Gerald C. Rum 

iittorney chmtn?al " 

Honorable R. Judeon Balah 

County Attorney 

Rqlor county 

Seymour, Texas 

Opinion Ao. O-3816 

Ret k!hether the demrlbed 8exWcee 

furnished by a pubUa utility 

oorporation rubjeot the aorporatlon to the provisiona of ArtMEg 

7828a, V.A.C.J. 

Your letter of July 24, 3.941, matter that a public 

utility corporation furnLrhln8 eleetrlc.pover vithla your. 

County ala0 operate8 an ioe plant end vbolerales an4 retells 

ice* that in the eelline of ice the amporation haa acmuaitted 

note celoulnted to prevent or hinder legitinate competl~loa ln 

the ice buslnere. Pertnining thereto, you ssk our opinion upan 

the question stated by mu a# follovrr 

3s till8 pwtlcrular 8erri~0, fllrtieh&byapublle 

utlllty,of au& a natawe u to acme vlthl~~ the pmwUlon8 

of ~rtiole 7428a, Retired Civil Statutes, Seation I & XI; 

and ii 80, do the #t8 Of t&l* oanpai4 UonfititUt% a dirwlmination vhlah I# prohlblted by the Statute?” 

-- Seation 1 and Se&Ion 2 05 hrtiele 742& (A&r 1935, 

44th Lsgielature, pa&e 118, Chnpter 44) read a8 iollovar 

"Seotion 1. That monopolle8 are aontrmy to the puband it &all hereafter 

la 
HmorsbleR. JudeonBalah, page 2 

"se0t1on 2. It eh4ll hereafter b8 tmlmful for 

e~lg pa-eon, pemaerehlp, mimmy, or aorpmtlaa, dc4aeatic 

or foreign, engaged in MY such 4 mblio UtllltY buelnesa 

In more th4n one mmlalpellty or county lu thle State, 

to 

a fnvcir of 

in r&se, prluee, or kind of eoreleee 

pereon, p4rtnerehip, ampany, oorporation 

or munlelpallt~ tar the purpoee of preYeS&R o? hindaxl- 

?Lng ocdnpotitlon in auah bualmss or 1nJurl.q 4 ocmpet:toz-." 

(l!38@4el8 ourrr) 

It la m4IlUoet, In ow oplnlon, th4t thle le.* v4e 

enacted to regulate publlq utility oorpor4tlone when -Rod 

in rendering pub110 utlUt7 eerrieee. The exproeelone and/or 

alnll4.%? ;yubllc utllltloe" and “in ewh bueIneee" dmonetrste 

thle intent. 

It fe our opinion, emr8ooer, that the iae barlneee 

cmnot be held to b8 B pubUa utlllty vithin the purviw OP 

this act* In ffulf Rtatee tItlllt7 Cat+ay ve. State, )Q &W.&d) 

1018, 1021, 1.022, (vrlt M’u88d) it We widt 

"lie thewfors a&mlude that, in abeeme of 8 leglalatlve emuftment, the eemu$4atum and l 4le of loa to the 

public 3n Texae 18 not 4 pubUo utllltg buainoe(r u a 

aurtber 0r l.av. 

“In deoiding the rbo+e qwrtlon, ve are not lmlding 

thst a legie&tlve en4otm0nt dealming loe to be l publlo 

utilfty, OF th4t the iae barSnare fr airwted at& fbe 

publlo intweet aad rubjeet to eom ahMotor of p\&uo 

regulation, vould not be upheld by the oourte. RQ ‘3uoh 

legiel4tion bar been emoted lo Texas, and *t.t puortlan ’ 

need not be deteralwd ill th.t.8 04e8.' 

The a480 lnvolwd 8 

P 

ubll6 utlllty 0OrpoPatlon 

engaged in M a&snovledged pub io 

,4dditlon, In the 1Oe bueim3ee. 

utility bueinsee and, 3.q The l Ap p ello ouInt etnbded 4 t 

lee had gmm to be a aameodlty needed mad used by the pub110 

80 generally that it had beaome 4 publle nee0eelty, and the* 

it8 burlneee of e8enufWturZ.n 

in Fwke vaa thaw&we 4 pub e 

and eelllng iae to Uu publla’ 

0 utility buef.n86e, 4nd entitled 

to claealflcMlon undo the Franahiee 'tex AH 4e 4 $Ubllo 

utlllty aorporation'. . ." 
,.’ 

X3 cor?clude likevise in the ocmatructfon or’ 

Article 742%. It le our oplnicm that a corporation till 

be aubjact to its spoclfla provlelone only in relation to 

its bue:lnees vhlch, as a nattor of 3.m in Texae, le a public 

utllfty bualmee. 

We have protemaittad nny dleaurtslon of other 

etatutee of Texas &lob might be applloeble to tae situation 

you have deuclrlbed. We mnetrue your repwet to be vfth 

reftmime to the statute diecueeed, and to ft. only. 

APPPRGVTD AUG 7, 1941 

(Signed) GRcMER SlZUSRS 

FIRST AssIaTAHT ATTGRrn cE%maAL