Case Information
*1 Good. Neighbor Commission of Texas
Austin, Texas
Attention: Pauline R. Kibbe
Opinion No. O-7499 Re: Deeignation of grantee in deed conveying in trust to the u8e and benefit of the Mexican people in Karnes Gentlemen: county.
We acknowledge receipt of your opinion request dated November 6, 1946, from which we etate in subetance and quote in part, as follows:
The Mexican Honorary Commirrsion of Karnes City desires to purchase a small tract of land. for the purpoee of erecting a platform and a hall to hold weekly meetings and to stage cele- brations on the 5th of May., the 16th of September and at other times.
As you know, these Commissions are semi-official agenciee of the Mexican Consular Service in that they are composed of Mexican citizens and organized by the Mexican Consuls to look after the Interesta of the Mexican population under the Consul's direction.
Inasmuch a8 these groupe have no legal entity, at least, sufficient to own and dispose of real estate a8 such, the mem- bership being of a migratory nature, the title to a given par- cel of land would be imperfect for want of a definite and clear- ly defined ou?l.er, a point essential when seeking to borrow money or to transfer the fee.
Similar problems in other communities in the State may, in the future, arise, and we would like your opinion on the inquiry: Whether title to the land in question may be placed in a grantee as follows: "Joel S. Quinones, Mexican Consul, at San Antonio, or his succe88or in office, for the use and benefit of the Mexi- can people of Karnes County, Texas."
Title Aliena, V. A. C. S., contains the pertinent statutes gov- erning the ownership of land by aliens and alien corporations in Texas.
.- Good Neighbor Commission of Texas _ Page 2 (0-7499)
Article 166 provides that no alien or alien corporati.on shall acquire eny ln- terest, right, or title eitb.er legal or equitable in or to any landr in the State of Texan, except a8 hereinafter provided.
Arbtcle 167 lists the exceptions to t,he general law stated in Arti- cle 166 and providea in part aa followr:
"This title (title 5) shall not apply to 0 a . the follow- ing claanes of all.ene, wto arep or who shall become bona fide inhabitante of this State, at; I.ong a8 thgy &all continue to be bona fide inhabitante of t.h!.s State:
"Section 3. Al.f.ens wha are ~at~l;~,r%I. born, ci~ti.zens of na- tions wb.ich have a common. land bol;ndary with the UTi.ited States. " . . . "
Article 1.76, V. A. C. S., reqnirea that al.1 aliens and all alien corporations hereafter purchasing, or ~,IJ any mazner arquiri.ng land located in Texas, shall, wi.thin 65.x months after such purchase, or acquisition, file with the County Clerk of the County 1.n whi.c'h su.9~ .l.ar,.d !.a located, a "Report of Alien Ownership" In accordance with the terms therein aet out, and subject to the penalty provided therein for failure of compliance therewith.
Under the provi.ai.ons of the above-ez:llmerated statuc,es, it is plain that the aliens in question, berm fi.de Inhabitants of Texas and cl.tizens of Mexico, a natj.ou which ha8 a commor~ land boun,tiaPy xltb. the Unit4 States, may acquire and own any landa in the State of Texas, provf.ded they file a Report of Allen Ownership in accordance wi,th Artfcle 176.
We are of the op:alon that t;t.e deoi.gaati.ort of the grantee in the contemplated conveyance as "Joel S. Q~.n.on.es, Mex9.can Con.su.1 at San Antonio, or his 8ucce88or in office, for the use and benefit of the Mexican people of Karnes County, Texas"g would be legal and proper. The legal effect thereof would be to constitute the Mexican Consul tb.e holder 1.n trust of the property conveyed for the use and benefit of the Mexican people of Karnes County, Texas, the owners of the property. In a deed, *s l.c. al.1 other written instruments, the thing to be determined LB the intention of the parties to I,t; and when the instrument itself makes ft manifest that it wan the pu-poee of the grantor to convey the property to another, who in the deed Is designated with reasonable certainty, it will take effect aB a conveyance. 14. ?ex. hr. p Page 798; Vine- yard vs. O'Connor, 90 Tex. 59; Sparks ~8. :Eumbl.e 01.1 an.d Refin.i.ng Company, l29 (2) 468. S.W.
We desire to point out horaever, that a conveyauce to a grantee a8 designated above pLacea the tLtl.e, the rlghta to alleoate, and all incidental powers appertaining to the landa conveyed in. the Mexican people of Karnes County,
Good Neighbor Commission of Texas - Page 3 (O-7499) Texas. To obviate the necessity of obtaining the approval of all the Mexican people of Karnes County, Texas, whenever a transfer, aaaignment, or loan con- cerning the land In question 16 desired, we would auggeet that the grantee be designated aa follows: "Joel S. Quinonea, Mexican Consul, at San Antonio, or his succeseore In office, trustee".
Article 7425a, V. A. C. S., provides as follows: "Where a trust is created, but ia not contained or declared in the conveyance to the truqtee, or when a conveyance or tranefer IS made to a trustee without dinclosing the namee of the benefici- ary, or beneficiaries, the trustee &all be held to have the power to convey or transfer or encumber the title and whenever he shall execute and deliver a conveyance or transfer or encumbrance of such property, am trustee, such conveyance or transfer or encum- brance shall not thereafter be questioned by any one claiming as a beneficiary under such trust or by any one claiming by, through, or under an undisclosed beneficiary, provided that none of the trust property in the hands of aaid trustee ahall be liable for personal obligations of said trurtee. Acts 1925, 39th Leg., ch. 120, P. § 1,"
The affect of designating the grantee a8 suggested and as permitted under Art. 7425a would be to place in the truetee designated the authority or power to exercise all rights concerning the land conveyed to him in trust. The beneficiaries under the trust could, of course, come in whenever necessary to show they are partiea'for whom the land wa8 conveyed in trust. We would be hesitant, of course, to euggest any conveyance to a grantee ae suggested herein except in those camea, a8 here, explicit trust, honor and reliance can be placed in the designated trustee. that the above satisfactorily answers your inquiry, we remain
Trusting Very truly yours Al'TORNEYGENE3ALOFTEXAS APPROVED NOV 22, 1946 Id Rarris Toler By /a/ Chester E. Ollison
FIRST ASSISTART Chester E. Ollieon ATTORNFXGEEERAL
Assistant CEO-sl-lm
APPROVED OPINION coMMITrEE BY /e/ GUB CHAIRMAN