Estate of H.A. True, Jr. - Page 3




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          OPINION ........................... 59                                      
               I.  Do Family Buy-Sell Agreements Control                              
                    Estate Tax Value? ............... 59                              
                  A. Framework for Analyzing Estate Tax Valuation                     
                          Issues ................... 59                               
                  B. Development of Legal Standards ........ 61                       
                    1. Case Law Preceding Issuance of Regulations . 62                
                    2. Regulatory Authority and Interpretive                          
                              Rulings ................. 67                            
                    3. Case Law Following Issuance of Regulations                     
                          and Revenue Ruling 59-60 ........ 70                        
                          a. Was Agreement Entered Into for Bona Fide                 
                                Business Reasons? .......... 71                       
                          b. Was Agreement a Substitute for                           
                                Testamentary Dispositions? ...... 72                  
                              1. Testamentary Purpose Test ...... 73                  
                              2. Adequacy of Consideration Test .... 74               
                    4. Statutory Changes ............. 79                             
               II. Do 1971 and 1973 Gift Tax Cases Have Preclusive                    
                    Effect? ..................... 81                                  
                    A. Petitioners’ Collateral Estoppel Argument ... 81               
                    B. Legal Standards for Applying Collateral                        
                         Estoppel ................... 82                              
                    C. Collateral Estoppel Impact of 1971 and 1973                    
                         Gift Tax Cases ................ 85                           
                    1. Bona Fide Business Arrangement Issue .... 86                   
                    2. Whether Book Value Equaled Fair Market                         
                             Value as of Agreement Date Issue ..... 87                
               III.  Do True Family Buy-Sell Agreements Control                       
                    Estate Tax Values? ............... 90                             
                    A. Was the Offering Price Fixed and Determinable                  
                    Under the Agreements? ............ 91                             
                    B. Were Agreements Binding During Life                            
                    and at Death? ................ 91                                 
                    C. Were Agreements Entered Into for Bona                          
                    Fide Business Reasons? ........... 99                             
                    D. Were Agreements Substitutes for Testamentary                   
                    Dispositions? ................ 101                                
                    1. Testamentary Purpose Test ......... 101                        
                         a. Decendent’s Health When He Entered Into                   
                         Agreements .............. 101                                
                         b. No Negotiation of Buy-Sell Agreement                      
                         Terms ................. 102                                  
                         c. Enforcement of Buy-Sell Agreement                         
                             Provisions ............... 107                           





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