Estate of James G. Frazier - Page 5




                                        - 5 -                                          

          Parties' Arguments                                                           
               In the statutory notice of deficiency, respondent determined            
          that the trade fixtures were includable in decedent's gross                  
          estate.  On brief, respondent argues that FNF failed to remove               
          its trade fixtures during the "continuance of * * * [its] term"              
          as required by section 1019 of the California Civil Code;                    
          therefore, the trade fixtures belonged to decedent at the time of            
          his death and are includable in his gross estate.                            
               Petitioner argues that FNF's right to remove its trade                  
          fixtures continued after decedent's death; therefore, decedent               
          held no interest in the trade fixtures at death, and they are not            
          includable in decedent's gross estate.                                       
          Time for Removal                                                             
               When FNF initially took possession of the land, it did so               
          under a written lease with decedent.  The term of the lease was              
          for 10 years with two options to renew for 10 years each.                    
               Upon the lease's expiration on December 31, 1992, FNF                   
          retained its possession of the leased tract and continued to use             
          the trade fixtures it had placed thereon.  This holdover tenancy             
          was a tenancy at will in accordance with the original lease's                
          holdover provision.  See Hull v. Laugharn, 3 Cal. App. 2d 310,               
          314 (1934); see also Spaulding v. Yovino-Young, 30 Cal. 2d 138,              
          141 (1947); Psihozios v. Humberg, 80 Cal. App. 2d 215, 220                   







Page:  Previous  1  2  3  4  5  6  7  8  9  Next

Last modified: May 25, 2011