- The First Amendment Right to Pass-Through Fees — and Taxes
- May 31, 2017 | Authors: Alla Raykin; Eric S. Tresh
- Law Firm: Eversheds Sutherland (US) LLP - Atlanta Office
The U.S. Supreme Court recently ruled in Expressions Hair Design v. Schneiderman that a New York statute that prohibits identifying a surcharge to customers for credit card payments regulates speech and is therefore subject to heightened scrutiny.
The court remanded the case to the U.S. Court of Appeals for the Second Circuit to determine whether New York’s statute violates the First Amendment. While the court’s decision has many important implications, its impact on how businesses collect or seek reimbursement for the costs of state and local taxes from their customers could be significant.
In their article for Law360, Eversheds Sutherland (US) attorneys Eric Tresh and Alla Raykin break down the case and analyze its implications.