Brian L. Nahey and Carol J. Nahey v. Commissioner of Internal Revenue

I write separately because, although there is much to support the majority opinion, there is considerable to throw it in doubt. And I am troubled that it ignores or excludes whole lines of authority. For example, the majority flatly rejects such cases as Pacific Transport Co. v. Commissioner, 483 F.2d 209 (9th Cir.1973), where *871the government successfully argued that a payment made by a parent corporation in discharge of a contested tort liability was not an ordinary loss and thus currently deductible. The tort claim in question was first asserted against a subsidiary corporation and…