Appeal, No. 21, May T., 1954, from decree of Court of Common Pleas of York County, April T., 1952, in Equity, No. 7, in case of Henry B. Vollet v. Charles I. Pechenik and Philip J. Rojahn. Decree affirmed.
Daniel K. Medill, with him Fluhrer, Medill & Shelley, for appellant.
Walter Schachtel, with him Einhorn & Schachtel and Markowitz, Liverant, Boyle, Rahauser & Kagen, for appellees.
Before Stern, C.j., Stearne, Jones, Bell, Chidsey, Musmanno and Arnold, JJ.
OPINION BY MR. JUSTICE MUSMANNO
This appeal arises from an action in equity instituted by the plaintiff Henry B. Vollet for an accounting from his partners, Charles I. Pechenik and Philip J. Rojahn, the principal issue being the amount to which the plaintiff was entitled on the gain acquired through the sale of the partnership's buildings, plant and machinery.
In order to dispose of the issue involved in the appeal it is necessary to quote certain paragraphs from the written partnership agreement entered into between the parties on February 15, 1950.
"XIXTH: ... The interest, equity and ownership of the said Charles Pechenik in this partnership is eighty per cent (80%) and of Henry Vollet is twenty per cent (20%) ..."
"SEVENTH: Henry Vollet shall be the General Manager and as such shall receive during the term of this agreement, a fixed annual salary of $15,000.00 and Charles Pechenik shall receive a fixed annual salary of $10,000.00. Both shall be reimbursed for expenses incurred by them in connection with their services for the benefit of the business. Henry Vollet, in addition to his said salary of $15,000.00, shall be paid within thirty days after the close of each calendar year, 20% of the annual net profits of the partnership calculated annually after the deduction of his said base salary of $15,000 and the $10,000.00 annual salary of Charles
Pechenik. Philip J. Rojahn shall receive no wages or compensation." (Emphasis supplied)
In the event of liquidation of the partnership, the net worth of the assets were to be distributed according to: "ELEVENTH: ... In the event of liquidation, the net worth of this partnership shall be distributable to the parties ...