Untitled Texas Attorney General Opinion

OFFICE OF THE AlTORNEY GENERAL OF TEXAS AUSTIN honorable Thea. A. Wheat county Attorney Liberty county wberty, Text8 oorporatlon, and 'B' I)earned by 8aid &die argopinion that both *A*, a aorpara- WI& yl '8' end 'C' are violating hrtlol. . hrtlole 16931, Vernonla Annotatsd aet8s.w Statute*, 1s the penal provlrlon of thiiTeP8 Hotop Carrier Aat, 8ad Nkuatk oonsld~red with Article glib Of VernOn’S AnnOtAted Glvllstatutes.ThisAot was orlglnallymismd in 1!#9 by the Honorable Thea. A. meat, Page 2 Forty-first tigisZetu.reand incorporated in the S08sion Acts of 1929, as chapter 314 at page 698. It bra been amended in Some reapeats but the publlehera of Vernon's Annotsted 00d0 mve sepiaratedthe same aa indicated, pl.&oingthe #m&inpart thsreof in the Civil Statutes. In this opinion ve shall refer to the various sectlona as numbered by Vernon and lEIIO- cirtes. we vi11 not undertake to ret out ln full all OS the applicable se&ions of the tvo articles, 911b and 16gab, rrupra,but referenoe le pede to Section 1 of Article 9llb, containing the derinitlone ambodled in the Texas Wotor Ca,rrler Aot . Par8graphs (g) end (h) of said aeatlon read UJ follovs: "(g)Tb term *motor oarrler8 nuaanaany per- son, firm, oorporatlon, oompang, ao-partn&rrhip, sssoclatlon or joint stook association, and their lessees, receivers or trustees appointed by my Court vhhtroever, a, oontrolllng, munaging, operating or causing to be operated any motor propelled vehlole used in tramporting property for compensation or hire over any public hi&way In this State, vhere in the course of suoh trans- portation a highway betveen tvo or more lncorpor- ated cities, towna or villages 1s traversedI pro- vided that the term 'motor c8rrler1 a8 wed in this Aat shall not lnolude, and this Aat shall not apply to motor vehiclea operated exclusively vlth- ln the incorporated limits of oitlea or tovna. '(h) The term *contract carrier' means any motor aarrler aa herellurbovedeflrmd transporting property for compensation or hire over any highway in LoisState other than M a common oarrler." Thus, ve see that every motor oamler an defined, must have either a certifloate of convenience and neoeraity or a permit; the oertlficate being required of'co-n carriers and the permit being applloable to contraot aarrlera. Section 6 of Article 9llb makes provision for speolal oommodity permits in certain lnntanoes, but does not apply to lumber. There- fore, if the lumber in question is transported over highway8 of l&la State under the olroumatancea above referred to by you, either a certificate of convenlencc and necessity, or a permlt Honorable Tho8. A. Wheat, P&go f duly l44u4d by the Rsllroad Commiaeion of Texes, is eksen- tlal to legal operation. vhile a permlt 18 not required of one trrrnsportinghi4 ovn property, the corporrtion 14 8 leg81 entity and under your 4tatemsnt controote with its atookholdere. Therefore both 'A', the oorporotion and 'B' and '0' the lndl- vlduolr come within the plain language of Article 169Ob, presrrphs(a) and (b): "(a) Every officer, sgent, servant or em- ployee o? any corpor4tlon and every other person who violate8 or fall8 to aomply vlth or prwuree, u&d8 or abet8 ln the vlol8tlon of any provision of this Act or who violate8 or foil8 to ob8y, ob- nerve or oomply vith any lew?ul order, declslon, rule or regulation, dlr8atlon, demend, or requlre- shall be guilty of a mle- ment of the Conmi.le4lon denwanor and, upon conviction thereof, eta811be punlehed by a fine of not lees than Tventy-five DolUre ($25.00), nor more t-tanTvo Hundred Del-:: lare (4200.00), and the vlolationr occurrlng on e&oh day sb411 eaah oolvrtltutea eewate ofien4e. "(b) Rvery officer, &gent, eervant or emloyee o? any oorporatlon and evsry other pereon who vlo- &tee or ialla to comply vlth or proouree, aide or abet+ In the violation of any provirllonof this Act or vho vlolatee or f'aLl8to obey, obeerve or comply with sny lav?ul order, declalon, rule OF regulation, direction, dem8nd or requirement of the Comml84lon shall in addition be sumat to and shall pay a penal- ty not exaeedlng One Hundred Dollars ($lOO.OO), for each and every day of auah vlol&tlon. Such pemlty &all be recovered in my Court of aompetent jurle- diction in the county ln which the vlolotlon ocoure. Suit for such penalty or pen8ltlee lh411 be ln8ti- tuted and conduated by the Attorney @enera a? the State