OFFICE OF THE ATTORNEY GENERAL OF TEXAS 

GROVER SELLERS 

AUSTlyl 

Honorable Claud,e Isbell 

Secretary of State 

Austin, Texas 

Dear SIP: i)pinion ho. o-6375 

Re: Under the given facts does 

We duly received your 

above matter, said request read 

“The Farmers S 

is an a&cult 

tion organized 

Title 93 of the,, 

as follows : 

this corporage In any acor supplies, or in the 

financing OS the a6ova enumerated activitxes; 

or in any one or more of the activities hereIn speclf ied. ’ 

“fThls corporation shall have and enjoy 

all of the powers granted by the Cooperative 

Marketing Act of Texas, as amended, or which 

mag hereafter be amended.’ 
Honorable Claude Isbell, page 2 

“On March 17, 1945, the Faneers Supply Company 

OS Hartley, Texas, acting through their attorneys, 

Undervood, Johnson, Dooley and Wilson, of Amarillo, 

Texas, filed vlth this office a proposed amendment 

to the charter of the said co-operative vhlch ln 

part sought to amend the purpose clause of the said 

charter so that It vould hereafter be as follovs: 

“(The purpose Sor vhloh the said association Is organized Is to engage In 

any activity 3.n connection vlth the awzwketing or selling of the agricultural products of its members, or vlth the harvesting, preserving, procerslng, packing, storlng, handling, shlpplng, or utilization 

thereofi or in connection vlth the manufacturing, 

selling or aupplyLng to its members of machinery, equipment or supplies, or ln the 

finanoiag of the above enumerated aatlvltles; 

or in any one or more of the actlvltles spec- 

.lfied herein; 

hall have and ennjoy all f the poverr grant2 

:y the Co-operative Hwke& Act of Texas, au 

amended, or vhlch llay hereafter be amended.’ 

‘Bnphasls, vhich aontalns the matter added to the 

purpose clause as It nov exista, is nine. 

“On March 20, 1945, the office deollned to file thls 

amendment due to the faot that ve could not find ens 

statutory provialon vhlch vould, in our opinion, authorize 

a Co-operative Wsrketlng Asroclatlon to engage in the buslness of operating a public, state or federally bonded warehouse. 

“On April 17th, the above-mentioned law firm, acting 

by and through R. A. Wilson, vrote urn a letter to the effect that our action in declining to file the proposed 

amendment was contrary to the requirements of the State 

Department of Agriculture, and to the rulings of prior 

Heads OS the Charter Dlvlelon of this oSfi.Oe. 

“Will you please, therefore, Savor u8 with your opinion in regard to the Sollovlng qUe8tlOntI: 
Honorable Claude Iabell, page 3 

“‘Does the Secretary of State have the power 

and authority, and Is it his duty, to approve and file a charter for an association to 

be organized under the Co-operative Marketing 

Aot, vhlch is In all things regular on Its 

Pace, other than that It has included in its 

purpose clause the operating and malntalnlng 

of a public varehoualng business? 

“%uld your answer to the above question be 

different if the question involved an amendment to an existing charter nether than a nev 

charter?‘” 

As to the rules governing the purposes for which a aorporatlon may be chartered, there Is laid dovn In 10 Ter. Jur., 

Sea; 32, pp. 624-5, the Solloving: 

“In oonnectlon vlth the statement of the purposes of the oorporatlon, the principal proposition 

Is that the soope of the purposes enumerated in the 

statutes must not be exceeded. The general authority 

to incorporate a oorporatlon organized for ‘mutual 

profit or benefit’ having been repealed, it 1s considered to be the policy of the Texas lav to limit 

the rights of ticorporatlon to the specific purposes 

authorized by statute. . .” 

