*1 ., '- 731 OFFICE OF THE ATTORNEY GENERAL OF TEX+ AUSiliU
G-G.- *--
mpartmMt or Agrloulttlre
Aua tin, Tour8
Attmntlont Hr. a
ooperatite aa80- rm? And rolatrd nlon o? thir Dopart- ment upon the QUO at84 ha8 boon rrorltsd.
04 to require that the pro- ah.4 suoh unployr.8 to C- Dapartmnt would be authorhod to ng oomptmlrr to UN bon4 form8 AhO, Q].8a8* ad- UldfOZ'l8 prOti8iOlU, he mpartn8nt ~~14 b r l ~$hOris~d t0 to fUrnl8h thl8 Mputmat roqulro a Oooperatitr with OOPJ of the or bOn48,
*wo attaohing h&to oopirr Or the Statato, 8180 OOpb8 Oi the By-laW8. x:n Oa8a jrOUr l D8WOC rhouid be In tha aitimmtite, would appreofata it tory muoh ii you rc~l4 4raw a form be u8r4 by the *2 . Department oi Agriculture, Fags f3
bonding Oompany, in the bond8 furnishsd in the above oonneotion.*
we a.88111118 rr0m your Inquiry that you have raf8rWIOe tO~th8 bonds Of OifiO8r8, rmpiOyee8, and agent8 oi oor9oration8 inoorporatsd Under th8 "CO-OperatiV8 Marketing Aot". Censr- ally 89eakiILg, an aeeooiatlon may be formed under the Co-oper- ativr Marketing hot by fir8 morr 94r8one engaged in th8 produotlon Of 8@‘iOUltlllYkl 01) thr88 Of mOr0 a88OOla- prOdUOt8 tlonr to rngagr In any on8 more 0r the aotlvltle8 898olfie4 in thr hot. Owerally, the organization 18 effected by a group of prr8On8 or organization oommlttee, who may makr .Iany mluor oh8ng.r in the organio reatUW8 of the lnoorporation, when au- thorized by the organization agrrrment, and a mzjorlty of whom may dstermlne the propriety of oompletlng the organlzatlon, at b88t where .6here i8 no di88ent Or objeotfon on th8 part Oi the absentee8. Artlolas or lmorporation are required to be pm- ' pared, rubaoribed and aoknowl8dged, and bo filed in aooordanoe with the eneral oorporation law8 and an a88ooiation whioh fails to ! noorporate is not entitisd to tha benrfits or the Mar- keting Aot. The etatute rurther provide8 for the adoption o? by-laws, the oalllng of meetinga of mnbers or atookholdare, and the 8lsotion and removal of offloers and dlreotora.
Arti 5787, V8rnon18 Annotated Civil 8tatutes, requir- ing eaoh and all oiiloera, a~ployeee, and agents handling finds and property of the corporation8 oreatsd undrr the provlefons ot the Co-operativr Marketing Aot,reada a8 rOilOW8:
WEeoh and all oftloerts, emplcyees and agenta, handling funds or property oi the oorporation oraated under the 9rovl8lon8 this Aot, pr any property or funda of any person plaoed under the oontrol of or In the po88eeeion of 8aid oorporation, 8hal1 be requlrad c- to sxaout8 and deliver to the oorporation a bond of indemnfty, Indemnifying the oorporation and member8 against any fraudulent, dirhonest, or unlawful sot on the part or suoh ortloers and 8mployeee and other sots as povlded by the by-law8 of the aesooiatlon. In ease the OiriO8r8 and direotora any oorporation au- thorized to be oreatsd under the provi8lonr of thi8 Aot, 8ha3.1 rail to, haV8 6ll OrriOer8, ti91OyOO8 and 8&9llt8 handling 8UOh funds Or property, 8X8OUte bond provided for herein#eaoh and all of said otfi- oar8 and direotors shall be personally liable tor'all 108888 oOOa8icmed by 8UOh failure, and whloh might have been reoovsrsd on eaid bondew *3 “: Department of AgrlOultura, Vega 8
It will bo noted that Artioh 5767, 8upra, rpaoi- provide8 that all Off~OOr8, amploy and agantr
ri0di~ handling fund8 or property of the oorvoratlon era required to oxaouta and deliver the corporation 8 bbnd of lndrmnlty, indazmniryl~ the oorporation and mambar8 aglinrt any fraudu- lent, dlrhona8t, or unzawrul act on tha part 0r ruoh OfflOW 8nd l mployaa8~and other aotr a8 provldrd by th@ by-law8 or tha rroolation. It 18 apparent that th8 main 9ur9080 0r tha above rantlcmad rtatutr 18 to protaot or rave from 1088 or damage fund8 or proparty 0r tha~oorpozutlon or 84 prop8rty or fund8 0r any p8rron plaoad UUd8r the oontrol or in tha p08848810n at the oorporatlon. The only purpono ot the above mantlonad 18 to adequately proteat or 8aV8 irOn 1088 01 dama thm rLUid8 or property above mentioned, sad If the bond aooompli8ho8 thi8 9Ur9084, the ?Om Of the bond i8 imm.t.rial. All pub110 OffiOa8 law. 0raatura8 and OftiOOr8
The power8 and duties 0r pub110 orflaarr are dotin. and lfaitad by law. By being darfna4 and ltiftad by law, we me.n that the act of a pub110 orfloar mU8t be expressly authorized law or Implied thar4from. (22 R. C. I.., pagr 555, S8Otlon 114.) St that-the Department 0r AgrIoultura m8y m.ka only 8UOh r0ii0rr8 raqulramant8 and damand8 a8 they are authorized by law to make. (It. Cavalry Club 1no. v, Sheppard, 83 S. W. l?d) 660.) After a 0.rarul 8aaroh of thr pertinent 8tatutr8 ro atlva to the ~ua8- tionr hare involved, we era unable to find any rtatuta that au- thOriz88 the Department 0r Agriculture to require that the pro- Ti8iOn8 Of the bon48 turn18h.d by the oifiOar8, .El910)'..8 and agent8 of tha alrsooiatlonr lnoorporatad under the Co-oparatlva AOt to br UnitOr& HaitbmZ do iin4 any authority Markatln .uthorlz ng the Dapartrant of Agrloultura to f the bond- rrquira to U8. bond fOrpl8 Oarryiw 8UOh Uniform QrOvi- fO&OBl~ll1.8 It 18 our further opinion th8t the Department Aid- oultuia 18 not 8UthOrl88d to roquira any a88ooIatlon fnoorpor- ,, atad under th8 abotr mentioned Aot to f'urnirh the drpartmant with a aopy oi the bond bon48 raquirad by Artiola 6757, rupn.
mu8ting that the roragoi~ ruiiy anaware your in-
quiry, (10 err
TOW8 t.m tlWlr ATTORWBY OEWBRAL 01 TKXAS APPROVED== 27, lg40 AWIBBB