Legislative, Regulatory & Legal

Atlanta – The Home Depot, Inc. is reportedly going to stop providing health care benefits to part-time employees working less than 30 hours per week. According to Bloomberg, starting next month the retailer will send about 20,000 part-time employees to purchase their own insurance on government-sponsored healthcare exchanges that will be created under the guidelines of the Affordable Care Act.

Washington, D.C. -- The D.C. Council failed on Tuesday to overturn Mayor Vincent Gray’s veto of the proposed “living wage” bill. According to Washington Business Journal, only seven of the required nine district councilors voted to override Gray’s veto of the Large Retailer Accountability Act.

National Retail Federation (NRF) senior VP for government relations David French issued the following statement:

Seattle -- Starbucks Corporation is requesting that customers no longer bring guns onto its property, either inside or outside its stores — even in states where “open carry” laws permit them to do so — with the exclusion of law enforcement personnel.

Company founder, chairman and CEO Howard Schultz made the request in an open letter posted under his name on the Starbucks website. The company plans to buy ad space in major national newspapers to run the letter.

Plano, Texas -- Legal wrangling about J.C. Penney Co. selling Martha Stewart-branded home goods is reportedly continuing. According to The Motley Fool, a hearing has been scheduled for Sept. 25 to review allegations in the New York Post that J.C. Penney plans to terminate its contract with Martha Stewart Living.

Ottawa, Ontario -- The Canadian government is reportedly seeking to boost penalties for retailers caught using “zapper” software that can delete or modify transactional data in electronic POS systems to illegally hide sales.

Pleasanton, Calif. -- Safeway Inc. announced that it has adopted a one-year stockholder rights plan, or a “poison pill,” to discourage an unfriendly takeover.

The company adopted the plan after it became aware that unnamed investors had accumulated “a significant amount” of its stock. The investor turned out to be hedge fund company Jana Partners, which disclosed in a filing that it has accumulated a 6.2% stake in the supermarket retailer.

New York -- The Ontario Superior Court of Justice has approved Loblaw Cos.’ acquisition of Shoppers Drug Mart.

Completion of the arrangement remains conditional on compliance with the Competition Act and certain other closing conditions customary in transactions of this nature. The transaction is expected to be completed before the end of first quarter 2014.

Austin, Texas – The California Department of Pesticide Regulation is reportedly suing Whole Foods Market, Inc. for selling four pesticide products that allegedly fail to comply with state regulations.

An Associated Press report says the suit, filed Monday, Sept. 9 in Sacramento Superior Court, requests a court order to force Whole Foods to explain why it is selling the pesticides in question. If the court determines the pesticides are banned in California, the state could potentially fine the retailer.