OFFICE OF7’HE ATTORNEY GENERALOF==AG 

AUOTIN 

; Si&&bia B&t Boru, AkwlalmtMfor 

texoo Liquor Caatrol Board 

Aaot$n, Texao 

beoy Mr. wed, 

.', 

. 

0piu1ou wo. O-7139 

ROC methw Or not 8 olub operated 

midsr. the deoodbed oemiltl~a ’ 

oonoti~teestheaperotloaar 

08 .o p ea o o lo o 88 l 

You Mqueot oar opinion upon the l boTe48ptiened mbjest mtter, yoopr letter bainB 88 followo: 

l lr111 pa plo8oe gzro~80 your rollled 0piniolJ 

l o’to whother or not 8 plea+ qeroted in the wnner indlootad belo=, rhoro l lsohollo bevwqes are 

oervoU, 0080titak the oparotioa of an opsa o8looi..’ 

.Tbe Son Antan Club, a oor~rotion dnly ib- 

..: 

oorpwokd uudor the 18~0 of tbo State ot Texas, lo 

~. the 108000 of rpproxiut*l~ lS00 aqwre teat of 

opow losated on fho third iloor of the Bunter Betel. 

8Thio opooe 8~s leased to the Ban Anton19 Club 

tar a padoU ot fire pmrcl ot an onsuol rwtn1 of 

$6,ooo.00 per year* Tbo promises were Jeowd for 

ooo up wey se l prirote oleb ond the leooee agreed 

to 011 publie jswo pertdnina to tho operrtlon ot 

prlroto sfubor 

%m dub eorprlmeo three roa!mm: l r ea diug room, 

8 a luroo b m, l a d 8 @sting roam- TM olub is otrtred 

wit+ strr8rds vbo l ro respsmoible tOr the geaarrl apMop at tho olub: and these two afe*ox%Xo ore hired by 

md their wlwiss are paid by the San Antonio Club. 

Ottldoro at the olub and meatbare of the olub do sot 

reo~lv*~mj etmpaa8mtlon. 

.l’im t&odor Dots1 oorViOe# the dimiag r0m 8nd 

mlatoina waiters tor both the lrmohwm ond disnor. 
.Ilkoiibli Bert Ford - page a 

Wae olub ammboro pay the betel regular room 

wnioa pHaos, 108s far per aeut diwotmt ?or 

toad . 

%IO betel -item do not hire 000055 ta the 

ahb room or the modlag room* Tholr aotlritleo 

. being oonf%mU 8trioUy to the dining rooms 

5There lo a oomloe bar ia the olub room tor 

'diopentig mired drlako only to members aed their 

- goort.8. 

.TFIo bor lo operoted.rmder rhat is kuorn 80 

Sbo bar pa01 plan- &rob at the uremfy-tire alyb 

members bo+e ou depodt In 8 mepamfe fuud )ag*m 

eoob, wbiab aokow 0 total ot $I878~00~ Tbls mmey 

hoi been poolod tog&her to prrahsao liquor tor 

fbeir pormu51 uw* 

Wwahoms ot~liqunr far the Olub ie aado bf 

the treasurer Worn the bolder ot a Retail Pa&age 

Store Permit. 

'Ia rithWW&g liquor at tbo bar from this 

pool, eaeb nmboc uses a ooupaa Eook. Each soupon 

mtltl.sn the member fo one drluk. 

'All liquor purohnsed tar the alub ir pfoosd 

on the baok bar or is stared in a small room behind tbe bar. 

*Club members obtain 00up0m book8 from the 

atewordsl At tbe~ end ot eoob mmtb the oltlb member lo 

billed tor the atoaber at soupan boots he boo bean 

iwuod. 

there are no guert amdo SW tbo Ban Auafenio 

Club, ana no nw-wmbor 10 ollorod la tbo Olub room 

uule+o bo 1s a pemt ot 8 member. Ho @tmst 6aa obtoia drinks from the bar, lm.'O member may 58rVe 

his or her guoof 8 drink, u5ing bin or her aoupon. 

Xo money at ury tIma ohmgee bonds ia the olab meme 
,Smorable ,Bert Word - pmge g 

? 

l l. go Iodloo pordttmd b & o r 0 8 p* I* 

'2. lo aaaaoortsd lodiom peralttod~ot any 

tiw . 

"3. ilembers required to lir%t tbblr ~mmto 

co tour -- It more~# oout8ot tBe bar 

regardlug omnlmm bstorm errWing 

rfth the gtammt?. 

e4. lo gambling rltb gu66ts at mar tin. 

56. lo pok el r 1Jomod. 

-6. Club opmn tra 11 aa. to 12 ridmight. 

?T. go l lot fmaohinmm or mlokelodmonm perrifted mn the prmalsmm. 

'R. go fmng dlmtmnme pbmnm 66116 or mlras 

permtlffeu trw bmuma phmnmm. 

*9. no members or guemfm aXlowed behind the 

hrr. 

‘19. Rwbero ewn~t mix tboir om drink@. 

911. Ito mmmber mhall bo permitted the pF3rilmge at bringing the mamm ruoidenf 

gnealc ottwor than mnom a reek. 

