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Washington Law Review

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Full-Text Articles in Law

The Taxation Of Corporate Surplus Accumulations, By James K. Hall (1952), Kenneth A. Cox Feb 1953

The Taxation Of Corporate Surplus Accumulations, By James K. Hall (1952), Kenneth A. Cox

Washington Law Review

It is this provision of the tax laws which engages the attention of Dr. James K. Hall, Professor of Economics at the University of Washington, in this study prepared for the Joint Committee on the Economic Report. The result is a comprehensive and informative survey covering the basic purposes underlying Section 102, its history, its economic effects upon corporations within its orbit and upon the economy generally, the administration of the Section by the Bureau of Internal Revenue, its treatment by the courts, and the criticisms which have been leveled against it; together with proposals for its modification. Although designed …


Insurance—Endowment Policy Disbursement—Testamentary Or Contractual, Ivor Lusty Feb 1953

Insurance—Endowment Policy Disbursement—Testamentary Or Contractual, Ivor Lusty

Washington Law Review

S, owner of a fully paid endowment life policy, elected Option 1 as a method of settlement. This gave him a lifetime access to the principal sum and interest, the right to name distributees for the residue, if any, at his death, but withheld the right to change the distributees once named. P, executor of S's estate, claims the residue from D, the insurer, contending the Option 1 agreement to be in violation of the Statute of Wills. The trial court found for D. On appeal, Held: Affirmed. Toulouse v. New York Life Insurance Co., 40 Wn. 2d 538, 245 …


Constitutional Law—Privileges And Immunities Clause—Validity Of Statute Charging Higher Fees To Territorial Nonresident Fishermen, Philip A. Trautman Feb 1953

Constitutional Law—Privileges And Immunities Clause—Validity Of Statute Charging Higher Fees To Territorial Nonresident Fishermen, Philip A. Trautman

Washington Law Review

P brought an action against the Commissioner of Taxation for the Territory of Alaska to obtain a declaration that a statute imposing a $50 license fee on nonresident commercial fishermen as compared to a $5 fee on residents was unconstitutional. D answered that 90% of the cost of collecting fees was incurred in collecting the nonresident fees. District court held for D. Court of Appeals reversed. On certiorari, Held: Affirmed. The statue violates the privileges and immunities clause of Art. IV of the U. S. Constitution, which clause is made applicable to Alaska by the Organic Act. The amount of …


The King County Family Court, Alice O'Leary Ralls Feb 1953

The King County Family Court, Alice O'Leary Ralls

Washington Law Review

The 1949 Washington Legislature made it mandatory for every County in the State of Washington to set up a Family Court of Conciliation as a branch of the Superior Court. RCW 26.12.010 et seq [Rem. Supp. 1949 § 997-30 et seq]. Pursuant to that mandate such a court has been in operation in King County since February, 1950. By decision of the Superior Court Judges, the Juvenile and Family Court Departments have been combined into a single administrative unit under the supervision of Judge William G. Long.


Rules On Appeal—Time For Filing Statement Of Facts Where Motion For New Trial Pending After Entry Of Judgment, Joanne Bailey Feb 1953

Rules On Appeal—Time For Filing Statement Of Facts Where Motion For New Trial Pending After Entry Of Judgment, Joanne Bailey

Washington Law Review

In a civil action tried to the court, judgment was entered immediately after the findings of fact were filed, and D moved for a new trial. Before the motion was ruled upon, he perfected an appeal. The motion was later denied, after which D gave a second notice of appeal. His statement of facts was served 125 days after the entry of judgment and forty-six days after the denial of the motion. P moved to strike the statement of facts, contending that the time for filing and serving the statement had expired ninety days after the date of entry of …


