Austin J. Shelton v. Guam Service Games, a Copartnership

The proceeding here was brought by Guam Service Games, a co-partnership, against Austin J. Shelton, to enjoin the latter from engaging in the coin operating machine business other than as an employee of Guam Service Games. Damages, profits, costs, attorney fees and the delivery of coin machines in possession of defendant were also prayed. Guam Service deposited in the court the balance of the purchase price upon a contract hereinafter mentioned between Shelton and the partnership.

A pre-trial order was entered together with a stipulation of facts. A summary of the facts follows:

On February 1, 1954, Shelton and Guam Service entered into a written contract whereby Shelton, as the owner of a coin operated machine business in the Territory of Guam, sold all his right, title and interest in and to Guam Games for $50,000, which was all paid except for the amount deposited in court.

The contract contained the following provision:

• Shelton’s wife obtained a license to operate a coin operated business in the Territory of Guam and, based thereon, conducted such a business there including the municipality of Agana. Shelton was himself connected with this business from the beginning and…