Levine v. Amber Manufacturing Corp.

A careful review of the transcript and.exhibits *841discloses that the only question the parties chose to litigate was whether the amounts the plaintiff had advanced to Amberlite Plastics Corp. prior to the sale of its stock to the present owners had been (a) loans or (b) gratuitous contributions to capital; no other explanation of the advances was open or even suggested. See Sher v. Malden Taxi, Inc., 4 Mass. App. Ct. 404, 406-411 (1976). The evidence was sufficient to warrant a finding of (a) but not (b). The possibility that the Internal Revenue Service might treat the advances as (b) for…