Articles Tagged with California

Earlier this month, I wrote about Amazon terminating its Amazon Associates program in California in wake of the Golden State passing ABX1 28, a new law that imposed use tax collection duties on certain out-of-state retailers.

Last week, Amazon upped the stakes when Charles T. Halnan, an Amazon lobbyist, submitted a proposed statewide referendum to Attorney General Kamala D. Harris regarding Section 1 of ABX1 28. That section states that retailers with an affiliate or corporate nexus with the State of California must collect use taxes from their California customers who have purchased tangible personal property.

Two days ago, Amazon sent out a “Notice of Contract Termination Due to Potential New California Law” to its Amazon Associates in California. The letter warned that Amazon would terminate its affiliate program with California residents if the state required out-of-state retailers, such as Amazon, to start collecting use taxes if they paid referral commissions to persons within the state.

For well over a decade, the Amazon Associates Program has worked with thousands of California residents. Unfortunately, a potential new law that may be signed by Governor Brown compels us to terminate this program for California-based participants. It specifically imposes the collection of taxes from consumers on sales by online retailers – including but not limited to those referred by California-based marketing affiliates like you – even if those retailers have no physical presence in the state.

We oppose this bill because it is unconstitutional and counterproductive. It is supported by big-box retailers, most of which are based outside California, that seek to harm the affiliate advertising programs of their competitors. Similar legislation in other states has led to job and income losses, and little, if any, new tax revenue. We deeply regret that we must take this action.

As a result, we will terminate contracts with all California residents that are participants in the Amazon Associates Program as of the date (if any) that the California law becomes effective. We will send a follow-up notice to you confirming the termination date if the California law is enacted.

It’s February 1st, and we at Justia are happy to report that in January members of our Onward and Facebook communities not only stopped by to visit us, you also liked us, and sometimes, you really, really liked us.

Our heavy hitter in January on the Onward Blog in terms of visits was Courtney’s post on the Online Blue Book – looks like there are more than a few people out there who like to get their inner citation geek on. I encourage anyone who hasn’t already to check out Courtney’s analysis and review of The Blue Book’s online features and also catch a glimpse of one of our Justia pugs, Sheba, giving a shout out to vendor-neutral citation.  Other popular posts this month included our Legal Predictions for 2011 and some thoughts on our shock over California’s new menu labeling laws (note: watch out for the 400+ calorie scones at Starbucks).

We’ve all used work e-mail for personal stuff, haven’t we? You know: connecting with college friends, organizing family reunions, and making appointments with our lawyers, right?

Wait a second….what was that last thing?

If you live in Northern California, take note: a state appeals court just ruled that an employee’s attorney-client e-mails that use his employer’s company e-mail account are not protected, confidential communications.