Corporations—Merger—Lawful Business Purpose, Gordon L. Jaynes Feb 1953

Corporations—Merger—Lawful Business Purpose, Gordon L. Jaynes

Washington Law Review

P, a minority stockholder in Z Corp., voted against a proposed agreement between Z and X Corp., whereby the shareholders of Z, in consideration of payment of $100, were to grant an option for over eighteen months, to purchase all shares of Z. D, a principal stockholder and director in Z, organized Y Corp., in which D was principal stockholder and director. Y had an authorized capitalization including both common and redeemable preferred stock. The directors of Z and Y approved a merger agreement between the two corporations, wherein shareholders of Z received one share of redeemable preferred stock in …


Guardian Ad Litem—Right Of Alleged Incompetent To Contest Appointment, James F. Mcateer Feb 1953

Guardian Ad Litem—Right Of Alleged Incompetent To Contest Appointment, James F. Mcateer

Washington Law Review

In an action brought by an ex-husband to enjoin an ex-wife's privilege of visiting their children, the trial court on the motion and evidence of incompetency offered by P appointed a guardian ad litem for D. The appointment was resisted by D. On application for a writ of prohibition to prevent appointment of guardian ad litem, Held: D is entitled to a full and fair hearing and an opportunity to defend against the appointment of a guardian ad litem. Graham v. Graham, 40 Wn. 2d 64, 240 P. 2d 564 (1952).


One Limitation On The Use Of The Writ Of Habeas Corpus, Jack J. Lobdell Feb 1953

One Limitation On The Use Of The Writ Of Habeas Corpus, Jack J. Lobdell

Washington Law Review

The Supreme Court of Washington has described the writ of habeas corpus as being the appropriate remedy for a person who has been illegally deprived of his liberty. This description was made by way of preface to a holding that emphatically denied use of the writ by one who claimed such illegal deprivation. The reason for the denial was found by the court to lie in a settled rule at common law, which has been preserved by statute, which is generally as follows: the writ will not lie where the petitioner is held on a final judgment of a court …


The Charging Order Under The Uniform Partnership Act, J. Gordoln Gose Feb 1953

The Charging Order Under The Uniform Partnership Act, J. Gordoln Gose

Washington Law Review

Substantially the same procedure prevailed throughout the United States under general execution statutes where the successive steps generally consisted of: (1) seizure of some or all of the partnership property under writ of execution; (2) sale of the debtor partner's "interest in the property"; (3) acquisition of the debtor partner's interest "in the property" by the purchaser at the execution sale, subject, however, to the payment of partnership debts and prior claims to the firm against the debtor partner; (4) compulsory dissolution and winding up of the partnership, and (5) distribution to the execution purchaser of the debtor partner's share …


Tax Treatment Of Stockholders' Advances (How Thick Must Be A Thin Corporation), F. A. Lesourd Feb 1953

Tax Treatment Of Stockholders' Advances (How Thick Must Be A Thin Corporation), F. A. Lesourd

Washington Law Review

With higher corporate tax rates and more emphasis by the Treasury on taxing distributions to stockholders as dividends, the advantage in setting up stockholders' advances to a corporation as loans rather than as equity capital has become more marked. Many stockholders commencing risky, incorporated businesses would like to get their capital out of the corporation as soon as possible so as to minimize the risk of loss in the event business conditions should turn bad. A stockholder cannot receive a return of part of his equity capital without serious question as to his liability for tax on the distribution as …


Constitutional Law—Unreasonable Search And Seizure, Jack J. Lobdell Feb 1953

Constitutional Law—Unreasonable Search And Seizure, Jack J. Lobdell

Washington Law Review

A member of the Metropolitan Police of Washington, D.C. entered the hotel room of A and B for the purpose of subjecting it to a search. A and B were absent and no search warrant had been obtained. Narcotics, which had been stored there by D without knowledge of A or B, were found and later turned over to a federal agent. D was arrested and convicted of violating federal narcotics laws. 43 Stat. 328, 26 U.S.C. § 2553(a) (1924) ; 43 Stat. 657, 21 U.S.C. § 174 (1924). Prior to trial, D moved to suppress the use, as evidence, …


