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Court upholds car rental tax imposed in Maricopa County
Legal Network | 2019/02/26 10:02
The Arizona Supreme Court on Monday upheld a car rental tax surcharge that’s imposed in Maricopa County to pay for building a professional football stadium and other sports and recreational facilities, marking the second time an appeals court has ruled the tax is legal.

Car rental companies had challenged the surcharge on the grounds that it violated a section of the Arizona Constitution that requires revenues relating to the operation of vehicles to be spent on public highways.

A lower-court judge had ruled in favor of the rental companies four years, saying the surcharge violated the constitutional provision and ordering a refund of the tax estimated at about $150 million to the companies.

But the Arizona Court of Appeals reversed the decision last spring. The Arizona Supreme Court on Monday echoed the Court of Appeals’ ruling.

The surcharge partially funds the Arizona Sports and Tourism Authority, an agency that uses the money to help pay off bonds for the stadium in Glendale where the Arizona Cardinals play, along with baseball spring training venues and youth sports facilities. The rest of the authority’s revenue comes from a hotel bed tax and payments for facilities usage.

The surcharge is charged on car rental companies, but the costs are passed along to customers.

Attorney Shawn Aiken, who represented Saban Rent-A-Car Inc. in the case, said in a statement that the challengers will evaluate in the coming weeks whether to ask the U.S. Supreme Court to consider the case.


Ex-West Virginia Supreme Court justice set for sentencing
Legal Network | 2019/02/13 09:52
A former West Virginia Supreme Court justice who had a $32,000 blue suede couch in his office and was at the center of an impeachment scandal is due in federal court for sentencing for using his job for his own benefit.

Allen Loughry is scheduled to be sentenced Wednesday in U.S. District Court in Charleston.

Loughry was found guilty of 11 of the 22 charges at his October trial. Most of the charges involved mail and wire fraud involving his personal use of state cars and fuel cards. The judge last month threw out a witness tampering conviction.

Prosecutors are seeking a sentence above the guideline range of 15 to 21 months along with a fine between $7,500 and $75,000.

In a memorandum Monday, prosecutors said Loughry had an "unbridled arrogance" as a Supreme Court justice. They said Loughry's testimony exposed him as a liar and he has shown no remorse for his conduct.

"Corruption is a cancer that erodes the public's confidence in the government and undermines the rule of law," the memorandum said.

Loughry, who wrote a 2006 book while he was a Supreme Court law clerk about the history of political corruption in the state, was removed as chief justice last February. He was then suspended from the bench in June and resigned in November.

At trial, Loughry denied he benefited personally from trips he took when he became a justice in 2013. He said he used state-owned vehicles made available to the justices for what he said was a variety of reasons, including public outreach.

But Assistant U.S. Attorney Philip Wright said records showed Loughry took a government car to a wedding, four signings for his book, and "loads it up with Christmas presents" to visit relatives. A neighbor testified she saw Loughry pack presents in a car with a state government license plate around the holidays.

Loughry also was convicted of lying to federal investigators by saying he was unaware about the historical significance and value of a $42,000 state-owned desk that he had transferred to his home. He returned the desk and a green leather couch owned by the state after media reports about it.



High court upholds texting suicide manslaughter conviction
Legal Network | 2019/02/06 18:53
The involuntary manslaughter conviction of a young woman who encouraged her boyfriend through dozens of text messages to kill himself was upheld Wednesday by Massachusetts' highest court.

The Supreme Judicial Court agreed with a lower court judge who found that Michelle Carter caused Conrad Roy III's death when she told him to "get back in" his truck that was filling with toxic gas after he told her he was scared. The judge said Carter had a duty to call the police or Roy's family when she knew he was killing himself.

"And then after she convinced him to get back into the carbon monoxide filled truck, she did absolutely nothing to help him: she did not call for help or tell him to get out of the truck as she listened to him choke and die," Justice Scott Kafker wrote in the Supreme Judicial Court's ruling.

Carter's lawyers noted the only evidence she instructed Roy to get back in the truck was a long, rambling text she sent to a friend two months later in which she called Roy's death her fault.

Carter was 17 when Roy, 18, was found dead of carbon monoxide poisoning in July 2014. Carter, now 22, was sentenced to 15 months in jail, but has remained free while she pursues her appeals.

Prosecutors had argued Carter could have stopped Roy from killing himself, but instead bullied him into going through with his plan through text messages that became more insistent as he delayed.



Court orders mediation in Maryland desegregation case
Legal Network | 2019/01/06 23:33
A federal appeals court has ordered a fourth attempt at mediation in a long-running dispute over the state of Maryland’s treatment of its historically black colleges.

The black colleges say the state has underfunded them while developing programs at traditionally white schools that directly compete with them and drain prospective students away.

In 2013, a judge found that the state had maintained an unconstitutional “dual and segregated education system.” The judge said the state allowed traditionally white schools to replicate programs at historically black institutions, thereby undermining the success of the black schools.

Despite three previous tries at mediation, the two sides have been unable to agree on a solution.

On Wednesday, a three-judge panel of the 4th U.S. Circuit Court of Appeals ordered Maryland’s higher education commission and the coalition to begin mediation again to try to settle the 12-year-old lawsuit.


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