Richard Gehrke and Pacific Companies, Inc. v. Merritt Hawkins and Associates, LLC

Court of Appeals of Texas·Decided December 20, 2018·No. 05-18-01160-CV·Published

Opinion

ACCEPTED 05-18-01160-CV FIFTH COURT OF APPEALS DALLAS, TEXAS 11/28/2018 3:17 PM LISA MATZ CLERK

No. 05-18-01160-CV

FILED IN IN THE FIFTH COURT OF APPEALS 5th COURT OF APPEALS FOR THE FIFTH DISTRICT OF TEXAS DALLAS, TEXAS AT DALLAS 11/28/2018 3:17:13 PM LISA MATZ Clerk

Richard Gehrke and Pacific Companies, Inc.,

Appellants,

v.

Merritt Hawkins and Associates, LLC,

Appellee.

APPELLANTS’ REPONSE TO APPELLEE’S EMERGENCY MOTION TO ENFORCE

John Barber (Motion for Admission Pro Hac Vice Pending) Elisaveta Dolghih State Bar Number: 24043355 Jason A. Powers State Bar Number: 24027745 LEWIS, BRISBOIS, BISGAARD & SMITH, LLP 2100 Ross Ave., Suite 2000 Dallas, Texas 75201 Telephone: (214) 722-7108 Facsimile: (214) 722-7111 John.Barber@lewisbrisbois.com Leiza.Dolghih@lewisbrisbois.com Jason.Powers@lewisbrisbois.com

ATTORNEYS FOR APPELLANTS

4822-0945-7793.1 1 COME NOW, Appellants, Richard Gehrke (“Gehrke”) and Pacific Companies, Inc.

(“Pacific”) and file this Response to Appellee’s Emergency Motion to Enforce and will respectfully

show this Honorable Court the following:

I. OBJECTIONS TO THE DECLARATION OF TRAVIS SINGLETON

1. Appellants object to paragraph 9. This information is hearsay. There is no foundation

as to how Singleton gained this knowledge since he does not testify that he personally attended the

conference.

2. Appellants object to paragraph 15. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

attended the conference.

3. Appellants object to paragraph 22. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

4. Appellants object to paragraph 23. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

5. Appellants object to paragraph 24. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

6. Appellants object to paragraph 25. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

4822-0945-7793.1 2 7. Appellants object to paragraph 26. This information is hearsay. There is no

foundation as to how Singleton gained this knowledge since he does not testify that he personally

8. Appellants object to paragraph 27. This information is hearsay and speculation. There

is no foundation as to how Singleton gained this knowledge since he does not testify that he

personally attended the conference. Further, there is no foundation and pure speculation that the

“conferences require attendees to network” or that the “attendees walk among the vendor booths 3-4

times a day”.

9. Appellants object to paragraph 29. This information is a mischaracterization of the

prohibitions under the Temporary Injunction. Gehrke solicits healthcare facilities for searches for

physicians. While at Merritt Hawkins, he solicited only for permanent placement of physicians.

Once the healthcare organization contracts with Pacific Companies for the search, then the client is

handed off to a recruiter to find a doctor suitable for the position. This video was shared by Gehrke

and seeks a gastroenterologist for a search contract that Pacific had pre-dating the Temporary

Restraining Order. It is not soliciting a healthcare organization. The video is located at

https://www.youtube.com/watch?v=4cGfUvYRPWA. It is soliciting a doctor for an existing search,

something that is not prohibited.

II. RESPONSE TO APPELLEE’S EMERGENCY MOTION TO ENFORCE

A. Attendance of industry conferences does not violate temporary injunction and there is no emergency as Gehrke’s attendance happened several weeks ago.

10. Appellee files its motion seeking this Court to instruct the trial court to hear its

Motion to Enforce a temporary injunction. Appellee’s Motion is baseless.

4822-0945-7793.1 3 11. Appellee complains that Gehrke’s attendance of 3 industry conferences that the

hospitals that he is prohibited from soliciting also allegedly attended is a violation of the Temporary

Injunction.

12. The Missouri Primary Care Association Conference (MPCA) was held on October

25-28, 2018 and had 347 registered attendees. Appellee contends there were 15 prohibited

customers at the conference.

13. Appellee does not point to any evidence that (a) the 15 prohibited customers actually

attended the conference; (b) that Rich Gehrke or anyone from Pacific spoke to them; (c) that Rich

Gehrke solicited or attempted to solicit these customers for permanent placement of physicians; or

(d) that there was any interaction among the prohibited customers and Rich Gehrke whatsoever.

14. This conference was held over one month ago.

15. The Missouri Hospital Association’s Annual Conference (MHA) was held on

November 8-9, 2018 and had 1042 registered attendees. Appellee contends there were 15

prohibited customers at the conference.

16. Appellee does not point to on instance where (a) the 15 prohibited customers actually

attended the conference; (b) that Rich Gehrke or anyone from Pacific spoke to them; (c) that Rich

Gehrke solicited or attempted to solicit these customers for permanent placement of physicians; and

(d) that there was any interaction among the prohibited customers and Rich Gehrke whatsoever.

17. This conference was held 14 days before Appellees filed this emergency request.

18. The Illinois Staff Physician Recruiters Conference (ISPR) was held on November 14-

16. There were 65 registered attendees. Appellee contends 2 prohibited customers attended the

4822-0945-7793.1 4 19. Appellee does not point to on instance where (a) the 2 prohibited customers actually

attended the conference; (b) that Rich Gehrke or anyone from Pacific spoke to them; (c) that Rich

Gehrke solicited or attempted to solicit these customers for permanent placement of physicians; and

(d) that there was any interaction among the prohibited customers and Rich Gehrke whatsoever.

20. This conference was held 6 days before Appellee filed this emergency motion.

21. Appellee has made these same allegations in its Motion to Leave to Supplement filed

in the trial court on November 19, 2018.

22. Appellee’s Motion is far from an emergency and based solely on speculation and a

misconstruing of the Temporary Injunction. There is not one scintilla of evidence showing that

Gehrke or Pacific Companies, Inc. solicited any prohibited employees for permanent placement.

23. Further, Appellee misrepresents the scope of the Temporary Injunction. Appellee

states that “The TI Order is clear that Gehrke may not solicit customers on the Prohibited Customer

List for any type of physician recruitment activity, whether it is for locum tenens or permanent

physician placement.” ¶ 21 of Appellee’s Motion. In fact, the temporary injunction does not prohibit

locum tenens solicitation, i.e. temporary placement.

24. In fact, it would be impossible for the Court to prohibit locum tenens solicitation by

Gehrke since locum tenens is not handled by Merritt Hawkins, but is handled by a separate company

– Staff Care. Therefore, there never was any prohibition from Gehrke soliciting locum tenens after

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Richard Gehrke and Pacific Companies, Inc. v. Merritt Hawkins and Associates, LLC, (Tex. Ct. App. 2018).

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