Estate of Golda E. Rixon Kokernot, Deceased, Mary Ann K. Lacy, Executrix - Page 9

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          fair market value of the Ranch was finally determined.  Executrix           
          could have pleaded special use valuation as an alternative                  
          position in this case.  For reasons unknown to the Court, she did           
          not do so.                                                                  
               In short, the settlement agreement shows that the parties              
          agreed on the “value” of the ranch, and we believe that                     
          respondent was entitled to infer that “value” in this context               
          meant value for estate tax purposes.  We have no doubt that                 
          respondent entered into the stipulation on that assumption,                 
          thereby forgoing the higher “value” asserted in the deficiency              
          notice.  Executrix would have us hold that the “value” ought to             
          be lower than in the stipulation due to the application of a                
          special form of valuation that is not mentioned in the pleadings,           
          in the stipulation, or in the negotiations leading to the                   
          stipulation.  We refuse to do so.  The parties struck a bargain             
          in the stipulation, and Executrix must live with the benefits and           
          burdens of it.  Each party bore the responsibility to negotiate a           
          written settlement that accurately reflected that party’s                   
          position.  In agreeing to the written settlement here, Executrix            
          failed to preserve her claim to special use valuation under                 
          section 2032A.                                                              

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