Associated Cemetery Management, Inc. Employees' Profit Sharing Trust v. Brent

SEILER, Judge.

In 1955, Mr. and Mrs. E. L. Williams were divorced. The property settlement and the decree provided for alimony payments to Mrs. Williams of $500 per week for her life. The litigation before us is concerned mainly with (1) whether Mrs. Williams has lost her security rights in certain stock pledged for the alimony, and (2) is the stock subject to a federal income tax lien against Mr. Williams. The trial court ruled yes on the first and no on the second.

Mr. Williams was in the business of operating cemeteries. He agreed to pledge stock in his cemetery corporations to secure the…