Texas Attorney General Opinion: V-804 Page: 4 of 11
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Hon. Keith Kelly - Page 4 (V-804)
would not find the presence in a single person of both
lender and performer of 'services, in and of itself, a
basis to deny him reasonable remuneration for the work
he performed. That the work must actually be done and
that theocharge for this work must be for services spe-
cifically related to this transaction, yet separate
and distinct from the simple operation of making an or-
dinary loan, is well settled. Given the proper facts,
we feel the courts have indicated such a situation
would not be usurious as a matter of law, for we 'find
such statements as 'these.:
"The borrower 'might legitimately agree
to compensate the lender for services of such
character (lender's labor to keep informed of
the condition of the borrower's business and
to see the funds were not used except in the
business- being financed), although performed
in the interest of the lender, . . . provided
always that such changes are not made a mask
behind which conceal the true purpose of
the parties." (Parenthetical explanation
". . . Admittedly it was never even con-
templated that appellant was to, nor did it in
fact ever, get anything except the use of the
money. No quid pro quo could therefore have
gone to It for anything else, and so it results
practically that the use of the money was alike
the only advantage to the one party to the 'ar-
rangement,' and the only detriment to the oth-
er. . . .
"Had the.contract required the inspec-
tions, and the 8 per cent on that account been
only chargeable where they were actually made,
as well as shown to be a reasonable compensa-
tion for the service, the majority of this
court are unwilling to hold that, so far, it
would have been usurious; but, as pointed out,
that is not the case made for the appellee here.
10. Slaughter:Co..v. Eller, 196 S.W. 704 (Tex. Civ.
App. 1917, error ref. at p. 708.
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Texas. Attorney-General's Office. Texas Attorney General Opinion: V-804, text, 1949; (texashistory.unt.edu/ark:/67531/metapth265623/m1/4/: accessed January 17, 2019), University of North Texas Libraries, The Portal to Texas History, texashistory.unt.edu; crediting UNT Libraries Government Documents Department.