Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-5_03-cv-04518/USCOURTS-cand-5_03-cv-04518-3/pdf.json

Nature of Suit Code: 870
Nature of Suit: Tax Suits
Cause of Action: 26:6532 IRS: Refund of Tax Penalty

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Stipulated Request and Order

to Remove Case from ADR Program

Case No. C-03-4518 JW RS 1

KEVIN V. RYAN (CSBN 118321)

United States Attorney

JAY R. WEILL (CSBN 75434)

Assistant United States Attorney

Chief, Tax Division

CYNTHIA STIER

Assistant United States Attorney

 450 Golden Gate Avenue, Box 36055

 San Francisco, California 94102

 Telephone: (415) 436-7000

 Facsimile: (415) 436-6748

W. CARL HANKLA (D.C. Bar No. 411665)

JOSEPH A. SERGI

GOUD P. MARAGANI

JUSTIN S. KIM

Trial Attorneys, Tax Division

U.S. Department of Justice

 P.O. Box 683, Washington, D.C. 20044

 Telephone: (202) 307-6448

 Facsimile : (202) 307-0054

 E-mail: w.carl.hankla@usdoj.gov

Attorneys for Defendant and Plaintiff on 

Counterclaim United States of America

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF CALIFORNIA

SAN JOSE DIVISION

NEAL M. DOUGLAS and CHRISTINE R. )

DOUGLAS, )

) Case No. C-03-4518 JW RS

Plaintiffs, )

)

v. )

)

UNITED STATES OF AMERICA, )

)

Defendant and )

Plaintiff on Counterclaim, ) STIPULATED REQUEST

v. ) AND [Proposed] ORDER 

) TO REMOVE CASE FROM

) ADR PROGRAM

NEAL M. DOUGLAS and CHRISTINE R. )

DOUGLAS, )

)

Defendants on )

Counterclaim. )

 )

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF CALIFORN

I

A

IT IS SO ORDERED

Judge James Ware

Case 5:03-cv-04518-JW Document 64 Filed 05/25/06 Page 1 of 3
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Stipulated Request and Order

to Remove Case from ADR Program

Case No. C-03-4518 JW RS 2

IT IS HEREBY STIPULATED AND AGREED:

1. In light of the United States' pending Motion for Stay of Depositions, Trial, and

Other Activity (Except Document Discovery) Pending Completion of Stein Criminal Tax Shelter

Case in S.D.N.Y., which is set for hearing on Monday, June 12, 2006, the mediation session

scheduled for June 13, 2006 before Aaron Greenberg should be cancelled, and no mediation

statements need be prepared and served.

2. Having conferred with each other and the mediator, the parties believe that this

case is not appropriate for future mediation or other alternative dispute resolution procedures.

Legal precedent is needed with respect to issues such as the validity of the CARDS tax shelter for

federal tax purposes. Further, given the nature of this case and the amount of money involved

(the plaintiff seeks a refund of over $14 million, and the government has counterclaimed for a

$5.7 million penalty plus interest), any settlement would have to be considered and approved by

senior government officials within the Justice Department and the Internal Revenue Service, and

possibly by the Joint Committee on Taxation.

3. Accordingly, this case should be removed from the Court's Alternative Dispute

Resolution Program and Aaron Greenberg should be discharged from further duties as mediator

in this case.

McDERMOTT, WILL & EMERY LLP

Dated: May 23, 2006 /s/ Mark H. Churchill

CHRISTOPHER KLIEFOTH

MARK H. CHURCHILL

600 13 Street, N.W. th

Washington, D.C. 20005-3096

Telephone: 202.756.8000

Facsimile: 202.756.8087

Ckliefoth@mwe.com

Mchurchill@mwe.com

Attorneys for NEAL M. DOUGLAS AND

CHRISTINE R. DOUGLAS

Case 5:03-cv-04518-JW Document 64 Filed 05/25/06 Page 2 of 3
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Stipulated Request and Order

to Remove Case from ADR Program

Case No. C-03-4518 JW RS 3

KEVIN V. RYAN

United States Attorney

JAY R. WEILL

Assistant U.S. Attorney, Chief, Tax Division

CYNTHIA STIER

Assistant U.S. Attorney

Dated: May 23, 2006 /s/ W. Carl Hankla

W. CARL HANKLA

JOSEPH A. SERGI

GOUD P. MARAGANI

JUSTIN S. KIM

Trial Attorneys, Tax Division

U.S. Department of Justice

P.O. Box 683, Ben Franklin Station

Washington, D.C. 20044

 Telephone: (202) 307-6448

 Facsimile : (202) 307-0054

w.carl.hankla@usdoj.gov;

Attorneys for Defendant and Plaintiff on

Counterclaim UNITED STATES OF

AMERICA

ORDER

Pursuant to the Stipulation of the parties as set forth above, and for good cause shown,

IT IS HEREBY ORDERED that (1) the mediation session scheduled for June 13, 2006

before Aaron Greenberg should be cancelled, and no mediation statements need be prepared and

served; and (2) this case should be removed from the Court's Alternative Dispute Resolution

Program and Aaron Greenberg should be discharged from further duties as mediator in this case.

Dated:

THE HONORABLE JAMES WARE

United States District Judge

05/25/06

Case 5:03-cv-04518-JW Document 64 Filed 05/25/06 Page 3 of 3