James R. and Susan B. Brickman - Page 3

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          partnership was community property of petitioners.  In 1992, the            
          partnership terminated.                                                     
               The Second Amended and Completely Restated Certificate and             
          Agreement of Limited Partnership (the partnership agreement)                
          stated that each partner shall make, and be personally liable to            
          make, additional capital contributions equal to any pro rata                
          share of any debt service installment.  James never made any                
          capital contributions to the partnership to allow the partnership           
          to pay its debt.                                                            
               On May 8, 1985, the partnership entered into a recourse all-           
          inclusive promissory note (the note) with Sunbelt Service Corp.             
          (the bank) in the amount of $12,500,000.  Additionally, James and           
          two other partners in the partnership signed a personal guaranty            
          agreement (the guaranty) for the bank.  The guaranty made James             
          and the other two partners personally and jointly liable on the             
          note.  Petitioner Susan B. Brickman (Susan) did not sign the                
          guaranty.                                                                   
               The partnership, with the proceeds from the note, purchased            
          real property in Flower Mound, Texas.  Initially, the partnership           
          received approximately $9,900,000 in funding on the note.  In               
          August 1987, the bank stopped funding the note because of                   
          government intervention into the bank's affairs.  At this time,             
          the project was 75 percent complete.  After funding was cut off             
          by the bank, the partnership did not have the money needed to               





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