Domestic Relations—Rights Of Putative Father, Robert H. Peterson Feb 1953

Domestic Relations—Rights Of Putative Father, Robert H. Peterson

Washington Law Review

P (a putative father) obtained possession of his infant illegitimate child in 1947. In 1950 the mother took the child from the father and gave it to H and W, a married couple. H and W filed a petition for adoption in the juvenile court. P filed an intervening petition asking that custody of the child be awarded to him by virtue of his rights as a putative father. Trial court held against P on the grounds that (1) the putative father has no rights in the bastard child, and (2) even if he does, this father is not a …


Evidence—Impeachment Of Witnesses—Showing Of General Reputation For Unchastity, George K. Faler Feb 1953

Evidence—Impeachment Of Witnesses—Showing Of General Reputation For Unchastity, George K. Faler

Washington Law Review

D, charged with carnal knowledge of a 17-year-old girl, attempted to impeach the credibility of the prosecutrix by offering testimony of two witnesses to the effect that her general reputation in the community for morality was bad. The trial court excluded this evidence, and D was convicted. On appeal, Held: Affirmed. Evidence of general reputation for immorality is totally inadmissible for the purpose of impeaching the credibility of a witness. State v. Wolf, 40 Wn. 2d 648, 245 P. 2d 1009 (1952).


Income Tax—Deductibility Of Legal Expenses, William S. Stinnette Feb 1953

Income Tax—Deductibility Of Legal Expenses, William S. Stinnette

Washington Law Review

P made a gift of 1,000 shares of stock to members of his family and paid the federal gift tax thereon. Thereafter P was notified by the Commissioner of Internal Revenue of a gift tax deficiency of $145,276.50. Through his attorney, P secured a settlement of the deficiency for $15,612.75. He did not deduct the legal expenses of the gift tax controversy from his gross income but later claimed an income tax refund on the ground that the legal fee should have been deducted under Int. Rev. Code § 23 (a) (2). The District Court held for P. The Court …


Income Tax—Funds Received By Extortion As Income, Eleanor H. Edwards Feb 1953

Income Tax—Funds Received By Extortion As Income, Eleanor H. Edwards

Washington Law Review

T was an associate of X during prohibition when they were bootlegging liquor. After the partnership split up, T demanded money from X. When T threatened the lives of X and his family, X paid T $250,000. Held: The extorted funds are taxable to T as income since they were obtained under a "semblance of a bona fide claim of right" and in effect, without oblgation to repay since X was not likely ever to press demand for a return of the money. Ruthin v. United States, 343 U.S. 130 (1952).


Labor—Picketing—When Enjoinable, Robert S. Mucklestone Feb 1953

Labor—Picketing—When Enjoinable, Robert S. Mucklestone

Washington Law Review

At a previous trial P was granted an injunction against picketing by D union after it was found that a labor dispute existed but that one of the objectives of the union was unlawful. The decree was affirmed in Ostroff v. Laundry & Dye Works Local 566, 37 Wn. 2d 595, 225 P. 2d 419 (1950). The basis for the finding of a labor dispute was in the existence of an employer-employee relationship between P and one member of D union. The illegal objective was that P sign a contract with D that he employ only union members in his …


Evidence—Admissibility Of Related Offenses, Dale Riveland Feb 1953

Evidence—Admissibility Of Related Offenses, Dale Riveland

Washington Law Review

D was charged with sodomy and rape. A confession of a prior similar assault and attempted rape was admitted with the instruction that the confession should be used only for whatever bearing it might have upon common scheme or plan in connection with the rape charges. D was acquitted of rape and convicted of sodomy. Appeal. Held: Affirmed. Evidence of other crimes may not be admitted unless the evidence is relevant and necessary to prove an essential ingredient of the crime charged. This confession was not sufficiently related to show w common scheme or plan. However, D was not prejudiced …


Unemployment Compensation—Quitting Work For Good Cause—Question Of Law Or Fact, Thomas E. Smail. Jr. Feb 1953

Unemployment Compensation—Quitting Work For Good Cause—Question Of Law Or Fact, Thomas E. Smail. Jr.

