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.. ‘ ~OFFICE OF THE AfTORNEY GENERAL OF TEXAS
. AUSTIN _- ,QgwwCMUm~ A?mmQ- .:, '.;

Roaorabia J;, 0. Looney. county +Iitor “. :Boatbq., Texas : ” : ’ . !._ .’ Dear.:&; *. .-’
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. shown. in’the sdds +mr 6 paid **$1~** ~‘in other WounseL for.‘the ~~~dlninistratrlx’oontends . thst th8s.e liquidating &ivid&ids .ar? a part of’ the oorpus of the eatata, and. as suoh not subjsot. ‘I’ to ‘the oonunlssion of onzehalf of one per cent due the County Judge un3ar &!t. 3926, ..RCS, ‘althpugh the full amount roproscxta ‘pn inorrask over the actual inventory values.I

_.: ‘. ’ Eonorable S. D.’ .kooney pace $2

*Iii taxlny, the coats in this case, should one- .heflf of on6 per. cent~oommlsalon bo taxed by the County Judge on thla itern~.~of. ,~l~uldati.ng’dlolden0a,?~ ‘. In reply ‘to our litqulry ,am‘to how this ‘iioulda- ~~0~ ~was~‘hanQ.ad,.

your’ &et.tar. of Ootobar 20, 1943, i+ter:

. ., -’ “The .&bsF .oornpai&wound ui b&i&~“& .’ ’ .. $ald’ oi? the. 3nterest of share holders partly In
. ‘cash‘ and partly by lssu~oc of:. stock .ln ,a.:new . ’ aorporotlon.N . . ...’ .-*. ,‘~ 3 ,... .. et,,: ,.,,:. : ,, .-‘I . . : ,*’
. ,. hrtldlc .3326g R?ilied Civiiz &tu&&d~ zin .j&‘& f,o~lgwe:

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. . -: “The co&y: Judg’e ahe.ll’:ai$o raoelk the .I ~.,rf+lowlag:reesr ~,

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of cne-lialf bi oki peroeht up03 the aotual oosh reoelpta’ of: eaoh bxecutor, (Idmlnlstrator or~guar~lan, upon.ths approval of the exhlblta,and tea fini set$lemen$ oi the” :-<. qoa+nt -of :.auoh xksogtor; administrator, or ~ euardian,~ .bnt .no’ mojc,ti ‘Ithan ‘on.6 such ,ao&slselon : shell ?@ .oh~&ed; ‘On w. k.wiunt received :by ‘any suoh ereou~~r;“ ‘cr~~l?trator’ or, &uardlan.W

;- The an&war to ,your .qvoe,tl?q~:d6pend.a. upon ~a ,. Iroper construotiun. of: the term’ “aotual~. ce.sh~~~eailipt?33’~~ail csed ln tho sb~ove:statuttir :-Under the iacts asxe?under- ’ atsnd them, deaeased ~“bwned .‘stoc$. .!n.. a. ‘qofporatlon at the time of. hle death;. Since thtrt time,.’ this asset of .the estate hns be.?n ohcu;ged’G fqrm.. In exchange tor thk stoc4, the ndminlstratrlx has rrosived. fra?l the ‘corporatlon casi cnd:~aome.stoo& ~&n a ~IFIR oorporatlon. ,: Thi, sdninlstr.atrlx-hFie. raported this: tranqaction .in hsr ’ a snnusl occocnt recently filed in the ocunty coprt. Do ;‘ thess new essets;. abquire$ In ,lieu of: the ,old, ‘constitute *sotual ~qash reoelpts.* ‘witbin.. the aeenini; or..-the ‘dbove atatute~, ‘, i’, .: ~’ ‘T. .: .I ” i The contention of oounkel.~ for. ihe admlhlstiatrix. as reterred, to.,ln ~yohr .letter i” ’ eitparontly based Upon their

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. Honorable 3: D.. Looney pare $3 interpreta$lon OS the longuace OS the Court OS Cloll Appeala ia the case of :Ylllla vs. Harvey, 26 S. X. (2) 288, In whloh Cese writ OS error was reiused. In that ease the court reviewed a decision oS the trial jud e allowing the oounty judge a oommlsslon under Article 392t , eupr.a, of one-heir .Or one .peroent on,oash OS the teatatrl% on, deposit in the bank’ at tha. time of her death. The executors appealed from the rulln~.mak~ng this allowance. 1Yaquota the Sollowln~ excerpt Srom the deolalon OS the, Courts..

