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RIDDELL v. SCALES

Nos. 22013, 22018.

406 F.2d 210 (1969)

Robert A. RIDDELL, Appellant, v. Leon W. SCALES et al., Appellees.

United States Court of Appeals Ninth Circuit.

January 22, 1969.

Attorney(s) appearing for the Case

Robert I. Waxman, Washington, D. C., Mitchell Rogovin, Asst. Atty. Gen., Lee A. Jackson, Robert N. Anderson, Dept. of Justice, Washington, D. C., Wm. Matthew Byrne, Jr., U. S. Atty., Charles H. Magnuson, Asst. U. S. Atty., Asst. Chief, Tax Div., Los Angeles, Cal., for appellant.

Ernest R. Mortenson, Pasadena, Cal., for appellees.

Before BROWNING, DUNIWAY and HUFSTEDLER, Circuit Judges

HUFSTEDLER, Circuit Judge:

The taxpayers in these six consolidated actions obtained summary judgment in the District Court upholding their contentions that (1) gain derived from payment of two promissory notes held in trust for their benefit was taxable as capital gain, not ordinary income, and (2) gain derived from their profit interest in joint venture real estate was likewise taxable as capital gain, not ordinary income. The Government appeals.

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