Sheldon R. and Phyllis Milenbach, et al. - Page 12

                                       -12--12-                                          
               At some time before April 1988, the Raiders completed an               
          82-page damage study that alleged total losses of $25,083,146.99            
          as a result of the Oakland suit.  This study indicates that the             
          Raiders suffered the following damages:  (1) Lost Olympic                   
          committee contract revenue; (2) lost attendance income; (3) lost            
          food and beverage income; (4) lost merchandise income; (5) lost             
          game program income; (6) lost Oakland practice field revenue;               
          (7) lost suite income; (8) lost radio income; (9) lost per diem;            
          (10) lost Santa Rosa air travel revenue; and (11) lost Oakland              
          office rent.                                                                
               On May 6, 1987, the notice of claim in the eminent domain              
          action and the complaint in inverse condemnation were                       
          consolidated.  On November 10, 1988, the Raiders and Oakland                
          settled the lawsuit.  The settlement provided for $4 million plus           
          interest to be paid in $1-million (plus interest) installments              
          over 4 years.  The settlement agreement recited that the                    
          agreement was entered into by the parties for the “purpose of               
          settling disputed claims involving the restoration of lost                  
          franchise value and does not constitute an admission of liability           
          of any party.”                                                              
               In the FPAA’s for 1988 and 1989, respondent determined that            
          $600,000 ($1 million less $400,000 attorney's fees) in each year            
          constituted taxable income.                                                 








Page:  Previous  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  21  Next

Last modified: May 25, 2011