In the case of Smith et al vs. Uortham, 8eoretary of 

State, 157 S, W. 740, the Supreme Court had under consideration 

a case vhere it had been asked to require the Secretary of State 

to approve the applloatlon for a corporate barter OS the Dallas 

Automobile Club Bulldlng Association, and in vhlch It laid down 

the SollovIng rules: 

“The authority of this court to oompel by mandamus the performance by the Secretary of State of 

an offlclal act exists only ln those instances vhere 

he Is under a clear legal duty to perform the particular act. Judlolal revision of his action In rejecting a charter of a corporation tendered for approval on account of its purpose clause 1s not justlfled unless the purpose named la clearly authorized 

by law.‘I 

The Farmers Supply Company of fiartley, Texaa, vas orlginally chartered under Chapter 8, Title 93 of Vernon’s Annotated 

Civil Statutes, Artlole 5763 of vhloh la ln part a8 Sollovsr 
Honorable Claude Iabell, page 4 

“The provisions of the general oorponrtlon 

laws of thla State, and all pover8 and rights thereunder shall apply to aaaocI8tlona organlaed hemuncor exoept vhen InDconSllct with the provision8 

of tkie oiiipter. . . . ._ 

10 Tex. Jur.P Sec. 32, p. 625, lays down a further rule 

aa Sollova: 

(I 

. A further rule 18 that the filing of 

a chiariei 8tathg purpores embraced in more than 

one 8ubdlvlaIon of Article 1302 Is unenthorl8ed. 

Furthermore, one subdlvlalon away not be 

~o~akued to authorize tvo Independent bU8inea808.” 

In the care of Ramsey et al ~8. Tod, Seoretary OS State, 

69 S. W. 133, the Supreme Court van conaldering a petition for a 

writ of 8wvlamua to compel the Secretary of State to file a charter 

under oerta9.n statutes therein mentioned, ad ln ref’uring rush petition it vas held as follows: 

“Considering the8e provl8Iona together, ve 

61% of the opinion thet It vaa the Intention of 

the legislature to authorlae a aorporatlon to be 

foamed for any one or more of the purposes aa rpeolfled ln any one of the subdlvlalona, and not for 

two or more purposes a8 derrignated in tvo or mor8 

8ubdlvlalona. Section 4 throva no light upon the 

querrtlon, As to this mtter, langu8ge could hardly 

have been earployed vhloh would have been more indeflnlte. The vorde ‘private corporations may be 

created l a a for the purposes l l l mentioned In 

the follovlng 8ectlona.’ lpey mean literally that a' 

oorporatlon nay be formed for one of the purpo8e8 

only, or for any one or more of the purposea, or for 

all of the purposes mentioned In the aeotlon. So 

the language ln section 5, *the purposes for 

vhlch corporationa * l l may ba famed are, * la 

equal1 indeterminate, 

3: 

But vhen ve some to conalder he requirements aa to the aontenta of the 

charter aa prescribed in ‘section 6, the leglalatlve 

intent becomes more apparent. One of these la that 

the charter must state ‘the purporel Sor vhloh the 

corporation ‘la Sorawd’. For bhe reason that if 

it had been intended that a corporation might be 

created for two or more of the purpoeea apecifled 

fn the preceding aectlon, it voul,d hove been appropriate to have said ‘the purpose or purposes 

for which it is formed’, the We of the vord ‘purpose’ ln the singular number tend8 strongly to show 

that It w&a the Intention of the legislature to 
Honowble Claude Isbell, peg. 5 

authorize the oreetlon of a corporation for only one 

pwo80, or for two or mom of the purposes mentioned 

In pne 8ubdlvl.ai.on. It mnty be true that the use of 

the:slnguler number msx not be conclusive of the 

quertion, and thet, if there were other provl8ions 

ln the act vhlch, either by express declaration or 

clear lmpllcatlon, indicate that it was intended to 

authorize an lucorporatlon for tvo or aore of the 

deelgmted purpo~ea, vhether ln the same subdlvlrlon 

or not, ve should 80 hold. But no provlalon8 ln the 

act vhlah shov 8atlrfactorlly 8uCh intention have 

been pointed out, nor have ve found say. On the aontrary, the 8tl’UCtUlW Of section 5 tends to shov that 

