United States Fourth Circuit

In a county's putative class action brought against a number of online travel companies for failure to pay the county's hotel occupancy tax, dismissal of the suit for lack of standing is affirmed on alternate grounds where: 1) although the county had standing to sue; 2) the complaint failed to state a claim because an online travel company does not meet North Carolina's statutory definition of a "retailer" in its sales tax law because it is not a business that is of a type similar to a hotel, motel, tourist home, or tourist camp.

Appellate Information

• Decided 01/14/2009
• Published 01/14/2009

Judges

• Before MICHAEL and AGEE, Circuit Judges, and Martin K. REIDINGER, United States District Judge for the Western District of North Carolina, sitting by designation.

Court

• United States Fourth Circuit

Counsel

• For Appellees:
  
• ARGUED:  John Timothy Murray, Sr., Murray & Murray, Sandusky, Ohio, for Appellant.  Darrel J. Hieber, Skadden, Arps, Slate, Meagher & Flom, L.L.P., Los Angeles, California, for Appellees.   ON BRIEF:  Rebecca Cameron Blount, Blount & Blount, P.C., Greenville, North Carolina, for Appellant.   Charles B. Neely, Jr., Nancy S. Rendleman, Robert W. Shaw, Williams Mullen Maupin Taylor, Raleigh, North Carolina, for Appellees;  Karen L. Valihura, Michael A. Barlow, Skadden, Arps, Slate, Meagher & Flom, L.L.P., Wilmington, Delaware, for Appellees Priceline.com, Inc., Lowestfare.com, Inc., and Travelweb, L.L.C.;  James P. Karen, Deborah S. Sloan, JONES DAY, Dallas, Texas, for Appellees Hotels.com, L.P., Hotels.com GP, L.L.C., Hotwire, Inc., Expedia, Incorporated, and TravelNow.com., Inc.;  Paul E. Chronis, Elizabeth B. Herrington, McDermott Will & Emery, L.L.P., Chicago, Illinois, for Appellees Orbitz, Inc., Orbitz, L.L.C., Internet-work Publishing Corporation, d/b/a Lodging.com, Cheap Tickets, Inc., and Cendant Travel Distribution Services Group, Inc.;  Brian S. Stagner, Kelly Hart & Hallman, L.L.P., Fort Worth, Texas, for Appellee Travelocity.com, L.P.