Clark v. Burnet’s Empirical Analysis

Citation profile

Most-quoted passages

The sentences later courts lift from this opinion, ranked by how many decisions quote each — the parts of the opinion doing the work. These counts are smaller than the citation total above because most of the 4 citing decisions cite the case generally; a passage count includes only decisions quoting that exact language verbatim.

1. ““ It appears that during the times in question appellant was engaged in regularly carrying on the business of dredging, operated by a corporation of which appellant was principal owner and active directing head, and to which he devoted all of his time and energies. Appellant accordingly was necessarily concerned with the financial conditions and difficulties which beset the business, and he was compelled by circumstances to indorse the company’s notes in order to supply it with necessary operating funds. This action was not isolated or occasional but became part of the operation of the business, and helped to carry it on. It is true that appellant did not regularly carry on a business of indorsing notes for profit, .but his indorsement of the company’s, notes was part of the business regularly carried on for the company. It is also true that appellant was not regularly engaged in the business of selling corporate stocks, but the transactions of that character appearing in the record can not be separated from the regular course of business of which they were part, and must not be considered as if wholly independent transactions.””

   2 later decisions quote this exact passage
   e.g. Burnet v. Clark · Rendlen v. United States

2. ““ In order for the losses here involved to be deductible in determining taxable income for 1923, they must be net losses resulting from the operation of a trade or business regularly carried on by the petitioner and not from isolated and occasional ti’ansactions. . . . “ With respect to the loss of $68,000 resulting from the petitioner’s endorsement of the Bowers Company notes, he testified that in endorsing the notes he was seeking to protect his investment in its stock. Aside from endorsixrg an uxidisclosed number of notes of this company there is nothing in the record to indicate that acting as endorser or guarantor constituted a.business or trade with the petitioner. So far as the record shows these were the only notes ever endorsed by the petitioner for the Bowers Company or for any other company or person. From the facts in the case we are of the opinion that the loss did not result froxn the operation of a trade or business regularly carried on by the petitioner but resulted from isolated or occasional transactions. . . . “With respect to the remaining losses resulting from the sale of the Bowers Company stock in 1921 and 1922, we do not think the petitioner’s ownership of stock in a nuxnber of corporations which he held as an investment during 1921 and 1922 or the sale of some of such stock in those years constituted a business or trade regularly carried on by him. As to his being in the investment business, the petitioner testified as follows: ‘ Q. Would you say you ”

   1 later decision quote this exact passage
   e.g. Burnet v. Clark

3. “from the operation of any trade or business regularly carried on by the taxpayer,”

   1 later decision quote this exact passage
   e.g. Burnet v. Clark