'12. Lwiukm oannot be mmmod to anyone other 

&ham 8 member, unls 88 8~0mpanisU by 

0 member. 

l 13. Wwber8 8re uO+ pemaltted f8 bring their 

wu llqaor. 

'1 timh to aall to ymur atfwtlaa the follo~lag 

proridmnm ot tbm Tsxam tlqaor Cmntrml Aat! 

l 'gmotioa 8, (a) ot Artlole 1. fha terim .opon 

mlocm* ~5 urned In tbls Aot, maate my Flame rh9rm 

on7 l loobolio bmvmr8go wh8tbvOC, msnutoetured in 

rbole or lo port by moono ot the prmooo5 Ot dimfilyotiw, or mulj liquor mO5Jpom#d or oorpe~aed in wrt 

Of dimtilled &ritE# 16 mold or offered tOr ~8x0 
6.24 

RyOrOhlm EOrt Ford - p8gO 4 

tar beremge purpomam by the drink or In brekea or 

unsealed oonfalnor5~ or any plaoe where any mab 

liquors are mold or otfered tor sale for blnaan oonsumption on the premises mhere sold. 

"Smofl6~1 3, (b) of Artialm 1. It shall be unlawtul. for any permon~ rhetber an prlnaipalr 8gmt, 

or eaplojeer to operate or l 6610t In oper8flng, or 

tb bo direotly or lndlre6tly inforemfmd ia the operation ot any open maloan In tblm State.** 

*I al50 wish to a811 fo your attention Op3ni'on 

lo. O-1146 Ppp~~Oa by the Attorney Qaner81'6 Department OD August 28, 1939. It la the oonteutiw 

oP the Son Anton10 Club WI+. Attorney 6mner0l's Opinion loa O-1146 doom not cover tbim sltuatlon~ ?bm 

San Antmio Club tarther OOntwd6 that the manner In 

rbicb it O~r~Ifes dOem not TiOlate SOOtiOn 3, to) at 

Arfiale 1. 

tOi1 016: 

~pplentmnfing this latter, you further rdvlw u5 as 

'In mupplmmmnting 613 letter nt Harab 0, 1946, requesting an opinion mn the operation of the San Antonio 

Club, 8 eorporotlon duly fncorporatad under the low6 ot 

the StOte Of rOX86, tb16 olub O~l'OtO6 41 a ~OU’FOD 676- 

tern whereby a member may smoure a ooupmn book ooutalnlug tmmnty (20) m~uponm~ oi wbiab each coupoi la worth 

tlfty amntm ($.nO) each makinK the aouptu~book 005t a 

total ot No.00. 

'In eamh inStan Of WhOrO a member purobarnorn 0 

drink ot whiskey, mixed or OthO~ieer It 15 n600668rj 

that the number and the olub mtemard 6Ountormign 686b 

coupon. Ikob drink ot whimkoy, either mixed or otherwiSe# h86 8 006f Ot tifty 0Ot2fS t$.60) regard1665 Ot 

the typm drink purahatiad. 

@The club member do06 not pay for hi6 OOUpa books 

t111tl1 the ad ot the month, at whiob time the smorekrr 

b,1116 him tor the aumlmr of OOUpOn books th8t he h58 reoaired during the m6nt.b. 

‘The treasurer of the &In Antonfo Club purobares 

a11 liquors to be used by the elob and pammnt for 

those liquors is III8aO tram the f’Umdsp rhjch were orip 

inally met up 85 explained in my pretious Ystter. 
625 

lmar8ble Bert Ford - page 6 

sYoueya derived from the aale o? eoatpc*, books 

la plaoed la the fuud at the end of e8oh mouth.* 

In Opinion No. 0-llrlg, a Cop9 of rhich is l ttaohed 

hereto, this departsant held that tbe liquor operatloua of 

the Souaton Couutry Club aa set forth in that opiniou, oouatltuted the epar8tioa of 8n *open aaloon~~ fn this Opin3on, we 

ahall not review a11 of the authorities neutioned in that oplnion, but ah811 uerely quota uora fully aoue of the autbbrities 

. mentioned and ap919 the rules am&mood ia that opinion to the 

iaots oouoetnlug the liquor oper~tlona Of the Ban Anfw-to Club 

as wlmltted by you. 

geotiou 3(a) of the Texas Liquor Control Aot reads 

as lollo*ar 

l geoti5u 3(a) of Artiale I. The teru 

‘open SC~OOU' as used in this Aetr momma au9 

plaoo where au1 alboholio beroraga rhrte+er, 

mauu?aotured In whole or 3x1 part by means ai 

the prooesa of dletlllatioa~ or any liquor 

eonpoaed or ooapotmded in &mrt of distilled 

Ilplrita, is aold or offered for sale lor beterage 9urpoaes by the drink or in broken or 

uuaealed aontainerar or any p~aoe where au9 

SUOII liquors are aald or offered far sale ?or 

hmau ocuatnaptloc on ths 9remiaea where sold." 

