Untitled Texas Attorney General Opinion ( 1943 )

OFFICE OF THE A’ITORNEY GENERAL OF TEXAS AUSTIN 0r Thea daportssnt en the abe aa rdlowiat at to hold retnl *Those attwnuyo ore ot the oplnloa that ?&are is itorlt to the argutoant that Texas laws ara unoen- rtltutlonal In sxoluding tireiua oorporatloae Uofnd businoao in Texas under propor petita fren~ hofd@t 555 Rosomblo B0rb Ford, Adulalntra6or, Page 2 lleenrea to as11 beer. A bthr 00 that 4ubj40t ha. bmn rwddb3a t&la 0rfi00 tagether v&a 8 lo66or requ93tla 6ha6 6hr f&w he 0ubrJittod 60 pm sor a awl Eng, Per t&i& ptwpoor the lot- tar aad brief acaawiw thla latter with rogwst that the matter be oonridwob find ruled upon la t&e l&ght OC t&a ~gumt0 (L~VMOO~. *. l .l* ‘l’he lottw OS Us. 3. 3. ‘;ihltr nt the 1~ flra 0? Clark,~4te a itogerr ot Dallas, Pozar, aocroapaaylng your lzqolryis la part a8 foUm5t “On the first of the prat 3aSway :?torea, Inoor oroto~ cat Texas war disR0lr~d arid tm op*ra ? loan OS their ohala rlroeery frm that 61s~ have bsen aoabtpokd ln 3mas by abe wreat QOU- oom uOaf0nng %ms, tnoorpemte~, of MAwylana. t;hortlp after tho t&r86 of 6hr year, i’aSb*lay dmres, fnoorporatod, of !!oryland sgplisd for a retail beer dealer* a lie ato, We were adriwd 6&C pour dopnr6men6would aoomwarl~y hate 60 r&use ttwe perinftrbcoauee the applioantwe8 a oarpowtlea ormtlist2 oukide US the ;Jtrf*Toxear *o ~lseswaa of 6he oatter with Nr, Pax6oa ad ho a rood 60 withhold a re- MS61 of .tbe pomlt0 tint f 1 ct.rthor sdvl00 rron tia* *Ati 6hla tlu we would lib to r&z thet you reqtiot aa Q inion frixu the Attorney Crwrrral on the oonstitu t lmnall&y of that pmtilon of the Li- quworContra1 A06 r~uklng ths applloan6, ii a earparatlea, to be orgaclerd aad absrtared unda the 16~s oi Toxwe Ye do aof belirro ClurtHz% zmaztf apl~alonawar8 the oona6l6u6lonaLi6y t =* . . .a hrtiale 667-5,Vornon’LAuuotatod hnai %4e pro- *idea in part a8 tollomtt WAnp parson dealring a llooarsr ar manufa0- turer,Uistflbutor, or Mta.Xl dolor I’MWin Xomrebla Bert FOrd, Admlaiatratior, Psgr ) moatloa or la tsmtlxu irilr a pe6itfcia with t& Qounty JUQe of the county la ashlohthe appkloakt doslror to ongam in StLahbualaem r#hioh pe61610a ahall atak aa rollmmr * . ..* “(3) If 0 eerporatim, tha6 appllaea6 l8 organlxed tmd ahartar8d umior,an6 hns exajills8 with all amporation law8 oi tbls State a bla ka MO& o wetion, 6&t the priaol of bllelnOem 18=%I 6he seuntp wharo otloh is so ht, and t&, pruldenb ormn or shall mkko 80 at 3 davlt that ha posrbrrmr all e"4 the qmllil~ oatlona provided tn paragraph (1) ebmo. u..*. *If a retail doalerr a. l l l “(6) Xt applloaat tos Re6aSlurte tloeaar iu a oorpre6len, rppllaation ahsll rha that the presi&mt or wager thoreot has bwn a roaStlent of the ooua6y whetela 6hs liosnre is sOWht fer prooedlng6hb date of the oPf9.0~ of tho oorporatloa otllor tanner that WOulQ awoh 110eaao la hi8 Ella I?af#,~ It is ooatended b attorneysSD? the forolgn oar- poratior, that subseetloa (3 1 OS Rrtielr 667-5,Ownoat h.m notatedPenal Cods, la urroanetitutlonal beoaw~ 16 dealsa to the furs&n aorporatloa the ofuu11 protootioaof 6hr law tier ths Pourtaeath ~Amondaont to the (1``616utioaOf u\o Uslt ed Set 000 Tbo attmaeys f~,rthe foreign00~. ration !We eub.slttod an oxoollant brl@f 3uppOT6h% the r r gsa6eatlOa* “ThO Texna Ll!