Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-4_05-cv-01056/USCOURTS-cand-4_05-cv-01056-11/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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STIPULATION TO EXTEND 

DISCOVERY & TRIAL DATES

LGI LLP

BRADLEY A. PATTERSON, Esq. (State Bar No. 155482)

18101 Von Karman Ave., Ste. 330

Irvine CA 92612

Telephone: (949) 253-0500

Facsimile: (949) 253-0505

Attorney for Plaintiffs

JOSEPH P. RUSSONIELLO (CSBN 44332)

United States Attorney

THOMAS MOORE (ASBN 4305-T780)

Assistant United States Attorney

Chief, Tax Division

CYNTHIA STIER (DCBN 423256)

Assistant United States Attorney

9th Floor Federal Building

450 Golden Gate Avenue, Box 36055

San Francisco, California 94102

Telephone: (415) 436-7017

Facsimile: (415) 436-6748

ROBERT J. HIGGINS (DCBN 242966)

Trial Attorney, U.S. Department of Justice

BART D. JEFFRESS (CT Juris No. 419184)

Trial Attorney, U.S. Department of Justice

555 4th St., N.W., Room 8816

Washington, D.C. 20001

Telephone: (202) 307-6580

Facsimile: (202) 514-9440

Email: robert.j.higgins@usdoj.gov

Attorneys for Defendant United States of America

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF CALIFORNIA, OAKLAND DIVISION

AWS MANAGEMENT, LLC, by and

through MARY CHANDLER PETTY, a

Partner Other than the Tax Matters

Partner,

Plaintiff,

v.

UNITED STATES OF AMERICA, by and

through its Agent, the INTERNAL

REVENUE SERVICE,

Defendant.

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Case No. 05-1056 CW

Consolidated with Case No. 05-1058 CW

SIXTH STIPULATION AND ORDER TO

EXTEND DISCOVERY SCHEDULE,

SETTLEMENT CONFERENCE, AND

TRIAL DATE

 

 

Case 4:05-cv-01056-CW Document 65 Filed 05/27/10 Page 1 of 7
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STIPULATION TO EXTEND 

- 2 - DISCOVERY & TRIAL DATES

AWS ACQUISITIONS, LLC, by and

through MARY CHANDLER PETTY, a

Partner Other than the Tax Matters

Partner,

Plaintiff,

v.

UNITED STATES OF AMERICA, by and

through its Agent, the INTERNAL

REVENUE SERVICE,

Defendant. __________________________________

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This stipulation is entered into by and between the plaintiffs and the defendant

and is based on the following facts:

1. Plaintiffs submitted their first written settlement offer to defendant offering

to settle all issues in this action on August 2, 2006. The Department of Justice, in

concert with the Internal Revenue Service, evaluated that settlement offer under its

normal procedures. A revised offer was submitted on May 19, 2010.

2. On February 2, 2009, the parties filed a stipulation (Document 49): 

(I) notifying this Court that the parties were continuing to work towards settlement; and

(ii) requesting that this Court continue discovery and trial deadlines to avoid the

substantial expenditure of resources and effort attendant to defendant’s intended course

of discovery and to allow time for the Department of Justice to complete its evaluation of

plaintiffs’ offer and to finalize any settlement.

3. On February 4, 2009, this Court issued an order (Document 50) approving

the stipulation to continue discovery and trial deadlines, and set the following revised

calendar in this action:

Completion of Fact Discovery: June 15, 2009

Mandatory Settlement Conference on: July 17, 2009

Completion of Expert Discovery: October 16, 2009

Case-dispositive motions to be heard at 2:00 P.M. on: December 17, 2009

The pre-trial exchange between the parties will occur by: March 17, 2010

Case 4:05-cv-01056-CW Document 65 Filed 05/27/10 Page 2 of 7
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STIPULATION TO EXTEND 

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A pre-trial conference will be held on: April 20, 2010

A four-day Court Trial will begin at 8:30 A.M. on: May 10, 2010

4. Notice from the Court’s Clerk (Document 51) set the Mandatory

Settlement Conference on June 23, 2009;

5. On June 4, 2009, the parties filed a stipulation (Document 52): 

(I) notifying this Court that the parties were continuing to work towards settlement; and

(ii) requesting that this Court continue discovery and trial deadlines to avoid the

substantial expenditure of resources and effort attendant to defendant’s intended course

of discovery and to allow time for the Department of Justice to complete its evaluation of

plaintiffs’ offer and to finalize any settlement.

6. On June 10, 2009, this Court issued an order (Document 53) approving 

the stipulation to continue discovery and trial deadlines, and set the following revised

calendar in this action:

Completion of Fact Discovery: on or before October 15, 2009

Mandatory Settlement Conference no later than: November 17, 2009

Completion of Expert Discovery: on or before February 16, 2010

Case-dispositive motions and a further case management conference:

2:00 P.M. on April 8, 2010

The pre-trial exchange between the parties: pursuant to Court’s Order for

Pretrial Preparation

A pre-trial conference on: October 26, 2010 at 2:00 P.M.

A four-day Court Trial beginning at 8:30 A.M. on: November 15, 2010

7. Following the request of the parties (Document 55), the Court entered an

Order (Document 56) re-assigning this case to a Magistrate Judge. On July 15, 2009,

the case was so re-assigned, and, on July 16, 2009, Chief United States Magistrate

Judge Maria-Elena James entered an Order (Document 57) scheduling a settlement

conference for October 5, 2009, at 2:00 p.m. in Magistrate James’ chambers.

