United States Seventh Circuit

Tax court properly determined that $6,956,590 of a $17 million court judgment paid by plaintiff should be capitalized as a cost of acquiring certain assets of the DeVilbiss Co. rather than deducted as an ordinary business expense. The judgment at issue was the result of a patent infringement suit, filed against DeVilbiss' prior owner, which plaintiff assumed upon acquiring DeVilbiss in 1990.

Appellate Information

• Decided 01/21/2004
• Published 01/21/2004

Judges

• KANNE, Circuit Judge., Before BAUER, KANNE, and EVANS, Circuit Judges.

Court

• United States Seventh Circuit

Counsel

• For Appellant:
  
• Thomas C. Durham (argued), Mayer, Brown, Rowe & Maw, Chicago, IL, for Petitioner-Appellant.


• For Appellees:
  
• Michael J. Haungs (argued), Department of Justice, Tax Division, Appellate Section, Washington, DC, for Respondent-Appellee.