Creating and maintaining legal files in cases assigned to a Counsel office improves the office's ability to ensure appropriate case management. The files also provide valuable background information when further developments occur in a case or with respect to an issue, such as the docketing of litigation in a case in which legal advice was previously issued.

The legal file should contain all key documents in the development of the work item, starting with the document that generated the assignment and continuing through the issuance of the final document closing the case. It should contain a copy of the opening and closing assignments on TECHMIS and TLCATS (if applicable) together with any assignment documents prepared by management. If the case was of any duration, it should contain a case history sheet documenting the development of the case.

The legal file need not contain every piece of paper created while a case was open. Intelligence and good judgment should be used in deciding whether a given piece of paper or document is a rightful part of the official file. Except where required by applicable record control schedules, rarely should multiple copies of the same piece of paper or document be placed in the legal file. The contents of legal files may be subject to disclosure to the public under disclosure statutes (e.g., Freedom of Information Act (FOIA) and section 6110), and may be subject to discovery or other compulsory legal process.

Form 9718, Case History, Exhibit 30.9.1-1, provides a means for summarizing case development and listing research citations. It is used to provide a complete history of all significant actions in connection with the development of a case; avoid duplication of effort; determine research performed; and identify file memoranda.

Form 9718 is made a part of the case file on each request for a ruling. It may also be used in any other case assignment, or assistance assignment, if the supervisor deems it appropriate, particularly if the assignment may require substantial research or when a chronological record of case development is desirable. Doubtful cases should be resolved in favor of using the form.

Only an original of the form is prepared.

Each initiator, supervisor, and reviewer handling the case lists in chronological order the pertinent substantive and procedural actions taken. Items to be listed include special instructions (such as deadlines, target dates, and research sources), telephone and other contacts, coordination within or outside Chief Counsel, reports of significant matters within Chief Counsel, conferences, position meetings, file memoranda and review action. Entries should be clear, concise, and legible.

The form is fastened to the inside left of the folder if a case is jacketed. The form is clipped to non-jacketed work assignments.

In general, Associate office case files are opened via one of three mechanisms:

Field office cases are opened and legal files created according to local procedures except for the following:

In addition to legal files, there may be several other types of files associated with a case. The following subsections describe those files.

Assemble the Case File - The employee assigned to the case, or a member of the support staff, must ensure that all significant documentation relating to the case is fastened, in reverse chronological order of receipt (oldest at the bottom), to the inner right side of the file using a two hole fastener. For an example of typical case documentation see the discussion above. Merge any assistance case files into the legal file. Discard all duplicate copies of documents and readily available legal authorities (court opinions, revenue ruling, statutes, regulations, etc.) from the legal file and miscellaneous law file. The miscellaneous law file should be screened for any items that should be included in the legal file. Remaining material in the miscellaneous law file may be discarded or kept by the assigned attorney for later reference.

Control Sheet - Place a copy of the TL-CATS/TECHMIS Control Sheet for the case reflecting the closed status code (e.g., 900, 960, 980, 999) on top of the file documents. If a case is closed with a 900 status, an explanatory comment should be placed in the "status narrative line" on the TECHMIS Control Sheet. Support staff in each office have responsibility for creating the TECHMIS Control Sheet when the case is ready for closing.

Case Processing Form - A copy of a completed Case Processing Form will be placed on top of the TECHMIS Control Sheet. This form will be completed, signed, and dated by the employee assigned to the case.

Managerial Review - Submit the legal file to the reviewer when the legal file is ready for closing. The reviewer should verify that the file assembly procedures have been followed. In particular, the reviewer should review the completed TECHMIS Control Sheet and the Case Processing Form for accuracy and completeness. It is essential that the reviewer check the file classification code entered on the closing form to assure that the proper record retention schedule will be used for the file. Also, the reviewer should verify compliance with any public inspection requirements. The reviewer should sign and date the Case Processing Form if the legal file is ready for closing.

Transfer Legal File for closing and storage (Associate offices) - Transfer closed legal files to the Legal Processing Division for all cases.

Field offices follow local procedures regarding the storage location of closed files.

Each office must ensure that all legal files are closed in a timely fashion after the completion of the assignment. Legal files should not remain open more than two weeks after the assignment has been completed, absent unusual circumstances.

Files will be retained in accordance with the Chief Counsel Records Retention Schedules (see IRM 1.15.13 through IRM 1.15.15), which contain information on when to retire records and when to destroy or send files to the National Archives and Records Administration.

Records that are not covered in the Chief Counsel Records Retention Schedules will be retained in accordance with the National Archives and Records Administration General Records Schedules. See IRM 1.15.38 through IRM 1.15.61.

Regulations implementing the Federal Records Act and Federal Records Disposal Act provide for the suspension of records disposal under records disposition schedules when continued availability of the records is required to conduct Government operations because of special circumstances that alter their normal administrative, legal, or fiscal value. These circumstances include retaining the records for purposes of audit, court order, investigation, litigation, study, or any other administrative purpose that justifies the temporary extension of the retention period.

Office of Chief Counsel employees who are under an obligation to preserve documents required for a litigation, FOIA or privacy matter should notify the Service Records Officer in writing of the need to suspend disposal of records for purposes of the litigation, notwithstanding the fact that disposal may otherwise be authorized under approved records disposition schedules. The notice should be provided as soon as the need to preserve the records becomes known. Some common circumstances in which the notice should be provided are where there is a need to preserve the records; for the Government's affirmative case; to respond to opposing counsel's discovery; to respond to (or comply with) a subpoena, a "freeze" or "preservation " order from a Court or administrative forum of competent jurisdiction; or simply to preserve evidence potentially relevant to either party or a court in ongoing or imminent litigation. Documents that have not yet been sent to the Federal records center, should not be destroyed or forwarded until the litigation, FOIA or privacy matter has been concluded.

In the notice to the Records Officer the attorney should identify:

The notice should be provided to:

The notice is necessary to allow for the Records Management Office to advise the National Archives and Records Administration of the need to depart from otherwise mandatory disposal instructions contained in records disposition schedules. The Records Management Office will instruct potentially implicated Federal Records Centers to suspend disposal of temporary records in germane items under records disposition schedules. Moreover, the Records Management Office is often best positioned to alert potentially implicated offices of the need to preserve the records identified. Contact the Service Records Officer for further contact information or with any questions regarding the depth of information required. Legal questions concerning application of the Records Acts should be directed to the Associate Chief Counsel (General Legal Services).

Files that are subject to a freeze must be retained until the freeze is lifted. Closed legal case files, currently subject to a freeze, are retained at the Martinsburg Computing Center under the control of the Service records management staff.

Division Counsel and Associate offices are responsible for the following:

For more information on storing closed files at Federal Records Centers, or retrieving them, see IRM 1.15.4, Retiring and Requesting Records.

Certain records require special handling to assure that confidentiality is maintained. For rules concerning storage of tax-related or classified records at Federal Records Centers or storage of criminal grand jury records, see IRM 1.15.4, Retiring and Requesting Records.

For rules concerning file destruction see IRM 1.15.3 Disposing of Records.

For rules concerning transfer of permanent records to the National Archives and Records Administration, see IRM 1.15.5 Relocating/Removing Records.

For rules concerning file removal by terminated employees, see IRM 1.15.5, Relocating/Removing Records.