Century Papers, Inc. v. Perrino

551 S.W.2d 507, 1977 Tex. App. LEXIS 2961
CourtCourt of Appeals of Texas
DecidedMay 10, 1977
Docket8409
StatusPublished
Cited by11 cases

This text of 551 S.W.2d 507 (Century Papers, Inc. v. Perrino) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Century Papers, Inc. v. Perrino, 551 S.W.2d 507, 1977 Tex. App. LEXIS 2961 (Tex. Ct. App. 1977).

Opinion

RAY, Justice.

Charles C. Perrino, appellee (plaintiff), brought suit against Century Papers, Inc., appellant (defendant), for breach of an employment contract. Perrino claimed to have been discharged without cause. Century answered that Perrino was unable to perform his duties and responsibilities, and that under such circumstances his discharge was specifically sanctioned by the contract. Trial was held before the court without the aid of a jury and judgment rendered for Perrino. Findings of fact and conclusions of law were filed by the trial court.

Century has perfected its appeal and submits five points of error for our consideration. Appellant asserts there is no evidence to support the court’s fact findings related to Perrino’s performance of his contractual duties, to just cause for his dismissal, or to his ability to perform his contractual duties. Century further asserts that damages were wrongly assessed when the trial court failed to properly consider Century’s offer to reemploy Perrino, Perrino’s probable life expectancy, and Perrino’s receipt of unemployment compensation.

On January 8,1971, Perrino sold his retail packaging company in Dallas to Century and agreed to go to work for the Houston based corporation which had been his competitor in the wholesale distribution of paper products. Century agreed to employ Perrino for ten years at a salary of $15,-000.00 per year. The contract provided for termination by Century at any time for “just cause.” The term “just cause” is defined to include the following:

“(g) Inability on the part of Perrino to perform his duties and responsibilities hereunder on account of illness or other incapacity, either physical or mental, continuing for a period of more than ninety (90) days.”

The contract as written neither specifies nor describes the services to be rendered by Perrino. He was required only to “. devote his best efforts and his entire working time to further the interest of Company

On January 13, 1971, the president of Century issued a memorandum to its managerial personnel describing the desired effect of the employment of Perrino and the absorption of his company. Perrino was to *509 become the manager of Century’s Dallas Apparel Mart showroom. He was to solicit retail packaging and store display business from prospects attending the shows, make direct customer calls on accounts in the Dallas-Fort Worth area, and assist salesmen from various offices when requested to do so by distribution center managers.

Further indication of Perrino’s duties and responsibilities was presented in a second memorandum to corporate personnel on October 12, 1973. The Apparel Mart showroom was to be closed when no market was being held for several stated purposes, including that of freeing Perrino for more effective outside sales assistance.

All went well until January 22, 1974, when Perrino suffered a heart attack. He was released from the hospital on February 6, 1974, but dispute remains as to the degree to which performance of his duties was impaired. From March 4 to March 15,1974, Perrino handled routine business at the Apparel Mart. After that time his physicians advised him that his condition had deteriorated and that prolonged rest was necessary. Perrino, however, continued to appear at the Apparel Mart and attended market shows. Some discussion of the possibility of a leave of absence ensued but without finality.

Century’s sales had to some extent declined with Perrino’s health. The duties he had performed in preparation for the shows were no longer being performed. The corporate president became convinced that Perrino was not performing any substantial work, and on April 29,1974, issued notice of termination.

By its first point of error the appellant asserts that it was justified in terminating Perrino’s contract of employment because of his inability to perform his duties and responsibilities, and that findings of the trial court to the contrary are without support.

There is no dispute over the nature and extent of services rendered by Perrino after his heart attack. The services were limited. Dispute exists as to whether the performance of these services fell below what was required by the contract.

The appellant contends that Perrino was bound to perform all duties alluded to in the memoranda to corporate personnel of January 13, 1971, and October 12, 1973. It is urged that these memoranda constitute modifications of the general terms of the original contract.

The determination of the existence of a modification of the contract depends upon the intent of the parties and is therefore a question of fact. Stowers v. Harper, 376 S.W.2d 34, 39 (Tex.Civ.App. Tyler 1964, writ ref’d n.r.e.); 56 C.J.S. Master and Servant § 131(2). Century requested no finding and made no conclusive showing that modification of the employment contract was accepted. Perrino was therefore entitled to insist upon compliance with the termination provision of the contract as written. American Brake Shoe Company v. Coombs, 418 S.W.2d 841 (Tex.Civ.App. Corpus Christi 1967, writ ref’d n.r.e.).

It became the duty of the finder of fact to determine whether the employer had “just cause” to terminate under the contract. Ward v. Consolidated Foods Corporation, 480 S.W.2d 483, 486 (Tex.Civ.App. Waco 1972, writ ref’d n.r.e.). The trial court’s finding of fact that the contract was not terminated for just cause is supported by the evidence. There is, indeed, no evidence of anything Perrino failed to do which would constitute a breach of any duty owed under the contract. Zuider Zee Oyster Bar, Inc. v. Martin, 503 S.W.2d 292, 293 (Tex.Civ.App. Fort Worth 1973, writ ref’d n.r.e.). The appellant’s first point of error is overruled.

Appellant’s second point of error is as follows:

“Perrino failed to prove by a preponderance of the evidence that he was able to perform his contractual duties and the trial court’s finding of fact that Perrino was able to perform is supported by no evidence.”

The evidence of the state of Perrino’s health is conflicting. However, in light of the general description of the obligations *510 under the contract, the trial court’s finding that Perrino was ready and able to perform cannot be said to be in error as a matter of law. Point of error No. II is overruled.

Appellant states in its third point of error that no recovery can be had against it because it offered to reinstate Perrino. This offer was supposedly contained in the notice of dismissal. In being notified that his contract was being terminated, Perrino was advised that if he desired to return to work after he had been operated upon, if his health permitted, and if his doctors and Century’s doctors approved, the matter would be discussed.

The appellant cites Texas Benev. Assoc, v. Bell, 3 Willson, Civ.Cas.Ct.App. § 277, P.

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551 S.W.2d 507, 1977 Tex. App. LEXIS 2961, Counsel Stack Legal Research, https://law.counselstack.com/opinion/century-papers-inc-v-perrino-texapp-1977.