Ray H. Schulz and Doris L. Schulz v. Commissioner of Internal Revenue, John W. Schulz and Lucille Schulz v. Commissioner of Internal Revenue, Melvin F. Klagues and Pauline Klagues v. Commissioner of Internal Revenue, Commissioner of Internal Revenue v. Stanley C. Landen and Victoria M. Landen

294 F.2d 52 61-2 USTC P 9648 Ray H. SCHULZ and Doris L. Schulz, Appellants, v. COMMISSIONER OF INTERNAL REVENUE, Appellee. John W. SCHULZ and Lucille Schulz, Appellants, v. COMMISSIONER OF INTERNAL REVENUE, Appellee. Melvin F. KLAGUES and Pauline Klagues, Appellants, v. COMMISSIONER OF INTERNAL REVENUE, Appellee. COMMISSIONER OF INTERNAL REVENUE, Petitioner, v. Stanley C. LANDEN and Victoria M. Landen, Respondents. No. 17160. United States Court of Appeals Ninth Circuit. Aug. 28, 1961. Arthur B. Willis, John E. Scheifly and Willis, MacCracken & Butler, Los Angeles, Cal., for petitioners. Hugh J. Ritchie and John C. McCall, both of Los Angeles, Cal., for respondents. 1 Louis F. Oberdorfer, Asst. Atty. Gen.; Lee A. Jackson, Hary Baum and Douglas A. Kahn, Attorneys Dept. of Justice, Washington, D.C., for Commissioner of Internal Revenue. 2 Before BARNES, MERRILL, Circuit Judges, and CROCKER, District Judge. 3 CROCKER, District Judge. 4 Two questions arise on appeal from the Tax Court: (1.) Whether the amount paid to a retiring partner for his share of a partnership, above the tangible asset value of the partnership, represents good will or a covenant not to compete, and (2).…