Abe Fortas

“ We have no problem of evaluating widely differing state laws. We have no possibility or unequal application of the federal tax laws, depending upon variances in the terms and phraseology of different state and local tax assessment statutes and judicial rulings thereon. Here we are faced with a uniform federal scheme-the rights of the trustee in bankruptcy in light of an unequivocal statement by Congress that he shall have 'all' the rights of a judicial lien creditor with respect to the bankrupt's property. ”

“ Because the effect of federal tax liens should not be determined by the diverse rules of the various States, the Court held that the municipality was not a 'judgment creditor' for purposes of the federal statute. The Court said:
'A cardinal principle of Congress in its tax scheme is uniformity, as far as may be. Therefore, a 'judgment creditor' should have the same application in all the states. In this instance, we think Congress used the words 'judgment creditor' in § 3672 in the usual, conventional sense of a judgment of a court of record, since all states have such courts. ”

“ It is true that the consequence of depriving the United States of claimed priority for its secret lien is to improve the relative position of creditors-if there are any not already protected by § 6323-whose security was obtained subsequent to the Government's lien and who, once the federal lien is invalidated, have a prior claim to the secured assets. ”