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TEXAS CO. v. COUNTY OF LOS ANGELES

Docket Nos. L.A. 24968, 25102.

52 Cal.2d 55 (1959)

338 P.2d 440

THE TEXAS COMPANY (a Corporation), Appellant, v. THE COUNTY OF LOS ANGELES et al., Respondents. FORSTER SHIPBUILDING COMPANY, INC. (a Corporation) et al., Appellants, v. COUNTY OF LOS ANGELES, Respondent.

Supreme Court of California. In Bank.

April 24, 1959.

Attorney(s) appearing for the Case

J.A. Tucker, C.L. Mead, Jr., R.K. Barrows, Holbrook, Tarr & O'Neill, W. Sumner Holbrook, Jr., and Francis H. O'Neill for Appellants.

J. Kerwin Rooney, Port Attorney (Oakland), and Robert G. Cockins, City Attorney (Santa Monica), as Amici Curiae on behalf of Appellants.

Harold W. Kennedy, County Counsel, and Alfred Charles DeFlon, Deputy County Counsel for Respondents.

Stanley Mosk, Attorney General, James E. Sabine, Assistant Attorney General, Ernest P. Goodman, Deputy Attorney General, Felix S. Wahrhaftig, Albert E. Weller, County Counsel (San Bernardino), J.B. Lawrence, Deputy County Counsel, James Don Keller, District Attorney and County Counsel (San Diego), Carroll H. Smith, Deputy County Counsel, Roy A. Gustafson, District Attorney (Ventura), Joel E. Ogle, County Counsel (Orange), Stephen K. Tamura, Assistant County Counsel, and Mandle Rottman as Amici Curiae on behalf of Respondents.

TRAYNOR, J.

Plaintiffs brought these actions to recover taxes for the years 1956 and 1957 on possessory interests in tax-exempt lands owned by the city of Los Angeles. Judgments for defendants were entered after their demurrers were sustained, and plaintiffs appeal.

The basic issue presented is whether the value of a possessory interest in tax-exempt land under the capitalization of income method of valuation is the...

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