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N.D. Cal.Substantive rulingFiled Aug. 25, 2020

United States v. Rescino

Judge
Beth Freeman
Docket
5:20-cv-00881
Court
U.S. District Court · Northern District of California
Pages
2
TaxCivil Procedure
In one sentence

In United States v. Rescino, Judge Freeman adopted the recommendation and granted the United States’ petition to enforce an Internal Revenue Service summons.

Who this affects

The United States and Nicholas C. Rescino. The ruling allows the United States to pursue enforcement of the Internal Revenue Service summons and requires Rescino to provide the testimony and records described in it under the procedures to be set out in the proposed order.

What happened

In United States v. Rescino, the United States asked the court to enforce an Internal Revenue Service summons requiring Nicholas C. Rescino to provide testimony and records. A magistrate judge recommended granting the petition, and Rescino did not object before the deadline.

The court agreed that the United States had shown the summons was issued in good faith. Rescino was given an opportunity to show bad faith or misuse of the summons process, but the court adopted the recommendation and granted the petition.

Judge Beth Labson Freeman ordered the United States to submit a proposed enforcement order. Because of health concerns related to the COVID-19 pandemic, the proposed order must provide for Rescino to testify by telephone and submit records electronically.

The detailed version

For law students, journalists, and other readers who want the full reasoning

Case
United States v. Rescino · No. 5:20-cv-00881
Judge
Beth Freeman
Date
Aug. 25, 2020

Background

The United States filed a verified petition asking the court to enforce an Internal Revenue Service summons against Nicholas C. Rescino. Chief Magistrate Judge Joseph C. Spero issued a report and recommendation recommending that the petition be granted. The opinion states that Rescino did not object to the report and recommendation within the fourteen-day deadline.

Court’s analysis

The court reviewed the report and recommendation and found it correct, well-reasoned, and thorough. Applying the standard from United States v. Powell, the court agreed that the United States had met its initial burden of showing that the summons was issued in good faith. That shifted the burden to Rescino to show that the United States acted in bad faith or abused the summons process. Judge Spero had given Rescino an opportunity to make that showing through an order requiring him to explain why the petition should not be granted.

Ruling

The court adopted the report and recommendation and granted the United States’ verified petition to enforce the Internal Revenue Service summons. It ordered the United States to submit a proposed order requiring Rescino to appear before a revenue officer, provide testimony, and produce the items described in the summons. Consistent with the recommendation and because of COVID-19-related health concerns, the proposed order must provide for a telephone appearance and electronic submission of records, with specified dates, deadlines, and instructions. The order also states that it terminates ECF 1 and ECF 18.

The authoritative version

Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.

Open opinion PDF →
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