Washington Law Review

A was working on an "inside job" for $1.63 per hour plus $.10 for working the second shift when he was told that he was to be transferred to an "outside job" at $1.43 per hour without an opportunity for the shift differential. A refused to accept the transfer and quit work. When making application for unemployment benefits, A signed a statement which read in part, "I quit mainly because I was transferred to an outside job. I had been ill last winter and did not want to work outside again.... However I would have stayed on the job had …


Charitable Trust—Termination By Judicial Decree, Eugene A. Greenway Feb 1953

Charitable Trust—Termination By Judicial Decree, Eugene A. Greenway

Washington Law Review

P, as administrator of settlor's estate, brought an action to terminate a trust. Trial court dismissed the action. Held: Reversed. The failure of the trustees to administer the trust according to the provisions of the will and the failure to meet the deadline set by the court in a prior hearing of the same case justified termination of the trust. McLaren v. Schalkenbach Home for Boys, 141 Wash. Dec. 111, 206 P. 2d 345 (1952).


Salesmanship For Lawyers, Ward Roney Nov 1952

Salesmanship For Lawyers, Ward Roney

Washington Law Review

You and I are very proud and happy to be members of the great and noble and ancient profession of law or else we would not be here, and yet all of us have suffered constantly throughout our lives malignment upon the part of the public, castigated as liars and thieves and crooks and everything unworthy of the trust which we hold sacred to our practice of the profession. And it is very unjustifiably so, of course, as you know. But we as individuals ard entirely responsible for that concept upon the part of the public.


Some Reflections On The Trial Of A Lawsuit, Thomas F. Murphy Nov 1952

Some Reflections On The Trial Of A Lawsuit, Thomas F. Murphy

Washington Law Review

I didn't know when I received your invitation what subject would be most interesting to talk about. I have come to the conclusion that I will talk to you about my experiences in the trial of a law suit, and I ask you to measure that experience by the short time that I have been a lawyer. Because what I propose to do is not to speak to you, say from Mount Olympus, but to speak as I may as a friend, among friends, and then perhaps, if we have time, to open the floor to any questions you care …


Statute Of Frauds—Sufficiency Of Memorandum, Eldon C. Parr Sep 1952

Statute Of Frauds—Sufficiency Of Memorandum, Eldon C. Parr

Washington Law Review

Action on a contract whereby P agreed to sell and D to buy 4200 day-old poults. Such a contract is unenforceable unless a memorandum signed by D is sufficient to satisfy the requirements of the statute of frauds. RCW 63.04.050 (1) [RRS § 5836-4(1)]. P relied on a printed contract form, filled in by P but unsigned by either party, and a postal card signed by D on which D wrote, "Dear Mr. Grant: I have decided to not raise any turkeys this year so will you please cancel my order? . . ." P contended that the word "order" …


Constitutional Law—Freedom Of Religion—Chest X-Ray As A Condition Of Admission To State University, Gordon F. Crandall Aug 1952

Constitutional Law—Freedom Of Religion—Chest X-Ray As A Condition Of Admission To State University, Gordon F. Crandall

Washington Law Review

The Board of Regents of the University of Washington required that each student submit to a chest X-Ray examination for the purpose of disclosing tubercular infection. P, a Christian Scientist, sought to register for her senior year, and when she refused to submit to the examination she was denied admission. She then petitioned to the Regents for an exemption on the ground that to submit would violate her religious convictions. The petition was denied, and P now seeks a writ of mandamus to compel the Regents to admit her without requiring the X-Ray examination, contending, inter alia, that the requirement …


Statute Of Frauds—Real Estate Brokers' Contracts—Agency, James B. Mitchell Aug 1952

