Ratte Law Office » Litigation

NH Retailers Not Required to Enforce Sales or Use Tax Collection for States Outside NH

admin — Fri, 04 Dec 2009 15:52:06 +0000

NH Says No to Mass. Sales and Use Tax

When the State of Massachusetts attempted to collect sales and use tax from a NH retailer for purchases within NH, the Governor and Legislature acted quickly to put a stop to it.

In response to this claim by Mass. against Town Faire Tire, NH enacted SB-5 prohibiting retailers from disclosing private customer information to foreign states in connection with the collection of certain sales and use taxes.

Gov. John Lynch called the Mass. claim “outrageous” and “unacceptable.”

“We should not allow Massachusetts to turn New Hampshire businesses into tax agents for Massachusetts.” – Gov. John Lynch

The Act creates an irrebutable presumption that, in the absence of voluntary information by the customer, the goods or services purchased in NH are intended to be used in NH.

To impose sales or use tax on purchases within NH, the foreign state must have previously provided written proof to the retailer that its tax laws meet with the very stringent requirements of the new Act. That is unlikely.

Gov. Lynch has vowed to appeal the Town Faire Tire case to Federal Court if necessary to protect NH’s favorable tax structure and pro-business environment.

For more information, contact Attorney Chris Ratté.

NOTICE: The information and articles posted on this website are for informational purposes only and are not intended as legal advice. Contact me to discuss your particular situation or consult a licensed attorney in your state.

NH Small Claims Jurisdiction Increased to $7,500; A quick, low cost alternative to collect business debts.

admin — Fri, 30 Oct 2009 15:18:39 +0000

Small Claims Court is an often overlooked tool for small businesses.

New Hampshire HB-281 increases the maximum amount of damages that may be claimed in Small Claims Court to $7,500.

Originally established as a simple, speedy and informal process for lay people to resolve small disputes, the Small Claims procedure can be a useful tool for businesses to efficiently collect smaller business debts.

Businesses often have unpaid invoices and other small uncollected debts, but decide not to pursue collection due to the cost and time involved in bringing a lawsuit. The Small Claims docket allows for a much cheaper and quicker method to collect such debts in lieu of the standard civil dockets in the District and Superior Courts.

Filing fees are about half of those in the District Court and claimants can get a trial date in a few months rather than upwards of a year or more.

HB-281 also mandates mediation for claims over $5,000.

For more information, contact Attorney Chris Ratté.

Business and Commercial Dispute Docket Established in NH Superior Court

admin — Fri, 23 Oct 2009 15:14:26 +0000

NH’s Business Court Docket aims to speed up litigation of complex commercial disputes.

New Hampshire has now followed other states in the creation of its first ever specialized “Business Court.”

Enacted in 2008, SB-378 creates a separate Business and Commercial Dispute Docket within the Superior Court. The aim of the new Business Docket is to alleviate overcrowded court systems by providing more efficient and specialized procedures for complex commercial disputes.

Currently, commercial disputes are part of the standard civil docket and are heard by the same judges who also hear other civil, equitable and criminal matters. The effect is that the docket becomes clogged with large complex commercial disputes involving massive volumes of paper and electronic discovery.

The new Business Docket should make commercial litigation more efficient and cost-effective, while freeing up court resources for other matters as well.

In order to be assigned to the new Business Docket, cases must meet the following criteria: (1) the parties must consent to the jurisdiction of the Docket by agreement; (2) at least one party must be a “business entity” as defined by the statute; (3) no party may be a “consumer,” defined as “an individual who purchases or leases merchandise primarily for personal, family or household purposes;” and (4) money damages, if sought, must exceed $50,000.

The Act provides a list of the types of cases which may be heard in the Business Docket, including: claims of breach of contract, fraud, misrepresentation and business torts; claims under the Uniform Commercial Code; franchise disputes; shareholder derivative suits; corporate dissolution or liquidation; and other complex disputes of a business nature.

Attorney Richard McNamara, of Manchester, was recently approved by the Executive Council after being nominated by Gov. Lynch to serve as the first Justice of the NH Business and Commercial Dispute Docket. Attorney McNamara is an experienced commercial litigator who made a name for himself representing auto dealers in several high-profile disputes with manufacturers.

For more information, contact Attorney Chris Ratté.

New Laws Affecting NH Business Owners

admin — Wed, 21 Oct 2009 03:42:43 +0000

UPDATE – On Tuesday, November 3rd, I will be giving a condensed version of my presentation about recent legislation affecting NH businesses. So if you missed the original presentation, you have one more chance to learn how these new laws may affect your business. Here are the details:

Program: Upcoming Legislation Affecting NH Businesses

Date: Tuesday, November 3, 2009, 11:30-1:00

Location: ReMax Coast to Coast Realty, 150 Mirona Road, Portsmouth, NH

Cost: Free

On Friday, October 23rd, I will be giving a presentation on recent legislative changes affecting small businesses in New Hampshire. This should be an informative and interesting program for all NH business owners and managers. I hope to see you there. Details are below.

Program: Upcoming Legislation Affecting NH Businesses

Date: Friday, October 23, 2009, 8-9 am

Location: IOS, Pease International Tradeport,1 New Hampshire Ave., Rm. 300, Portsmouth, NH

Cost: $10

RSVP: Diane DeVries 603-534-2040 or diane@digrafika.com