Plotkin v. Joekel

304 S.W.3d 455, 2009 WL 3152093
CourtCourt of Appeals of Texas
DecidedOctober 27, 2009
Docket01-06-00624-CV
StatusPublished
Cited by74 cases

This text of 304 S.W.3d 455 (Plotkin v. Joekel) 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
Plotkin v. Joekel, 304 S.W.3d 455, 2009 WL 3152093 (Tex. Ct. App. 2009).

Opinion

OPINION

TIM TAFT, * Justice.

This is a dispute among various people and entities engaged in various employee staffing businesses. The parties asserted claims, counterclaims, and third-party claims. Each party against whom any claim had been asserted moved for traditional or no-evidence summary judgment. The trial court granted all summary-judgment motions and rendered a take-nothing judgment against all claims asserted by any party. We determine whether the trial court erred in doing so. We affirm the judgment in part, reverse it in part, and remand the case.

Background

A. The Primary People and Businesses

Garry Plotkin and Charles Joekel were friends who had known each other for many years. Garry’s son was Chad Plot-kin, and Charles’s son was Kenneth Joek-el.

Garry and Charles began doing business together in the 1980s. In 1990, Charles transferred to Garry his payroll-services business, 1 called Able Ones of Texas, Inc. Garry took over the business under a new corporation that he formed, called Texas Personnel Services. Texas Personnel Services eventually became Westbury Worldwide Services, Inc. d/b/a Worldwide Services (“Worldwide”) some time before 1998. The parties dispute whether Worldwide, which began as a staff-leasing business, later began operating a skilled-labor business, 2 as well.

Charles owned, and was sole officer of, Texas Staffing Services, Inc. (“Texas Staffing”) d/b/a Trendsetter Staffing and d/b/a Trendsetter Skilled. The parties represent that Texas Staffing handled its staff-leasing business under its Trendsetter Staffing d/b/a, whereas Texas Staffing handled its skilled-labor business under its Trendsetter Skilled d/b/a.

B. The Sale

On June 8, 1998, Garry, through an attorney’s letter, proposed to sell Worldwide’s book of business, its goodwill, and its furniture, fixtures, and equipment. That letter read:

Dear Charles,
Garry has requested that I make the following proposal to you regarding the referenced sale:
*463 1. Charles will purchase the good will of Worldwide for $150,000.00 to be payable at closing.
2. Trendsetter Staffing will purchase all furniture, fixtures and equipment from Worldwide for $50,000.00 to be payable at closing.
3. Charles will purchase the client list and book of business from Worldwide for a total of 1,500,-000.00....
4. If Trendsetter is sold prior to December 31, 1999, Worldwide will receive 25% of the net sale proceeds less any amounts which have already been paid to Worldwide in a total amount not to exceed $2,500,000.00.
[[Image here]]

(Emphasis added.)

On June 11, 1998, Charles counter-offered by letter. The letter read:

Dear ... Garry:
Thank you for the proposal regarding the purchase of Worldwide Services’ book of business.
Notes:
1. Any purchase of Trendsetter Staffing will be a structured pay-out based upon a client retention; therefore, any agreement not similarly predicated would be imprudent on my part.
2. The only parties to this Agreement are Charles and Garry, individually, and the terms of this Agreement are private and confidential between them.
[[Image here]]
Having put my footnotes first, let me address your proposal paragraph by paragraph:
Paragraph # 1: Okay.
Paragraph # 2: Okay.
Paragraph # 3: On June 29, 1998, Charles will take control of the Worldwide book of business. Each week thereafter, Charles will pay Garry an amount equal to one and one-half percent (1½%) of the gross sales provided by those accounts formerly serviced by Worldwide per a list of accounts to be agreed upon. This will continue for 48 months or until $2 Million is paid to Garry, whichever occurs first. Garry may add to the “Worldwide accounts” at any time and will assist as called upon in the maintenance of said accounts to our mutual benefit.
Paragraph #4: In the event Charles sells Trendsetter during the term of this Agreement, this Agreement will be terminated as follows: Cha,rles will pay Garry the lesser of 1) $2,500,000.00 less amounts previously paid or 2) twenty-five percent (25%) of the gross sales price of Trendsetter less amounts previously paid.
[[Image here]]

On June 16, 1998, Garry and Charles executed two contracts: (1) an “Agreement” and (2) a “Bill of Sale.” The Agreement, which concerned the sale of Worldwide’s book of business, provided as follows:

The following represents our agreement regarding the sale by Westbury Worldwide Services, Inc. d/b/a Worldwide Services (‘Worldwide”) of its book of business to CHARLES L. JOEKEL upon the following terms and conditions:
CHARLES JOEKEL agrees to buy and GARRY PLOTKIN agrees to sell the book of business of WORLDWIDE SERVICES totaling approximately THIRTY MILLION AND NO/100 DOLLARS ($30,000,000.00) per year in annual sales and the sale price to be *464 received for said assets shall be paid as follows:
1. JOEKEL/Trendsetter will take control of the Worldwide book of business on June 29, 1998. Each week thereafter, JOEKEL will pay PLOTKIN an amount equal to 1½% of the gross sales of the accounts formerly serviced by Worldwide per a list of accounts to be agreed upon between the parties. This agreement will continue for forty-eight (48) months ending in June, 2002 or until a total of TWO MILLION AND NO/100 DOLLARS ($2,000,-000.00) is paid to GARRY PLOT-KIN, which ever comes first. PLOTKIN may add to the worldwide accounts at any time during the agreement and will assist JOEKEL/TRENDSETTER as called upon in the maintenance of said accounts to the mutual benefit of the parties.
2. In the event that JOEKEL sells Trendsetter during the term of this agreement ..., this agreement will be terminated. JOEKEL will pay PLOTKIN at that time the lesser of:

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

Related

Jonathan Mingus v. Timothy Brent Claiborne
Court of Appeals of Texas, 2025
Jane Doe v. Occidental Petroleum Corp.
Court of Appeals of Texas, 2024
Balkan Express, LLC v. Stefanie Hollins
Court of Appeals of Texas, 2023
B.Y.C.C. v. United States
D. New Jersey, 2023
Savoia-McHugh v. McCrary
S.D. Texas, 2021

Cite This Page — Counsel Stack

Bluebook (online)
304 S.W.3d 455, 2009 WL 3152093, Counsel Stack Legal Research, https://law.counselstack.com/opinion/plotkin-v-joekel-texapp-2009.