L 

+ 

( 

OFFICE OF THE AITORNEY GENERAL OF TEXAS 

AUSTIN 

J 
. I 

iiofhor4bl4 Bert 2'ortl, 3~ 2 

and inIt1e1 krr i8brn are araerati A@dWt erob llew 

wmb8r. §uwe8+lieg wIlti fmr 8l-e 6et8mlasd by 

the ~4144 or drink8 or oi 1Iquor dI4p8484U 4gnInrt 

the intU*ldnal'r l ooowt dur ing the pnvloor mbnth.’ 

whelr a n8mber S8 traartrm8a iroD on. Port to anotlur, the inltlal bar ie4, lf not abrorbad by 

oharger, 14 refpa44d. All proiltr irom the eel8 

d drink4 at Offlocwr' Club8 we tired to uk8 inpl"oV8BURt4, pw OV8a48d 8Xp8II#@#, uld iOF th0 Wtert4inannt of th8 m4mber8 *ml tmtr frls~dr. ft 

is plain that Offl44r4' alubr are n@t Inrtrum8n- 

;ili;;;8 Ot th8 ~T4¶'4a4At, R8 WCW~b'd It3 (?nmg- 

- 96 (taqrud (ChapUer 7E%3d S848~oa) 

r.6 8. 66871. 

.~ *It ir to be pruwwd uM,r the oIr41mrt4no44 

tbrt ~y..iaquar8 80iat0 orfh30378' oha4 OF wqualm byoirio~rd 010b0 am aubJeot ta at&W 

tuat1oa UadOF tlae lc+r Motion of.S*otlon i?l, 

&t&01* I, T4hur Liquor Central. hot; wb4ruSn a 

tar :a impmod upba tbst ml0 nnd riret 8418 18 

6mflaed~Wb tnelude #ale, pomemion, dlstrlbutlon; 

.; or UUO. ,.. 

l 3u?moet~on t6), S4atlon 13, +A814 I o? the 

mi88 .uqu0r 604tr0i Aot p~0~ia88 r0r R 01~08 0f 

liquor d~aler~kaovn a8 a wholsralbr, prl*il6@ti to 

8011 Uqpor to r8taller4 4nd whol48&4P8 authorit 

to roll liquor u&or ,rtattr law. ssprrrrtr'prorir~on4 Of law provIA ior t&* typ44 of~R8zsltr r4- 

" quand for 4411&l&g uquorto 44DIWIT4. 3eotion 

17, &tIole X, of th4 Texu Liquor Control Aot, urohlbltr 4 rhole88lmr tram hating AA Interest kn A 

rrtall pamit or llO8484 or tLI4 ?nlBIaeb8 tAweof. 

,S*otioe 21 Arklale I QS th8 Texas Liquor Cwmol 

Aat, ooaldnr the pruvIeIonm ot law br whIah a tax 

i4 lmpocrrd upon Uquor 4nd the pmirlonr for ex4mptIoAr or lmrnl tax ior out or 8tAtO 8hI9mt8, 

and rot uru 48srnrarnt or stlaul~trd iror 88 to 

1Iquorcl Intrtimd tar shlpunt without thr State. 

a&t tha prorent tiw we'4re aonfiootod with 

I problem w&emby out of rtrte~whol88al8r8 htiV8 

roll4u4d the praetI44 0r rlzlpptng.lIq4orm to Offlwrc) gluba 4t vrrloua pl4048 on ted4rrl.‘nranr 

tLoa8, 44d It appur8 the8 ruoh OifIo8r8~~~dlUb8 
. . c 

Soloaocsblo 9ert Ford, PORE S 

arm Umlimd to fetor thI8 typ4~ 4f tF&M88Ot:Oll 

48 ttuy 8tU 4nabl88 thus to ~pUrOh488 1LqUQr at 

vhol488b pl’%OOS and 4U0h 8h:pWIItS 60 Mt bar 

th@ St&t* tax. 

*Praotlail3g ill OifiOePS' 0lub8 4x-e loa4t4d 

On federal EFWS 48 t0 W&b& the Stat@ b8 OU%ti 

POlIOS JU'%Sd1Ot104 to the sWor41 Qor8ruent. 

It ha8 000tWW~ t0 US tht tf W8 h&Y. IlO $IOltO@ 

J4rf8dIotlon 414r th488 4~4&8 4~wh41888l8 liquoc 

6*ti4t’ ilt 98XlIS would be pt’l’i*ilO~ to 8011 a&% 

delio4r liquor to the Wfloera Qlubr wlthwt 

bO;t@ 8ubJ40$ t0 the N8tl’iOtiOa8 nOrMl1~ inpored. .If this Wl?O pOt’mMttIf& the 8tat;s WhOlO-. 

