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OFFICE OF THE ATTORNEY GEN&?AL OF TEXAS 

AUSTIN 

mall t mad.8 
Ronoxeble Charles E. Baughma, 

that attar 

obtain’8 a9 

Bond for torm Widilkg Aia&st 2otli, 

of a olelm 

a rerult of en agremat or doal, 

ther8uador Is not 8tutejd uatll 

page 2 

after August ZOthi and a settlammt of tlm olalm ln made, 

WOUIU tint reduce the liability of the Bonding Ccnpans 00 

tie haul provided ior through the atteohiq of a cntlfloate 

OaPrping the ~~ooisiona set out herein. 

*In tins would the Deprbaont be justified in aoaept- 

&.tg th8 aortifiCati8 bearing kkHh’13hit6tiO~ 8tated hOr8in.T 

The legisletlon with rbieh we are primarily concerned 

in answering the various questions pro 

Aotn of tl18 45th Le~alature (Artlola ii 

ouudsd lo Houeo BQl X0&99, 

fib, Varnoa*r Civil 8tr 

ttIbW), ~OU88 Btil EO. 557, A028 Of bbs 45th L@titUrO (Artitie 

1287.1, Vernon's Civil Statuteu), tid timate bill So. 24, Aok 

of the 45th Legielattzzs, 18t 0.6. (Article 1287-2, Vemon*e C1~i.l 

Statutes). * 

On aooqoat of the llea@ih of the Aetazre~ ahall sot bat 

me out in tall, ,bat shall attempt to &to the substanao thereof 

a8 la prtln&xt to the matters la qaeotlon heso.‘ 

Art1018 II& prcrriaea @Lat 0110 *hall not be a &ii3.# 

ia sittru fruits qnless .hs applies to the Oaamlsaiamr of'AgL\ibultas for license a@ moh,~reoalvrs mmh Ueenm, a&¶ film llaQ 

.lmr approved a'five Thowend Dollar bond roqulred by the A&' 

ibis bond, ooodltione% an rsqulred by law, guaranteea the payment 

by the dealer of fruft puTohaeed QII or&t, t?ndekr the Berma ot' 

tha lew aad th8 bond anyone deelfng 'wltb suoh'Ueeune% dealer 

my maintain aotion on snme~. Article 1287-l oonta5.m aub&aw 

tlally the sama prorlalo~~s, k8 ertlawit to sattera~hrse~lnmlveAt 

emsept t&t said ertlcls 26 l pp ! Soable to U+lore In vqpt8blu. 

titicla 1287-2 prwldss t&u anp,perma who oomes withlg w of 

the olaaaUloatlons set out in both iirtldle lleb and AHl6l.a 

12d7-1: 
lionarable Charles P. Rsu@man, page 3 

faithful portonnanoe under both Of said Aata shall be '! 

liabls ror only one lioe~e fee or !nVoIIty-iit8 ($25.00).’ 

Dollars, and his llaense ahall raflsat as tact that 

he ie lloenasd thereby to handle both oltrua frutts and 

V8&+tabl8&" 

After oarcrful examination of the oartlflaste aa quott@ 

in your lettar, we mmatxue the language to mean that thr algi,nal 

bond and the renewal thereor ahall be oonsldored as one oontiausd 

obligation under whlah the bondfag aompany Is liablefor %sfa~l.oatione.ocourbing durin& the tam of tie bond and the renswal period 

onl$ up to ths limit of tho Uablllty set forth in the lea6 of the 

bond, and that the liability of t&he bonbisg aolapany shall ti&t be 

in adUltion to the orlg$nal bcpnd. In othm woTd8, th8 aggre@&te 

af :liablllt~ea wkicih tight obtain uadtpr &ha bond axpirw'wudt 20, 

19l,2,.an% thp axtsnda% bond &plrlag August 20, 1913, oannoa.qaead 

$5rocxwo~ 

Ths obrioas aifieot of tha provision in the renewal 

o&$lfloata, wari It taXId, would be~$o lIu&t the llabillty of 

~Tihhs bonding uoqmny to an 9xtmt not ruthorlaad ~bp tho atatutaa. 

