Christine Hradsky No Comments

Sales Tax: Supreme Court Ruling Affects Retailers and Consumers

Sales Tax

The U.S. Supreme Court recently issued a ruling overturning a 1992 precedent that had barred states from requiring online retailers without a “physical presence” there to collect sales taxes.

A new U.S. Supreme Court ruling paves the way for states to require Internet sellers to collect sales tax from consumers — even if they don’t have a physical presence in the state. (South Dakota v. Wayfair, No. 17-494, June 21, 2018) In doing so, the Court has reversed the long-standing, but controversial, precedent in Quill v. North Dakota. (504 U.S. 298, May 26, 1992)

This landmark decision, reached by a narrow 5-4 vote, puts online retailers on the same virtual sales tax footing as brick-and-mortar stores. Read more

Christine Hradsky No Comments

Supreme Court Sides with Employers on Arbitration Agreements

Arbitration

The U.S. Supreme Court has thrown its support behind the use of mandatory arbitration on an individual basis as a means of resolving employee disputes over labor practices.

The Supreme Court often agrees to rule on questions upon which individual appeals courts have reached different conclusions, to create a uniform national legal standard.

And that’s what the court did with a 5-4 decision in a case called Epic Systems Corp. v. Lewis. The basic question was whether the Federal Arbitration Act has greater authority over arbitration agreements between employers and employees than the National Labor Relations Act (NLRA).

The court consolidated three similar cases in its ruling. In each case, employees had entered into agreements with their employers to resolve any labor disputes that might arise by arbitration, instead of taking the employers to court.  Read more