Sal and Ruth Alaniz - Page 5

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               The value of the Ford Thunderbird was not stipulated by the            
          parties.  The Appeals officer referred to the Internet National             
          Auto Dealers of America Guide for classic cars to arrive at a               
          forced sale value of $11,008 for the automobile in “deteriorated            
          restoration” condition.  Petitioners argue that the Ford                    
          Thunderbird is “junked” and only worth between $2,200 and $4,000.           
               The Appeals officer determined that an appropriate offer               
          amount approached $46,000, or approximately petitioners’ net                
          income for 48 months plus respondent’s valuation of the Ford                
          Thunderbird.  Negotiations between the Appeals officer and                  
          petitioners’ counsel suggested the parties were too far apart to            
          reach an acceptable compromise.  The Appeals officer pointed out            
          that petitioners’ future earnings from the insurance business,              
          interest in the Ford Thunderbird, and increased personal                    
          expenditures did not warrant acceptance of the $2,000 OIC.  The             
          Appeals officer also offered to suspend collection activities for           
          1 year to provide petitioners the opportunity to adjust their               
          finances and reduce expenses. Petitioners’ counsel declined the             
          offer.                                                                      
               Petitioners contend in their Motion that respondent failed             
          to consider Mr. Alaniz’s advanced age, ill health, and declining            
          income from the insurance business.  Petitioners argue that the             
          Appeals officer’s calculations were unreasonable and rejection of           
          the $2,000 OIC was an abuse of discretion.                                  






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Last modified: May 25, 2011