8d4rS itOdd pif8.X StetO tu #tRll@# t0 ouoh r1qUOr 

~6 W VOUld ilOt b8 fW8d tith tLu Wi3888ltt Oft 

tqiIl(f t0~ WllOOt tb@ t&X trOm btfb8l’S ChtbS 

when 1ntwBtato akipPdnt(l em s83. to tma. Aa 

4 utb4r of r40t, ruoh orflomrr as hwe oommrnted 

OQ the MttW' hUT0 aX33F0868d ti11%4@@48 t0 POy 

tba ,StESte taX Ml& to buy liq~UOr8 fm?l W~O148a14 

d44lor4 plWV:84d th4y ~'4 l X48lXdrd WbO1ft84%0 ~' 

pri444., ,, 

,... 

\ 

~‘fb qUSStl0~ ar:~l~ i8 WtUPdlg 68 t0 

wh4th4r 4 4Jm uxl b41lt4r9 by a Wbo14843. d84b 

Orto a frdrra area 48 tD whlch'ths fitate ii48 

44d4d polio4 Jurirrdlotton wulu b8, In l ff40t, 

An i~uS~St~u4 kW4WtiOa WI% bs fret% iX%MS ,th@ 

~StriOti.Oiu 'aQQw%w te htr48tatr oomueroe. 

kinder the 0O~:t:O48~8t:~Ul&t4d $OUr ralu44 

OpiniW 10 648i1& a8 ktI kh8 fOibW%~g qW4tiOeSt 

l (l). WOtid the hOl&SP Of 4 ~Q1~8~4~‘S 

PWfAit b8 pdV~18grd t0 Wll 1twi3t’ t0 o?f%OUS’ 

aUb8, SU0h 8~~88 t0 b8 005WWi8t~ U?OlS deli~d48 qAd0 in ttwolal, ancS by ruoh whole8~14~‘S Onto federal PrOperby WhOI’ #tStebli8h8d 

OR 

*(a). ~SdWSl ureus In F8epuot to whlah 

goiiO8 jurisdlotion h48 by the State brea arded 

t0 the P8dWal ~QVWIlWIit; 
. . 

l ( z). Ir it 1 0 YOW o p iniothe n ~I~UOPWJ O 

_. k 1aWftiif raid by whole8ol8ra tb Oiilo8ra' Club@. %' ~. ' 

undrr wItEar or the oonditlonr l tlprilatti, wuld 

such uhole8aler8 be rwquired to 94, ln addlt2oa 

to the tax 18yi84 rtpoa rir@t #ale, 8180 tho peakago 

om ~rlnst shI9mntr l xp0rt.d from the 8tata 

a8 provided Sor in section 2l, &tiol* I or the 

Tans Liquor Control Act? 

'Ad to all quOrtlOti8 h8rrIa pmaented It 18 

to be aroused tEat the Oiritaecr' Cluba are rltudd-~ 

within woe8 0r tho st8t8 woman tho 88lr 0r up 

wr h88 not ken prohibltod by ,lom.l ogtion 8IootIon.* 

atb ,nremn68 to 6uba1~~~8i00 (0) 0r your rirat 

qur8tioa, Lt-la our ap%nion that t&a holder cl a Whol8ml8r*8 

irrmlt 4 laufully 8811 liquor to-Oifloors' Club8 uhr~1~8uuh 

8nl.8 are ooneuwntrd within the aonrber or l lai&~ ra88Lc 

rrtlon ever whloh exelurive JurIetIIatIon hrr.boea.08do6 to 

tho Padoral Goror8wnt br the Mm.e of hxar without b81~ 

rubj8at to tti regulxtopf gro~taloons of the Gquor Central Aoli 

wtklah wulc¶ otherwIas be applloabls if owh 88188 wro umde 

by tha holder or a WboXoriLer*o Pormlt tifthln th? 9tato or 

Tan8 but out8lde~ the limstr 0r l uoh Fvderal R~88natloa. It 

3wt rppmrlnp tEat the State of 'htak hnn n**ned any right 

.to l xoroiam it0 legt8l8tItr~authorlty oyou t&o *arlous 8re88 

In thlr Sttat8.,oodsd to the E!od&xl f4oyorummt for tha o8txb1lllunnt~sr~dliWry rr8Mationr or othw propor Fodornl ~808, 

