Tate & Lyle, Inc. and Subsidiaries - Page 10

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               Respondent counters that petitioner will not be prejudiced             
          by the granting of her motions on the ground that petitioner was            
          aware of respondent's intention to seek leave to raise the issue            
          at the time the parties filed their last Joint Motion for                   
          Continuance in both dockets.  Respondent also maintains that,               
          because neither case is presently calendared for trial,                     


          6(...continued)                                                             
                    THE COURT:  Given that difference, why should the                 
               Court not permit an amendment in * * * [docket No.                     
               16170-94]?                                                             
                    MR. MILLER:  I view the settlement process as sort                
               of like playing cards.  You are turning one card over                  
               at a time.  You are trying to find what is important to                
               the other side, what they have flexibility on, what the                
               IRS national office is controlling that you know you                   
               can't do anything with, and it is sort of a process of                 
               feeling out while not showing all of your cards.                       
                    The prejudice in * * * [docket No. 26352-93] is                   
               that we put out all of our cards.  I thought the game                  
               was over, and suddenly the government pulled an ace                    
               from their pocket.  * * * [In docket No. 16170-94] we                  
               have shown some of our cards.  Once you have shown                     
               them, you can't ever put them back in your pocket.  So                 
               the prejudice really is that we have begun the                         
               negotiations and we have conceded certain things going                 
               towards settling all the issues.                                       
                    As I say, Your Honor, I think the prejudice is a                  
               lot less in that.  I am not as troubled by the                         
               government being able to raise the issue in the latter                 
               docket as I would be troubled if the Court allows the                  
               government to raise it in the earlier docket.  The                     
               taxpayer paid for that certainty in the earlier docket.                
               They gave up a number of issues and hundreds of                        
               thousands of dollars in order to get that settlement.                  
               *       *       *       *       *       *       *                      




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