it vO8 Only On0 piWpO80 thEt wP8 t0 be mentioned in 

the charter. If 8uch VII8 not the intention, vhr did 

the lOgi8htUYO 8pW3if-7 each purpQ80 ln a 8eptW'Ate 

8ubdlvl8lon of the rection, end number then from 1 

t0 27, 8UCCe88iVelp? It 18 Et hMA8t 8UggO8tiVO that 

Jvo purpo8e8, when not embraced in the 8-0 8ubdlvldon, vere not to be oonjolned ln 8 charter, but that 

they vere to be 8evered, 8nd one alone adopted. 

"Further, in thl8 connection it 18 to be noted 

that ve are not dealing vlth a h8tlly prepared legi8btiVe enMtIWnt. Unlike UBnJ Others, the 8tstUte 

under COn8trWtiWI 18 comprehen8lve in lte 8OOpe, 

elaborate In Its detailr, and bear8 evldenae upon it8 

face tht It v&8 thoroughly aOn8idemd and carefully 

prepered br a perron or per8on8 lemned In the la!?. 

In such a 8tatute the de8ignatlon of the purpo8er 

for vhlch corporation8 vere authorlsed to be created 

in numbered 8UbdlVl8lOA8, together with the provl8ion8 

that the charter rhould ret forth 'the purpore for 

vhlch It 18 foamed', ought, In the absence of provision8 lndicatlng a different intent, to be deemed 

to show that the leglrlature had in mind the creation 

of a corporation for One of the pUrpo8e Or pUPpOSe 

npeclfied in one aubdlvlsi~n only.' 

In the oa8e of bObII8tOn et al ~8. Townaend, hx?etary 

of State, 124 3. U. 417, the Supreme Court va8 con8idering 8a application for a nmndamw to compel the Secretary of State to file 

a chart& of lncorporatlon, which he r&U8Od to do on the ground 

that it m8 for the fOl'S@tiOU cf (B CO~OFetiOn fOI' tV0 puIpO888, 

vhlch, he contended, could not be combined ln one charter. The 

contention was al80 n&de that the court had held in caee of 

&%&8ey v8. Tad, dupra, that charter8 are authorl8ed vlthout llml- . 

tatloti for all the purporea mtmtloned $n any one rubdlvislon 

Of the 8tatUte. In refusing satd application, the court hem a8 

follovsr 
Hcnorable Claude 18bel1, page 6 

'A charter murt rpecify the purpo8e for which 

the cOrpom%tlon 18 to be creeted, Thi8 rhould be 

done with aufflclent clearne88 to enable the Setrotary Of Stat0 t0 800 that the purpore 8peCiflOd 

18 one provided for by the statute, and to define 

vith 8ome Certainty the rcope Of the bU8inO88 or 

undertaking to be pur8ued. 'Phe charter tendered 

in th18 Ca8e 18 80 &BSlOl'8l and illdOfinitO in it8 

l.SngUage that while it night apply t0 one bU8inO88, 

ruoh a8 ve heve Iuentloned, ocn818tlng of both mmufacturing snd la%nlng, with the pUrch880 and 8ale 

Of gOOd8, etc., u8ed for it, it 8&ght al80 be taken 

t0 authorize the tXWi6aCtiOn Of tV0 bll8blO8808, one 

of wmufecturlng 8&d another of lplnlng, vlth the 

further pover of purcbaee and sale incident to each, 

An3 It appear8 to be the pUrpO80 of the relator8 to 

use the charter for the carrying on of vhat ve regard aa WC di8tiLCt bU8lIlO68Oe. WO lpay look to 