@Or Oon6rOl hot ir intandod a8 8~ exwr0iss aS tha polieo p0mrr OS the state Z!!nor&lo 30~0 ibxd, naaLnlntr8tor, Pago 4 It la otatad in Tore@ Jurlajmdenoe,701. 5, p. 5038 “The golloe puwer 1s broad and aotaprehenalvr~ md whloh agpar to be naaoonblo rogulatloas anl to promote tbn genen~ oomenloaoo 64 the publio wslfkreare not wbjsot to otkok aa oondttiaarl munbr Ko doubt SB oxerolsrof ths polioopewer fa 0rUlnerUy uI &&piint of private rightrl ret the rights of the indfvldual muat leld to the pub- lia oafsty, he&th and da&oft, T0l p``~eedon sad e.njoymwt PP nll.rl,&ts am oub eot to mtloti FOBM)D- able amditloas a8 say be tI~8.m~ d by the mverw authorityof the oountxyoematlsl to the aafotg, oat, wood antor and moral0 or tbr ummunl- proporty righsr are subjeot to the axis-- poi-mrIn f#aM.onf aad regulatlona whioh are within the polieo pamr mast be sublsltted ta although thipy say be produetim OS’promrty 10tsn.~ Xi is well rosognlscsd thrt the pzoprlet)r of en 9xexoi5e o? th6 polloc, mm in mbjsot to udlolal review; enit the hw ,will ha dao f wed to be lavali8 1I it is shmn to oontxaveno the rlghtr of the lndlvidual~ (‘3Mwrl K. 18T. !?y.Co. v, JnprorsePent Matrlat, ;r97Be We 2061. 16 15 stat06 itk @miss Jkr1epruuenae, Yol* 9* p* 515t “The pollee poaez oonpreasada laws Pegulat- lag plaoor of public raoort, oocmonoarxlarn, miss of t ood produets ths tzanataoturo UAXIsale of lntorlaanta, opomttcn of alas, the profioiwoy or pem0n0 3410otngag9,in eorteln eOOujwlmar* Vol* 16‘ Q* 10271 aA 8tato &as t&a rf&t to alabsiry porsow angagad in ths oals of iawxfoatlryl llq%oon, Them is no oOaixion1.1bt to l we in the salr af suoh liquoxs, but a& l $!le&. which, without de- ni*l of equal pcotoa ien of the 1~8~ my br gtod to 8one end wlthheld fmia othorrs, or, hav pwtrd m bo rorelced. Aleo dnor t&o 9a option or oh. hultpYlMt AmndJ!Ma*40 ulo rod*ral eon. rbttotioa tho 01~1 poteotlon olauro doaa not appl to fntodoatlw llquw lnpeatwl into a Itate. In vt ew of them eo~lderatlons and tha rsaeonubl.. man oi nmny ola2tmltloatlone, r4gulntloai ~srtdain& to intortoating liquors and the stie theriW have, in thm a orlty of 08``8 besa hold not invalid a8 donYin tie equal mtoo~loa of the lams but a few rreuletioru have baen ha14 invalid on thin pound,* Ye ham born uaabl8 to iind say oamb wham a atste has rttsm od by leijislatlon to forbid a foreign oarporatlon iroar eel1 p" ng artiolro of oaru5eme @Ioh the state pordtb doumt~o oorporatlom to aall* Ordlnaril , the qurstlon wu@lly 00-a ap whrro l & a h bar by lo J slatlvs rnaotnwrt atbeaqkd to dlnorimlnatr la favor af a doeuatio oorporatloo la tex rattera. fkmrer, there are other fnstmar8 where the etak by lrglslatloa har attmpbl to requira 6 fort&n OOF poxatlon to do oer%al!