An insurer issued a settlement check on a claim brought by an injured minor that was payable to Trudy Avants attorney for minor child Joseph Walton, mother Dolores Carpenter 11762 S. Harrells Ferry...

Congressional Airlines was highly profitable operating flights between Washington, D.C., and New York City. The directors approved a plan to offer flights from Washington to Boston. This decision...

The Trump World Tower is a 72 story luxury condominium building constructed at 845 United Nations Plaza in Manhattan, New York. Before the building was constructed, 845 UN Limited Partnership (845...

Use RIA Checkpoint Citator 2nd to evaluate Deluxe Check Printers, Inc., 15 Cl. Ct. 175. a. Which tax years were in question in the case? How was the case treated upon appeal? What is the citation of...

Dean and Robin owned a family business, each holding the shares as community property. When they were divorced in 2011, the court did not force them to split the shares, citing damage to the business...

The W-2 incomes of Betty and her husband Ronald were $47,222 and $44,910, respectively. If Betty and Ronald use a filing status of married filing jointly, determine their tax liability using the tax...

Alpha Corporation has outstanding four hundred shares of $100 par value common stock, which has been issued and sold at $105 per share for a total of $42,000. Alpha is incorporated in State X, which...

Now suppose that the jury concludes that Alaina was partly at fault for the accident. Under what theory might her damages be reduced in proportion to the degree to which her actions contributed to...

Clay stole a car from Mooneys driveway. While driving the car down Main Street at an excessive rate of speed, Clay ran into Pages store window, causing extensive damage. Can Mooney and Page bring a...

Alex Franks was a guest staying at a Comfort Inn in Searcy, Arkansas, while he was working on a highway project. Franks found a bundle of money in plain view in the left part of the left drawer in...

Fred contributed $12,000 to his RRSP in November, 20X7 and $10,000 to a spousal RRSP in February of 20X8. Fred had earned income of $80,000 in 20X6 and $100,000 in 20X7. Freds notice of assessment...

Daniel Martin and John Duke contracted with J&S Distributors, Inc., to purchase a KIS Magnum Speed printer for $17,000. The parties agreed that Martin and Duke would send one half of the money as a...

Thomas was sent a credit card through the mail by a company that had taken his name and address from the telephone book. Because he never requested the card, Thomas left the card lying on his desk. A...

Jennifer Willis worked for Coca Cola Enterprises, Inc. (CCE), in Louisiana as a senior account manager. On a Monday in May 2003, Willis called her supervisor to tell him that she was sick and would...

The financial data for this case was collected during a fraud investigation: 1. Without calculating the amount of unknown income, indicate possible red flags or trends you notice in the numbers...

Jennifer is single and has the following income and expenses: Salary$76,000 Interest income 5,000 Dividend income 9,000 Long-term capital gain 10,000 Short-term capital loss 14,000 Deductions for AGI...

In 2003, Hall acquired a sculpture by Anselm Kiefer, a German artist, and placed it on the lawn of his property fronting Harbor Road in the Southport Historic District, which is one of three historic...

A national bank was robbed by a man with a small strip of tape on each side of his face. An indictment was returned against David. David was then arrested, and counsel was appointed to represent him....

Some contracts freely entered into by the parties involve activities that have been made illegal by state or federal statutes. Since they are illegal, these contracts are unenforceable. Examples are...

Redraft the following issues in the format presented in this chapter. Part A Can a bystander who witnesses the death of a victim from three blocks away recover for negligent infliction of emotional...

[Your name] Supervising Attorney Martin v. City Airport; 42 U.S.C. 2000e We represent Jake Martin. Jake is a 25-year-old American citizen. He is olive skinned, 6 feet 3 inches, 220 pounds with thick...

Your client, Big Corporation, and its wholly owned subsidiary, LittleCo, file a consolidated return for Federal income tax purposes. Indicate both the financial accounting and the tax treatment of...

On July 5, 1884, Dudley, Stephens, and Brooksall able-bodied English seamenand a teenage English boy were cast adrift in a lifeboat following a storm at sea. They had no water with them in the boat,...

If Matlin is covered by the policy but is also disqualified by his misrepresentation on the application for coverage, might the insurer still be liable for bad faith denial of coverage? Explain....

When Lyle was hired, she was told that typing speed was extremely important to the position. At the time, she maintained that she could type eighty words per minute, so she was not given a typing...