w thISk th0 .qUO8ttOO 18 rOXWOiO8Od~ bp th8 OpmOO Or th0 

su9rmm ccurt or the united st8ter in standam Oil Company 0r 

C~llramle v. GaUromia, 291 U. 5. 242, 'PB L. Eil. 778, whrnla 

.lf use rtntodt 

l Appolltat OiUlllOII~O8 the vnlidlty Of th@ 

tnxIrl& 8at a8 eonstrued by t@8 Sumem Court. T&o 

argumemt 18 that rlnoe the 3tate suantod to the 

tlaIt8d State8 exolu8lw le~lrlrtlvr Juklrdlation 

over the PnclIdlo, 8ho ;a uew wltheut poror to 

Iapore t8xos in renpeot or 8al.88 and doUver1*8 

ml@ thOml& Zhir oliln. ve thlnlc, I8 wall- 

~roundod; 8ad the Juagm~nt below must bo rOyWOrd. 

l ~ln throa. nomtt ~~Oa88c--iWI 

% 

06 Rot01 GO. 

1. Fan6 278 II. 9. 439, 73 L., l d. 

227; dtrd Stntar v. Unrouta, 281 ifT'S?l% "k 

L. ml. 761, 50 S.,Ct. a4,. mad Q\Icplu8 ?rrdI& ti. 

_. 
C 

Hoaordh 3ert Ford, ?ngo 5 

v. Cook, 281 u. 5. 647, 74 I.. ea. 1091, 50 9. Ct. 

486~ Ye h8VS ~olntad Out tbh 80~88qU8l3008 Of 

CNSSiOn by 8 st&I$S t0 tb0 united stat88 Of JWSdlotlon 01or 18adS held by the lntt@r.ior mlllF&l-y pUrpo8~8. 

SOLOS plrla that 

GOn8Ids~Ing thee0 oplnlona, it 

by ttm Aat or 1897 CalWomla 

SUFI’8#&t%Od OVSW 90881b1@ alaim Or Ui@t t0 

OX8~oi8O 1~i818tiTe 0Uth0Fity Within th8 ?XWSidiO-- put tnat m-es beyond the rim or opara61011 0r her laws. AaoordIn@y,, hqr L+tI~latun 

oould not ly L tax upon trane8otIonr begun ,8nd 

oonoludsd thOZ'Si?L 

"Arlington Sotrl Co. v. Wit, 378 U. d. 429, 

73 L. ad. 447, 49 S. Ut. EE7, donled the Dover 

or ~ka808 by Legitlrrtlon to iwary the ihbiiIty of Innkeop*rr mIthIn P rerarration oodod by 

her to t&M &tit@& %at88. 

r/ 

*.UnItrd Stat08 1. Unzouta, 1281 U. S. Met, 

74 L ad. 761, SO 8. Ct. 2814, aLiIrm8d the ox01USlVS JUrIadiotion Or the hit~d.StrtO# OVOC 

1 OriuS oormittad ulthln t&B, TOSOI’Wit~Oil MltAg 

Uithil3 ~ObMSka. ~UFiSdiOtiOtl hnd beOn Omiti’ 

by the btatrr. 

'%W91&XS h?a&@ 00. Y. Cook, 881 u. 8. 66’?, 

74 L. l d. 1091, IlQ 8. ct. 458, rulrd that l&ad 

Vitnin h’bll8XS 9Urd.%X886 w the tfnit.d St&OS 

ror aIlItary 9Ur90*e* rith tha&tata’a OO~SMlt 

~88 UndOr their exolu8Ira Julrdtetloa. Prirate 

pononal pmraperty thonln WEB declared not aubJsot ta taxattloa by thm %atS. 

“The prinoi918 r9vrowtl In th084 Q8888 8ppli88 

here. A stat0 OJkn not 16f4iShktO 8frOOtiVO~ 00th 

oarnlag Patters boyend her Jur~sdiotlo~ mad ulthln 

tWr;‘ff”y #~bJtl@t only to OOntrOl by tb0 thit8d 

. 

