Connection lost
Server error
Quick Trust v. Commissioner Case Brief
Why Top Law Students (And Those Aspiring to Be) Use LSD+ Briefs
Let's be real, law school is a marathon. Our exclusive Flash-to-Full case system is designed by Harvard Law School and MIT grads to match your pace: Quick summaries when you're slammed, detailed analysis when you need to go deep. Only LSD+ offers this kind of flexibility to genuinely fit your study flow.
Adaptive Case Views
Toggle between Flash, Standard, and Expanded. Get what you need, when you need it.
Exam-Ready IRAC Format
We deliver the precise structure professors look for in exam answers.
Complex Cases, Clarified
We break down dense legal reasoning into something digestible, helping you grasp core concepts.
Case Brief Summary & Legal Analysis
tl;dr: A deceased partner’s estate cannot step up the basis of its partnership interest to the extent it is attributable to zero-basis accounts receivable. The court held these receivables constitute income in respect of a decedent (IRD), precluding a basis step-up and preserving their character as ordinary income upon collection.
Legal Significance: This case establishes that the “income in respect of a decedent” (IRD) rules of § 691 override the partnership basis adjustment rules. It prevents the conversion of ordinary income (unrealized receivables) into a non-taxable return of basis upon a partner’s death.
Quick Trust v. Commissioner Law School Study Guide
Use this case brief structure for your own legal analysis. Focus on the IRAC methodology to excel in law school exams and cold calls.
Case Facts & Court Holding
Key Facts & Case Background
A partner (Quick) in a cash-basis architectural and engineering partnership died. At the time of his death, the partnership had ceased active business and its only significant assets were zero-basis accounts receivable for services previously rendered. Upon Quick’s death, his estate acquired his partnership interest. The partnership made an election under I.R.C. § 754, which allows for an adjustment to the basis of partnership property under § 743(b) when a partnership interest is transferred due to death. The petitioner, a trust that succeeded the estate’s interest, argued that the basis of the inherited partnership interest should be its fair market value at the date of death, pursuant to § 1014(a). This would create a high basis in the underlying receivables, effectively sheltering the subsequent collections from income tax. The Commissioner of Internal Revenue contended that the portion of the partnership interest attributable to the receivables was income in respect of a decedent (IRD) under § 691. If correct, § 1014(c) would deny a step-up in basis for that portion of the interest.
Court Holding & Legal Precedent
Issue: Does the portion of a deceased partner’s partnership interest attributable to the partnership’s zero-basis accounts receivable constitute income in respect of a decedent under § 691, thereby precluding a step-up in basis under § 1014(c)?
Yes. The right to share in the collection of the partnership’s zero-basis Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure d
IRAC Legal Analysis
Complete IRAC Analysis for Higher Grades
IRAC (Issue, Rule, Analysis, Conclusion) is the exact format professors want to see in your exam answers. Our exclusive Flash-to-Full briefs combine holding, analysis, and rule statements formatted to match what A+ students produce in exams. These structured briefs help reinforce the essential legal reasoning patterns expected in law school.
Legal Issue
Does the portion of a deceased partner’s partnership interest attributable to the partnership’s zero-basis accounts receivable constitute income in respect of a decedent under § 691, thereby precluding a step-up in basis under § 1014(c)?
Conclusion
This decision solidifies the principle that the IRD rules penetrate the partnership Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim
Legal Rule
A deceased partner's share of a partnership's unrealized receivables is income in Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aut
Legal Analysis
The court rejected the petitioner's argument that the "entity theory" of partnerships Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea c
Flash-to-Full Case Opinions
Flash Summary
- An inherited interest in a partnership’s zero-basis accounts receivable is **income