Southeast Texas Veterinary Clinics, PLLC v. Robert B. Wilcox

Court of Appeals of Texas·Decided August 11, 2022·No. 09-21-00083-CV·Published

Opinion

In The

Court of Appeals

Ninth District of Texas at Beaumont

NO. 09-21-00083-CV

SOUTHEAST TEXAS VETERINARY CLINICS, PLLC, Appellant V.

ROBERT B. WILCOX, Appellee

On Appeal from the 172nd District Court Jefferson County, Texas

Trial Cause No. E-205,503

MEMORANDUM OPINION

This is an appeal from a modification of a temporary injunction (“TI”) granted in favor of Appellant Southeast Texas Veterinary Clinics, PLLC (“Appellant” or “STVC”) and against Dr. Robert B. Wilcox (“Appellee” or “Wilcox”), relating to alleged non-competition and non-solicitation agreements. The trial court granted a TI on May 1, 2020, which limited Wilcox from competing against STVC or soliciting or working with STVC’s clients or referral sources. The trial court then modified the TI on May 12, 2020. Wilcox filed a motion to modify, and the trial

court modified the TI again on April 7, 2021, and STVC filed a notice of an interlocutory appeal. After filing the notice of appeal, in the trial court STVC filed Plaintiff’s Motion to Reconsider Order Granting Defendant Robert B. Wilcox, DVM’s Motion to Modify Temporary Injunction, and Wilcox filed a response. After a hearing, the trial court again modified the TI on July 16, 2021. For the reasons explained herein, we affirm.

Background

Initial TRO On March 15, 2020, and after filing its Original Petition, 1 STVC obtained a temporary restraining order (“TRO”) against two defendant veterinarians—Appellee Dr. Robert Wilcox and Dr. Donna Hall—and against Dayton Veterinary Clinic (“the Dayton clinic”). The TRO ordered that Dr. Wilcox not participate in any business or practice within a twenty-mile radius of STVC and that Wilcox not contact or solicit clients, referrals, or business from STVC. The TRO also ordered that the “Dayton Defendants” (Dr. Hall and the Dayton Clinic) are prohibited from retaining Wilcox as a veterinary surgeon, that they not employ or recruit anyone employed by STVC, and that they not disparage STVC. The TRO was to be in effect for fourteen days, and it required STVC to post a $500 bond.

1 The appellate record does not include a copy of STVC’s Original Petition.

STVC’s First Amended Petition In its amended petition, STVC asserted that it operates a veterinary practice in Jefferson County that is “one of a few veterinary practices in the region to provide advanced surgical services for animals.” STVC alleged it acquired referrals, goodwill, and other assets from Wilcox Veterinary Clinic, and as part of the transaction, Wilcox agreed to work for STVC under an employment agreement that included a non-competition agreement, a non-solicitation agreement, and a confidentiality agreement (“the Restrictive Covenants”). The employment agreement had a two-year term that could be extended by written agreement, Wilcox was to receive a monthly salary, and Wilcox agreed not to compete with STVC within a twenty-mile radius of the clinic and not to solicit directly or indirectly “actual or prospective clients, referrals, or business of STVC on his own behalf or for any other person for ‘the purpose of providing similar services or products’” as provided by STVC. STVC alleged that it was induced to purchase Wilcox’s clinic by the non-competition and non-solicitation agreements and that Wilcox had agreed the Restrictive Covenants were reasonable in duration and scope.

According to STVC, Wilcox’s employment with STVC ended on January 1, 2020, and the parties were unable to agree on a new employment agreement. STVC alleged that Wilcox misrepresented to other veterinarians that STVC had terminated his employment, and that he began competing with STVC directly and soliciting its

customers, including attempting to work with or solicit referrals from a clinic within twenty miles of STVC. STVC alleged that it sent Wilcox cease and desist letters, but Wilcox continued to practice at a clinic within twenty miles of STVC. STVC learned that Wilcox was to begin working at the Dayton clinic at times, which was a referral STVC acquired in purchasing Wilcox’s practice. STVC informed the Dayton clinic of the Restrictive Covenants and demanded that all activities that violated the Restrictive Covenants cease, but the Dayton clinic did not comply, and it continued to use Wilcox to perform surgeries.

