Yesterday 35 State Attorneys General joined the Colorado Attorney General's amicus brief in support of South Dakota's petition to the United States Supreme Court to consider the case of South Dakota v. Wayfair, Overstock and Newegg. The state of South Dakota has asked the Court to use its case as an opportunity to reconsider and overrule the 1992 Quill Corp. v. North Dakota decision, which forbids states from collecting sales tax from absentee retailers. The 25-year old decision created a loophole that has distorted free market competition by giving Internet-only retailers an automatic price advantage over local brick and mortar stores. Deborah White, President of the Retail Litigation Center and General Counsel of the Retail Industry Leaders Association offered the following statement on the support from State Attorneys General in the legal battle to overturn Quill.
"Overwhelming bipartisan support from such a large number of State Attorneys General shows just how critical this issue is to states across the country that have been grappling with the negative impacts of Quill. The Quill rule is anachronistic both with respect to the Court's current dormant Commerce Clause jurisprudence and with respect to today's commercial realities. The Supreme Court should heed the call of these 35 State Attorneys General and take South Dakota's case to end the tax preference for online-only retailers," said White.
"The Supreme Court takes only a handful of the cases it is asked to consider each year. Broad bipartisan support from the top legal officials across the country sends a powerful signal to the Court that this is a case that deserves their attention," added White.
RILA is the trade association of the worlds largest and most innovative retail companies. RILA members include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales, millions of American jobs, and more than 100,000 stores, manufacturing facilities, and distribution centers domestically and abroad.