~ EhlngB not required of aosimtla oor- poretlone howover, far the purpo?ls of thlr oplnfon we do not dean ft nsoaasary to dlmusr ouuh owam~ 3eetlon 504, Vof* 16, Corpus durl8 ,?soundwa deal8 that tb rtate doe8 Sot bsro ouoh right md it ie $samUy held tlmt it lo a dmlal bf equal robaOtioa Of law0 k, dlS- or-to in loglrlatloa between 0Prrermt oorporatlona sinply bsoause oll~ is a domaiNe Oorpamt$on and the othar a SOrel6tI It ~111 be noted, however, that tha above de- ao bed rule oi law has been somewhat restrioted Trtioe* ln &to appll- oation t0 the atis 0r IntoxlontLng liquors. Honorable Bert Ford, &nlnfstrator, Prrgo 6 oonetruing a prwislon 0P the %113aourl Llguor Control Aot w&&h provided fn &feet that it web. tt.~lawful tar say pwmcm, artnershl or oorporatloo rseldi0g viithdtlt thr, state to sol'P alt, too9 f v8 or take ordora rer ‘*ho r,lla, of imtoxlctlt- inr, 1iqWZr within th8 state rzoept by or thro&yh s &al lib aeased nholasal~ liquor denlw Fho awe oomidsrid for tL pwposr ot tho Aot as im ~-&~entof aaid nonresldeat perron flm, iartnekrshlp or Oorpmcrtloa 0,s to haul or trenepet L Ooxioatily liquor, or ouuoe to ba handled or tramported ino torloatiw liquor, In amnor whataoover in or Into the rtmte, for amlo, eta, “E’ T ie rrtatutr further prooldda that it was unlawru1 for wlr ~&son in t&0 atate holding a lioemle or prait to sell beer or alt liquor6 or holding. sag r&xl1 liquor dealer’8 llomae or p8nnib, to ptrahar;e any nwb boor, malt llquar,or lntarloethg liquor trwa any pdrson other than tho browar, mmfaoturer, or dfeOl.ll.er thsrutd, or regu- laxly lioerwd wholsssloror dfstdbutor of bow, aanLt lSquor, or other intoticst liqum in the @Rae of mlt liquor and other loPorloatln& 91 quor brewed mnnufaoturod 61 dis&lsd in tam rtatrl or, to pudasaa rra.4 any Sr0w4r, ~ttuumttimr, or dlstiilur, say lntotioatlng liquor, canufaotuxed ootaidr of the stcto lr o eptbrwh t a wholesaler or distributor In the et&e hobln& atnd oparatw under I lioenee or pesmlt issued by tha SU&V~SO~ 0f liquor 00n&% ‘no statute at- taobaa in this @am plaoad remtriotioas upon t&a dlrpoaitian of iatori&aat~g~llquora atipped by nonresidents into Llismurl. !Chey~aoulJ oalp bo sold in a oertain mtm~r and to oertaia dcmlof'b. They uould. not be aold and dblivwed dirsotly to retail llpwr dealtw4~ *he rqual proteotion alawe d-9 &at i~OVOI& the stat@ tron craking olaeaiZloatlon5 Of p3r50ne la the cmat?thnt of lwe Udder the polfoe ~OWP, but arm!ite wide rllaorstloa ia that ruglard and avo$ 81I what la don6 only v&m it ia without @5$ reanorrsW.o basis, an8, uraly arbltrarp. F;YMIin the aboenus of prrooP, f f any QbLt4 of I’aots 33811 reseonablf br oonaslvsd that would suntaln the olnsaiiiaation, bho sxiatanoo 0r tbut startA of fnota will b@ amwed. The burden tr on the PartJ who assails the olaissifiont:on to 8hww thnt it is arbitrary.* ‘This owb furtbm holda t&it the attttutm under attack v;ere not uno~sn.~tltution:~.l end Void by r6)(103nof fnfringfngaither tho oosmaro* olaure, or this equal protso- t1on olauna, or the aonskltutL3a. In Rippet ** Tama, 19) U. 3. 504, 2l# s. ct. 516 the oourt aald that a atate ;uy prohAbIt 1- the mlls of intox asting liquor abwlutelp, or It nay prohibit it aotilttiomlly. It is furtherstated In the abare zmtloned @a88 of Comeral Sale8 and Liquor Co. va Becker eb 81,: *The mla oelttantloa hero nado b7 pl.