of Tex&s, or by the County or Dletrlot Attor- ney ln the county in whfch the violation occurs, In the 118~88 of the State of Texa8." Bovever, ve must next oonelder the crl8dnal reeponei- bZllty a? the oorporatlon~and whether it n18ybe fined in 4 crlpliinl proueedlng. This l8 8 subject vhleh ha8 reoelved the considered attention of many authorltlee. During the adminis- Rmorable Thor. A. What, PW 4 tratlon of Attorney General 8. F. Looneg, two oplnion8 vere re&emd holding that oorpor8tlon8 my be proceeded l@in*t d fined for vlotitlotisof the PO-1 Oode$ tht th4 Word "per4on" M used la pen41 et4tutee emhr8oee rrtl?lolAl a4 veil a4 n8tur41 por4on4. IWny 08444 were olted from forelgn jrpjmllatlons. See Opinions of Attorney Osnenl, Blennlrl Report, 1912-1914, pp. 295, 296. Referenoele llkwl80 mode to an article b De4.n11% P. Rlldebrand o? the Texu Unlver- elty mlool of E v, 13 Tews Iev Revlw, 253 ot p. 272. Clearly, the great velght of ruthorlty outside of Texls is that a corporation pay be cWnally llrble not only for arlm44 lnvolvlng gene-1 intent but even for crlmes vhlch squire 8 epeal?lc.lntent. The Court of fh4min81 Appsrls of thle State, hov- ever, in the 0880 of Judge Lynch Interartloml Book k Publi4h- 1% Go. v. State, 84 Tex. Cr. R. 459, 208 S.W. 526, vhenln the oorporatlon ~44 oonvlated of carrylng on the buelneea of 8n emigrant 8gent vlthout flret having obt4lned a lloexme therefor from the Commi44lon4r of labor 8t.8tl8tlce,u8ed thle 'lang\utP: " . . ..there is no provi4lon of law in thle state under which (L firm or oorpolutlcn a8n be lndloted or tried under the orlmlrul lwe, as' seems to have been the effort her4." The Lynch aa8e 14 cited as authority ?or the follow- lng atatellrsnt in Texas Jurleprudenoet “Although genenlly in c o netr ulnglt4tute bv the word 'per8on' 14 deemed to lnolude 8 oorpor8tlon, in the case of the Texas Pezul Code, t&la lnterpretstlon e6n extend only to a aorpon- tlon 84 the ~person~ w *party’ who or whore pm- perty 14 affeoted by the opiy, beaawe there b no provlelon of law ln this state under uhloh a firm or c.orporationoan be lndloted or tried under the arlmlnsl l~bve." (11 Tar. Jur. 220) The J\bdsgs Lynch ~4 ha8 never been overruled or modlfled, althou@ severely c~loleed by De&a R&ldeW ln hia lav review utlole hexvtotore o&ted. gonorable Thsr. A. Wheat, Page 5 In the OMS of Overt v. State, 97 Tex. Cr. R. 202, 260 S.U. 856, appears the following language: “We bring orlmtnals personally before the courts and juries under our proaedure and enforce punishment fixed by confinement in the jails or penitentiaries, Corporations, conqnbnies,flme, co-partnarahl.ps,joint-stock companlos, or aarooia- tlons aould not as such be proseouted 98 crl.m%rnla and could not be brought in person before the courts; and a law that undsrtakes to so hold them, muat be held unreasonable, indefinite, and of doubtful aonstructlon.” We @U.n quote from Texan Jurlsprudenoer *There is no proviaion of law 3.nTexas under vhich a partnership or corporation can be.lndlct- ed or tried under the criminal lava, nor oan they be prosecuted criminally under a statute providing for the punishment of ‘any person* who violates Its provisions. But whllo a corporation cannot be imprisoned for violating 8 atatute either as a part of the punlehment thereior OF for failure to pay a money fine, in rare lnatancea provision haa been made Par the punishment of aorporationa for the violation of criminal atatutee by mean6 of’penal- ties to be recovered by ault in contradistinction to a fine or Imprisonment therefor.” (12 Tex. Jur. 271j. We aleo direct your attention to the faot that hrtl- ale l@Ob, which M herelnbeforo noted contains the penalty alaum35 of the Texas Motor Carrier Act, mantlona “Every offi- cer, agent, servant or employee” of any corporation, “and every other person.” The offiaers of the oorporation you aantlon are therefore amnable to the prcvlnlons of the law, a8 well au every individual conzected with the doing of the Inhibited aota, tiithoutlicense as r80qulred,and they snagbe prosecuted. The f%ot that any such person uses any guise or trade-mama In 1. -:: ,2 400 mnoPrsbleTho8. A. What, Page 6 no bliferonoe In the defense, but in suoh ,oaM tM oomplalnt~ lnf0raat1on or fadlotnmt 8hould be against the indlvid~lrhom ._. &t8 oomtitute a violation 0r the law. Se0 the lrstpwagraph of the opinionin the JudgeLynahoam, rupn. -:~yGENZRAL OF TEXAS