Encon Industries, Inc. v. Heritage Distributors, Inc.

Encon Industries, Inc. (“Encon”), a Texas corporation, commenced this action in 1982 to recover the balance due on invoices for ceiling fans sold to Heritage Distributors, Inc. (“Heritage”) under the parties’ written distributorship agreement. Encon also filed suit against defendant Paul Dowd to enforce his guaranty of Heritage’s contractual obligations.

Judgment was entered on February 28,1984 for Encon against Heritage in the sum of $28,683.73. The trial court also entered a finding for Dowd on the grounds that the guaranty was unenforceable. Specifically, the trial court held that Encon’s…