diff --git a/spring-data-rest-webmvc/src/main/java/org/springframework/data/rest/webmvc/config/RepositoryRestMvcConfiguration.java b/spring-data-rest-webmvc/src/main/java/org/springframework/data/rest/webmvc/config/RepositoryRestMvcConfiguration.java
index 63cac206b..598540e59 100644
--- a/spring-data-rest-webmvc/src/main/java/org/springframework/data/rest/webmvc/config/RepositoryRestMvcConfiguration.java
+++ b/spring-data-rest-webmvc/src/main/java/org/springframework/data/rest/webmvc/config/RepositoryRestMvcConfiguration.java
@@ -114,6 +114,7 @@ import org.springframework.http.converter.json.MappingJackson2HttpMessageConvert
 import org.springframework.plugin.core.OrderAwarePluginRegistry;
 import org.springframework.plugin.core.PluginRegistry;
 import org.springframework.util.ClassUtils;
+import org.springframework.web.bind.support.ConfigurableWebBindingInitializer;
 import org.springframework.web.method.support.HandlerMethodArgumentResolver;
 import org.springframework.web.servlet.mvc.method.annotation.ExceptionHandlerExceptionResolver;
 import org.springframework.web.servlet.mvc.method.annotation.RequestMappingHandlerAdapter;
@@ -483,8 +484,13 @@ public class RepositoryRestMvcConfiguration extends HateoasAwareSpringDataWebCon
 
 		AnnotationAwareOrderComparator.sort(processors);
 
+		// Forward conversion service to handler adapter
+		ConfigurableWebBindingInitializer initializer = new ConfigurableWebBindingInitializer();
+		initializer.setConversionService(defaultConversionService());
+
 		RepositoryRestHandlerAdapter handlerAdapter = new RepositoryRestHandlerAdapter(defaultMethodArgumentResolvers(),
 				processors);
+		handlerAdapter.setWebBindingInitializer(initializer);
 		handlerAdapter.setMessageConverters(messageConverters);
 
 		return handlerAdapter;
diff --git a/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/AuthorsController.java b/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/AuthorsController.java
new file mode 100644
index 000000000..5f425c79d
--- /dev/null
+++ b/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/AuthorsController.java
@@ -0,0 +1,41 @@
+/*
+ * Copyright 2014 the original author or authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *      http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.springframework.data.rest.webmvc.jpa;
+
+import org.springframework.data.rest.webmvc.RepositoryRestController;
+import org.springframework.http.HttpEntity;
+import org.springframework.http.HttpStatus;
+import org.springframework.http.ResponseEntity;
+import org.springframework.util.Assert;
+import org.springframework.web.bind.annotation.PathVariable;
+import org.springframework.web.bind.annotation.RequestMapping;
+import org.springframework.web.bind.annotation.RequestMethod;
+
+/**
+ * Sample custom controller to test the ability to override
+ * 
+ * @author Oliver Gierke
+ */
+@RepositoryRestController
+public class AuthorsController {
+
+	@RequestMapping(value = "/authors/{author}", method = RequestMethod.DELETE)
+	HttpEntity<?> deleteAuthor(@PathVariable Author author) {
+
+		Assert.notNull(author, "Author must not be null!");
+		return new ResponseEntity<Object>(HttpStatus.I_AM_A_TEAPOT);
+	}
+}
diff --git a/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/JpaWebTests.java b/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/JpaWebTests.java
index d8057db92..7abf036ee 100644
--- a/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/JpaWebTests.java
+++ b/spring-data-rest-webmvc/src/test/java/org/springframework/data/rest/webmvc/jpa/JpaWebTests.java
@@ -552,9 +552,9 @@ public class JpaWebTests extends CommonWebTests {
 	@Test
 	public void returns404WhenTryingToDeleteANonExistingResource() throws Exception {
 
-		Link authorsLink = client.discoverUnique("authors");
+		Link receiptsLink = client.discoverUnique("receipts");
 
-		mvc.perform(delete(authorsLink.getHref().concat("/{id}"), 4711)).//
+		mvc.perform(delete(receiptsLink.getHref().concat("/{id}"), 4711)).//
 				andExpect(status().isNotFound());
 	}
 
@@ -614,6 +614,20 @@ public class JpaWebTests extends CommonWebTests {
 				status().isPreconditionFailed());
 	}
 
+	/**
+	 * @see DATAREST-423
+	 */
+	@Test
+	public void invokesCustomControllerAndBindsDomainObjectCorrectly() throws Exception {
+
+		MockHttpServletResponse authorsResponse = client.request(client.discoverUnique("authors"));
+
+		String authorUri = JsonPath.read(authorsResponse.getContentAsString(), "$._embedded.authors[0]._links.self.href");
+
+		mvc.perform(delete(authorUri)).//
+				andExpect(status().isIAmATeapot());
+	}
+
 	/**
 	 * Asserts the {@link Person} resource the given link points to contains siblings with the given names.
 	 *