oFFICE OF THE ATI-ORNEY GENERAL OF TEXAS 

AUSTIN 

Honorable Ifillim J. tr8on 

seoretary 0% strte ,.‘ .1 

,Aurtln , T6xar 

Dew sir1 OpiAlon 80. o4qe '\, " 

Her TwmewUnio&Su;rply caapfmy 

ny Aott7ml&o purpora elAu6s 

under ttota ptimt)ts& 

<- 

rstde t 

Your request for aa,n~ia&m of this de&&t& 

Lam of Text9 nLtl!ip purpOw clause sottlng 

0nlrm].maluheatr under 3ac- 

* 

in& the purpose clause end adopt-lag the pm- 

~islons of 3eotion 40 of arttale 1302. Thin 

Dspartaant returned the aaendas~t with the 

adrioe that the purpose olaune could AOt be 60 

radlcallp atiqged; t&at such ohange wee not 

.,^r ^.,..,,.,,-.Y.^.,.CI ^ ~r-^..___..__.__^__,_____. -. 
Emmrable 3illlaa J. Laweon, Tage 2 

aut&orlzed by iirtiola 1314. Em zmelu?zeAt P.es 

b4eA raturlred to ua again by 'the attorneys of 

the &bOVa OPptioAed OOrpOratiOn iASiEtifig that 

if they hid n right to u~ecd the charttir lo 

the lirst ~luce and eUopt the !&rkratf~ ;hssoclntioa lsr aa 3rsoorlbed In .atiols 578G, then 

thy had a ,-i&t fo ra-amend end rs-&do;t a 

purpose olause sobst&atlally a8 outllaed in 

the oz%ginal oorporatlolt. 

"'we raqwrt that you advise LUJ a5 to %iirtZher 

or IlGt Artielm 1314 Gf the statutes, or any 

/other ~rouloio~s would autbortas the 3;eoraturp 

‘of Stas to file &sd w;provo the uaendmnt retsrred to above.* 

You sta&thtt ths oorporaticm involved la your 

inquiry orl&mUy tdofled es its yurpoaa &ubdlViAioA 39 of 

Mtlold ~Xll3, Vsmon~s.A~~~tAted Civil Statutes, mading: 

"39. ?O FU?'ChsM and 845x1 gods, wtIeS 

andaerckmdls*, and ri@eultuml and remi 

glWdUOb6." 

Gash oorporrtlon thenafter Availed ltualf~of the 

provisiona of anb &dvAAtAgos olf'ordod by the hlurketi~ Mao- * 

ofttfon ;rat, bshg chapter 6 or Tit14 m 0r V~rmrPs bonotated Civil Btatutes. Suoh adopt&on was by virtue o? Article 8960 thamof readfzg in i;art: 

l A ~nQOl'pOTAtfOA y OP JEUOOO@iGA 02.&AnitAd' 

under prsviotielg existing iztatats8, say by a 

EiajOSfty vOt8 Cf 1% O~CkhG]ldS~ Or mur~bOrS 

ba kXpu+$ht under the provftionr OS %hia hiptnr by liaitlng its seuberebip aAd adopting 

t&m o%he?r restrictions r15 previded herein. It 

abhll make out In duplloate L\ ststeaant z&sod 

and sworA to by its dirrators, ui‘on ;cOrrnS 

supplle4 by t&e 3ooratary ol Stats, to t&e 

ditot thet the oorpmatlos or AaeociatioA 

haa by D maJorlty Vuta O!' it6 atockhholders 0; 

%-born @eeided to sooept the,beuol!fts aAd be 

bound by ibe ~roViSiOA8 Of thi.A Ohapter. . . ." 
Artor haa ea0’;rtea the tart40 ana p~i~irt~n0 er chapter 0, sup,s3, the4 oorporetion na naeks to sp3%aa its 

ohorter so 68 to have ce its gurpoee olaurre Subdivision 40 

0r Artiale 1308, supsa, read.ing: 

"40. To buy and sell mods, were@ and 

nsrobandlsa of any doaorlption, by rholeeale 

or vrholesele ma retail., wfth a eapltal 

@took of not 16~ than twenty thowald dollars; provided, suob whqle8ale and retell 

business ehall not be coaduoted apart or in 

sgpuxeta sstablisbmnts.” 

