Bob D. Whiteside Lenore H. Whiteside v. United States
Opinion
Opinion
Kozinski, J.
We review an order dismissing Mr. and Mrs. Whiteside’s complaint which charged the United States with wrongfully levying on their property.
Facts
On April 29, 1980, the Whitesides lent $45,000 to another couple, Heert and Linda DeWindt. The loan was secured by a deed of trust on a property the DeWindts owned in San Bernardino, California. The trust deed was duly recorded in San Bernardino County on August 15, 1980.
In 1983, the DeWindts developed financial problems. In April of that year, the Whitesides recorded a notice of default against the property. In October, the IRS recorded two federal tax liens against all the DeWindts’ property in San Bernardino County. The liens, each in the sum of $12,757.94, were identical in every respect except that one named Heert as taxpayer, while the other named Linda.
On November 28, 1983, the trustee notified the IRS that the DeWindts’ property would be sold pursuant to the Whitesides’ notice of default. The sale was called off, however, after the IRS notified the trustee that the notice of sale did not conform to IRS regulations. On December 9, 1983, the trustee sent the IRS a new notice of sale which included the IRS notice of lien…