Diesel Injection Sales & Service, Inc. v. Gonzalez

631 S.W.2d 193, 1982 Tex. App. LEXIS 4091
CourtCourt of Appeals of Texas
DecidedFebruary 25, 1982
Docket2435
StatusPublished
Cited by16 cases

This text of 631 S.W.2d 193 (Diesel Injection Sales & Service, Inc. v. Gonzalez) 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
Diesel Injection Sales & Service, Inc. v. Gonzalez, 631 S.W.2d 193, 1982 Tex. App. LEXIS 4091 (Tex. Ct. App. 1982).

Opinion

OPINION

NYE, Chief Justice.

This is an appeal from a denial of a temporary injunction. Diesel Injection Sales and Service (Diesel Injection) as plaintiff, filed suit against Hector Gonzalez, John Way and Schwing Diesel Company, Inc. (Schwing), as defendants, to enforce a non-competition covenant in Gonzalez’ and Way’s employment contracts. 1 The district court denied the application for temporary injunction and plaintiff appealed.

Diesel injection is in the specialized business of diesel engine repair work, involving diesel injection services and the rebuilding of fuel injection systems on diesel engines. They also offer over-the-counter sales of diesel related parts. Gonzalez and Way, former employees of Diesel Injection, left the company and began working for Schwing in violation of their employment agreements. These agreements were to be effective for a period of two years after terminating their employment with Diesel Injection.

Testimony at the hearing reflects that Diesel Injection and Schwing are the only two diesel injection businesses in Nueces County which service the major manufacturers of fuel injection equipment. Diesel Injection asserts that in this specialized field the competition is keen, and therefore the continued violation by the appellees of their employment contracts threatens the goodwill and reputation of Diesel Injection. They seek injunctive relief to enforce their employment agreements with Gonzalez and Way and to enjoin Schwing from employing Gonzalez and Way in violation of said agreements.

The only question before the Court in a hearing on the application for a temporary injunction is the right of the applicant to a preservation of the status quo of the subject matter of the suit pending a final trial of the case on its merits. Transport Co. of Texas v. Robertson Transports, 152 Tex. 551, 261 S.W.2d 549 (1953); AMF Tuboscope v. McBryde, 618 S.W.2d 105 (Tex.Civ.App.—Corpus Christi 1981, writ ref’d n. r. e.); Home Sav. Ass'n v. Ramirez, 600 S.W.2d 911 (Tex.Civ.App.—Corpus Christi 1980, writ ref’d n. r. e.). To prevail on an application for temporary injunction, an applicant need only plead a cause of action and show a probable right on final trial to the relief he seeks and probable injury in the interim. Sun Oil Co. v. Whitaker, 424 S.W.2d 216, 218 (Tex.1968). See Davis v. Huey, 571 S.W.2d 859 (Tex.1978); AMF Tuboscope v. McBryde, supra.

The general rule of law in Texas is that a trial court is clothed with broad *195 discretion in determining whether to issue, or not, a temporary injunction to preserve the rights of the parties pending a final trial of the case on its merits. When that discretion is exercised, it should not be overturned on appeal unless the record discloses a clear abuse of discretion. Texas Foundries, Inc. v. International Moulders & Foundry Workers’ Union, 151 Tex. 239, 248 S.W.2d 460 (Tex.1952); Home Sav. Ass’n v. Ramirez, supra. In reviewing the order denying the temporary injunction, we must draw all legitimate inferences from the evidence in the light most favorable to the trial court’s judgment. Hartwell’s Office World, Inc. v. Systex Corporation, 598 S.W.2d 636 (Tex.Civ.App.—Houston [14th Dist] 1980, writ ref’d n. r. e.). In addition, in reviewing a trial court’s judgment where findings of fact and conclusions of law are not filed, this Court will uphold the judgment on any legal theory supported by the evidence. Seaman v. Seaman, 425 S.W.2d 339 (Tex.1968); Public Utilities Bd. v. Central Power & Light, 587 S.W.2d 782 (Tex.Civ.App.—Corpus Christi 1979, writ ref’d n. r. e.).