-..,The statute6 p6rt$.uen~ to this quea+Wn apwl~mlly state bhat 

;%&I lla~~o,Isau8~ Ir~aooprdawe wlth their pre'+Idau ahallA8~ 

In foraa and W.eat for a" arlod's~ onb am yaar,~ ('krtlala llSb, 

Ssetlon 6 and ScMlon l!t; irbIoX,s 12874, metion L) And llkad88, .ilI the OQidOn Of tbia ~8~rbMUlt, the89 8t8tUtW OC<=- 

Blat8 that 8 band tif.$5,@0.00 8haU be In affoot durl.nlt tha 

afreatlva 

may be b l& 

srlod of $he llaimaa au Iaaitied, and not 6 bond whIah . 

sued dth Uabllltlaa arlaing wda a prior pnrlod. 

Wader the wording of the catantlon~aartIfloate here uudst oouaIdsratIOn If llablllty obttilaod tmdar th8 band ln en anmat 

of #g,OOO.bO ths rirst year 'and not diaooraed until the aso~d 

y&r, thul,thqughthe dealer hd pa+3 tihs preaitlsior the mooad 

year* hia or8dlbwa wauld hats ao priitootion for the SaOCnU year 

under the bond far tha raaaaqthat the penalty of the band would 

be eOi8plot8~ exbsiuated by,SIabllItiir arIsIng under the band for 

the fIrat year. 

ifi 

l;ab&the 

31 such a&se t&* l &nd pear prcsmiun would be 

dealer ior JW pob~&bI6rt a&atw8r to those nich whm 

Public latereat, ap'wall be tha atotutoo thssnualraas 

aec3wsaw~y da&&d 8 bond fre$l .br a,? 8U6h llmi$ati?na. 

Y 

!l!hsra are obher &aaoa$, we think, * the eertlfloate 

bearlngtlm attemptad ll&atIon ~ahm0.d not be aaseptad. A ftmUamen&l rule' to bs appltlsd ~Zn~detemal&Iag the,ralldAty of prwIalaa8 

oi statutory bond8 as the bond herb Qader oowIdsratIon le to 

.asoortaIn the prorfalana art the ~t~$upfr ox statutes prereorlbIn$ 

the oolldftlona of thsbor$. Xi the atstute or statatea Uo not 

psrmit the llmitatfona aq@ht to be ;asds a part of the b+d, thea 
Hoaorabla CharlwE.Baa@hawx, pass 4 

. nwh 1ImItatIoaa l a,are not authorlted are mid. The uamo or 

Globe IpdaanIty 4ampaay v. Barnsr, 288 8.W. 121, use on. In 

rpfiloh the plaintiff 8ought to hold a surety upoi,a publio 

aontraotm*s statutory bond liable for the ,porabaee prloa of 

DIatOI'i41 ftWSIlQhQ& th@ aontraetaa: v&m-i the obligatloae of the 

band ekpeaifiot&ll~ QXQII&VtQd tha rtrret~ fro= suoh liablllt~. 

The ComIssIon of Appealu held in that sass tbat It was m#aIisat that the bond was lntardml as a caapllanoe dth the #&atute 

and that the obligatlona l@osed by the statute would be read 

into th4 bond. a that 4~0, fod#?3 Otti9 spQ0r, 6p4&1& rOr 

the fksc&sfC%, s&St 

"'Far minor purpose to lfplit that llabllrty Irk 

rsplyplant to t&e major purpose to ossout~ the bud 

60 a8 to 4nab.l.Q the eontraotor to prooOe6. Tha attamhd 

UmItatlon 1s In riolatloa or the statute. and tharerore 

void. 'rhe atatute will be road Into the bond aa thou@& 

'its terms had been striatlp oomglied w~C]S.~ [aqphepla ours) 

Slmo It Ia.our opiulon that tha attwspted UmitatIon 

in the eXt6miW OU&‘tifl~Wt4 here under Oadde?StiOn is l%O% 

aathorlzsd or pel¶&tQd by rtatiute 

or this dspartmmt that srras~la t 

it 3.6 the rwth4r OpIaIon 

10 d, and ror the89 rea8eru 

~ thQ 0awls~1elwr or Agrlaultur* rou.l& not be $l*tIfi@8 In 

aooeptlng ma4. 

Yours vary truly 

&%RliBY GmRAL OF '&KM3 

ltuP:co 

h?TItWB)~AaC 10, 1942 

(Eiitgked) GZ?ALD c. l,rnmJ 

hTTOQ?ET OlOlneRAL OF TEXAS