A.rrOWNEY GEZNERAI- ApxiE 23, 196% 

Honorable Jesse James 

State Treasurer 

Capitol Building 

Austin, Texas 78711 

Dear Mr. James: 

Opinion No. M-222 

Re: Whether the State may 

make payment of a claim 

presented by the Administrator of the decedent's estate for funds 

previously delivered to 

the State under the provisions of Article 7.11, 

Texas Business Corporation Act. 

You have requested the opinion of this office 

as to whether the State of Texas can pay a claim from 

the Estate of Kramer W. Peterson, deceased, Richard D. 

Jarratt, Administrator, for funds held as liquidating 

dividends of the Texas Pacific Coal and Oil Company, 

paid to the Treasury Department under Article 7.11, 

Texas Business Corporation Act. Your letter reads, 

in part, as follows: 

"We are in receipt of a claim from 

the Estate of Kramer W. Peterson, Deceased, 

Richard D. Jarratt, Administrator, in the 

amount of $6,907.00. 

"Mr. Peterson was a resident of 

Florida and died before the claim could 

be completed. According to the information we have, Mr. Peterson had a surviving brother George Peterson. 

"We are enclosing the claim and 

all the correspondence that we have 

had in connection with this claim and 

request an official written opinion as 

to whether the State Treasurer can pay 

this claim." 

The file accompanying your request reveals 
Hon. Jesse James, page 2, (M-222) 

that Kramer W. Peterson was in the process of perfecting the above mentioned &aim at the time of his death. 

Richard D. Jarratt qualified as Administrator of his 

estate and proceeded to seek the recovery of the above 

mentioned funds on behalf of the estate. The file 

also contains, among others, the following documents: 

(1) Certificate for 100 shares of Texas 

Pacific Coal and Oil Company stock issued to 

Kramer W. Peterson; 

(2) A certified copy of letters testamentary issued to Richard D. Jarratt by the 

County Court of PineLlas County, Florida; 

(3) A certified copy of the Last Will 

and Testament of Kramer W. Peterson; 

(4) An order of the County Court of 

Travis County, Texas, admitting the will 

of Kramer W. Peterson to probate as a 

foreign will and granting letters of administration to Richard D. Jarratt; 

(5) A certificate of the County Clerk 

of Travis County, Texas, that Richard D. 

Jarratt qualified as Administrator of the 

Estate of Kramer W. Peterson; 

(6) The affidavit of George Peterson 

that he is the brother of Kramer W. Peterson; 

(7) The affidavit of Bonnie Westwood 

that George Peterson is the brother of 

Kramer W. Peterson. 

The file further reflects that Mr. Jarratt has executed 

a bond acceptable to the Travis County Court in a sufficient amount to cover the funds in question. 

The documents mentioned above reveal that 

Richard D. Jarratt has qualified as the Administrator of the Estate of Kramer W. Peterson in both Texas 

and Florida. These documents further reveal that there 

are specific devisees named in the will of Kramer W. 

Peterson and that there is in existence an heir at 

law. 

-1065- 
Hon. Jesse James, page 3, (M-222) 

Section 37 of the Probate Code reads as follows: 

"When a person dies, leaving a lawful 

will, all of his estate devised or bequeathed 

by such will shall vest immediately in the 

devisees or legatees; and all the estate of 

such person, not devised or bequeathed, shall 

vest immediately in his heirs at law; subject, however, to the payment of the debts 

of the testator or intestate, except such 

as is exempted by law; and whenever a person dies intestate, all of his estate shall 

vest immediately in his heirs at law, but 

with the exception aforesaid shall still 

be liable and subject in their hands to 

the payment of the debts of the intestate; 

but upon the issuance of letters testamentary or of administration upon any 

such estate, the executor or administrator shall have the right to possession 

of the estate as it existed at the death 

of the testator or intestate, with the 

exception aforesaid; and he shall recover possession of and hold such estate in trust to be disposed of in accordance with law." 

Under this Section the duly qualified executor or administrator is entitled to possession of 

the entire estate as it existed at the time of death, 

as trustee for the devisees and heirs of the deceased. 

Article 7.11 of the Texas Business Corporation Act reads, in part, as follows: 

"B. On receipt of satisfactory written 

and verified proof of ownership or of right 

to such fund within seven (7) years from 

the date such fund was so deposited, the 

State Treasurer shall certify such fact 

to the Comptroller of Public Accounts, 

who shall issue proper warrant therefor 

drawn on the State Treasurer in favor of 

the person or persons then entitled 

thereto. . . .II 

- 1066- !, 
Hon. Jesse James, page 4, (M-222) 

There is no evidence that documents included 

in the file accompanying this request are false. It 

is therefore the opinion of this office that Richard 

D. Jarratt is entitled to possession of the estate 

of Kramer W. Peterson for purposes of administration 

under the Texas Probate Code, and that you are required 

by Article 7.11 of the Texas Business Corporation Act 

to certify such fact to the Comptroller of Public Accounts, who shall issue proper warrant therefor. 

----_-- SUMMARY 

In the absence of evidence that the 

documents on file in this matter are false, 

under the facts presented, the State is required to pay the claim of Richard D. Jarratt, 

Administrator of the Estate of Kramer W. Peterson, Deceased. 

truly yours, 

Prepared by Brock Jones 

Assistant Attorney General 

APPROVED: 

OPINION COMMITTEE 

Hawthorne Phillips, Chairman 

Kerns Taylor, Co-Chairman 

W. V. Geppert 

John Reeves 

Sam Kelley 

John Grace 

A. J. CARUBBI, JR. 

EXECUTIVE ASSISTANT 

-1067-