Document ID: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_06-cv-01385/USCOURTS-caed-1_06-cv-01385-0/pdf.json

Parties Involved:
H&R Block Tax Services, Inc.
Counter Defendant
Martha A. Simon
Counter Claimant
Augustin D. Simon
Counter Claimant

Document Text:

SON

OR POR A T IO N

95833 . 4227

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 JUDGMENT ON CONSENT 

Case No. 1:06-CV-01385-0WW-SMS

2004573.1 

LITTLER MENDELSON 

A PR OF ESS ION A L COR POR A T IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r am e n to , CA 95833 . 4227 

916 . 830 . 7200 

BRUCE M. TIMM, Bar No. 199679 

LITTLER MENDELSON 

A Professional Corporation 

2520 Venture Oaks Way, Suite 390 

Sacramento, CA 95833.4227 

Telephone: 916.830.7200 

DENNIS D. PALMER, MO Bar No. 21499 

TRAVIS SALMON, MO Bar No. 53090 

SHUGHART THOMSON & KILROY, P.C. 

120 West 12th Street, Suite 1700 

Kansas City, MO 64105 

Telephone: 816.421.3355 

Attorneys for Plaintiff 

H & R BLOCK TAX SERVICES, INC. 

a Delaware corporation 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

H & R BLOCK TAX SERVICES, INC., a 

Delaware corporation, 

Plaintiff, 

v. 

AUGUSTIN D. SIMON, individually, and 

MARTHA A. SIMON, individually, 

Defendants. 

Case No. 1:06-CV-01385-0WW-SMS 

JUDGMENT ON CONSENT 

Upon the consent and agreement of Plaintiff H&R Block Tax Services, Inc. (hereinafter 

"H&R Block") and Defendants Agustin Simon and Martha Simon (hereinafter “Simon”), to settle 

disputed claims, judgment is entered as follows: 

1. On or about October 5, 2006, H&R Block filed a Verified Complaint for Damages 

and Injunctive Relief against Simon for breach of three Franchise Agreements between H&R Block 

and Agustin Simon, violation of trade secret statutes, and breach of a Line of Credit Agreement 

between H&R Block and Agustin Simon, as more fully set forth in the United States District Court, 

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Case 1:06-cv-01385-OWW -SMS Document 33 Filed 01/18/07 Page 1 of 4
LITTLER MENDELSON 

A PR OF ESS ION A L COR POR A T IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r am e n to , CA 95833 . 4227 

916 . 830 . 7200 

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JUDGMENT ON CONSENT

2 Case No. 1:06-CV-01385-0WW-SMS

2004573.1 

Eastern District of California Complaint, entitled H&R Block Tax Services, Inc. v. Augustin [sic] 

Simon, et al., Case No. 1:06-CV-01385-OWW-SMS (“the Action”). 

2. On or about December 13, 2006, Simon filed an answer and counterclaims against 

H&R Block for wrongful termination of the three Franchise Agreements between Agustin Simon 

and H&R Block, reimbursement of franchise fees and royalties, and other claims in the Action. 

3. H&R Block sells franchises for tax preparation and related services in the State of 

California and other states in the United States. 

4. H&R Block and Agustin Simon entered into three Franchise Agreements under which 

Agustin Simon, with the assistance of Martha Simon, operated an H&R Block franchise in Patterson, 

Gustine, and Livingston, California using the telephone numbers (209) 892-2292, (209) 854-3051, 

and (209) 394-3550 respectively. 

5. Agustin Simon operated his H&R Block franchise in Livingston, California from a 

location at 420 Main Street, which he is leasing from a third party. 

6. On or about June 7, 2006, H&R Block terminated the three Franchise Agreements 

with Agustin Simon. 

7. Agustin Simon and Martha Simon deny liability on all claims and H&R Block denies 

liability on all counterclaims. 

Upon consent of the parties, IT IS HEREBY ORDERED that: 

A. Agustin Simon and Martha Simon and their agents, servants, affiliates, employees, 

attorneys and representatives and those in privity or acting in concert with them shall: 

 (1) Immediately assign their right, title and interest in telephone numbers (209) 

892-2292, (209) 854-3051, and (209) 394-3550 to H&R Block or its assigns; 

 (2) Assign to H&R Block or its assignee the lease of real estate at 420 Main 

Street, Livingston, California on or before January 15, 2007; 

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Case 1:06-cv-01385-OWW -SMS Document 33 Filed 01/18/07 Page 2 of 4
LITTLER MENDELSON 

A PR OF ESS ION A L COR POR A T IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r am e n to , CA 95833 . 4227 

916 . 830 . 7200 

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JUDGMENT ON CONSENT

3 Case No. 1:06-CV-01385-0WW-SMS

2004573.1 

 (3) Refrain from soliciting, directly or indirectly, H&R Block’s customers who 

within the last two years received tax preparation services from any of the H&R Block 

offices in Patterson, Livingston and Gustine, California that were operated by Agustin Simon 

under Franchise Agreements between H&R Block and him for a period of one year from the 

date of this Order, provided, however, that Simon will not be prevented from performing tax 

services for others, or for customers of his former H&R Block franchises who contact Simon 

and request his services, and provided further that Simon will be able to advertise his tax 

preparation services in newspapers, telephone books, and similar mass media. 

B. All other claims in this Action have been separately settled by the parties pursuant to 

a Settlement Agreement. 

C. Plaintiff H&R Block Tax Services, Inc.’s Verified Complaint and the claims asserted 

therein and Defendants Agustin Simon’s and Martha Simon’s Counterclaims in this Action, are 

dismissed with prejudice, each party to bear their own costs and attorneys’ fees, except as provided 

in the Settlement Agreement. 

D. The Court shall retain jurisdiction to enforce the terms of the Settlement Agreement. 

AGREED TO IN FORM AND SUBSTANCE: 

PLAINTIFF H&R BLOCK TAX SERVICE, INC. 

By: /s/ Bruce M. Timm (as authorized on 1/16/07) 

Bruce M. Timm 

LITTLER MENDELSON, P.C. 

By: /s/ Dennis D. Palmer (as authorized on 1/16/07) 

Dennis D. Palmer 

SHUGHART THOMSON & KILROY, P.C. 

Attorneys for Plaintiff 

H&R BLOCK TAX SERVICES, INC. 

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JUDGMENT ON CONSENT 

4 Case No. 1:06-CV-01385-OWW-SMS 

2004573.1 

DEFENDANT AGUSTIN D. SIMON AND 

DEFENDANT MARTHA A. SIMON 

By: /s/ Jill P. Sazama 

Jill P. Sazama 

CURTIS & ARATA 

Attorneys for Defendant Agustin D. Simon and 

Defendant Martha A. Simon 

Dated: 1/17/07 /s/ Oliver W. Wanger 

 JUDGE, U.S. DISTRICT COURT, 

 EASTERN DISTRICT OF CALIFORNIA 

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