thi8 a8 illu8tnAtiVe of the capacitier for u8e of 

that which it 18 8ought to have the re8pondent 

file, although Ve do not think that QUO8titXI8 a8 

what ary be done amder a charter ordlnarlly mire 

when it 18 pFOpC8ed to have one filed. It 18 

proper and hportent to 888 that the purpo8e of a 

charter I.8 80 expreaaed a8 to carry out the intention 

of the LegiaZature lu making that requirementi for 

it 18 by a compllanoe vlth It that the public, a@ 

veil a8 those speolally intOla8tOd in corpomtiorm, 

are to be protooted agaln8t the a88urptlon of paver8 

not g-ted. It appear8 from the petition that the 

relator8 who are 0180 the propo8ed corpoMtor8 have 

heretofore sated a8 partner8 in mln~ for 011, g&8, 

and vater, and huve manufsatured their ovn tool8 and 

equipment and device8 ured ln that bU8inO88, and 

have Invented and received patent8 on 8ome vhtch 

vere nev. They have been able to wmufecture mor8 

of the80 than they have needed in dolug their elm 

vork, and have been engaged in rolling then, and 

the mtlsufacturlug bu8lnen8 vhlch they virh to 

incorporate 18 thet of m&king there toolr, device8, 

etc., for sale to other8. Suoh manufacturing ha8 

heretofore been a part of the buelner~ which, a8 

lndlvldual8, they had a right to conduct, but it by 

no moan8 follcvs that it vlth 811 else that lr propored for the corporation Is only one bU8inO88 Of 

@iFnLng and msnufacturlng 8uch aa one corporation 

map follov. It 8OOlU8 phin tb8t the bU8ine88 Qf 

memufacturing for 8ale, toola, etc., for mlnlng 

. . 
I 

lsublo Claude 18bOli, page 7 

Is a8 di8tlact iroll the burrin of ala&g as the 

bwlne88 of rsnUfacturlag for eale faming lmplemat8 would be from f&Rlag. Ia order to hold thet 

the 8LStutO allW8 the inCOrpomtiAg for tvo 8Uch 

puPpOse8, Ye rhould have to hold that It authorlse8 

the incorporatioa of oae corprry for dl8tinct burla08808 of BUlufacturing 8ad mlain& vhlah a8 ve have 

elrUdy 86id, I8 not true. And, a8 the oherter offered can be titerpreted a8 meaning and 18 intended 

to mean that It aUthOrifiO8 the punult of both bus;- 

aO8808, Ve think the m8pOAdOat had the right under 

the lav to refu8e to file It until the doubt a8 to 

It8 8cope 8hould be removed by 8 more rpeolflc 

8tatement of the purpo80. 

"As ve have before lndloated, relator8 npl 

011 8CSlO O~l'O88iOA8 in th0 OpiAiOA in h8UOJ t. 406 

for their contention that ahiwter8 am autherlsed 

vlthout limlktlon for all the purporer mentioned in 

Uy OAO 8UbdiVi8itXl Of the 8trtUtO. Vht VI8 

l’O611~ held VI8 tht the 8UbdiViS10?4 Of the 8ktUtO 

8hoved tb~ hgi8htiVO intOAt th&t them 8hould be no 

UAitiAg Of p~O808 -tiOllOd in dif?OlWLt rubdlvi8ion8, although related to uoh other, and cnly 

those mentioned la the ume rubdlrleion vow capable 

of bol.aa jolaed In one darter. It certalaly nr 

not MUlt tht 611 Of thO8e RellticWd la SnJ 8Ubdivl81on owld be united ln l vox7 c-8~0, regmdlerr of 

the v&r ln vhlch they might be related to or connected 

vlth each other. It will be seen tint the effort la 

that 0888 Va8 to inCCl'pOIWLt0 bUdJles808 vhiah would 

have had a clore aad rytur81 ccnnectlcn vlth each 

other, viz. : (1) “phm pUl'Oh680 6lld 8810 Of gOOd8, 

v*re8 aad merchend180, and agricultural 8ad farm 

productr'j and (2) *the accumulation and lorn of’ 

money la carrying out 8eid purpo80~. It thU8 appears that the latter purpore vould hve been vholly 

dependent on the remlt8 of the fimt. m holding 

Ye8 th&t beCiBU80 Of the f4bCt tbati the80 pUFpO808 

vere treated ba the rktute a8 eepsrate they could 

not be mede one a8 rought, notvltkmtandlns the depeadonce of one upon the other. With thl8 In mind, it 