Statute Of Frauds—Real Estate Brokers' Contracts—Agency, James B. Mitchell

Washington Law Review

P orally engaged D to sell P's land, for which D was to receive a commission of $1,000. D falsely represented that he had procured a purchaser who would buy the property if he could obtain a loan of $10,000, and that D could procure the necessary loan upon paying a bonus of $3,000 to the lender. P, in reliance on these representations, entered a written agreement to pay D $4,000. P brought an action to recover the $3,000 which D had received and converted to his own use. Held: The oral agreement created an agency relationship which D breached …


The Exclusive Admiralty Jurisdiction, W. T. Beeks, Gordon W. Moss Aug 1952

The Exclusive Admiralty Jurisdiction, W. T. Beeks, Gordon W. Moss

Washington Law Review

In Cline v. Price the owners of a minority interest in a fishing vessel, being dissatisfied with the use to which it was being put, brought suit in Superior Court against the majority owners. The action prayed the appointment of a receiver, an accounting, and a partition of the vessel by sale and distribution of the proceeds. A demurrer was sustained by the lower court and affirmed by the Supreme Court. The ground assigned was that the suit, essentially one for partition, was exclusively within the admiralty jurisdiction of the United States, and the state courts have no jurisdiction to …


Law Revision In The State Of Washington, Harry M. Cross Aug 1952

Law Revision In The State Of Washington, Harry M. Cross

Washington Law Review

Widespread skepticism about the adequacy of existing law to achieve justice poses one of the most serious problems to the legal profession. The practicing lawyer knows that in most instances existing law is reasonably efficient in achieving sound, just results, but to the uninitiated the instance in which the efficiency is small or the result unjust appears to be the usual circumstance rather than the unusual. Even the informed layman is likely to be more concerned with the inadequacies of present law than with its adequacies, and admitting the extent of skepticism to be unwarranted, still asks, "Why don't the …


Legal Aid In Retrospect And Prospect, Lane Summers Aug 1952

Legal Aid In Retrospect And Prospect, Lane Summers

Washington Law Review

In complying with the request for comment on the recently published book by Emery A. Brownell, entitled Legal Aid in the United States, I may appropriately quote from others writing on the same subject since the author largely uses that method of stating basic principles which, put together, prescribe legal aid as a social medicine


Union Membership: Privilege Or Right?, Keith M. Callow Aug 1952

Union Membership: Privilege Or Right?, Keith M. Callow

Washington Law Review

The rapid growth of the labor union movement in the past sixty years has created many new, unique and complex problems. The application of old concepts and theories to these problems often has resulted in illogical and inequitable answers. In certain branches of labor law the courts have been slow in providing workable rules due to their adherence, not only to the old concepts, but also to—as if they applied to the present situation—the reasoning behind the old concepts. Some problems are being misread. Union membership must come to be recognized as a right and not a mere privilege. The …


Appeal And Error—Appeal From The Juvenile Court, Eldon C. Parr Aug 1952

Appeal And Error—Appeal From The Juvenile Court, Eldon C. Parr

Washington Law Review

After a husband and wife had instituted adoption proceedings in the juvenile court for a child in custody of that court, the father of the child petitioned the court for custody of the child. The juvenile court dismissed the petition. Appeal. Held: Dismissed. In re a Minor, 39 Wn. 2d 744, 238 P. 2d 914 (1951).


Marital Property In Conflict Of Laws, By Harold Marsh, Jr. (1952), Luvern V. Rieke Aug 1952

Marital Property In Conflict Of Laws, By Harold Marsh, Jr. (1952), Luvern V. Rieke

Washington Law Review

The avowed purpose of Marital Property in Conflict of Laws is to demonstrate the "correct analysis" for the problem above and a host of similar intriguing choice-of-law questions involving marital property. Laid out between the covers of this comparatively thin volume is as fine a study, as lucid an explanation, and as great a number of practical guideposts for the rational solution of these problems as has yet been made available. The value of the work to the practicing attorney is considerably enhanced by the author's careful attention to the statutes and cases, a welcome change of fare from the …