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TIMING OF CHARITABLE DEDUCTIONSon September 9, 1988. By August 31, 1988, more than 50 percent of the stock hadbeen tendered. On September 12, 1988, acquisition of more than 95 percent of thestock was announced.During the course of the tender offer, the donors transferred some of theirstock in the corporation to three charities. Two of them were family foundationscreated on August 26, 1988. Various letters to the stockbroker authorizing thetransfers were ostensibly executed in August 1988. The date the broker formallytransferred title to the securities to the charities was September 8, 1988. Final lettersof authorization were signed the next day.The donors contended that the date of delivery of the stock directly to thecharities was September 8, 1988—the date the broker prepared the documentationformally transferring title to the securities. They also contended, however,that the stockbroker was acting as agent for the charities, so that the dates ofdelivery of the stock were in August 1988. Both arguments were rejected by thecourt. The gift completion date was found to be September 9, 1988, with notransfer that was legally binding and irrevocable until then, and it was held thatthe stockbroker did not function as agent for the charities before that date.The courts determined that the stock in this case had ripened from an interestin a viable corporation to a fixed right to receive cash by August 31, 1988—the date by which more than one-half of the stock had been tendered. That is,by that date, the courts held, it was practically certain that the tender offer andthe merger would be successfully completed. The donors argued, unsuccessfully,that the stock did not ripen until September 12, 1988, because the tenderoffer and the merger could have been derailed. The likelihood of that happeningwas viewed by the courts as remote and hypothetical at best. Thus, becausethe fixed right to receive the money ripened as of August 31, 1988, and the giftsdid not formally become effective until September 9, 1988, the gain was taxableto the donors. 37§ 6.6 GIFTS OF COPYRIGHT INTERESTAnother item of intangible personal property that, to be transferred, must bepassed in a formal manner, is a copyright interest. A determination as to whethera properly completed transfer of a copyright interest occurred is essentially governedby state law, but only after certain federal law restrictions are satisfied. 38The federal requirements involve a written transfer instrument signed by thedonor as owner. 39 A copyright certificate is issued; however, possession of thecertificate does not constitute ownership of the copyright itself. 40In one instance, an individual physically presented a copyright certificate,for a book that was generating royalties, to a charitable organization, in an37 This opinion, with its focus on ripening of stock into a fixed right to receive money, illustrates that this matterof the timing of charitable gifts, for deductibility purposes, ties in with the doctrine of anticipatory assignmentof income (see § 3.1(g)) and the step transaction doctrine (see § 4.8).38 Kingsrow Enters., Inc. v. Metromedia, Inc., 397 F. Supp. 879 (S.D.N.Y. 1975).39 17 U.S.C. § 28 (1976).40 The copyright “is not transferred by mere physical delivery, or other acquisition, of the certificate.” KingsrowEnters, Inc. v. Metromedia, Inc., 397 F. Supp. 879, 881 (S.D.N.Y. 1975). 178