A Michigan Holiday Inn fired a pregnant employee because the very Christian staff members were very upset by her talk of having an abortion. Has the employer violated Title VII? [Turic v. Holland...

What constitutional safeguards exist to protect persons accused of crimes?

Recall the Quimby case. This type of fraud is increasingly common. What could Quimby have done to protect himself?

Roberto Basulto and Raquel Gonzalez, who do not speak English, responded to an ad on Spanish-language television sponsored by Hialeah Automotive, LLC, which does business as Potamkin Dodge. Potamkins...

William John Cunningham, a professional basketball player, entered into a contract with Southern Sports Corporation, which owned the Carolina Cougars, a professional basketball team. The contract...

In 1942, Congress passed the Emergency Price Control Act in the interest of national defense and security. The stated purpose of the Act was to stabilize prices and to prevent speculative,...

Webster ordered a bowl of fish chowder at the Blue Ship Tea Room. She was injured by a fish bone in the chowder, and she sued the tea room for breach of the implied warranty of merchantability. The...

1. What are the factors that the court looked at in determining whether minimum contacts existed between the defendant and the state of North Carolina? 2. Why did the court state that the convenience...

The Ewells bought a home in Seaford, Delaware. They planned to renovate it and reside in it later. The Ewells insured the house with an insurance company, Lloyd's of London. Shortly after purchasing...

Campbell, Inc., a calendar year corporation created in February 2011, has gross receipts as follows: Year Gross Receipts 2011 .. $2,990,220 2012 .. 3,310,763 2013 .. 4,885,027 2014 .. 7,626,681 2015...

Firm W has the opportunity to invest $150,000 in a new venture. The projected cash flows from the venture are as follows. Determine if Firm W should make the investment, assuming that: a. It uses a 6...

Tim retired during the current year at age 58. He purchased an annuity from American National Life Company for $40,000. The annuity pays Tim $500 per month for life. a. Compute Tims annual exclusion....

Philip Schwachman owned a commercial building and leased space to Davis Radio Corp. for use as a retail store. In the same building, Schwachman leased other retail space to Pampered Pet, a dog...

Three banks that are wholly owned by the Republic of Costa Rica had issued promissory notes, payable in U.S. dollars in New York City. The notes are now in default due solely to actions of the Costa...

Jones, a food wholesaler whose company has an account with City Bank in New York City, is traveling in California on business. He finds a particularly attractive offer and decides to buy a carload of...

Kora Nayenga and two business associates formed a corporation called Nayenga Corp. for the purpose of selling computer services. Kora, who owned 50 percent of the corporate shares, served as the...

Bunn and his wife claimed that they had an easement to enter and use the swimming pool on neighboring land. A contract between the former owners of the Bunns' property and the adjacent apartment...

Nuclear power plants use low enriched uranium (LEU) as fuel. LEU consists of feed uranium enriched by energy to a certain assaythe percentage of the isotope necessary for a nuclear reaction. The...

Dorozhko hacked into the corporate network of Thomson Financial on October 17, 2007 at 2:15 P.M. and gained access to IMS Healths soon-to-be-released negative earnings announcement due out at 5:00...

The Mucho Oro Indian Tribe operates a casino on its reservation in Arizona. The casino is very profitable, and therefore the tribe has excess money to invest. The tribe is approached by an...

Determine the tax basis of the business asset acquired in each of the following cases: a. Firm L paid $5,950 cash plus $416 sales tax plus a $500 installation charge for a satellite dish. b. TTP Inc....

Betty operates a beauty salon as a sole proprietorship. Betty also owns and rents an apartment building. This year Betty had the following income and expenses. Determine Betty's AGI and complete page...

Peter Diamond owed Carter $500,000 secured by a first mortgage on Diamonds plant and land. Stephens was a surety on this obligation in the amount of $250,000. After Diamond defaulted on the debt,...

Susan Calles lived with her four daughters, Amanda, age 11,Victoria, age 5, and Jenna and Jillian, age 3. In March 1998, Calles bought an Aim N Flame utility lighter, which she stored on the top...

In each of the following situations, determine whether Georgios Fashions is a sole proprietorship, a partnership, a limited partnership, or a corporation. 1. Georgios defaults on a payment to...

