Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_14-cv-00993/USCOURTS-caed-2_14-cv-00993-5/pdf.json

Nature of Suit Code: 870
Nature of Suit: Tax Suits
Cause of Action: 26:7403 Suit to Enforce Federal Tax Lien

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14332054.1 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

UNITED STATES OF AMERICA, 

Plaintiff, 

v. 

JAMES P. DEFAZIO, et al., 

Defendants. 

Case No. 2:14-cv-993-JAM-KJN 

ORDER GRANTING MOTION FOR 

SUMMARY JUDGMENT 

The United States filed a motion for summary judgment (ECF 32-37) against 

defendant James P. Defazio (“Mr. DeFazio”) seeking to reduce 14 years of tax liabilities 

to judgment and to enforce tax liens against Mr. DeFazio’s residence. Mr. DeFazio 

opposed the motion (ECF 40) and filed a counter motion for summary judgment (ECF 

44) seeking a ruling that the first four years of tax liabilities were barred by the applicable 

statute of limitations. The Court continued the initial hearing so that the United States 

could respond to the counter-motion. 

The DeFazio residence is located at 349 Wyndgate Road, Sacramento, 

California, 95864, in the County of Sacramento, State of California (the “Property”). The 

legal description of the Property is contained in the deed attached to the complaint filed 

in this case. 

On August 23, 2016, at 1:30 p.m., the Court, the Honorable James A. Mendez 

presiding, heard the two motions argued. G. Patrick Jennings appeared for the United 

States and Spencer Malysiak appeared for Mr. DeFazio. After hearing the argument and 

Case 2:14-cv-00993-JAM-KJN Document 56 Filed 09/20/16 Page 1 of 3
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considering the papers filed, and for the reasons stated upon the record at the hearing, a 

copy of which is attached hereto, and for good cause shown, 

IT IS ORDERED THAT the motion of the United States is granted; 

IT IS FURTHER ORDERED THAT the counter-motion of James P. DeFazio is denied. 

IT IS FURTHER ORDERED THAT the United States is entitled to foreclose its liens 

against the Property which will be sold pursuant to further order of this Court. The 

United States is directed to file a motion for order of sale proposing terms and 

conditions, and the defendants may oppose this motion, and the Court will determine the 

terms and conditions of the sale. The sale will be free and clear of all interests asserted 

by the defendants in this case, with the liens to follow the sale proceeds. 

IT IS FURTHER ORDERED THAT the Clerk is directed to enter a separate final 

judgment against Mr. DeFazio as set forth below: 

JUDGMENT 

1. James P. DeFazio is indebted to the United States in the amount of $249,123.58 for 

unpaid federal individual income tax (Form 1040) for the taxable years ending 

December 31, 1999, through and including December 31, 2012, plus interest 

according to 28 U.S.C. § 1961(c) and 26 U.S.C. §§ 6601, 6621(a)(2), from June 30, 

2016, until the judgment is paid. 

2. The DeFazio residence is located at 349 Wyndgate Road, Sacramento, California, 

95864, in the County of Sacramento, State of California (the “Property”). In 

accordance with the disclaimer of interest (ECF 5) filed by defendant Kathleen Ellis, 

the former spouse of Mr. DeFazio, Ms. Ellis is determined to have no interest in the 

Property. 

3. In accordance with the disclaimer of interest (ECF 6) filed by defendant William 

DeFazio Inc. Profit Sharing Plan and Money Purchase Pension Plan Dated 

9/14/1981, said plan is determined to have no interest in the Property. 

4. In accordance with the stipulation and order filed at ECF 10, the sale proceeds from 

the sale of the Property will be distributed to the State of California and the County of 

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Sacramento, in accordance with the priority set forth therein. 

5. In accordance with the stipulation and order filed at ECF 23, the sale proceeds from 

the sale of the Property will be distributed to defendants CITIBANK, N.A., and BANK 

OF AMERICA, N.A. in accordance with the priority set forth therein. 

6. The United States is entitled to foreclose its liens against the Property under 26 

U.S.C. § 7403, which will be sold pursuant to further order of this Court and upon the 

terms and conditions set by the Court. 

END OF JUDGMENT

IT IS SO ORDERED. 

Dated: 9/20/2016 /s/ John A. Mendez____________ 

 JOHN A. MENDEZ 

 United States District Court Judge 

Approved as to form: 

/s Spencer Malysiak 

Spencer Malysiak 

Attorney for James DeFazio 

/s Stuart Smits 

Stuart Smits 

Attorney for James DeFazio 

/s G. Patrick Jennings 

G. Patrick Jennings 

Trial Attorney, 

U.S. Department of Justice 

Case 2:14-cv-00993-JAM-KJN Document 56 Filed 09/20/16 Page 3 of 3