Majorsky v. Douglas

58 A.3d 1250, 2012 Pa. Super. 258, 2012 WL 5928366, 2012 Pa. Super. LEXIS 3496
CourtSuperior Court of Pennsylvania
DecidedNovember 27, 2012
StatusPublished
Cited by53 cases

This text of 58 A.3d 1250 (Majorsky v. Douglas) is published on Counsel Stack Legal Research, covering Superior Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Majorsky v. Douglas, 58 A.3d 1250, 2012 Pa. Super. 258, 2012 WL 5928366, 2012 Pa. Super. LEXIS 3496 (Pa. Ct. App. 2012).

Opinion

OPINION BY

WECHT, J.:

Paul Majorsky and Margaret A. Major-sky (“Appellants”) appeal the order, dated August 15, 2011, and docketed on August 26, 2011, which dismissed all of their claims against the partnership D.J. Hess Advertising (“DJH”) and individuals George A. Douglas and J.C. Natale. After careful review of the lengthy record, the [1253]*1253detailed reasoning of the trial court, and the arguments of the parties, we affirm.

The trial court has provided the following thorough and incisive account of the factual and procedural history of this case:

Factual Overview

This is a dispute between former business partners who sold promotional products (e.g., mousepads, keychains, personalized pens) manufactured by third-party vendors. Plaintiff, Paul Ma-jorsky (hereinafter “Mr. Majorsky”), created PBK Promotional Products (hereinafter “PBK”) in 1985. At the time, Mr. Majorsky was employed as a Professor of Accounting with Robert Morris University (“RMU”), an institution of higher learning in the Pittsburgh area. RMU eventually became a key customer of PBK and of Mr. Majorsky’s subsequent partnership.
Because of his more than two decades of involvement in the promotional products business, Mr. Majorsky claimed certain of his customers began to refer to him as the “trinkets and trash man,” and referred to him and his wife jointly as “Mr. and Mrs. PBK.” Mr. Majorsky never sought intellectual property protection for these colorful monikers. Nor did he ever utilize them in any advertisements, mailings or solicitations. In 1999, while still apparently basking in the high esteem his customers afforded his name in the promotional products industry in Western Pennsylvania, Mr. Majorsky brought George A. Douglas (hereinafter, “Mr. Douglas,”) into PBK as a partner. Pursuant to an oral agreement, the two men operated PBK as a 50-50 partnership. Mr. Douglas has been named as a Defendant in this lawsuit.
In 2001, Majorsky and Douglas joined with J.C. Natale, (hereinafter “Mr. Na-tale”) to forge a new business partnership standing separately from PBK but still dealing with promotional products. That partnership became known as “D.J. Hess Advertising.” All the partners owned equal shares of the partnership. However, Mr. Majorsky did perform significant administrative duties in return for additional compensation. Both Mr. Natale and [DJH] are Defendants in this lawsuit.
After purchasing [DJH],
In 2003 disputes arose over the partnership structures and compensation arrangements of both PBK and [DJH]. The partners of PBK (Mr. Douglas and Mr. Majorsky) moved to terminate their [PBK] partnership by drafting a handwritten document outlining details of the anticipated dissolution....
In October of 2003 the majority of the partners in [DJH] (Mr. Douglas and Mr. [Natale]) voted in favor of altering the compensation scheme, while Mr. Major-sky voted against it. Thus, despite lacking unanimity, the vote resulted in a new financial arrangement. In November of 2003, because of his irreconcilable differences with his partners in PBK (Mr. Douglas) and [DJH] (Mr. Douglas and Mr. Natale), Mr. Majorsky instituted suit against Mr. Douglas and Mr. Na-tale. That lawsuit, identified as Majorsky v. Douglas, et al. (Allegheny Coun[1254]*1254ty Court of Common Pleas, No. GD 03-22473), shall be referred to throughout as the “Prior Action”).
The Prior Action
An extended overview and discussion of Mr. Majorsky’s prior lawsuit against Mr. Douglas and Mr. Natale is necessary because of this Court’s holding that the doctrine of res judicata bars and precludes many of the causes of action sought to be advanced by Mr. Majorsky in this action, particularly as relates [to] the continued “use” of Mr. Majorsky’s name by the Defendants and the inclusion of his name on the [DJH] website. Moreover, in this lawsuit Mr. Majorsky pursued claims under the Dragonetti Act, which also draws the claims and defenses of the Prior Action to the fore. In the Prior Action, Mr. Majorsky filed a Complaint alleging Mr. Douglas and Mr. Natale attempted to “freeze him out” of the partnerships. Mr. Majorsky cited numerous examples of such conduct in the Complaint.2 Mr. Majorsky sought injunctive relief to prevent ongoing harm to his business reputation. He specifically requested the Court to order the Defendants to either remove the new [DJH] website from the Internet or to correct its contents, as the site “was established with misleading or inaccurate contact information.... ” (Almost more than a decade later, Mr. Majorsky continues to generate litigation focused upon the content of this low tech, minimally used website).
In August of 2004, Mr. Majorsky amended his Complaint in the Prior Action to allege the change to an incentive based allocation of profits in [DJH] occurred against his will and contrary to a binding agreement between the partners, and therefore stood contrary to 15 Pa.C.S. § 8331(8) of the Pennsylvania Uniform Partnership Act. Mr. Major-sky’s Amended Complaint also provided new examples of acts by the Defendants that purportedly violated the partnership agreements and the Pennsylvania Uniform Partnership Act. Mr. Majorsky averred these actions damaged his business interests and reputation in the promotional products industry. Mr. Major-sky further requested an accounting of partnership affairs, the dissolution of the partnership, and an award of monetary damages to compensate him for the loss of his partnership interest and lost future profits....
In their Answer and New Matter filed on January 24, 2005, Defendants averred that none of the acts alleged by Mr. Majorsky as “freezing him out” of the partnership breached the partnership agreement or violated Pennsylvania law. While admitting the majority of the actions attributed to them by Mr. Majorsky, the Defendants averred that these acts were necessary to sustain the business in light of Mr. Majorsky’s sudden abdication of his expected administrative duties and partnership obligations. As to the specific issue of the manner in which the partners were identified on the new [DJH] website, Defendants replied as follows:
It is admitted that Douglas undertook actions to establish a website for [DJH] under the domain name www. djhessadv.com. However, it is denied that Douglas’ name is listed as a primary [contact] name for sales purposes. To the contrary, Douglas’ [1255]*1255name is listed as the primary contact name for purposes of setting up the domain and website, not for sales of products. [Mr. Majorsky’s • name] along with Douglas and Natale, are all listed on the website as sales contacts. These actions were not contrary to, in breach of or in violation of the partnership agreement or the Pennsylvania Uniform Partnership Act.
Defendants’ Answer also contained Counterclaims against Mr. Majorsky and sought to add an Additional Defendant to the Prior Action, his wife, Margaret “Peg” Majorsky. Defendants alleged that Mr. Majorsky’s participation in a new partnership named “Peg’s Custom Products” — formed by Mr.

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Bluebook (online)
58 A.3d 1250, 2012 Pa. Super. 258, 2012 WL 5928366, 2012 Pa. Super. LEXIS 3496, Counsel Stack Legal Research, https://law.counselstack.com/opinion/majorsky-v-douglas-pasuperct-2012.