Kaye/Bassman International Corp. v. Help Desk Now, Inc.

321 S.W.3d 806, 2010 WL 3310723
CourtCourt of Appeals of Texas
DecidedOctober 4, 2010
Docket05-08-01708-CV
StatusPublished
Cited by20 cases

This text of 321 S.W.3d 806 (Kaye/Bassman International Corp. v. Help Desk Now, Inc.) 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
Kaye/Bassman International Corp. v. Help Desk Now, Inc., 321 S.W.3d 806, 2010 WL 3310723 (Tex. Ct. App. 2010).

Opinion

OPINION

Opinion By

Justice LANG-MIERS.

This appeal arises from a dispute about whether appellee Help Desk NOW, Inc. is required to pay certain commissions to appellant Kaye/Bassman International Corp. After both sides moved for summary judgment, the trial court denied Kaye/Bassman’s motion and granted summary judgment in favor of Help Desk NOW. On appeal, Kaye/Bassman argues that the trial court erred when it granted summary judgment in favor of Help Desk NOW and denied summary judgment in favor of Kaye/Bassman. We reverse the trial court’s summary judgment in part, affirm in part, and remand this cause to the trial court for further proceedings consistent with this opinion.

Background

The Parties

Help Desk NOW is in the call-center business and contracts with companies to provide call centers for customer service and technical support relating to a company’s products or services. Kaye/Bassman is a recruiting and staffing firm that places sales people and executives with clients in various industries, including the call-center industry. According to Kaye/Bassman, it also brings business to its clients who run call centers by introducing those clients to Kaye/Bassman’s industry contacts who are aware of companies that need a call center.

Matt Sherman and Synchronoss Technologies, Inc.

Although the parties apparently disagree about the purpose of the introduction, they agree that Kaye/Bassman introduced Help Desk NOW to a man named Matt Sherman. 1 Sherman subsequently introduced Help Desk NOW to Synchro-noss Technologies, Inc., which ultimately became a call-center client of Help Desk *809 NOW. In exchange for the client referral, Help Desk NOW agreed to pay a commission to Sherman.

The Parties’ Agreements

Although the parties also apparently disagree about how, exactly, the agreement came about, they agree that in July 2004, around the time that Sherman introduced Help Desk NOW to Synchronoss, Kaye/Bassman and Help Desk NOW entered into a Call Center Business Agreement (the Original Agreement) governing Help Desk NOW’s payment of commissions to Kaye/Bassman. 2 The Original Agreement states, in relevant part, as follows:

1. Prospective Clients — [Kaye/Bass-man] agrees to refer certain business prospects/clients to Help Desk Now.[ 3 ] [Kaye/Bassman] will earn fees based on the percentage of revenue generated from the production of business prospects/clients introduced by [Kaye/Bassman].
2. Fee paid to [Kaye/Bassman]— Help Desk Now agrees to pay [Kaye/Bassman] 2.5% of the billed revenue that Help Desk Now earns from any and all revenues generated through [Kaye/Bassman] and their efforts on Help Desk Now’s behalf. [Kaye/Bassman] will receive payments of these fees as long as Help Desk Now continues to collect on billed revenues from the work introduced by business prospects/clients through [Kaye/Bassman],
It is understood and agreed to by both parties that for any specific opportunity the commission structure may be mutually adjusted in order to successfully win the business opportunity.
5. Termination — Either party may terminate this agreement by providing 30 days written notice. [Kaye/Bassman] will continue to rer ceive fee payment as long as Help Desk Now continues to generate revenue from the referral client or referred business.

In October 2004, Synchronoss signed a call-center agreement with Help Desk NOW and became Help Desk NOW’s biggest client. Pursuant to the terms of the Original Agreement, Help Desk NOW paid Kaye/Bassman 2.5% of the billed revenue from the Synchronoss account.

Over the next sixteen months, Sherman referred three other clients to Help Desk NOW. Help Desk NOW and Kaye/Bass-man entered into two addenda to the Original Agreement to address the commissions to be paid to Kaye/Bassman from revenues generated from the first two of those three clients. They disagreed about whether Kaye/Bassman was entitled to any commission from the third client, Cap-Gemini Energy. To resolve that dispute, the parties entered into a third addendum to the Original Agreement, in which Help Desk NOW agreed to pay Kaye/Bassman 1% of the billed revenue from the Cap- *810 Gemini Energy account. Six months later, in November 2005, the parties signed a fourth and final addendum (the Fourth Addendum) to the Original Agreement. The Fourth Addendum states, in relevant part, as follows:

This Addendum is to both the [OJriginal Agreement between the parties, dated July 27, 2004, and the [Third] Addendum dated May 13, 2005. As part of the agreement between the parties wherein Help Desk NOW would pay Kaye/Bass-man for the CapGemini Energy contract, the following stipulations were also agreed upon by both parties and are hereby included in all agreements heretofore consummated by the parties:
1. That any contract that Help Desk NOW enters into with an existing or new Help Desk NOW client will not entitle Kaye/Bassman or Mr. Eddie Hill any [sic] fee or other compensation unless agreed upon in writing in advance of Help Desk NOW entering into such contracts.
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3. It is expressly understood by both parties that Mr. Matthew Sherman no longer has any business relationship with Kaye/Bassman and/or Mr. Eddie Hill that would encumber Help Desk NOW or prevent Help Desk Now from doing business with Mr. Sherman. If Mr. Sherman brings another deal to Help Desk NOW that results in a contract, neither Kaye/Bassman nor Eddie Hill would be entitled to any fee or other compensation from Help Desk NOW.
4. Help Desk NOW appreciates the involvement it has had with Kaye/Bassman to date and will meet its financial obligations to Kaye/Bassman as per the [Original] Agreement between the parties and the subsequent Addendums, including this one.
5.Help Desk NOW is now aware of how Kaye/Bassman expects to be compensated for future deals that Help Desk NOW may participate in as a result of the efforts of someone that Kaye/Bassman has introduced to Help Desk NOW. Other than any future deals that Matt Sherman may bring to Help Desk NOW, as covered in item 3, above, Help Desk NOW agrees that Kaye/Bassman is entitled to be compensated for the deals that someone that they introduced to us as a client that they represent, and all future deals within a time frame of two (2) years from the date of the last deal that the introduced Kaye/Bassman client helped Help Desk NOW close. The amount and duration of such compensation for all deals will be negotiated between Help Desk NOW and Kaye/Bassman. Unless the Kaye/Bassman client is identified as a Kaye/Bassman client by Kaye/Bassman or by the Kaye/Bass-man client prior to Help Desk NOW closing an agreement for services, Help Desk NOW will not be liable for any payments to Kaye/Bassman or any of Kaye/Bassman’s employees.

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Cite This Page — Counsel Stack

Bluebook (online)
321 S.W.3d 806, 2010 WL 3310723, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kayebassman-international-corp-v-help-desk-now-inc-texapp-2010.