Case: Ohio Law Does Not Recognize Nominee Theory For Creating Equitable Property Interest; Federal Tax Liens Did Not Attach to Property (N.D. Ohio)

Taxpayer did not have an equitable interest in the property to which federal tax liens could attach, the district court held, denying the government’s motion. Taxpayer, a former property owner, continued to reside in and maintain a property after it was sold in a foreclosure sale to a third party. The government argued that its tax liens on Taxpayer attached to his alleged equitable interest in the property under a nominee theory. The court rejected the government’s nominee theory, finding that Ohio law does not recognize such a theory for creating an equitable property interest. The court held that the ...