Monday, December 29, 2025

Conservation Easement Case Set for Trial Only on Valuation (and No Other Issue) with No Post-Trial Briefs (12/29/25)

I note that today, among the orders released, the following Order was issued setting a trial of the valuation issue (and no other issue) in a conservation easement case. (I copy and paste the full order below, but readers may access the original order for case # 8669-20, here, at docket entry 86.)

Since gross overvaluation is the common flaw of many bullshit tax shelters, Judge Lauber is cutting to the chase. Any other flaws in the legal structure of the shelter may not matter after this limited trial.

The wording of the order to reject post-trial briefs suggests that Judge Lauber will issue a bench opinion. See Tax Court Rejects a Bullshit Tax Shelter False Valuation Claim with Warning of Sanctions for Taxpayers, their Counsel, and Expert Witness Proffering the Bullshit (7/16/25; 9/10/25), here. As suggested in that prior blog, one issue that may arise is whether the petitioner’s submission of a bullshit valuation may draw sanctions.

United States Tax Court
Washington, DC 20217

MORGAN RUN PARTNERS, LLC,
OVERFLOW MARKETING, LLC, TAX
MATTERS PARTNER,

Petitioner

v.

COMMISSIONER OF INTERNAL
REVENUE,

Respondent

Docket No. 8669-20.

ORDER

Trial of this conservation easement case is scheduled to commence in Atlanta, Georgia, on April 6, 2026. To facilitate resolution of the case,  the Court has decided to limit the forthcoming trial to a single issue, namely valuation of the donated easement. The Court will defer the resolution of any other issues until after the valuation issued has been resolved.

Trial of the valuation issue shall not exceed four days. The parties’ pretrial memoranda shall set forth, at a minimum, the reported value, the party’s position as to value, the witnesses the party expects to call, a summary of the witnesses’ expected testimony, a statement of the facts the party expects to establish at trial, and a discussion of the legal authorities. No post-trial briefs shall be filed.

It is accordingly,

ORDERED that the parties shall adhere to the instructions set forth above in preparing this case for trial.

(Signed) Albert G. Lauber
Judge

Served 12/29/25

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