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OCEAN SHORE RAILROAD COMPANY v. UNITED STATES

No. 71-2900.

489 F.2d 532 (1973)

OCEAN SHORE RAILROAD COMPANY, Plaintiff-Appellant, v. UNITED STATES of America, Defendant-Appellee.

United States Court of Appeals, Ninth Circuit.

December 11, 1973.

Attorney(s) appearing for the Case

Carl Hoppe (argued), Eckhoff, Hoppe, Slick, Mitchell & Anderson, Bruce H. Johnsonbaugh, San Francisco, Cal., C. John Bernt, San Rafael, Cal., for plaintiff-appellant.

Scott P. Crampton, Asst. Atty. Gen., Meyer Rothwacks, William S. Estabrook (argued), Tax Div. Dept. of Justice, Washington, D. C., James L. Browning, Jr., U. S. Atty., San Francisco, Cal., for defendant-appellee.

Before MERRILL, KOELSCH and SNEED, Circuit Judges.

OPINION

MERRILL, Circuit Judge:

This case has to do with the Ocean Shore Railroad, a project of high promise to residents of the San Francisco Bay Area in the early years of the century. Since 1920 appellant corporation (taxpayer) has been engaged in dissolution and liquidation of assets in connection with which a dispute respecting income tax has reached us.

In 1905 a corporation was organized to construct and operate a railroad between San Francisco...

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