Artlole X314, Barnad Annotated Clvfl Ytetutas, 

pxodaas that sky privets oorporation orouted by t:rtclr) or 

Title 2% ztuy s;iwd it8 obrtor, but such rldht is lititsd 

by the last sentanco Utereot readiagt 

90 entsnditwnt Jr obaryre vlolstlva Jf tae 

CoCBtltUtlm or Laws or this 3tata or soy 

provlslon Of this title cc whicC a0 ohangso 

the sri&al glryom ot auah corgocatloa as 

to jirdr413t the axsoutlon titwaoOf, shall bo 

OS any forae OS orfect.~ 

Artlcla 5’?4E of the Uarxotlag 60% wovidasr 

"'She &tii?lee of &wotporatSon IBUT be 

aXtcered or atitffcdea cct say rcgulcf mwting 

or at any spocI111 saetfng called ?or that 

ptUp0*th &JI naendment alust fit& be aF;pror06 by tWO-tbid6 Of the diXoOtOS6 654 th4Zl 

adopted by a tots representirii; a m:oclty 

or all the avambers or the aiaccintLcn. hmord3wt6 to the Articles OS locor~oratloa yhec 

eta edopted ehalX be iihd In socordawc with 

the provfslon$ of the ;,~nnral aorporaticn hw 

DS thJs 6tate.' 

Xrtlolo 5740 of the :&rice tlag Aat grovldset 

*hn aeeociation ~911~ be organized to angege Ir! any nctlrlty In oomteotlon with the 

~r!cetlag or p.6111~ of the aqrlmltural products of its 3mbers, or with the bwreetin& 

pres6xv”sing, drykig, ~marslsin.8, canning, paoritig, stm.ug, 2attnBllng, ahiwinq, of Utillzatlon Ch4mOt, or the maufacturing or satietiw 
oi the by-ptoauot+ thereof: or in oonneation 

with the aanufeaturlng, millim or rupglyiing 

to It8 amber8 of meckln8ry, scp.tlpment or 

suppllss; or in the financing, 31 the nbova 

aumaratfxl aatfvitlw~ Or in any one or aOre 

of t~he activltf~ epsslfisd harein. zrovia- 1 

ed, however, a ny l wh aotlvtty say extend to 

non-m&em nnb their product8 &&tad by 

Article 3X%3 4.8 heretofore bPiazided.* 

Xmn the Parrman Union Supply Cbapanp adoptad the 

;~ro~fsloeo at thr Llrrketbg ~0%. ft edopted, althor intantlaaally or ~~IntentionaUy, the abovo quoted Artiols\S740 

am it8 grUpO8a OlbU8e, tk w l aqtitiinoi) all thR ?ight8 anO 

prlvil*4388 afforded by the Aot aa well'ee beooming bound by 

UP 1Lzltationa. 

T:e held 9 our opinion Eo. iX%9, rho origiral 

of mhlah :zm have In your fibs, Chat 1 coqoratlon could 

at ChAA&3 it8 ~UrgWe fro18 d&tiVittfOA 06 to Cubdirleioa 

67 ot Amicla 130% &uoh hokiLn& llea ;;rwXlcoted upon the 

gropo8ttion t&t the pr3sowd okmxys would be a tunciamusM 

bAd r;rrterial Cl;aA,~@ iA the OuX'>Ol'at8 &Al.-&Ye &ad ‘1818 8UOh 

3 ohbnge a8 to graveAt th3 u8outloA of the orlglnal purp080* 

18 there a flulaaaantal md satrrial akaagr in tho 

in8tant ears, where 18 f8 mu&t to ohaqe the ,ptwp08a tram 

/that authorlaod by Arsiole u740 to Elmt~6ont~lnad iA ztubdlvlslon Co or' Artiala 13&S, sow!a? llould tbr propo88d 

aseahant 80 ahsnge’the :pi@ent ;xirpo83 oi: the CorgArbtioA 

a8 to prweat the wxeoutlon thereofl Wo balleve it umaa888Uy t0 QMlyZ% the83 tV0 brti@la6 123 b CR8Ub1 %%hdi.ne 

thereof will turtisb nnrple aftlmetive evi3aaoe that to adopt 

the latter artiale as a psip~~ecblaune ~111 rwulsr the corpolntioa zans.bl8 to ~‘srfoa FWJr 9r tks iunctti5lla Gzd to exe+ 

CA83 orme ol' Thr) rifts 3ti ;>riy:le,~8 AoW l njopsd iae 41 

6s ventlnGf if with Cdttin rL&*w *rid prirtlsf538 wMoh it 

dOea zivt now sofoy. 

It is our oplnlon that you am without aut2x0,tft.y 

to ailprove tha pv7oaed aaoU&IeAt. 

TOUTS VilY tnrlf