Franchise Tax Board v. Municipal Court

The case at bench reaches us on an appeal from a peremptory writ of the Los Angeles Superior Court directed to the Los Angeles Municipal Court requiring that the latter tribunal: (1) vacate an order directing the return to real party in interest of $14,025 improperly seized pursuant to an invalid search warrant; and (2) enter a new order requiring that the money be delivered to respondent Franchise Tax Board (Board) pursuant to an order to withhold issued and served by Board incident to a jeopardy assessment of personal income tax assertedly due from real party in interest. Concluding that the municipal court acted in excess of its jurisdiction in issuing its order, we affirm the judgment.

Prior to March 17, 1972, the Los Angeles Police Department, acting pursuant to a search warrant issued by a magistrate of the Los Angeles Municipal Court, seized $14,025 in cash from real party in interest. On March 17, at 1:20 p.m., Jonathan K. Golden served on the Los Angeles Police Department a “Notice of Assignment and Demand for Funds” executed by Burton Marks, an attorney at law. The notice recites that the seized funds are the property of “our clients” and “have been assigned…