18 Oa8p to undemstaad Vht V68 uld 86 t0 thO80 purpc8er mentloaed together ia the 8Ubdlvl8lc~8. They 

vere treated br the 8tat~te lt8elf a8 If the7 oould 

be United aad hence they nuy bej but thl.8 doe8 not 

mean that theJ lnult be held in every in8tanae to 

otmstitute 'a bu8iAO88' the traA86OtiCU# Of vhlch 18 

'the pUrpO8e’ of the lnoorporatlon, although wholly 
775 

Eoaonble Clmxle 18bel1, page 8 

dlrtinct SrOm 8ad unrelated to eeoh other. The 

court ln l?am8ey v. Tad bad no occarloa to determlae 

the OOAditiOA8 08sentiel to lmorpontlng vhen 

caly thO80 fib-8 mentloaed la a rlngle 8ubdl*l8lon 

vere la que8tlon. We have endeavored to 8hov hov 

mining and M!aUfaCtUring 816~ be combined wader rubdivl8lon 14 and M8trlct out 4eal8lcn to tbnt." 

Vader the above vell-defined rule8, lt 18 our oplaloa 

that authority for the filing of the propored amea&ent to $he 

charter of the l&mer8 Supply C 

be found actor Chaptir 8, Title= 

of Ehrtley, T-8, rout 

. A. C. 8.. or It vi11 hve 

to be refu8ed. 

The declaxud policy of the St8te 3.n reg8rd to oo-opemtlve 

nrketiag 688OCirtiOA8 6UthOriSOd br WptOr 8, ‘Lit10 93, 18 8Ot 

forth in Artlole 5737 in the follwlng lmgusget 

'In order to promote, Sorter and enooumge the 

lntelllgeat and orderly biting or ag~loultwal 

produat8 through oo-operation uui to l l%mQnte 

8peoulatloa and vi8teJ and to make the dl8tributloa 

0 

f 

agrioultursl pr0duot8 a8 dlreot 88~ aan be effi0 .mtly doae between producer uul coaeumer~ aad to 

8teblllse the market problear of agrlaultural prodUCt8, th%8 hV 18 F4i88ed.” 

&tiOle 5780 Of aald 8ktUt0, a8 ammded, ACt8 1943, 

..48th kg., p. 601, t!bap. 346, vhich ret8 forth the pUrpo808 for 

vhlch 8uch an eb88Ocietion My be orgaalsed, mibd8 a8 fOllOV81 

'&l~800i6tiOSl~~ tMJ OP@AiUd t0 O-0 ill 

m activity ln connection with the productian, cultivation and cme o? citrus grove8 or tha rrkotlag 

Or 8Oiih.g Of 6gSiO~b~6i prodUOtS 6Ad Cl$lvr ?FUitS 

prc&qed by end aarketed for It8 melben), or in the 

hrVOstiag, 9m8emb& drylng,pmOO88ing, wins, 

8torlng, handling, 8hlpplng or utillsatloa thereof, 

or the mamfaaturlng OF marketlag Of the by-product8 

thereof) or in commotion with the mmwfacturing, 

8elllng or ruppl7ing to It8 member8 of rahlneq, 

equipment or rupplie8; or in the fiWAc* of the 

above-eauaembted actlvltle8; or ln any One or more 

of the actlvltle8 rpeelfled herein, Provided, 

hovever, any 8uch aotivitier my e%teUd to AOnmember8 and to the production, otitlvatlcn and ten 

of -8 mod or cultlvetrd by them and their prod; 

uct8 limited by Artlole 5~38 a8 heretofore amended. 
Honorable Claude 18bel1, page 9 

Article 5738 of rsld rhtute8, vNuh llalt8 ths provl8lon8 

Of &tiOlO 5740, 18 68 fOllOV8: 

"(8) The term oagrlCultural prOdUCt8' rhall Inolude horticultural, vltlCultun& forentry, dairy, 

