Midlothian Butane Gas Co. v. Hilco Electric Cooperative, Inc.

OPINION

GRAY, Justice.

Rural Electric Cooperatives have existed in Texas since at least 1937. The purpose in creating such cooperatives was to encourage the electrification of parts of this great state that were not economically attractive to major utility companies. To encourage this type of enterprise, the legislature gave special incentives to these companies. They are created under a special statute known as the Electric Cooperative Corporation Act. Electric cooperatives created under the statutes are a special type of non-profit corporation. Because the cooperatives are creatures of the…