.~ “The aOt vary Olsarly has in.vIew the providI& OS.oompensatlon to the probate judge for hIa oSSlcIal’oontro1 OS eststqe, based on @the aotual oaah reoslpt~’ shown by the exhibits and the SInal settlement OS the .aaaoouqt oS the *executor*. But. properly cdnstrufng the Aot;,lt Is believed that the speOISIo case presented here on appeal may.. not be reg’lrded as wl thin. its soope and rr1thl.n Its purpose. There Is nothing in: then words or the diti.616 to atteoh’ a~dlff orent mianing Oapabls OS eipresalg embracing It. An Independent exeoutor Is not .lncluded wIthin the term ‘exeoutor,’ as employed In the article, snd the:~term*reoeIpta* therein .used~,,

does not embraoa Oash on deposit ‘, ,‘ ti the bank batsthe death OF the teatator. The .~ : word .*ifxeoutor* as’ used Is mall6 clear and apa~ltld by considering the assoclsted words @administrator or guardian. * Judged Sror Its associated words, the term ‘exdoutor * wee meant .to refer to the exec?utor admInisterIng the estates OS the testator under the oontrol OS the probatd oourt. suoh olass of exeo’utors are required, ‘as admlnfetrators and guardians are, to present to the probate court In ah exhibit OS ecoountlng; under oath,- all sums in oash terlved from sales, **001-** lectlons, and like sources in due oourse OS admlnIstratlon. The probote &d&e Is required to examine and approve all suoh exhibits oS aocountlnc whsn ,dtip presented to him by such exeOUtOr or a&lnIstrator or guardian.- The oSflolal situation cS an independent exeoutor is dliiarent, and it- ‘is OtherwIse provided es to his leeal duties and euthorlty. The statute of this atote authoriaes admlnlstration independent OS the control OS .~ **prob,e$s** jurisdiction wh#:.xothe **tes%atOr** has 80 ,’ _’ : ‘ .

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. Ronorable J. D. Lqoney page #4.



### ‘. lndlosted by the terms of the tvlli thnt such 16

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### a06ire. The independent exeoutor so named :. In .ths will.16 qualliled to a ot, and Independently of the, probate oourt, fro61 the time the wIll*ap poIntlnC him is’ adsltted to Probate.. Colemauv.
. boduoa Co. (Tex.CIt. App.) 204 3. K. 382; Pepper : . . . _. II: ‘Galling (Tel. Clv. A.p.) 195 S. V. 892; Roy
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: v.. Ghltaker, 92 Tar. 34 , 4.8 s. x. .ct92, 49 s. 2.367. Be need .not neoessarily return sn inventory In order to mske hI6 execUtOr6hIp valid. Cooper Y. Homer, 62 Tex. 356; i~lllls V. Ferguson,. 46 Tex 496, .lt ‘Is thou&it. the term l actual oash reoelpts~’ should.be held to Sp6OIriOally de6cribe money ,Y. ”reo.elvad.by the exeoutor other than the 066h or oorpus oft ,the estats which was on hand when the te8tatOk died, btiosuse th6 **Words US&**  **point t0**  :.. end Imply:that meaning.. .tid ,too, -another seotion

of the: statute,. bearing. upon the same .subjeot- :*. f&tar .of Oompea66tfoa,~ make6’I.t evident ,th6t