l&r@+or Tr 

peals), holdsI- 

-.- gtate, '11 3. x. m (Court of Cria&al Ap 

-The queatlon here is vhether the sale of 

fntoxioante by tha mana@ng steward or barkeeper a? the olnh to one of the naabera of aaid 

olub ia a sale. la are of the oplniOn that it 

is. vheu the iutoxioauta IOM bought by the 

steward, or 8ny other meabar oi the aluh, rltb 

the ftmda of the olub, they bearrca the property 

of the oorprwatiou, aud a sale by the atelard 

at said oorporatiou to aav of Its members Was 

8 aale, aa that term is defined. It uaa the 

aeparatim of the property of the olub, and the 

tranmfer of the nam3 to RU indirldnal umber, 

for rhioh he either paid the Oaah, or beoame respoaaible t?lerafor. . . . Thla Is not a o&se 

where parties ooatribuk amma of mmef and pmohaae intoxlaan ta thererith, and divide thm 
626 ’ 

Iiouorable Bert Ford - page 6 

. 

pra rak anwmg themaalrea~ but It is a tranr 

aotian 8bare the 0olp1p114 assets of a aantinu4ng 

baaineaa are Qaed to replenish the gmda sold 

la that business. l . 4' 

Ad&a?& L. Stata, 145 8. E. e (CfiUrt Oi CrbdQal. 

Appeal a), bolder 

-- 

*Z’he questions preaanted for our condderat3on are but two2 l?id the tranna~atfon eanrtltute 

a aale rithia the waning o? our la8a, and, . l . . 

The eridea6e shows that the ineerporafed alub pnrohaaed liquors in bulk with money la the traaau~, 

l nd sold or dispensed the liquors to ifs members at 

the aaual or custom&r7 prioe. This wi thlak ooQl tltQtaa a aale under all the rules of law. If l QT 

g%ren number of peraona organl*e an ~aooalatiom mder 8Qy name whatsoever with the underatandfng and 

agreement that ouoh goods 81-a to be diapsa#ed to the 

members in auoh quantities 80 each a87 desire at. the 

uwal and customary price, t.he member paflnp mil7 

for auoh quantity an he rboe3ver. such tranasotiou 

aamatitutea a sale by the aasoci8W?n to the member." 

*Ia an7 erentr aaoordlnE to our vi&, .the alub 

members, R\ert they paid thsir Qonay into the tresaury, pm-tea r3.t.h it to the aorporatioQ, t.be am-pot-atian beeowing tha owner thereof; and rhan the aorparatlon rent aQt thfs Qom~ it bought the bear QQ 

Its own I?ebalf GI Pt. Fartht crnd If ate say time tbe 

oorwratim had faJIad ,and beoo%e aubJeot to axeoution, the beer and property af t’ha oan!e acmld hate 

lvea~ .aOised for tha debts of’ alOh cnrpfvat~an- . * .” 

While a11 of the riel~ations In the eases mantltmed in 

0p¶nion HO* O-1146 and above oaourrad In dry .areas, We bal~ave 

that the o?#eratlcm nf SQ l oysn aalotmm’, as th8t term is deflned 

above is prabibitad in *wet areas* aa well as 'dry areas' of 

this state. 

Wrj have aareiull~ considered the taata ntated by fout 

and be& to adrlsa it IS tha apinlcm of t-h38 dapartmaut the faOt8 

thus atrtefi, if introduoed Ia erldauoe, 8oul.d be auffiaient prima 
~aorable Bert Ford - p8ge 9 

627 

iaoie to authorire the ~bplrlsalan of the oase to a jury, if 

one uere damu!d.ed, or to a81Y for 8 deeidon upon the merits 

br the oourt fn the l b sa no e of a jury, but that suoh faota 

would not by any mema be oonaluslre one ray or the other. 

la other words, a trial court hearinK Jaoh oaae, where the 

pertinent faota would in all probability aama from the teatlson7 Of Interested Witnesses, Would not be juatffied in withdrawlnr: the brae from a Juq and doaiding it as a matter of 

law, l lnoe there roald be iuTOlTOd wah f8ot netters us oredlbllity a? *itneaseat weight of the tentimnmy, lnfersnoea and 

deduotioria from the faots proven, md in abort, Oiroumatfmtid 

evidence from w?$ch a Jury etmld properly find tbnt an opm 

-loon was being operated ID tlolation of law. 

The reoent case a? atate f. AhheltTJoan Servioe & a& 

z 8. E. (2) 116 is very muOh ia point rlth mypeat to what ue 

hare just sald. There the trial aourt gave an lnatruated verdict for the dotandant T,oan Barvlae Ir! a,n lnjunation wit under 

the Oeury Aot, where the cviflonoe offered hy the State w&a oirauaratmtia3, Involving rer7 altilar iafmen to t?wse inrolred in 

Tour inquiry. 

To are not, of ooureebr deeldlnff tbe oase aa Batter of 

Iar one ray or tb.e other. We are merely hOld%E$ that auob Widenoe would make a prima faeie oaae from Thioh a JQW migt 

properly find for the State , and auoh finding, lo thlnlr, vould 

he supported by the Oourts. 

Very truly ~Oura 

OS-aln 

ihaloaure