The U.S. Supreme Court gave Amazon.com and other direct marketing retailers a victory today with one hand -- then used the other hand to take it back. Formally, in Direct Marketing Association v. Brohl, the court unanimously reinstated a lawsuit brought by a direct retailer to block a Colorado law requiring them to notify the state about purchases that fall under Colorado’s sales or use tax. That much was a win for the direct shippers. But in a nonbinding message, the court strongly hinted that the appeals court should block the suit on different grounds than it used the first time -- which would give the victory back to Colorado.
I know, I know, this kind of reasoning is what gives lawyers a bad name. Don’t kill the messenger -- at least not before I’ve explained what the heck the court actually did. That’ll take a couple of minutes of your time -- no more, I promise.
