Supreme Court to Hear DMA Case Against Colorado Tax Law
In October 2013, the U.S. Tenth Circuit Court of Appeals, without addressing the substantive merits of the case, determined that the U.S. District Court of Colorado did not have jurisdiction to hear DMA's case - or to grant the permanent injunction. "The judicial blow by the Tenth Circuit not only forced DMA to refile its case in Colorado State court, but also raised constitutional issues regarding restricting businesses' access to federal courts in order to challenge the constitutionality of state regulatory laws," said Christopher Oswald, DMA's vice president of state affairs.
While re-filing and securing a preliminary injunction at the state level, DMA and its members also decided to appeal the Tenth Circuit's ruling to the U.S. Supreme Court. In February 2014, DMA filed with the U.S. Supreme Court a petition for a writ of certiorari to review the lower court decision. In its filing, DMA asserts that the Tenth Circuit court's decision is at odds with both the intent of Congress and the decisions of other circuit courts regarding federal jurisdiction in matters affecting interstate commerce.
"It is vital that businesses have the ability to access federal courts when challenging state actions that interfere with the Commerce Clause," said Hudson. "Federal courts are by definition expert in constitutional issues and the proper neutral arbiters through which businesses can challenge states in which they have no physical presence. Today's announcement by the U.S. Supreme Court is a huge step toward ensuring that every business in America enjoys the full judicial access provided by the U.S. Constitution."
DMA looks forward to presenting its arguments before the Supreme Court when it convenes for its next term in the fall of 2014.
About Direct Marketing Association (DMA)
The Direct Marketing Association (www.thedma.org) is the world's largest trade association dedicated to advancing and protecting responsible data-driven marketing. Founded in 1917, DMA represents thousands of companies and nonprofit organizations that use and support data-driven marketing practices and techniques. DMA provides the Voice to shape policy and public opinion, the Connections to grow members' businesses and the Tools to ensure full compliance with ethical and best practices as well as professional development.