Venable’s John F. Cooney on Amazon.com vs. New York State Department of Taxation and Finance
TM: What is the likely trajectory of the Amazon case in New York?
JC: This is at the intermediate level of the New York Appellate Courts. It has not yet gone to their Court of Appeals, which would be the next step. And I'm certain that the case will get to the New York Court of Appeals one way or another. All that process probably will happen later in 2010 ... and then when the New York Court of Appeals resolves the case, the losing party at that level would have the right to petition the U.S. Supreme Court to see if [it] wants to review it.
TM: Will this case go that far?
JC: It seems to me it will ... [The Amazon case is] the first application of the electronic commerce model in a field that's been a prolific source of Supreme Court cases over the years. And as electronic marketing continues to get a larger share of the total advertising dollars and total sales dollars, I'm sure that there will be state efforts to tax online marketers and it will be a prolific source of litigation for years to come, as people try to take established principles and figure out how they work in this new field