Court Opinion

ID: 9682029
Source: CourtListenerOpinion
Date Created: 2023-08-24 08:03:41.634687+00
Date Added: 2024-06-11T18:17:37.070185
License: Public Domain

On Motion for Rehearing.
PER CURIAM: — Appellants in their motion for rehearing urge the trial court was in error -in finding for respondent Gabel as third-party plaintiff for the amounts of $863.24 and $725.11, respectively found to be additionally due Gabel for the last six-month period of 1946 and the first six-month period of -1947; and for $4,128.18, being 20% of the net profits for the last six-month period of 1947. Examining the record we have noted‘the testimony of the treasurer Israel that 20% of the net profits for the last six-month period of 1947 equaled $4,128.18, and we can see no error in the trial court’s rendition of judgment against--appellant Lockhart for that sum for that period.
As stated in the principal opinion the first two stated amounts, $863.24 and $725.11, were found to be due Gabel on the theory the 10% of the annual net profits additional to $6,000 salary to appellant Lockhart, as stipulated in Paragraph 9 of the Agreement, should not have been deducted before computing the 20% of net profits: due Gabel. ' We have re-examined" the Agreement. We have reconsidered the shown facts that respondent Gabel has received, cashed and retained the proceeds of the checks for the amounts of $7,769.18 and $6,525.89, which amounts were shown by' statements rendered respondent Gabel to have been computed after the dedue*529t-ion of 10% of the net profits. It was apparently intended the “$6,000 per annum, payable monthly, and in addition thereto 10% of the annual profits” were to be included in stated salaries and other operating expenses and deducted before computing the 20% of the net profits due respondent Gabel. The intended effect of the Paragraph 9, in our view, was to put a limitation upon .the amount of appellant Lockhart’s compensation which could be included in stated salaries and other operating expenses1 during the term of the Agreement. We .can see no other purpose for the provisions of Paragraph 9 of the Agreement. .
Therefore, we agree with, movant that the trial court’s judgment for respondent Gahel for the sums of $863.24. and $725.11 should be reversed, and that the judgment should be modified to declare that the 10 % stipulated in Paragraph 9 was and is to be correctly deducted before the computation, of the .20% of the net profits due Gabel in making the semi-annual payments for the five-year period of the Agreement. Otherwise, the judgment should be affirmed. Our principal opinion is accordingly modified.
The motion for a rehearing is overruled.