Matuszak v. Houston Oilers, Inc.

515 S.W.2d 725, 1974 Tex. App. LEXIS 2719
CourtCourt of Appeals of Texas
DecidedOctober 30, 1974
Docket1098
StatusPublished
Cited by24 cases

This text of 515 S.W.2d 725 (Matuszak v. Houston Oilers, 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
Matuszak v. Houston Oilers, Inc., 515 S.W.2d 725, 1974 Tex. App. LEXIS 2719 (Tex. Ct. App. 1974).

Opinions

CURTISS BROWN, Justice.

This is an appeal from an interlocutory order granting a temporary injunction.

John Matuszak (Matuszak) and the Houston Texans (Texans) appeal from an order enjoining pendente lite the Texans from inducing, persuading, or encouraging John Matuszak- to repudiate or breach his contracts with the Houston Oilers with regard to the 1974, 1975 and 1976 football seasons, and from interfering with the Oil-ers’ contractual relations and business relations with Matuszak. Matuszak was enjoined from playing football or engaging in activities relating to football for any person, firm, corporation or institution other than the plaintiff Houston Oilers, except with the prior written consent of the Oilers and the Commissioner of the National Football League.

Matuszak, the National Football League’s number one draft choice in 1973, signed four consecutive one-year contracts to play football for the Oilers in that year. He signed the N.F.L. Standard Players’ Contract. This contract incorporates by reference all of the rules and regulations of the League including the so-called “Rozelle Rule.” He received a $55,000 bonus and earned an additional $5,000 bonus for making the All-Rookie Team for the 1973-74 season. The contract provides in part:

“The Player promises and agrees that during the term of this contract he will not play football or engage in activities related to football for any other person, firm, corporation or institution, or on his own behalf, except with the prior written consent of the Club and the Commissioner. . . :
The Player hereby represents that he has special, exceptional and unique knowledge, skill and ability as a football player, the loss of which cannot be estimated with any certainty and cannot be fairly or adequately compensated by damages and therefore agrees that the Club shall have the right, in addition to any other rights which the Club may possess, to enjoin him by appropriate injunction proceedings against playing football or any other professional sport, without the consent of the Club or engaging in activities related to football for any person, firm, corporation, institution, or on his own behalf, and against any other breach of this contract.”

Matuszak, apparently dissatisfied with his lot on the Oilers, made contact with Mr. Steven Arnold of the Texans and indicated an interest in joining their team. He stated that he believed that the terms of his contract with the Oilers were so unfair as to be not binding. He signed a contract with the Texans, participated with them in a press conference to announce that he had jumped leagues, and played for them in their «game against the New York Star, until served with a temporary restraining order. Prior to the hearing on the temporary injunction, Matuszak accompanied the Texans to Hawaii where he worked as a broadcaster for their game there.

The trial court entered a temporary injunction on September 10, 1974, finding that the Oilers had demonstrated a probable right to recover on the merits and had demonstrated a probable harm and inadequacy of their remedy at law. The court also found that Matuszak was unique and that his contract was presumptively valid.

Appellants Matuszak and the Texans attack the injunction on several grounds al[728]*728leging: Abuse of discretion, reversible error in excluding evidence, and refusing to allow bills of exception, unenforceability of the contract as a matter of equity and the Anti-Trust Laws of Texas, improper admission of hearsay, and vagueness of the order.

It is the well settled standard of review for temporary injunctions that they may be overturned only where a trial court has clearly abused its discretion. Transport Co. of Texas v. Robertson Transports, 152 Tex. 551, 261 S.W.2d 549 (1953). An applicant for a temporary injunction where permanent injunctive relief is sought upon final disposition must show a probable right on final hearing to a permanent injunction. Oil Field Haulers Ass’n v. Railroad Commission, 381 S.W.2d 183 (Tex.Sup.1964). In addition, they must demonstrate that they have no adequate remedy at law. May v. Lee, 28 S.W.2d 202 (Tex.Civ.App.—Galveston 1930, no writ). In enforcing negative covenants ancillary to contracts of employment an additional element is required, that is, a determination of whether or not the person against whom relief is sought is a person of “exceptional and unique knowledge, skill and ability in performing the service called for in the contract.” Dallas Cowboys Football Club, Inc. v. Harris, 348 S.W.2d 37, 42 (Tex.Civ.App.—Dallas 1961, no writ); Mission Independent School Dist. v. Diserens, 144 Tex. 107, 188 S.W.2d 568 (1945).

In assessing appellants’ no evidence, insufficient evidence and great weight of the evidence points we must observe that the latter two are improper in an appeal from an order granting or denying temporary injunction. If there is some evidence of substantive and probative character we may not find that the trial court abused its discretion. Houston v. Southwestern Bell Tel. Co., 263 S.W.2d 169 (Tex.Civ.App. — Galveston, writ ref’d). It is also settled that fact findings on conflicting evidence will not be disturbed. Sheehan v. Levy, 215 S.W. 229 (Tex.Civ.App.—Dallas 1919, writ granted), affm’d 238 S.W. 900 (Tex.Comm’n App.1922, opinion adopted). We are then left solely with appellants’ no evidence points which must be viewed as'contending that the evidence conclusively established that appellee had no right to equitable relief. On the basis of the evidence there is some substantial and probative evidence to support the trial court’s finding. First, the testimony shows that the Texans and Matuszak were aware that he was under contract to the Oilers at the time he signed the Texans contract. The testimony also shows that the Texans publicized the signing. It is undisputed that Matuszak did play for the Texans in contravention of the contract with the Oilers. It is also undisputed that Matuszak received a $55,000 bonus, had made the All-Rookie Team in 1973 and had been the N.F.L.’s number one draft choice. This is not to say that the Oilers will necessarily prevail on the final disposition of this matter. However, we cannot say that the evidence conclusively showed that the Oilers would not be entitled to equitable relief.

Appellants contend that the trial court abused its discretion in granting a temporary injunction because the contracts were in violation of the Texas Anti-Trust Laws and therefore unenforceable. Schnitzer v. Southwest Shoe Corporation, 364 S.W.2d 373 (Tex.Sup.1963). This contention cannot be sustained. We are faced with the question of federal pre-emption in this case. In the area of professional athletics, the Supreme Court of the United States has dealt with the question of pre-emption in the case of Flood v. Kuhn, 407 U.S. 258, 92 S.Ct. 2099, 32 L.Ed.2d 728 (1972). In that case the court expressly approved the lower court’s appraisal of the burden which state antitrust regulation would impose in this area. The Second Circuit opinion states:

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Matuszak v. Houston Oilers, Inc.
515 S.W.2d 725 (Court of Appeals of Texas, 1974)

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Bluebook (online)
515 S.W.2d 725, 1974 Tex. App. LEXIS 2719, Counsel Stack Legal Research, https://law.counselstack.com/opinion/matuszak-v-houston-oilers-inc-texapp-1974.