Consolidated Liquidating Corp. v. Ford

[577]

MOORE, P. J.

Two identical actions have been consolidated for this appeal. A discussion of one (20306) will serve to show why the same order is made in both. The facts are not uncommon.

Respondent, Consolidated Liquidating Corporation, paid under protest to the tax collector of Los Angeles County $106,898.54, the amount of “escape possessory interest tax assessments” for the years 1942 to 1947, inclusive. The assessments were made with respect to properties which were owned by the government of the United States of America and had been used or occupied by Consolidated Western Steel Corporation for the purpose of producing certain commodities for the government or its agencies under “eost-plus-afixed-fee” contracts which obligated the government or its agencies to reimburse respondent with respect to certain costs, including taxes of the type so assessed to which it might be subjected in the performance of such contracts.

On November 20, 1951, respondent filed with the office of the board of supervisors, a claim for refund of such payment of taxes and penalties. Although the supervisors were by their counsel advised on February 19, 1952, to reject such claim, seven days later, the same counsel joined the department of justice in successfully requesting a postponement of action on the claim until March 4, 1952. Similar requests for postponement of action by the board were subsequently made for the purpose of providing federal agencies an opportunity for considering the acceptability of the settlement proposed by the county counsel. After the county counsel had been advised, June 15, 1953, that his proposal of March 18, 1949, had been rejected by the attorney general, respondent filed with the board of supervisors on July 22, 1953, a “Request for Immediate Action on Claim for Refund” whereby respondent requested approval or denial of its claim in order to provide statutory basis for court action for recovery of the taxes. On July 29, 1953, the clerk of the board of supervisors notified counsel for respondent that its petition for action on the claim for refund had been denied by formal order on July 28, 1953. This action followed whereby respondent prayed that a writ of mandate issue to defendants as a board of supervisors commanding them to act upon and either approve or reject the claim for refund. A general demurrer having been overruled, judgment was duly entered that a peremptory writ of mandate issue to defendants,