In Uncategorized on 10/30/2018 at 16:04

No, they haven’t opened the locks at the Old Grand-Dad warehouse, wherein is stored 100 proof good news, and invited us in to sample, alas.

But today, when neither opinion nor designated order swims into my ken, a voice from the past lets Ch J Maurice B (“Mighty Mo”) Foley tell us what happens when one bonds a losing decision in order to appeal.

All y’all will remember Qinetiq U.S. Holdings, Inc. & Subsidiaries, Docket No. 14122-13, filed 10/30/18. You don’t? Well see my blogpost “Truth or Forfeits,” 7/2/15.

And note my prophetic statement in the first sentence of the penultimate paragraph of said blogpost. Turns out I was right, hence today’s order and this blogpost.

Ch J Mighty Mo: “…petitioner filed with the Court a bond (with Liberty Mutual Insurance Co. as surety) after they filed a Notice of Appeal to the United States Court of Appeal for the Fourth Circuit. On May 10, 2017, this Court filed a certified copy of the mandate of the Court of Appeals affirming the decision of this Court. On October 19, 2018, respondent filed a Status Report, in which respondent advises the Court that respondent has received payment from petitioner and that the bond may be released.” Order, at p. 1.

You can always appeal a Tax Court loss in a deficiency case, but you have to bond the amount appealed from (or IRS will lien and levy before your appeal is decided), and Tax Court can require double the amount of the deficiency. See Section 7485(a). And here the deficiency was $13 million.

As they say on Antiques Roadshow, it’s good when Liberty stands with you. But 4 Cir. didn’t.

So when Qinetiq ponied up the $13 million plus, their attorney got back the bond.





Leave a Reply

Please log in using one of these methods to post your comment: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: