Stocks v. Banner American Corp.

HUTCHINSON, Justice.

Appellees, Banner American Corporation and Stocks Enterprises, Inc., sought and obtained a temporary injunction restraining appellants, C. Joe Stocks and Xalon Corporation, from engaging in a competitive business.

Appellant Stocks and Mr. Ollie Moyer began business as the sole and equal shareholders of Stocks Enterprises, Inc. In March of 1978, with the aid of two additional financial backers, Banner American Corporation was formed and the shares of Stocks Enterprises, Inc. were exchanged for shares of the new corporation. Mr. Moyer became president and Appellant Stocks…