~~u~E~~'tbP~~~~;,":~~r~~~~~~~~~~t*l 

mO8iber8 Of 888CCistiOIl8 without Capital 8tOCk and 

holder8 Of cmon 8tock in 688Oui6tiOn8 orgsnlred 

vlth o&pita1 rtock; (0) the term '888oclatlon' mean8 any 

coTpOr6tioPl orga.a.iaOd under thir &3t Or a~iy &8SO5%4&- 

tlon organized under the oe-operative ourketing aat8 

of any other State of the United Stetes; provided, 

8UCh fOXWi&l 888OCiatiOA 18 CC8&aC8Od Of per8Cll8 Ongaged in the production of agricultural produotr as 

farmers, planters, nsaahmen, dairymen, nut or fruit 

grover8, acting together in a88ocl.atlon8, corporate 

or othervl8e, with or without aspltal stock, in collectively prOce88~, preparing for nmrket, handling 

and marketing in lnter8tete and foreign cQp1111erce, 

8uCh produat8 of per8on8, 80 engagedi provided, further, 

that 8uCh a88OCiatiOlU 6l'e OpeNXtOd for the %UtUUl 

benefit of the member8 thereof, 88 8uch producers, and 

conform to one or both of the follovlng requlrement8: 

"(1) That no member of the 888ooiatlon 18 allawed more than one VOtS becruee of the amount of 

8tCOk or memberrhip capital he umy oVn therein, or 

“(2) 'Pht the 888ocistion doe8 AOt pay dividend8 

on 8toCk or member8hip capital in exce88 of eight per 

centum per annum, and in any Ca8e to the SolloVing: 

“(3) That any 888OCirtiOll 8hr11 be pereltted to 

deal in the prodUOt8 Of AOX+Eember8 tC an amount not 

greater ln value than 8uoh a8 are handled by it for 

it8 me8ber8; and (d) the ten ‘percrone rhall inolude 

lndivldMl8, fiFI88, partruP8hip8, COzlpOratiOlI8 and 

888OCiatiOZl8. A88ociaticn8 orgeal8ed hereuuder 8-11 

be deemed non-profit, inrsguoh a8 they ere organized 

not to make profit8 for themslve8, 88 ruch, or for 

their aember8, 88 8Uch, but odq for their Emuben 68 

producer8. ‘phi8 Aot 8hall be referred to a8 the 

'Co-opexutlve Xsrketlng Act.'" 

The powers of assoclatlona Incorporated under thi8 Act 

am eet forth in Article 5742 88 fCllW8l 
777 

livmrrblv Claude Ivbell, page 10 

%wh esroolatlon lncorporeted under thlr Chapter 

8h~ll hvs the following power81 

“(a) To taagage LKI 8x29 actlvtty in connectlon 

with the production, cultivatlou and car6 of citrus 

@‘VW38 6l.d the lZS?.rk6t+& 8&13X4& haI’VCstin& pa+- 

8erVla& dryin& &O?We8h43, Cannlmg, pecking, rtorln& hnadliag or utlllaetlon of any agricultural 

prodwtlr produced or dellvmed to it by its wmber8, 

or the productlo~, umufaoturiag or market% of &he 

by-pmduct6 thexwfj OF in connection vith the purcha8e, hirlag, OF 1180 by it8 members of auppllesI 

machinery or squlpmnt; or la the flnanolrq of any 

8UCh aCtivit&38; 012 in amy Vm8 OF D013e Of the ACtlvlties specified in this Artlule. 

ter8 "(b) To barrov mone9 and make advance8 to mvm- 

. 

*(a) To act as the agent or reprerentatlve of 

7 

member ~.mambere 2.a snj of the ebove-meatloaed 

60 iVitb8. 