suoh was’ the meaning that the Legislature intended **stiou1d** .be put. upon the tern ‘Used In, the’ presently . oonsldsred artIol6: The one 6eotIoa of the statute. St&d6 '66 the context or the other, and ‘they-msy’be’comp6red-and read t~cgethar as a means of. &vlng.‘ta. the lsuguage~, used ~the **maiming:** .Intended:by~ the LegIsl.ature~ Ry :suoh S~eotIons (s.rticle 3689 and. 3690) exeoutoks an& admidietrators ~.8- allow8a~~commI6sion on “911 **s.ums** they iaay aotually j raoolver Ia:cash* .~but..vhich. shall not InolUde c.ang .’ cash which was 0~1hand at’ the time, or the death ot the teststor .or Intestaterg “Also by artiole .4310 ., R.S., ,oo.ihiss’Iona -ore expressli denleq to .the guirdlan on *f.Gtate.~*I*- * first delIvered,( .The ‘express shuttltig out of a oo~mmlsslon ‘to exeoutors,:snd admInl6trators oh ‘Cash’* * *. on hand at the * * *.death OCthe testator .or Intestate’ ahd to guardlana * on the estate first delivered’ Is to. be. taken .a? ‘an .eXprc8sIon 0: leglslatlve Intent oi tho scope land purpose of . cticle 3926. There Is no dtffcrence In the msanIns of. the tcrm6 ‘aotually reo’eive. In oash’ as used in article 3689, and ‘aotual cash reoeipts-,* as ._ used in artiale 3926, ttna testate when .flrst delivered!, **63 used**  In art1016 4310. The vary .purpose of the etatuta In authorI6icC **akexeautor** to not Independently of control of the probate oourt Is, as statod In Ullhelm’ 6 .8State **V.** Datthews ,(Tex. CIv. App. ) 274 S. Z., * 251, 752: ‘To avoid the ulsual 0.08t6 aad b&her. Of rsgular admIn16tratIon.W I:

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. :ocomble. J. 3. Loonsy as’-c ii

. Claarly, under the nbovo hslain& the omaty j&e-‘$9 COt Cdft!tldd t3 ilOCtd88iCLi ml OSeh Ofihaad **OT** in tho bmk **at** the tiae of’.. t,h:a aasth of the 4~0~0nad. ;za 1 mitw ci fact, t?cle wos the snly ~osua In the oasa. ;;e at .not 0.3v3m.m the I3*m~e of fhn 4rolaica 80 lzld- . 1~: by way si diOt4 **tblt** Uaeh ~lr_oocxUufra7 disposition **of tbff** **’ OO?:US**  Cf the CStoC0 y&?ht--&i'&~1ai881ciato the .cxnty~ 5u.dr.e. In **inot,** a0 daainioa of our appellate

. ~tl%l baa t3f~~rtee my oxoer ” -'ioa OS the tqrsa-actual ~1~1: raoslQt.aw 6s used I& aa:C iMiLo2~ 3924 dCh%t thw C-XI&I c;t; &m&. 02 la tha **b.snk aa**  tha dota.,izsi tha daetb .of cbe owaar. , .

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**The** f8Ot thct &nCy~ju&.E43 9m antlt:sd t3 a. " : .:. **fee akufl**  .lOnOtQ **df%** a.7:?VCrte& hit0 **OtaStl in**  ths **QOW88 Gf**  **.** p6zfcfsteri~~~nn uct*to 13 sLw !::Cw dceiolm of tho **3E~%Ld** ~hil‘t **+I &ybS**  **Vit. L-**  **‘ :CiS,**  **134 3.**  **2. (2)**  **131,** fa thit oaoc at th0 time of CYB dontb of the teotatorr.be6' -:. ; cimod s 13,WO eora~xanoh; os.zsiderable lluastock PR& ewe. '::: ranch a:r1p%xit. Ah of oaid osaetb wuru sold and the -. - . . adticl3trritor

p&f'thS.then axutty judge bm-hsU ol on9 : ;zrcent otithe ~roaaoda bf thrr ffalc. &a apprzmod the fi~nl dotmat ‘FOF A later osxkty ju42g.a’~ the eetstc clcrf;o.od the, **’ 0milff8lh**  **6bOUUl** hhva be= yild w .hl.& and.brou ?d.t. xx 0-t 15 rta o~lalcm by ‘fuqtloe’ Sharp, as wsl tha ‘: !‘, . Cwst Of **.ciV%l** +oblS ia its **O@ian,.** in’daIfyin&’ reli6f >. .+ to t!f3 flaw oouaty .JUd~:e, SW.726’.GD Eks It rcw ~rsfito4:. ~’.et&t cof:vnrslan of tho p.~oper;y of tba oatnta into conh armt~~ *actual osah rsoelpta * 3i or!iioh tha jud~,e asrltcd .. 4 ~az3im310aa, tn4.ia'b.o~o2uslos, the cupr9zis Cowt baldi . . .: . Yaoh oouskfy judge~wss Quid the aQouat Cue hln _ . : **in-this 98S%**  **” :**  **._.**

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‘ . - . qnomble J. 0. &n%y pcG:c :6

. WC are ratbor inclined to tz~mr. tne C-kit? JI;dF,e

ah~ul.d ba. F;3Lr!

