John T. Measday v. Kwik-Kopy Corporation

GARZA, Circuit Judge:

Defendant-appellant, Kwik-Kopy Corporation, is a national franchisor of instant printing centers. In March 1976, Kwik-Kopy and Measday Enterprises, Inc., had an existing franchisor/franchisee relationship. At that time Measday Enterprises, Inc., was equally owned by Mr. and Mrs. John Meas-day and Mr. and Mrs. McKenzie. From the beginning John Measday had assumed management responsibility for the franchise, and in 1978 he desired to buy out the McKenzies.

*121In early 1978, in an effort to obtain additional income, plaintiff-appellee, John Measday, began discussions with…