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Stark v. Flemming

Ninth Circuit Court of Appeals
283 F.2d 410 (1960)


Facts

Stark (plaintiff) placed her farm and house into a newly formed corporation and began to draw $400 per month as a salary. The corporation was set up to provide Stark with a salary to qualify her for social security benefits. The Secretary of Health, Education and Welfare (the Secretary) (defendant) found that the corporation was a sham and denied old-age benefits to Stark. The district court affirmed.

Rule of Law

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Issue

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Holding and Reasoning (Per Curiam)

The holding and reasoning section includes:

  • A “yes” or “no” answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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