a aokiaaion: : . .. on nil aot~tl cash rna%ivad by the iida&nlstrator

x.tllsact⁢ aa wch fro: ttia. ssla of proparty owed by deoodent at ths Cfoc of Ido 468th. or r froz tha .oallootl.jn~ of duhts bolqQg t:,the . . . . aststa et tho tlsa of his hsnth, OF 0~. . . . ‘. :, : rentals, ata., ze . .or on sotunl oqah raasfnln6

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the p~onaoztian of tho doaeQeat!r buaiae89.m . tGcisi63, .The .Caaalaslah oi kygxals ln‘revarolny. the

wotb4 tb.6.sbovs oxaorpt, apporantly iindl3C fault onLo vittr tho lmt 1t.a~tceaouas it ps not llbaral srlaw& It qs th%re held thgt. the $x4@ YI%II mtltlad to ’
. s’c~lsal~a on"811 xawl ta of tht?buabvms ro&srdLeao . of tha faat- they wer% in frr~,e masyra pild right out ;%,~Sll. . . ;,. ., .

9x1s ~&fcsla 53 zot c;rnSfafsC .to reoslpta

aPie irm twlas of bzoperty oolleotlon of : cobto,- rent-OS prop%?sy, $to; tt sag ba oolleotod

an. rmdpta’ arlelttg fpoci tha canduet of R btrsinssa .e. .. .,. .~
._ ‘Ii~dfaacoslkig ona g?~rr af t&t% i&s, tbd Con&asidt: oi hppsals fc the oplniact bet alta+’ anid: ‘_ ’

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%i oxhib,ft tlaua by .a.i arcdutor or aac&aia

### t:itor. . .abtirq the c.xaCU.i:x3 OS oald sstste an4 na sacount oi ell rsonsy roacload anC psid oug ' -~ 0% scoo-Jnt or talc astste, . . .ab~~iibs riled kltb *,hooler!c,. 5 . .oftzr r::io!a tbo oourt thall imnlna snI4 axS?bit, sac if oorrect, render jabigaat of 3~provsl Sbe~e~ md order It to b6-.rsoordoU.-i A oelreful exas?mtloli oi'tha Lore&a6 outborltise - isadi 

### to the 00naluaS05 thst.whcta, in 

### the ao:~mm of ~11odtlin-
.. iotratlm, 

### part of.+ aor;un o? the ant‘m3 in csnrbrtac If&o exit, the county jti~:e ia sntItl.o\l tn a **wr.zaiseio5 on**  tha a:saG h,i ruuh emh. tie aaa no rw&eon why the ama p&xi&8. aswld aot apply to the ooah racaIwQ in the **atoak Crenaetltm**  1OYOlVCll

hcta, as apply la the COD0 OC u-%ehraoo1veu rpoc R. snla of.the oorpus o,C tha **eatssz or**  **cs& rec!tva!**  **Frm** tho coll*otlw. of 3 debt ~t'ioh.rmsr prt of the corjm ot the estate. lo thIrr cmc, the ~dtinlstrntr::x hsua rllsd har annucrl 6xhlbIt .or %ocwt~cho?iln~ the .wcdy txken in in th6 stock liq!&htioa. Mar Artlola‘.3321, ~usra, It 2,s ths ?as~onzlbIllty 02 the cxrt to appow the st~0oc5t If corrsot. 'iho oxhlbit rmcr;la Ust 'canaswt ot %he **6stzta,** ~tonic ln. B corporstlon, baa m;: cmvartad iato 5 4:frfmnt :03x3. The op~rovsl by the JUCEO ot $5~ **ncoout ia**  **cfrect @oerr**  thB court’s starip **of** 3rproYtsl **on tJl0**  tT3ns?otIon **by** shluk .oalsh and stocr; In a aax cor~orotio& WCTB acoapted L;i'Llau oi stock la the old '. ~orporstlcn. ;.

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. qonorable J. P. Lboney

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. . *. Aooordlhgly we are o? the opiaion that the oouut+judee is ‘qntltled to a conmission of one-half, of an6 peroent on the aotusl c~h reoeived in the l~quidotion tranaaotion, but hs would not be entitled. to’s c01nIdSS~On on. the stook rsoeloed in the new ~rporatlon. . Youri vary truly . . .

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. f’8. Arthur Sandlln (1’ ‘.

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