Danilo Nesovic v. United States

Danilo Nesovic sued the United States under 28 U.S.C. § 2410 (a) to quiet title to property against which the IRS had obtained a lien. His suit was dismissed by the district court for his failure to file it within the general six-year statute of limitations found in 28 U.S.C. § 2401 (a). We have jurisdiction over his timely appeal under 28 U.S.C. § 1291 , and we affirm.

Background

On June 18, 1985, Mr. Nesovic voluntarily filed for Chapter 11 bankruptcy. Seven weeks later, he filed his federal income tax returns for the years 1977 through 1983. In the latter part of 1985, while Mr. Nesovic’s bankruptcy was pending, the Internal Revenue Service (“IRS”) assessed taxes for those years, added penalties and interest, and sent him several notices and demands for payment. See 26 U.S.C. §§ 6208 , 6303(a) (“IRC”). The Service did so in accord with the Bankruptcy Court’s Local Rule of Practice 4001-10, a rule that authorized the IRS to assess voluntarily filed tax returns and to offset any taxes due the United States against any refund due a debtor. Mr. Neso-vic did not respond. The IRS waited until his bankruptcy was dismissed, and then, on March 31,1988, recorded a Notice of Federal.…