Manager removal, effective.

May 6, 2018

After a detour to Austin on an important but infrequent procedural issue, the Fifth Court turned to the merits of Pak v. Ad Villarai LLC; holding as follows on the issue of whether Pak was properly removed from his management positions:

The evidence showed written notice was given three days after the action removing Pak as member and co-manager. The notice was given to both Pak and Harrison. Both had full knowledge, yet the testimony at trial showed neither objected. In his reply brief, Pak complains the consent was taken while the two sides were in litigation against each other, so there “was no way the Trial Court should have reasoned Chan Pak would have consented from being removed” from Villas-Manager by appellees. Pak does not provide any legal authority to support his position, nor can we agree that (1) the statute does not apply if the parties are in litigation or (2) the trial court was required to guess at Pak’s reasons for failing to object. Nothing on the face of the statute requires either. Under section 101.359 of the business organizations code, Pak and Harrison’s consent to Pak’s removal as co-manager was established by their failure to object.

No. 05-14-01312-CV (May 5, 2018) (mem. op.)