PRINT, PDF, EMAIL

Under the capital allocation preliminary plan, the company was to cash out the shares after the company went public. The terms of the plan relating to the sale of another corporation’s stock were specific enough, plus the plan was supported by consideration. There was sufficient evidence to support the finding that a former shareholder did not release his claims. For purposes of Tex. Bus. Orgs. Code ?? 21.223, 21.224, there was no express agreement for the parties to be personally liable regarding the disposition of the corporation’s stock, and only the company was liable for this obligation, such that the jury’s finding of liability as to the shareholders was not supported. There was a direct relationship between the failure to respond to discovery and the monetary sanctions imposed, and less severe sanctions would not have been sufficient. The lower court?s judgment was reversed and remanded in part, and otherwise affirmed.