In the present case, the evidence reveals that Gonzalez and Way worked for Diesel Injection as diesel engine mechanics with virtually no contact with the public. There is no evidence to indicate that Gonzalez or Way succeeded in or attempted to “pirate” away customers from Diesel Injection to Schwing. Frank Schwing, part-owner of Schwing Diesel, testified that as a result of having employed Gonzalez and Way, Schwing Diesel had not received any additional business; Gonzalez and Way had not brought Schwing Diesel any new customers; nor had Schwing Diesel obtained any new techniques, procedures or secrets.

This case is similar in all respects to a prior case appealed to this Court between Diesel Injection, as plaintiffs, and another former employee who was hired by Schwing Diesel Injection. In our decision in that case we held that Diesel Injection had pled a cause of action, may have shown a probable right to relief on the merits, but had failed to show a probable injury in the interim. Diesel Injection Sales & Service, Inc. v. Renfro, 619 S.W.2d 20, 22 (Tex.Civ.App.—Corpus Christi 1981, writ ref’d n. r. e.)

In an attempt to show probable injury in the interim under the present circumstances, Diesel Injection introduced testimony to show that they had suffered both a substantial monetary loss as well as a substantial loss to their goodwill and reputation in the community. In support of this position, Alton Koenning, president of Diesel Injection, testified that, as a result of Way and Gonzalez leaving Diesel Injection’s employment, Diesel Injection lost its account with Harker Drilling and Blocker Drilling. They assert that this resulted in a monetary loss to Diesel Injection in the sum of approximately fifty thousand dollars ($50,000.00). In addition, Koenning testified that as a direct result of having to train a substantial number of new employees, they have been damaged by not being able to get out their work as fast as when Gonzalez and Way were employed. Evidence was also presented to show that as a direct result of Gonzalez and Way leaving Diesel Injection’s employment, their business reputation and goodwill have been damaged through statements made by Schwing to various customers of Diesel Injection to the effect that Schwing had hired all of Diesel Injection’s key employees.

We find from the record competent evidence presented by Schwing rebutting the evidence of interim damages presented by Diesel Injection. Steve Hudson, a diesel fuel mechanic for Diesel Injection, testified that he did not believe that the loss of Gonzalez and Way had hurt the business of Diesel Injection.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Shoreline Gas, Inc. v. Chuck McGaughey
Court of Appeals of Texas, 2008
Valenzuela v. Aquino
763 S.W.2d 43 (Court of Appeals of Texas, 1988)
Philipp Bros., Inc. v. Oil Country Specialists, Ltd.
709 S.W.2d 262 (Court of Appeals of Texas, 1986)
Loomis International, Inc. v. Rathburn
698 S.W.2d 465 (Court of Appeals of Texas, 1985)
Ballenger v. Ballenger
694 S.W.2d 72 (Court of Appeals of Texas, 1985)
Garza v. City of Mission
684 S.W.2d 148 (Court of Appeals of Texas, 1984)
Port Isabel/South Padre Island Taxpayers Ass'n v. South Padre Island
669 S.W.2d 177 (Court of Appeals of Texas, 1984)
PT. ISABEL/S. PADRE IS., ETC. v. S. Padre Is.
669 S.W.2d 177 (Court of Appeals of Texas, 1984)
Canales v. Borg-Warner Acceptance Corp.
663 S.W.2d 677 (Court of Appeals of Texas, 1983)
Greathouse v. Greathouse
665 S.W.2d 801 (Court of Appeals of Texas, 1983)
Bank of the Southwest N.A. v. Harlingen National Bank
662 S.W.2d 113 (Court of Appeals of Texas, 1983)
Ogden v. Coleman
660 S.W.2d 578 (Court of Appeals of Texas, 1983)
Diesel Injection Sales & Services Inc. v. Renfro
656 S.W.2d 568 (Court of Appeals of Texas, 1983)

Cite This Page — Counsel Stack

Bluebook (online)
631 S.W.2d 193, 1982 Tex. App. LEXIS 4091, Counsel Stack Legal Research, https://law.counselstack.com/opinion/diesel-injection-sales-service-inc-v-gonzalez-texapp-1982.