O(d) To purchaf~9 or othervise aoquire, and to 

hola, own aud 6xerelae all rS.ghts of owaerahip la, 

cad to sell, transfer, or pledge shmecsrr of the capital 8took or boa&g of any corpvrntlcn OF aasoeiPtloa 

engeged la euy rt&ted sct1vLt.y or ln the handliq 

or marketim& of eny 08 the products handled bg the 

asooctitloni including the power to eubecrib6, pay 

for end own th6 capital Btock of Banks for Coopazrotlves ~organiaed under th6 'Fara &edit Act of 1933' 

~)a686d by the &~@XWS Of the United State8 and a&+ 

'c)roved June 16, 1933.. 

“(j?) Tc establish lW8sW-JcvB8 fi.Ild tC %nvO8t thr 

fids thereof ~Ln’bondr or ouoh other property au may 

;a provided ln thr by-law. 

'(f) To bw, hold nnd tx6rcisc all prlvlle(le8 

of uvn6rsNp over such r6al 02 personal property a8 

wy be necessary or convenient for tfio conduetlng am3 

cperetlon of any of the bunlmsn OS th6 association 

or inctdental thertto. 

*(g) Tc do each and ovsrything neoeseerp, eultable or propor for the acaaaplis?zmnt Of any one of 

the p~oei38 or the attainn6nt of arq oawb or mom of 

the ObjOut8 heWin cumrated; cr conducive to 0~ ezpedlent 
Bonorable Claude Isbell, page 11 

for the interest or benefit of the assoaletloq and to 

aontmat roaordingly~ and in addition to exepalse and 

posses8 all pavers, rights and privileges necessary 

or lnaidental to the purpooes for which the association 

is organized or to the activities l.n vhlah it 1s engaged3 and in addition, any other rights, powers and 

privileges granted by the laws of this state to ordinary corporations except such as are inconsistent 

vith the express provlsi&ns of this Act; and to do 

any auah thlxq anyvhere. 

“(h) To exten$ 1t.e aatlvltles to the products and 

supplier of non-member8 to an mount not greater in 

value tbnn such as are handled by it for its members.” 

Artlale 5664 of aaaid statutes defines “warehouseman” as 

a person lavfully engaged In the business of etoHng goods for 

pro-t. 

Article 5568 nets forth the aonditlons under vhiah any 

person, firm, aompeny, or corporation shall be deemed and taken 

to be public varehousemen, as follows: 

0 

. . l 

“Any person, firm, aompany, or corporetion who 

shall receive cotton, wheat, rje, omts, ciao, or any 

kind of produce, vare#, merahandlse, or any personal 

property in store for hire4 shall be deemed a.nd taken 

to be publla warehousemen. 

Chapter 3, Title 93, authorlses the fomatlon of 8 cooperative aaroalation (Art. 5578), one of the pavers of which is 

that of a varehousemm, (Art. 5579) and Chapter 4 of said Title 

authorlses the Issuenae of varehoure reaeipts, Art. 5561 thereof 

setting forth who nmy become a public warehouseman and the requirements thereforj but, under the rules above laid dovn, the 

Farmers Supply Company of Ebrtley, Texas, is not authorized to 

take advantage of such provisions and to emend Its charter 

thereunder, since it vae organbed and ban been operating under 

Chapter 8 of said Title, vhiah is a different law. There being 

no pmwlsion In Chapter 8, Title 93, authorlsing the lssuanas of 

a charter containing the purpose alause set forth In arid proposed 

amendment, viz& “provided said assoaiation meg further conduct a 

public warehousing business, iacluding warehousing in aompllance 

vith the app?iaable statutes, state and federal, relative to the 
&uiorable Claude Isbell, page 12 

qonductlng of state or feduwlly bonded warehouses,” It is our 

opinion that raid proposed aswndment should be refused. ThlE 

would be true without regard to whether the question lwolved 

an amendment to sn existing Charter, or 8 new charter. 

Trusting this satisfactorllj- sumvera your inquiry, ve 

remain, 

Youm very truly, 

ATToBIwp QEaERaL OF TmA3 

BJ z,ti4 

J8r. W. Bassett 

Asslst8nt 

JUB/JCP