Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-3_08-cv-04371/USCOURTS-cand-3_08-cv-04371-42/pdf.json

Nature of Suit Code: 870
Nature of Suit: Tax Suits
Cause of Action: 28:1340 IRS: Custom Duties

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[proposed] Order To Appear or Plead

C-08-04371-MMC 1

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UNITED STATES DISTRICT COURT 

NORTHERN DISTRICT OF CALIFORNIA

SAN FRANCISCO DIVISION

UNITED STATES OF AMERICA, 

Plaintiff,

v.

DOUGLAS R. CARAWAY; FREMONT 

BANK; STATE OF CALIFORNIA 

FRANCHISE TAX BOARD; STATE OF 

CALIFORNIA EMPLOYMENT 

DEVELOPMENT DEPARTMENT; SAN 

JOAQUIN COUNTY DISTRICT 

ATTORNEY’S OFFICE, FAMILY SUPPORT 

DIVISION; CHESTER J. GILBERT; 

COLLECTRONICS, INC.; JOHN EGGLI; 

COLLECTION BUREAU OF CALIFORNIA; 

AMANDA AND FRED HUMMEL; STEPHEN 

CARAWAY; FLORENCE LINOR REGE; C. 

THOMAS BISCARDI, ESTATE OF LORRAINE 

K. CARAWAY, and PATRICK R. GILES, 

 Defendants.

Case No. C-08-04371-MMC

[PROPOSED] ORDER TO APPEAR OR 

PLEAD 

The United States of America, through undersigned counsel, has moved for an order under 28 

U.S.C. § 1655 compelling the Estate of Lorraine Caraway, and/or any heirs, legatees, devisees or any 

person or entity claiming an interest through Lorraine Caraway or her Estate, to appear or plead by a day 

certain and for leave to serve that order by publication. 

GRANTING UNITED STATES' MOTION TO SERVE ESTATE BY

PUBLICATION; DIRECTIONS TO PARTIES

Case 3:08-cv-04371-MMC Document 211 Filed 11/01/16 Page 1 of 3
[proposed] Order To Appear or Plead

C-08-04371-MMC 2

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BACKGROUND

On September 17, 2008, the United States brought this action to foreclose federal tax liens 

against a parcel of real property ("subject property") located in Santa Clara County, California. The 

United States sought to foreclose the tax liens and sell the subject property to satisfy, in part, unpaid 

federal income tax assessments against Defendant Douglas Caraway. Defendant Douglas Caraway 

conveyed a 17% interest in the subject property to Lorraine Caraway prior to her death in 2002. 

Pursuant to 26 U.S.C. § 7403(b), all parties who may claim an interest in the subject property are 

to be named as a party to the action. The United States failed to name Lorraine Caraway or her estate as 

a party to this action. Subsequently, the IRS attempted to sell the property at auction pursuant to the 

Second Amended Judgment and Decree of Sale, however, the purchaser was unable to obtain title 

insurance because of the 17% interest of Lorraine Caraway. See Declaration of Kathryn Clark, ECF 

179-1. 

Defendant, Douglas Caraway, filed a Motion for Relief from Order, filed August 12, 2016, 

which came before the court for hearing on September 23, 2016. After hearing argument, the Court 

entered an Order on September 23, 2016, ordering the United States to file an amended Complaint 

adding the Estate of Lorraine Caraway as a party to this action, and to either serve the Estate of Lorraine 

Caraway or to request service by publication pursuant to 28 U.S.C. § 1655, accompanied by an affidavit 

in support thereof, and a proposed order. 

The United States has filed a First Amended Complaint adding the Estate of Lorraine Caraway 

as a defendant. Because Lorraine Caraway died in Sparks, Nevada, Washoe County, the IRS assigned 

Revenue Officer Robert C. Kalman in Reno, Nevada, to research county records to determine if the 

Estate of Lorraine Caraway was probated since her death in 2002. See ECF 190-1, Lorraine Caraway’s 

death certificate. Revenue Officer Kalman researched records in Washoe County and determined that 

no probate had been opened for Lorraine Caraway’s estate. The United States submitted Revenue 

Officer Kalman’s Declaration in support of its Motion for Leave to Serve the Estate of Lorraine 

Caraway by Publication. 

San Mateo ^

The United States submitted a declaration indicating that defendant

^

See Declaration of Kathryn Clark, ECF 179-1. and a Second Amended Complaint adding the unknown heirs of Lorraine Caraway as defendants ^

was asked ^

, setting forth the above facts as to his investigation. ^

^

Case 3:08-cv-04371-MMC Document 211 Filed 11/01/16 Page 2 of 3
[proposed] Order To Appear or Plead

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Before the Court is the United States’ Motion for Leave to Serve the Estate of Lorraine Caraway 

by Publication. For good cause shown, it is hereby ORDERED that:

1. The United States’ Motion is GRANTED; 

2. The Estate of Lorraine Caraway and/or any heir, devisee, legatee or any person or entity 

claiming an interest through the Estate of Lorraine Caraway, to appear or plead in this matter 

not later than eight weeks from the date of entry of this Order;

3. Notice of this Order shall by published in an approved newspaper for Washoe County, 

Nevada, the residence of Lorraine Caraway at her date of death, and Santa Clara County, 

California, the location of the subject property, and shall appear in those newspapers not less 

than once per week for a period of not less than six consecutive weeks;

4. The United States shall file with the Court a certification of publication upon completion of 

the requirements of paragraph 3, above.

SO ORDERED this _____ day of ________, 2016. 

_____________________________

MAXINE M. CHESNEY

United States District Judge

shall ^

be ^ San Mateo ^

, the first such publication appearing no later than one week from the date of entry of this Order;

1 November ^

Case 3:08-cv-04371-MMC Document 211 Filed 11/01/16 Page 3 of 3