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COADY v. C.I.R.

No. 98-71358

213 F.3d 1187 (2000)

Franklin P. COADY; Nona Coady, Petitioners-Appellants, v. COMMISSIONER OF INTERNAL REVENUE, Respondent-Appellee.

United States Court of Appeals, Ninth Circuit.

Filed June 14, 2000

Attorney(s) appearing for the Case

Lance Hulbert, Bothell, Washington, for the petitioners-appellants.

David English Carmack, Karen D. Utiger (signed the brief), and Kenneth W. Rosenberg (argued), United States Department of Justice, Washington, D.C., for the respondent-appellee.

Before: LEAVY, RYMER, and T. G. NELSON, Circuit Judges.

RYMER, Circuit Judge:

The issue before us is whether Franklin and Nona Coady were entitled to exclude from their 1994 gross income $168,217 for costs and contingent legal fees incurred in securing Nona Coady's judgment for lost wages and benefits arising out of her wrongful termination. We conclude that they were not, and affirm.

I

In May 1990, Nona Coady was discharged from her position as Senior Loan Officer at Alaska Housing Finance Corporation...

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