¶lntit? lr, that b&g a rhol~ulr:d~ler, but a-mnrrAdent of ULsaou~l,it 1s rorbiddcut by ~bhai,lqum Control Aot of Mismwri to ml1 llqcar to retail liquor doaleta~ nhlle rssidant wtnloaale dealam my do ath There oannot, I thfnb;, be ~.rged as erletltg any dlsorl&n*tloa la the rttatutss dttaoke a8 bstneen liquors ai rorolgn reaauhotuti~ and dt ;om of dometlo manufaotur~) ror the agreed faots dls- ulose that bothbeor and dlatill.6 sQlrits of for- efgn mmuf8oburs e&n be sold and are being wld, la XlxibnourI by lfamaad tef&i6 wholasalers, wftheutlet or hlndrarm. 20, I think the wle quusetlon in tha owe is, la tho flaal analysis, ~whsthor the at&ate OP !+?l~aourl tmr the right under tbj polioa powor to requlr,cr by statute that l wholesala dealer in intoxiwitl~ liquor mat be B rcMdent of IIiBeourL Thly is qocoaded~ by plain- tiff in ite brief to bo the rmls queatba UQ iOr ja&pxmt, for it a&nits that ‘the sale bnela of t&a CfsorkPinatioa ia rsstdent or ~.Onreald~nO(b`` ..* *Plalritiff bottorua 1ts aooatiultfon af aieorlc*. lnation on t&o al~e&eiu vlolatlon by the aoowoood strwte of the aoniuQxoo olawo of tha Podera Con- stJ,tu%ion snd OP that provi8ionof the htrtsenth Awwulnmt nhioh forbid8 arg rtsts to pwa E statute w$io&d~eg;ives =y peroon of the equal wotwatlon . l l l” Iti3 mrtatsd in tho once of Wgn 0. !Widges, I.6 Ped. xp. 690: *If a statute purportfzqto hare bean waatsa to proteot the pub120 health, the pub110 mm&a, or Iionornbla Eort ?5rd, Qa.hlatntor, :%~a 19 the publie wmty, ba6 no zeal or eubatanthl rw latfon to those obJeota or lo a gmlpbla inresion of the rIdIts sedured by the fundacmtal law, It umn0t otati the test ot 5wleututlonality. T;:b do not hold that d atnttb &ht not gasa laws whloh would ooim wlthta tha aondemmatlcm of the oauTts, soah r5r lwtmftoa as those WhlOh have no relatiou to the pub110 wwslrara, hsslth, or morals. A purr ta%fng aat OQ interstate ahlpmmtr to promote Ianbrratate industrlm would &in*8 no l``l``h!~e eowwtfOn with the poll@* po;rer of 9ut so 10% aa reaeonable, baring mw httfon to’tho properexaralsb of the poll043 ~\owers af a &state, oven tllou$h thb state mar obtnln Inal- dsntal.ly 8orzo rwbnw thsmfmm, they fall tautrldm thr ~urvios of the iro~o~or C1awer Thio we oon- oelve to bo the true 1150 of dwarkation botwsen tha powera rsaoneJ to the state to regulate t& trafrlo in intorioants, reoognic*d by Cong$xeolr In rhe pasw%a of tha ,?abb-Kenyon hot and e.ubse~uentlf writtad Vito the Twenty-Plrat bdmmt,* Zhat wa8 said in the above msntlonsd 6a#e with referenoa to tha Coatnor Qlaoer, la our ogia%oa 0911ba aal& with roiorrlrao b tbh rourts#bth Aaend.~nIC&o the U&n- atltutloa or alo uaftea Stbt(lls* fWt to fllatify thr oourto in holdlag that a given sot is en unwartentad invasion oi the ltund- mental riphta of the oi81iranb and tharefoxv bo- y0nd t&3 pOliOi ~OWB~ Or th6 Skrtf#, that ObjeOuOO nut appear inrn the raoe or tha eat itaoli ar rroa paota or WtlahfOh the aourte mwdt tgire Ju~olril. 