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court's judgment. The Chancery Court's Judgment for Divorce,
entered April 24, 1989, recited that, based upon the court's
observations and the parties' testimony, the settlement agreement
had been voluntarily and knowingly entered into by the parties
with able assistance of counsel. The judgment also stated that
the settlement agreement had become binding as a contract and as
the court's judgment.
Although Alice Berger received various benefits under the
settlement agreement, she did not sign the joint 1988 Federal
income tax return prepared for Howard Berger until, subsequent to
his application, the Chancery Court ordered her, on October 4,
1989, to show cause why an order should not be entered directing
her to sign it. On October 12, 1989, she appeared with her
counsel before the Chancery Court and tried but was not able to
persuade the Chancery Court that she should not have to sign the
return. Then, in the belief that the Chancery Court had ordered
her to sign the return, she signed it at the courthouse.
However, she attached to the return a statement that she was
signing a return that she believed to be incorrect and that she
intended to seek relief under Furnish v. Commissioner, 262 F.2d
727, 733 (9th Cir. 1958), affg. in part and remanding in part on
this issue Funk v. Commissioner, 29 T.C. 279 (1957), and under
Brown v. Commissioner, 51 T.C. 116 (1968). She now argues that
the return is not a valid joint return because she signed it
under duress.
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