Opinion
20379-21
06-17-2022
PARBHUBHAI V. PATEL & KAMUBEN P. PATEL, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Kathleen Kerrigan Chief Judge
The petition to commence this case was filed on August 26, 2021. Petitioners seek review of a notice of deficiency, dated August 20, 2021, issued to petitioners for their 2018 and 2019 tax years. On April 5, 2022, petitioners filed a Motion to Change or Correct Caption, informing the Court that after the petition was filed, petitioner Parbhubhai V. Patel died. The death certificate for Parbhubhai V. Patel is attached to that motion.
Any action in this Court must be prosecuted by a proper party. It is well settled that the Court's jurisdiction over a case continues unimpaired by the death of a petitioner. A decedent's estate generally may be represented by someone acting in a fiduciary capacity, such as an executor, administrator, or personal representative of the decedent's estate. Rule 60(c), Tax Court Rules of Practice and Procedure, provides that "the capacity of a fiduciary or other representative to litigate shall be determined in accordance with the law of the jurisdiction from which such person's authority is derived." Even if there has been no administration of a deceased petitioner's estate, this Court may formulate an appropriate procedure to bring such a case to a close, including affording a decedent's heirs at law an opportunity to take whatever action may be necessary to protect their interests. Nordstrom v. Commissioner, 50 T.C. 30 (1968).
Additionally, as relevant here, under California law a cause of action that survives the death of the person entitled to commence an action or proceeding passes to the decedent's successor in interest. Cal. Civ. Proc. Code sec. 377.30. In general, a decedent's successor in interest is "the beneficiary of the decedent's estate." Cal. Civ. Proc. Code sec. 377.11. California Civil Procedure Code section 377.33 authorizes the appointment of a decedent's successor in interest as a special administrator for purposes of proceedings in this Court when in the interest of justice. Estate of Galloway, 103 T.C. 700, 701-705 (1994). A person who seeks to continue a pending action or commence a proceeding as the decedent's successor in interest must execute and file an affidavit or declaration described in California Civil Procedure Code section 377.32. See Estate of Galloway, 103 T.C. 700 (1994).
Upon due consideration, it is
ORDERED that petitioners' above-referenced Motion to Change or Correct Caption is granted in that the caption of this case is amended to read: "Parbhubhai V. Patel, Deceased and Kamuben P. Patel, Petitioners v. Commissioner of Internal Revenue, Respondent". It is further
ORDERED that, on or before July 29, 2022, the parties shall confer as to the status of this case, including: (1) whether the estate of decedent has been or will be probated; (2) if decedent's estate is being probated, whether an executor, administrator, or other fiduciary has been appointed by a court of competent jurisdiction and, if so, the name and address of such court-appointed fiduciary for decedent's estate; (3) if there is no court-appointed fiduciary, whether there is a successor trustee or similar fiduciary with respect to a living trust of decedent and, if so, the name and address of such fiduciary; (4) if decedent's estate has not been or will not be probated, and decedent's estate otherwise has no fiduciary, the names and addresses of decedent's heirs at law/successors in interest and whether any of them are willing to serve, under California Civil Procedure Code section 377.33, as special administrator of decedent's estate for purposes of this litigation; and (5) if there is any fiduciary duly authorized to represent decedent's estate or trust, or any individual willing to serve as decedent's successor in interest, whether that individual intends to file a proper Motion to Substitute Parties and Change Caption (to which should be attached relevant documentation supporting the individual's legal capacity to represent decedent's estate or trust). It is further
ORDERED that, on or before August 12, 2022, respondent shall file a status report concerning the then-current status of this case, including information about the above-referenced matters set forth in the preceding ordered paragraph.