00``niianber* 730 32~4.*3~ cow 0r the imt6 Or m~a5 in tha 0``6 of EO Crazias v, 3tag&ens, 105 s. ::. 992, hold in erfjf;Xethnt the rexwlatian or the l%fuor tl!afffo i* wit&h the Qorier or the stutfh That drtlols b, ::eation 2, of E d united Statar Constitution provi8irg that 0ltIaorM of WkohState abnll bs mtitlad to all of the privileges und hiwmltfaa of ITononible Bert .“ora, AdnlnlstYator, mge 9 oltisenr of the sev@ral rtaterr, and Arbiala lb, Zootioa 1, of the Federal Constitution provid that no state shall deap any parson w,ithin lttr jorlsdlot 9 on the squfsl proteatlon of tho ltns, ware nti cieaimeir to i.ntarfero rrith the ratstots oxerofse at lte goLlae power. Thoee gro~i~io:rs of the Con- atlktion are violstea by snr aot, ecrve irr thhs exerolas of the state’s polioe pmer, that inposeo u burdea upon a non- relrident of tho lrtato, whleh is not iL'@Ojctdupon tha real- aonts of the ettte, and the otete oannot under the gu.ls;zr its police power, sake M unreasonable dfeorfdnatiou. requlrer``~t of the Liquar Contxvl Aot in oriatsnoe at that t&e (April 10, 1907) regulating the 11414 of intoxiaati Ii- quors providing that an appl.losnt for a r&ail liquor 7 1 oonm maat La 6 oitiaon o? ths stats and o maidant of t&s oowt when the lioonss ia sa t 1s not a mre ~uiaa ta evade t l 0 prorisfons of the Const?? t&on Ihrtirlo 4, zootion 2, and Art- 1010 lb, creation 1) prohlbltin~ dlaarjainvtlon by a state ar,alnot nonraei&mts but Pt la oaloalatml to aid Ln rogulrt- ing the ltquor traiila, by rmdortnf! the Llaenaee subjaat to px~oe$b whare mit is brou$ht on hln bond dad by faoflltating tho detar&istion of his othar qualiSloat~ons to oraralsa tha llaanm#. ni 10 atataa ia Texas turiagrudenee, Vol. 9, pb 4661 *Otm of the most delioate dutior to be par- forned by the judialal brmoh of the .gavsrmant Is that 0s ae.olt3rin.sCLOaat of tke lagielativa departrant to be uiwonetitUtion4l 4nd fmulld. The pir#or 02 the oouda in this Yesprtot is ONe that All be oxsroiabd with graat owtlon, eb- paoially where the matters in OontYO?OTSY Barbin to goveraarsntal polioleo, t&o publio heath md publlo utlitlea. . . .* Thir a0part3mt held In M opinion wrlttsn by Eoaareb’ia Leon L?QROOAaaistaM Attoaaey G~nerti adfireseod to Honorable C. R. 4lil: 1.2 Admlniotmtor, Terns f&uor Gon- trol i3oard, Aujymt 26 1936, Volume 373, paaa 338, Lottar Qplnlonn, that a fore & .p aorparatlon would not be authorized t, obtnln a permit ta dirtrlbute boor rithin the State OS Texaa. .:a have awefully considered t&o above mntioned brler wbnitted by the ettormya for the foral&n oorporatian 4nd do not bal.isre the authorltles oitsd thareln aw appll- oabla to the querrtlon under oomldsration, f.!omrabla ihrt Pord, .Ualal~trator, PO&S $0 fn view of the iorafpiatj authorltfer It 113our opln- ion th!lt the Stat0 in tho progoor exerolse of itr pollee pmfsr onn 1o:nlly refws a foraigx oorpor~tlan llama0 to sell beer end/or wine in this itate, Therefore, it is ortr further opin- ion that the ahova mntiollad pwleion of Artiole 667-5, ‘Jer- non.8 haotated Term1 Code la oanstitutfonal.