AithOWh thla OlStt iUV0iVSO th8 8XOrCSi8~ Or th0 

tax powra of a stat0 within tno ltaito of a aodod redoral 

area, w think It rqually amtrolllnig, in prlnOlpl0, to tho 
(: (’ . , 

~onorabl.0 Xtwt Fox-d, ?aK* 8 

jnstsnt qu88tion, in~olriwz tao exsroire 0r the police or 

reguletory powra 0r the 8tatw. me run 8rf00t 0r the 

&oldiqg IS tht 4lu StSt* l~~i8lEtiOtI, FO@U’d1088 Of it8 

SOUPOO, MtUr@ Or 9W9086, fall8 beroro th8 act Of COS(liOCk, 

and has no roroo or erri080y beyoatl thm ort8blmmd limits 

of SUOh oodod ~68~~80~. 

-. 

.’ %U’ OOnOiUSiOD Ii Rot sltsnd by the 9~OVi6iOnS 

of the “Buck X8rolutIon" @ubl:e-919--"6 Congnas, Qmpter 

?0?, 3rd 608810fl, if. R. 66871, 8fiaOtIV8 hnU8ry 1, 1941, 

beOaU80 SUOh 8688UZ’C UrCrly giT68 OOnpSSiOO.61 886Mt t0 

the OOiiOOtiOn by the V8Z%0US Steel, Or S&O8 Or U6m tUA8 

aO0ruirIg Wit&it3 tb WIrinOS Or %%IrEl W888 Over ,whlOh 

l xClU6iW JUrI8dIation ha8 bsen coded by SU0kI Stllt~S te 

the Federal Qarermmnt~, end vmah en88 had themtorore 

bean rum rraa stat0 taxation undrr the eb0ro dOOiSiO& 

SUE with thi8 exee#Ion, all JPrledlotiOIi which h&6 bUa 

8oqUlWd by aW~r08W~0d to the UIlItO4 Btetee OIOr rUah J'edera1 w8Oa or xllltary PlOoFJ&~0n8, under the oO88l0o8 or 

O10iUSi~0 JU~iSdi0~5.0a by~the tSriOU8 St8808, 18 t&Ot In Uhy 

way limited or la982red by tho~*0uok RaEolutIon*, %MJ ?olIo~ 

or ngthtory pw8r.ol the Ststo, 8Uoh as the requir8m8ntr 

or the TSX~S Uquor mm01 m, regulating the erle or ltquor wltbia thr atato, dOa8 nQt aad Oannot, uadrr said oon7 ~SS~fm81 UaaWO, n&Oh Wir i#btS #tlOh~ UdOd W’WkS, Md 

th8 Balder or a vhalO8614Il46 Pere1t le-yet autlzorlmd umior 

taa cum 0r trio btatxlu4 oil coopmy 4r ihur02vki8 v. cdirorai&, 8Up& t0 *all iiqUOr t0 Rn ofriGOF8’ clUb Within SUOh 

erea, me 0r the r88triotIod8 rarl X%qUb'6Et~tS 0r the hXa8 

tiqu&r Coatrol Aat. This 18 wdo 9181Ib w the' l 29S’88S WO- 

.~ ~i810a or tbr w0k moiUts0n*, in pr0ti0n 4 tbm0r: 

..I 

‘m8 9¶kSiO1iS bf tti8 A& Sk1 DO8 for 

the 9Ul-9080 Of W Othsr 3F0Vi~iOll .Or l&W b 

dmmad to doprlvethu Unite& Stgter of 8xolusWt 

Jkwl8dlatIoa 0vw l ny redem ama <n8P whSeh it 

,-would OttlWWiSO &VS l X01UdVO Jorlrdlotioa Or 

to limit trio JurUdIotIon el the UaSted Btets8 

over sag Fedora1 w*E.~ 

oi'OOUt#e, tiie prinQ4il9le Of irawitY Of PerSOBS 

and property wIthIn oeded.Fodwal er0e8 fro8 the lO~@~tiVO 

p~varm of the St&m; doebred in th. OEM ~Of Stendard 013. 

Coapany or cdir0ma Y. Calirorr4ta, m9re would not 89917 

to the Sit0RtiOll ~rSSOZBtO8 ~.&bdiVitSiO& fb) O& JOUF rir8t 

question. Federal &F8&8 wIthIa the St&t& Of.TOXU OVW *iOh 

OXO1USiVO Jurirdlot%ori ha8 Act b8on 00dOd~w th8 stat! 60 th8 

T8d8r8l @ov#rna8ilt, would be rubjeot to tho~l~~#~atiVO 90-r@ 
oi' thm St~ied, lnoludlnq the ~rovlslonr of the Texae Liquor 

Control Aot coatmlllng intrartate t~anmatloiis, despite~ 

the r80t tnnt woa ana wani ooaupled aa6 u110d by tho allitax-y foraor of thr Uaited Statbe. fiwevar. ii the demoribatl 

xGffioarr' Oluba, looat;& la ouah araa~, arb agenele* or laotmuentelltlon of tne SkIeral Sovmmtent, few thei pumomo 

of onrrylnE out 10s oonstltutioarrl tumtLoa8, anothsr theory 

of iolnuaity from state legislation r;ould bo ~pr~sentcb. Ye 

do not dluouas this question rrr ft 10 not uLthln the roope 

of your 1rAquh-y. 

