HANI AL-WAHBAN, OMAR AL-WAHBAN, AND MUSTAFA AL-WAHBAN, Appellants
YOUSUF HAMDAN, INDIVIDUALLY AND DERIVATIVELY AS A SHAREHOLDER OF HANIS TEXAS TIRES 19, INC., D/B/A TEXAS TIRES OF WACO, Appellees
the 414th District Court McLennan County, Texas Trial Court
Chief Justice Gray, Justice Davis, and Justice Neill.
E. NEILL JUSTICE.
issues, appellants, Hani Al-Wahban, Omar Al-Wahban, and
Mustafa Al-Wahban, challenge a temporary injunction granted
in favor of appellee, Yousuf Hamdan, individually and
derivatively as a shareholder of Hanis Texas Tires 19, Inc.
d/b/a Texas Tires of Waco (collectively "Yousuf").
Because we conclude that the trial court did not abuse its
discretion by issuing the temporary injunction, we affirm.
case involves a dispute over compensation between Yousuf and
appellants, the owners of Texas Tires-a business that
generally provides a variety of wheel and tire customization
options, as well as other automobile services, for customers.
Appellants jointly own thirty-eight stores located throughout
Texas, including a store in Waco, Texas, that serves as the
basis for this dispute.
had previously worked at several other Texas Tire stores.
While working for his brother, David Hamdan, at a Texas Tires
store in Euless, Texas, Yousuf received an offer from his
friend, Hani, to manage a new Texas Tires location in Waco.
According to Hani, Yousuf's compensation was twenty-five
percent of the store profits after the opening costs of the
store were recouped, with David receiving five percent as a
referral fee and Yousuf receiving the remaining twenty
percent. Yousuf agreed to this arrangement and began working
at the Waco Texas Tires store in late April 2017.
claims "he is a shareholder in and sits on the Board of
Directors" of Texas Tires of Waco; however, appellants
"claim [Yousuf] was never a shareholder and did not sit
on the Board of Directors in Texas Tires of Waco; rather,
[appellants] claim [Yousuf] was an employee of Texas Tires of
noted in his testimony at the temporary-injunction hearing
that the Waco Texas Tires store opened in the middle of March
2017, and that it was initially managed by Jaime Limas. Hani
set up the store, including the inventory, computers, and
equipment, prior to opening. Hani trained both Limas and
Yousuf on how to run the business.
managed the Waco Texas Tires store from late April 2017 to
August 2018, when he was asked to pay for tools that an audit
revealed were missing. Yousuf refused to pay the
"fines," and appellants removed Yousuf from his
management position. This resulted in the cessation of Yousuf
receiving any share of the profits from the Waco Texas Tires
four months later, on December 4, 2018, Yousuf filed suit
"for all purposes, individually and derivatively as a
shareholder of Hanis Texas Tires 19, Inc. d/b/a Texas Tires
of Waco" against appellants, alleging causes of action
for violations of the Texas Business Opportunity Act, breach
of fiduciary duty, conversion, negligent misrepresentation,
and unjust enrichment and restitution. Yousuf also requested
a declaration that he "is a 25% shareholder and owns 250
of the outstanding 1, 000 shares of Hanis Texas Tires 19,
Inc."; he "is a director of Hanis Texas Tires 19,
Inc."; and he "retains all rights, privileges, and
ownership interest associated with his status of a director
and shareholder." Additionally, Yousuf requested
injunctive relief against appellants, including a temporary
restraining order that was granted by the trial court and a
subsequent temporary or permanent injunction.
responded by filing a motion to transfer venue, an original
answer, special exceptions, a request for disclosure, a
motion to dismiss under Texas Rule of Civil Procedure 91a,
and, among other things, a verified motion to deny injunctive
relief. See Tex. R. Civ. P. 91a.
hearing, the trial court granted Yousuf's request for a
temporary injunction. This accelerated, interlocutory appeal
Standard of Review
temporary injunction is an extraordinary remedy and does not
issue as a matter of right." Butnaru v. Ford Motor
Co., 84 S.W.3d 198, 204 (Tex. 2002) (op. on reh'g)
(citing Walling v. Metcalfe, 863 S.W.2d 56, 57 (Tex.
1993)). The question before the trial court is whether the
applicant is entitled to preserve the status quo of the
litigation's subject matter pending a trial on the
merits. Id.; see State v. Sw. Bell Tel.
Co., 526 S.W.2d 526, 528 (Tex. 1975) (defining status
quo as the "last, actual, peaceable, non-contested
status that preceded the pending controversy"); see
also Tom James of Dallas, Inc. v. Cobb, 109 S.W.3d 877,
882 (Tex. App.-Dallas 2003, no pet.) (noting that the
underlying merits of the controversy are not legal issues
pending before the trial court during a temporary-injunction
hearing). "To be entitled to a temporary injunction, the
applicant must plead a cause of action and show a probable
right to recover on that cause of action and a probable,
imminent, and irreparable injury in the interim."
Fox v. Tropical Warehouses, Inc., 121 S.W.3d 853,
857 (Tex. App.-Fort Worth 2003, no pet.) (citing
Butnaru, 84 S.W.3d at 204).
review a temporary injunction for an abuse of discretion.
See Butnaru, 84 S.W.3d at 204. A trial court abuses
its discretion when it acts unreasonably or in an arbitrary
manner or without reference to any guiding rules and
principles. Id. at 211. We will not disturb the
trial court's decision to grant injunctive relief absent
a clear abuse of discretion. Reagan Nat'l Advert. v.
Vanderhoof Family Tr., 82 S.W.3d 366, 370 (Tex. App.-
Austin 2002, no pet.). Our scope of review is limited to the
validity of the order granting or denying the temporary
injunction. See id. When reviewing the order, we
view the evidence in the light most favorable to the order,
indulging every reasonable inference in its favor, and
"determine whether the order was so arbitrary that it
exceeds the bounds of reasonable discretion."
Fox, 121 S.W.3d at 857. "A trial court does not
abuse its discretion if it bases its decision on conflicting
evidence and evidence in the record reasonably supports the
trial court's decision." Id.
Imminent and ...