STVC alleged that Wilcox had violated the Restrictive Covenants, defamed STVC and that the Dayton clinic and Dr. Hall had tortiously interfered with the Restrictive Covenants. STVC also alleged claims against Wilcox for breach of contract and fraud. STVC brought a claim against the Dayton Defendants for tortious interference. STVC’s petition included an application for a temporary restraining order and temporary and permanent injunctions, requesting that Wilcox not engage in any business or practice within twenty miles of STVC in competition with STVC, that he not solicit clients or business from STVC, that the Dayton Defendants not employ Wilcox, and that Wilcox not disparage STVC. STVC requested the injunctive relief be in place until January 1, 2023.

May 2020 TI and Modified TI On May 1, 2020, the trial court signed a temporary injunction against the defendants to remain in effect until trial on the merits. On May 12, 2020, the trial court signed a Modified Temporary Injunction that clarified the parameters under which Wilcox could provide emergency veterinary services to others. Relevant to this appeal, the modified TI required that Dr. Wilcox not contact or solicit

. . . any of the clients, referrals, referral sources, and business of STVC, corresponded with in Exhibit A, which is the e-mail sent out by Dr.

Wilcox on or about March 4, 2020, at 10:57 a.m., for the purpose of providing similar services or products as provided by Southeast Texas, which includes, but is not limited to, advertising or promoting that Dr.

Wilcox is conducting orthopedic or other advanced surgeries.

Wilcox’s March 2021 Motion to Modify TI On March 18, 2021, Wilcox filed a Motion to Modify Temporary Injunction arguing that the TI “imposes an unreasonable restraint on trade and is void as a matter of law.” Wilcox argued that the TI was overbroad and ambiguous such that he could not determine “what persons and/or clinics he is restricted from working with or for or [] what specific activities he is restricted from performing.” Wilcox stated that he had been unable to work anywhere for nine months without risking a violation of the TI and because the initial trial date was cancelled due to COVID restrictions and no new trial date was set, “there is no end in sight.”

Wilcox argued that a TI is void if it does not include a trial setting and vacating a trial date indefinitely has the effect of removing the trial setting from the TI order

and rendering the TI void. 2 Wilcox argued that the TI was more restrictive than the Employment Agreement, which permitted Wilcox to engage in “periodic veterinary relief services[,]” and the TI did not preserve the status quo. Wilcox also argued that STVC’s alleged damages are not irreparable, the TI imposes an unreasonable and illegal restraint on trade, the TI is overbroad and vague regarding the types of veterinary services Wilcox is restricted from performing, and the TI’s restriction on solicitation is unenforceable for lack of geographical limitations. Wilcox requested that the trial court rule on his pending motion for partial summary judgment addressing the enforceability of the non-competition restriction, declare the TI void, or modify the TI “to satisfy the requirements of the law[.]”

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

Southeast Texas Veterinary Clinics, PLLC v. Robert B. Wilcox, (Tex. Ct. App. 2022).

Southeast Texas Veterinary Clinics, PLLC v. Robert B. Wilcox (Southeast Texas Veterinary Clinics, PLLC v. Robert B. Wilcox) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Butnaru v. Ford Motor Co.
84 S.W.3d 198 (Texas Supreme Court, 2002)
Qwest Communications Corp. v. AT & T CORP.
24 S.W.3d 334 (Texas Supreme Court, 2000)
Munson v. Milton
948 S.W.2d 813 (Court of Appeals of Texas, 1997)
Lehmann v. Har-Con Corp.
39 S.W.3d 191 (Texas Supreme Court, 2001)
Ahmed v. Shimi Ventures, L.P.
99 S.W.3d 682 (Court of Appeals of Texas, 2003)
City of Keller v. Wilson
168 S.W.3d 802 (Texas Supreme Court, 2005)
Thomas v. Beaumont Heritage Society
296 S.W.3d 350 (Court of Appeals of Texas, 2009)
Johnson v. Fourth Court of Appeals
700 S.W.2d 916 (Texas Supreme Court, 1985)
Downer v. Aquamarine Operators, Inc.
701 S.W.2d 238 (Texas Supreme Court, 1985)
Davis v. Huey
571 S.W.2d 859 (Texas Supreme Court, 1978)
Marsh USA Inc. v. Cook
354 S.W.3d 764 (Texas Supreme Court, 2011)
Wayne Ventling v. Patricia M. Johnson
466 S.W.3d 143 (Texas Supreme Court, 2015)
Crosstex NGL Pipeline, L.P. v. Reins Road Farms-1, Ltd.
404 S.W.3d 754 (Court of Appeals of Texas, 2013)
Laura Pressley v. Gregorio (Greg) Casar
567 S.W.3d 327 (Texas Supreme Court, 2019)