the rental term twice. The final extension ended on September 27, 1985. Bugely did not return the car on that date and did not contact the firm for another extension. The firm tried unsuccessfully to contact Bugely, and then reported the missing car to police. Two weeks later, the police found the car in another city. The State of Iowa (plaintiff) charged Bugely with the statutory crime of theft by misappropriation. Under the statute, a person could be prosecuted if he failed to return property to its owner within three days of the specified return date. The judge at Bugely's bench trial inferred from the evidence that Bugely's failure to return the car within three days of September 27 constituted misappropriation. The judge convicted Bugely, who appealed to the Court of Appeals of Iowa.