First Blood Associates, Richard M. Greenberg, Tax Matters Partner, et al. - Page 15

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          was necessary to effect a settlement of a partner's various                 
               Although there may have been a general understanding of the            
          terms of the settlement, to effectuate the settlement it was                
          understood that the partner would execute either a Form 870 or a            
          closing agreement.  Mr. Redding testified that he had been in               
          contact with both Mr. Long and Mr. Faber concerning the                     
          settlement of these cases during this period.  Mr. Redding, with            
          his experience in TEFRA proceedings, surely was aware of the                
          circumstances, and we find it improbable that, given the                    
          complexity of the settlement, at some time, there had not been              
          some discussion on how the settlements were to be consummated.              
          While as a general rule neither document may be required to                 
          settle pecuniary items, all parties understood that one or the              
          other was necessary to give effect to the settlement of the                 
          instant cases.                                                              
               In sum, the Goodwins may have attempted to settle their                
          cases.  It is clear, however, that all the parties directly                 
          connected with the settlement negotiations understood that to               
          effectuate the settlement either a closing agreement or a Form              
          870 had to be executed.  It is also clear that the Goodwins never           

                    Whether this opinion was correct or not is beside the             

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