- 7 - In 1988, Michelle and her husband were having marital difficulties. In order to avoid a claim by Michelle's husband to the shares of Beck's Liquors stock titled in Michelle's name, title to the shares was transferred to Michael for $1. The corporate minutes specify that the corporation would issue 30,000 new shares of stock to Michelle after Mr. and Mrs. Beck had died. Although the stock of Beck's Liquors was originally titled in Mrs. Beck's name and then transferred to the children, the Becks did not intend for the children to have any control over the stock, the corporation, or the business until after their deaths. Michael and Michelle were never told that they held title to any shares of Beck's Liquors stock. The corporate minutes specify that Mr. and Mrs. Beck would operate the business during their lifetime. B. Purchases of Condominiums In 1987 or 1988, Beck's Liquors paid $60,000 in cash for a condominium. The condominium was titled in the name of the corporation, but Mr. and Mrs. Beck lived in the condominium. In 1988, Beck's Liquors also purchased a condominium for Michael. Michael paid the condominium fees and utilities, and Beck's Liquors paid the real estate taxes. On June 16, 1991, Mr. and Mrs. Beck were in an automobile accident. Mrs. Beck was killed instantly.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011