Evelyn Kowalchuk, an eighty-eight-year-old widow, and her son, Peter, put their savings into accounts managed by Matthew Stroup. Later, they initiated an arbitration proceeding before the National...

John and Joanne have 2 children, Joe, 16, and Jamie, 4. John is self-employed, and Joanne works as a swimming coach for Local University. Johns business is manufacturing Jaugernauts. Through the...

Dunne, Inc., a U.S. corporation, earned $500,000 in total taxable income, including $50,000 in foreign-source taxable income from its branch manufacturing operations in Brazil and $20,000 in...

The Aqua Drilling Company made a contract to drill a well for the Atlas Construction Company. It was expected that this would supply water for a home being constructed by Atlas. Aqua did not make any...

Sharon contracted with Jane, a shirtmaker, for one thousand shirts for men. Jane manufactured and delivered five hundred shirts, which were paid for by Sharon. At the same time, Sharon notified Jane...

Finley Motor Company sells an automobile to Sara and retains a security interest in it. The automobile is insured, and Finley is named beneficiary. Three days after the automobile is totally...

Trevor is an English professor at Clayton College. His adjusted gross income for the year is $58,000, including $5,000 he won at the racetrack. Trevor incurs the following during the year: Investment...

Carlines son, Leon, 10, is a musical prodigy. Carline, also a musical person, has spent a significant amount of time teaching Leon music and promoting his possible career. When Leon finally receives...

On November 1, 2005, Janet Morton and Kim Wong formed Pet Kingdom, Inc., to sell pets and pet supplies. Pertinent information regarding Pet Kingdom is summarized as follows: Pet Kingdom's business...

Plaintiff, while dining at defendants restaurant, ordered a chicken potpie. While she was eating, she swallowed a sliver of chicken bone, which became lodged in her throat, causing her serious...

Recently, a student came into a faculty members office and handed the faculty member a card he had found in the business school building advertising a company called 12 Daily Pro. He said someone had...

Dove Corporation (E & P of $800,000) has 1,000 shares of stock outstanding. The shares are owned as follows: Julia, 600 shares; Maxine (Julias sister), 300 shares; and Janine (Julias daughter), 100...

Continental Enterprises, Inc. (Continental), had 2,510,000 shares of stock issued and outstanding. Louis E. Wolfson and members of his immediate family and associates owned in excess of 40 percent of...

Alice, Beth, and Carl formed the ABC partnership early in Year 1. Alice and Beth each contributed $100,000 for their partnership interests, and Carl contributed land having a $100,000 FMV and...

Assume the same facts as in Problem 13-48 and that before Yujis death in 2015 his wife already owned property valued at $300,000. Assume that each asset owned by each spouse increased 8% in value by...

Union organizers at a hospital wanted to distribute leaflets to potential union members, but hospital rules prohibited leafletting in areas of patient care, hallways, cafeterias, and any areas open...

Donna gives Peter a check for $2,500 in return for a laptop computer. The check is dated December 2. Peter transfers the check for value to Howard on December 14, and Howard deposits it in his bank...

Ms. Crabtree is given a one-year, nontenured contract to teach English at Haddock State University, a public institution. After her contract year ends, she is not offered a contract for the next year...

Sam was driving in excess of the speed limit and ran a red light at 11:00 P.M. He hit Suzannes car, which was crossing the intersection when he ran the red light. Sam had not seen Suzannes car...

Union Electric wishes to construct a new coal-fired plant in the northeastern corner of Arizona. Union plans to use the maximum achievement technology for the scrubbers on the plant to reduce...

Identify three tax characteristics that differ among alternative savings vehicles.

Your client, Annie O'Toole (22 Beneficiary Lane, Wellington, KS, 67152), has come to you for some advice regarding gifts of property. She has just learned that she must undergo major surgery, and she...

Firm Q is about to engage in a transaction with the following cash flows over a three-year period. If the firm's marginal tax rate over the three-year period is 30 percent and its discount rate is 6...

The Gerwitz family resides on a piece of land known as Lot #24 of the Belleville tract, which they acquired by deed in 1992. Shortly thereafter, the Gerwitzes began to use the adjacent vacant Lot...

Suppose that a clause in the contract between Air Ruidoso and Executive Aviation provides that if the airline becomes insolvent, Braden Fasco, the chief executive officer of Air Ruidoso, agrees to...

