How have courts interpreted the meaning of section 510(b) of the California Franchise Tax Act?

Our analysis here begins with the statutory construction of 510(b), "the first step of which is to determine whether the language has a plain and unambiguous meaning with regard to the particular dispute." Hawkins v. Franchise Tax Bd. of Cal., 769 F.3d 662, 666 (9th Cir. 2014). This first step requires an evaluation of "not only the specific provision at issue, but also the structure of the statute as a whole, including its object and policy." Id. (citation and internal quotation marks omitted). If the plain language of the statute is unambiguous, that meaning controls, and the inquiry terminates. Id. If, however, the language is ambiguous, then we proceed to the second step and consult the legislative history. Id.