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LOTTERY COM'N v. STATE BANK OF DeQUEEN

No. 08-0523.

325 S.W.3d 628 (2010)

TEXAS LOTTERY COMMISSION, Petitioner, v. FIRST STATE BANK OF DeQUEEN, Stone Street Capital, Inc., and Cletius L. Irvan, Respondents.

Supreme Court of Texas.

Decided October 1, 2010.

Rehearing Denied December 17, 2010.

Attorney(s) appearing for the Case

Gregory W. Abbott , Attorney General of Texas, Kent C. Sullivan , Austin, David S. Morales , Deputy First Assistant Attorney General, Office of the Attorney General of Texas, James C. Ho , Solicitor General of Texas, Brantley David Starr , King & Spalding LLP, Ann Hartley , Office of the Attorney General of Texas, Don Wayne Cruse Jr. , Law Office of Don Cruse, Austin, Michael P. Murphy , Asst. Solicitor General, Clarence Andrew Weber , First Assistant Attorney General, Alicia Key , Deputy Atty. Gen. for Petitioner.

Jeffrey S. Boyd , Schuyler Bailey Marshall V , Thompson & Knight LLP, Austin, for First State Bank of DeQueen.

Max Ralph Tarbox , Andrew Raymond Seger , Todd Jeffrey Johnston , McWhorter Cobb & Johnson LLP, Lubbock, for Cletius L. Irvan.

Justice JOHNSON delivered the opinion of the Court.

This case arises because provisions of the Texas Uniform Commercial Code (UCC) and the Texas Lottery Act conflict as to whether installment payments of a lottery prize are assignable. The primary issues are whether the Commission has sovereign immunity from suit and whether the Lottery Act's prohibition against transferring the last two installments of a prize are negated by the UCC.

Cletius Irvan, a Texas...

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