In March 2013, the Supreme Court of Tennessee held, in a 3-2 decision, that the State of Tennessee lacks personal jurisdiction over NV Sumatra Tobacco Trading Company, an Indonesian cigarette manufacturer.
State Regulatory
New York City Prevails in CCTA Claim Against Tribal Merchant
Last month, the United States District Court for the Eastern District of New York held that three Indian smoke shops are required to pay over $10 million in taxes to New York City for trafficking untaxed cigarettes.
Oklahoma Bill Would Tax and Regulate E-Cigarettes
A bill that would tax and impose additional regulations on electronic cigarettes is moving through the Oklahoma legislature. Senate Bill 802 has already cleared the Oklahoma Senate and is pending in the Oklahoma House.
New York State Pursues CCTA Claims Against Cigarette Manufacturer and Distributor
On March 4, 2013, the Office of the New York Attorney General filed a lawsuit against Grand River Enterprises Six Nations, Ltd., Native Wholesale Supply Company Inc., Jerry Montour, Jr. and Kenneth Hill in the United States District Court for the Eastern District of New York. Grand River, a Canadian-based manufacturer, sells cigarettes throughout the United States. Native Wholesale Supply, a New York-based distributor, purchases Grand River cigarettes for resale in New York. The Plaintiff’s four-count complaint alleges violations of: (1) the Contraband Cigarette Trafficking Act; (2) the PACT Act; and (3) New York Tax Law.
20 Years of FMLA & Regulatory Compliance Remains More of a Challenge Than Ever
REMINDER: All employers covered under the Family and Medical Leave Act (”FMLA”) were mandated by the U.S. Department of Labor (DOL) to display the new FMLA poster by March 8, 2013.
Background: Twenty years ago, President Bill Clinton signed the FMLA into law. The law, requiring all employers with 50 or more employees to provide job-protected and unpaid leave for qualified medical and family reasons, ranks as one of the most insidious and complicated federal statutes for employers. Instead of using the FMLA’s 20th anniversary as a catalyst to provide FMLA clarifications, the DOL instead, issued additional federal regulations that implement statutory changes ensuring the FMLA will continue to be one of the biggest compliance headaches for covered employers.
Poster Revisions: The poster revisions include
Court of Appeals Upholds New York City Flavor Ban
On February 26, 2013, the United States Court of Appeals for the Second Circuit affirmed the Southern District of New York’s ruling upholding a New York City local ordinance that prohibits the sale of flavored tobacco products, including smokeless tobacco, anywhere in the city other than at existing “tobacco bars.” As we reported in a December 15, 2011 blog post, Plaintiffs U.S. Smokeless Tobacco Manufacturing Company, LLC and U.S. Smokeless Tobacco Brands Inc. sued the City of New York, challenging a city ordinance on grounds that the ordinance is preempted by the federal Family Smoking Prevention and Tobacco Control Act (“Tobacco Control Act”). The District Court awarded summary judgment in favor of the City and dismissed the lawsuit.
Public Health Lobby Fuming Over Super Bowl Ad for E-Cigarettes
Officials with the American Lung Association and American Cancer Society are complaining about an advertisement aired during the Super Bowl for electronic cigarettes.
Minnesota Bills Would Tax Little Cigars as Cigarettes
Companion bills recently introduced in the Minnesota legislature would tax little cigars at the same rates as cigarettes.
Mississippi Bill Would Nearly Double NPM Fee
A bill has been introduced in Mississippi that would nearly double the fee applicable to non-signatories to the state’s tobacco settlement agreement.
Allocable Share Bill Again Introduced in Missouri
Missouri, the last remaining state in which nonparticipating manufacturers can obtain allocable share releases from their escrow payments, has again introduced legislation to repeal the release mechanism. The bill, Senate Bill 629, was introduced earlier this month.