Lyle contracts to sell his ranch to Marley, who is to take possession on June 1. Lyle delays the transfer until August 1. Marley incurs expenses in providing for livestock that he bought for the...

Gabriel, Harris, and Ida are members of Jeweled Watches, LLC. What are their options with respect to the management of their firm?

Hefty Corporation would like to buy mineral leases owned by Tiny Corporation for $550,000. Tiny informs Hefty that these leases are not transferable under its current contract. Given that the leases...

Reba Dixon is a fifth grade school teacher who earned a salary of $38,000 in 2017. She is 45 years old and has been divorced for four years. She received $1,200 of alimony payments each month from...

EZRest Motel is a motel with 216 rooms located in the center of a large city in State Y. It is readily accessible from two interstate highways and three major State highways. The motel solicits...

On September 1, Adams in Portland, Oregon, wrote a letter to Brown in New York City, offering to sell to Brown one thousand tons of chromite at $48 per ton, to be shipped by S.S. Malabar sailing from...

Carl, a salesman for Smith, comes to Bensons home and sells him a complete set of gourmet cooking utensils that are worth approximately $300. Benson, an eighty-year-old man living alone in a one-room...

On August 10, 2009, Theta Electronic Laboratories, Inc., executed a promissory note to George and Marguerite Thomson. Three other individuals, Gerald Exten, Emil ONeil, and James Hane, and their...

Alexander Proudfoot Co. was in the business of devising efficiency systems for industry. It told Sanitary Linen Service Co. that it could provide an improved system for Sanitary Linen that would save...

Sapata has an ordinary life insurance policy on her life and a fire insurance policy on her house. Both policies have been in force for a number of years. Sapatas life insurance names her son, Rory,...

In 2003, Grubbs transferred his individual retirement account (IRA) to Raymond James and Associates, Inc., naming Nunnenman as the beneficiary to receive the residue in the event of his death. Grubbs...

Pursuant to a complete liquidation in the current year, Scarlet Corporation distributes to Jake land (basis of $425,000, fair market value of $390,000) that was purchased three years ago and held as...

The Kawasaki Shop of Aurora, Illinois (dealer), advised Kawasaki Motors Corp. (manufacturer) that it intended to move its Kawasaki franchise from New York Street to Hill Avenue, which was in the same...

Leo V. Mysels was the president of Florida Fashions of Interior Design, Inc. (Florida Fashions). Florida Fashions, which was a Pennsylvania corporation, had never registered to do business in the...

Discuss stereotypes with a trusted friend or family member. What kinds of job-related stereotypes is he or she aware of? (Note that awareness of stereotypes does not mean belief in the veracity of...

Rubio recently invested $20,000 (tax basis) in purchasing a limited partnership interest. His at-risk amount is $15,000. In addition, Rubio's share of the limited partnership loss for the year is...

Multiple Choice 1. Colorado passes a hotel tax of 8 percent for Colorado residents and 15 percent for out-of-state visitors. The new law A. Is valid, based on the Supremacy Clause B. Is void, based...

Decedent Judith Johnson, a bedridden, lonely woman of eighty-six years, owned outright Greenacre, her ancestral estate. Ficky, her physician and friend, visited her weekly and was held in the highest...

If a Web merchant loses business due to a computer systems failure that can be attributed to malfunctioning software, can the merchant recover the lost profits from the software maker? Explain.

McMullen Contractors made a contract with Richardson to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and the city council adopted an...

Female employee is terminated for slapping a male employee. The male employee is not disciplined. Is this gender discrimination? Do you know all you need to know? [Gamboa v. American Airlines, 170...

Myles Murphy was appointed by Cy Sinden, a famous developer, to purchase land for a shopping center near the intersection of I-95 and Route 1. Mary Mason, the property owner, contracted with Murphy...

Ceasar Wright was a longshoreman in Charleston, South Carolina, and a member of the International Longshoremens Association (AFL-CIO). Wright used the union hiring hall. The collective bargaining...

Sue is a customer account representative for ABC Company. She recently acquired several new accounts when a previous representative, Dan, took an early retirement. Sue reviewed each of Dans accounts...

Bradt believed his backyard ran all the way to a fence. Actually, a strip on Bradts side of the fence belonged to his neighbor Giovannone, but Bradt never intended to take land away from anyone....