‘ir’lth refennoe to your esaond qusstion, it 1s our 

~plnloa t&at Ilquora auky be 1atill.y sol& by the holder of :a 

l?holesalar8ri 3ermlt toOfflaers~ Clubo under the aonditiona 

or olroumstcuto8m ttnted la sittier SuMWlslon (a) or lb) of 

your first qwl)tlcm, without the paywant by such whoSeealers 

of the paeimge uhar&p or fee mtquired upm iutarctate shlpmanta, under Se&ton 21, Artiole I, of the Texau Liquor Control Aat, proeldtng, ln l~art, LP follows: 

I Any p+sscn authorieed to erpart Llquor $x&‘&r State having In hi0 poemeeion an7 

7 $lquor lntenilett Sor ehlpment tom any placae without 

the State, r&ill keg such liquoro fn e 5esarete 

aompnrtaent from that *f liquare kntended tar 

sale wltMa the State I$O tbt the came 8~ be eaw 

tly laspeated an4 BJml.1 attaoh to each auoh.paoLam 

of l%QUQl a0 1nteaQsd ior rbljx!cmt vitnout the 

St&s n stnmp of the kind m.n3. ohoraotar that shall 

ba nqulrwl by prvvrr rule or regukil!lon dormtiag 

that the mm. La not iAtM6Od for sale wlthla the’ 

stato. When rush llquore we mo kspt and 90 etaaped 110 tax on acaaunt ttrereof ehnll bs obsr#H. c’or 

derra in the sxpsnsns thereof, a aharge of tientyfive T?ST Centa shell be made for every euah stamp, 

exoept that a &arg:s o1 * Tnn (10) Oez~ts ahall be 

pa&r f3F eeoh such Ftalnp plaaoe$ 611 vlrioua Or malt 

liquors of heat 

tent or lenr. Ai 

-four (24) per cent sloaholio con1 rush prmittees autlmrireb to 

traneport liquor beyond tho b~undarlor of thlc 

stat6 ehnll furnluh to ths &w-d dugliarte oople8 

of crll involw~ for th6 sale of’ruoh liquor8 vlthin tventpfour fZ?!aI burr after euoh lLquoF6 have 

been rseored frea their plate of buolneor.* 
c . 6 

Honorable Sert For&, 3rze 8 

~?Ja thlnk tha femgolnk; grorloionr costmplate tha 

ehigmant or trm~~ortrtloa of liquor bsyoonil the l xtornxl 

-boWuris of EIm Btute of Tarns in lntrrrtrte t3owieme, 

aoo4Mw to tbw rtriot urd umuoi waning of t&e term. Wtnowkb ths tran*psPtstloa, ahipmmt or rale of gomldr 8~6 

eomeod%tiea into and within mllltwy rerem~tionr and othem 

Federr (~rbms lover whioh l xolue;re fwiodlot~on h8r bea 

orded br the State, bmro a Atron@ ancrlog5r, ae rqw&~ on&3 

aa loga oon~eaueaou~ or rooultr ri0mg themtro~, to 

trafflo or oomeerau brtwoea tae Scat+ ot.?l)saL anti enociatr 

ateto; such trrm8~otlo~nr Uo n,~t ocmstitute laterethts shipsent*, within the aoatrmplatlon 0r tm above-quote& prori0lOA or the Tsur uquar confrol Aat, *qulrU$ a I3aakafp 

too on liquor intuadoil for rblg2nent~vWiout the state. Ccarl8trntl.y with thlu interprotrtlon, liqu?r vhiatr Lo aold 

under the ooaditloas a3 clraumetanoes otrt#l in tour lettek, 

beam the burden a? the regular ethmetg tox,levled IJ~ thu 

lliwor WW-ol Aot upon intrastate raleo. ,t"or ~:hsoe reaeonr, 

' we haswar y3ux aeoond qwrtlaa in tht neqatlw. 

Trurtl~ that th* foregolag fully namven your lnqullr, me ara