8. On September 17, 2009, the parties filed a stipulation (Document 58): 

Case 4:05-cv-01056-CW Document 65 Filed 05/27/10 Page 3 of 7
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STIPULATION TO EXTEND 

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(i) notifying this Court that the parties were continuing to work towards settlement; and

(ii) requesting that this Court continue discovery and trial deadlines to allow the parties

to work towards finalizing a settlement without simultaneously preparing for trial.

9. On September 18, 2009, this Court issued an order (Document 59) 

approving the stipulation to continue discovery and trial deadlines, and set the following

revised calendar in this action:

Completion of Fact Discovery: on or before February 15, 2010

Mandatory Settlement Conference no later than: March 17, 2010

Completion of Expert Discovery: on or before June 16, 2010

Case-dispositive motions and a further case management conference:

2:00 P.M. on August 12, 2010

The pre-trial exchange between the parties: pursuant to Court’s Order for

Pretrial Preparation

A pre-trial conference on: February 22, 2011 at 2:00 P.M.

A four-day Court Trial beginning at 8:30 A.M. on: March 14, 2011

10. On September 25, 2009, the parties filed a stipulation (Document 60), 

notifying the Court that the settlement conference scheduled for October 5, 2009, had

been rescheduled for March 2, 2010.

11. On January 26, 2010, the parties filed a stipulation (Document 61): 

(i) notifying this Court that the parties were continuing to work towards settlement; and

(ii) requesting that this Court continue discovery and trial deadlines to allow the parties

to work towards finalizing a settlement without simultaneously preparing for trial.

12. On February 1, 2010, this Court issued an order (Document 62) approving 

the stipulation to continue discovery and trial deadlines, and set the following revised

calendar in this action:

Completion of Fact Discovery: on or before June 15, 2010

Mandatory Settlement Conference no later than: July 19, 2010

Completion of Expert Discovery: on or before October 18, 2010

Case 4:05-cv-01056-CW Document 65 Filed 05/27/10 Page 4 of 7
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STIPULATION TO EXTEND 

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Case-dispositive motions and a further case management conference:

2:00 P.M. on December 16, 2010

The pre-trial exchange between the parties: pursuant to Court’s Order for Pretrial

Preparation

A pre-trial conference on: June 28, 2011, at 2:00 P.M.

A four-day Court Trial beginning at 8:30 A.M. on: July 18, 2011

13. On February 4, 2010, the parties filed a stipulation (Document 63), 

notifying the Court that the settlement conference scheduled for March 2, 2010, had

been rescheduled for July 9, 2010.

14. Since the Court ordered the last extension of deadlines, plaintiffs filed with 

the Internal Revenue Service all of the back tax returns that would be affected if their

settlement offer were accepted.

After defendant had an opportunity to review the returns and the recalculations of

tax liability that form the bases for plaintiffs’ settlement offer, the parties scheduled and

participated in a telephonic conference on April 30, 2010, addressing the offer and the

necessary remaining steps for completing any settlement. Participating on the call were

plaintiffs’ attorney, plaintiffs’ accountant, defendant’s lead attorney, and an attorney from

the IRS.

As a result of the conference, plaintiffs revised their settlement offer and

submitted the revised offer to settle all issues in these consolidated cases to the

Department of Justice on May 19, 2010.

15. The parties continue to believe that settlement is likely and are working 

diligently towards a final action by the Department of Justice on plaintiffs’ revised offer

to settle all issues in this case. Settlement efforts are continuing and there has been no

breakdown of communications and no impasse has arisen.

16. The parties appreciate the Court’s patience as the parties work to finalize 

the settlement. The parties believe that requiring the parties to prepare for settlement

conferences or trial would be counterproductive to reaching a settlement in this action.

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STIPULATION TO EXTEND 

- 6 - DISCOVERY & TRIAL DATES

17. Based on the facts presented, the plaintiffs and the defendant request an

extension of an additional four months for each of the existing deadlines. 

Respectfully Submitted,

FOR THE PLAINTIFFS

LGI LLP

 Bradley A. Patterson, Esq.

Date: May 21, 2010 By s/Bradley A. Patterson

 Bradley A. Patterson

Attorney for Plaintiffs

FOR THE UNITED STATES

UNITED STATES ATTORNEY

 Joseph P. Russoniello , Esq.

 Thomas Moore, Esq.

 Cynthia Stier, Esq.

 Robert J. Higgins, Esq.

 Bart D. Jeffress, Esq.

Date: May 21, 2010 By s/Robert J. Higgins

 Robert J. Higgins

Attorneys for Defendant

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STIPULATION TO EXTEND 

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ORDER

Based on the facts and stipulation set forth above, 

IT IS ORDERED:

1. Fact Discovery shall be completed on or before: October 15, 2010;

2. A Mandatory Settlement Conference shall be conducted before Magistrate

Judge Maria-Elena James no later than November 19, 2010, at the convenience of

Magistrate James’ calendar;

3. Expert Discovery shall be completed on or before: February 18, 2011;

4. All case-dispositive motions and a further case management conference

shall be heard at 2:00 P.M. on April 14, 2011;

5. The pre-trial exchange between the parties shall occur in accordance with

the Court’s Order for Pretrial Preparation.

6. A pre-trial conference will be held on: November 1, 2011, at 2:00 P.M.;

and

7. A four-day Court Trial will begin at 8:30 A.M. on: November 14, 2011.

Date: May 27, 2010 

The Honorable Claudia Wilken

United States District Court Judge

Case 4:05-cv-01056-CW Document 65 Filed 05/27/10 Page 7 of 7