Legislative, Regulatory & Legal

ARLINGTON, Va. — The U.S. Senate approved the long-debated Internet sales tax proposal, known as the Marketplace Fairness Act, by a bipartisan vote of 69 to 27. The Obama administration has already endorsed the bill, but before it can become law it must be approved by the House, where Republicans are split on the bill.

WASHINGTON, D.C. — Pamela G. Bailey, president and CEO of the Grocery Manufacturers Association, has announced the addition of two new directors to the association’s federal affairs staff, Nancy Kohler and David Prestwood.

SAN FRANCISCO — San Francisco attorney Dennis Herrera has launched a lawsuit against Monster Beverage Corporation for violating California law with its marketing of highly caffeinated energy drinks to children as young as six years old, despite scientific findings that such products may cause "significant morbidity in adolescents" from elevated blood pressure, brain seizures and severe cardiac events.

Washington, D.C. -- The retail industry, the nation’s largest private sector employer, added 29,000 jobs in April, indicating that retailers are seeing signs of an improving economy, and as a result, added to their payrolls heading into the summer, according to the National Retail Federation.

Still, the NRF sounded a cautious note.

Washington, D.C. -- U.S. consumer spending averaged $86 a day in April 2013, according to new figures from Gallup. This number is essentially flat compared to $89 in March and $83 in February.
    
According to Gallup analysis, the lack of change in consumer spending in recent months may reflect the recent increase in payroll tax, as well as the early Easter holiday. Consumer spending remains well above levels recorded during the economic recession of 2008-2011.

By Douglas H. Meal, David T. Cohen, and Lisa L. Rachlin, Ropes & Gray LLP

Retailers, like all businesses, constantly seek to learn more about their customers in order to serve them better. In Tyler v. Michaels Stores, however, the Massachusetts Supreme Judicial Court recently ruled that a simple step taken by many retailers to help achieve this goal – collecting the ZIP codes of their customers at the point of sale – can in some circumstances violate Massachusetts’ consumer protection statute.
   

LOS ANGELES — Consumers Union, the policy and advocacy arm of Consumer Reports, is taking aim at Trader Joe’s in a full page ad it took out in the Los Angeles Times.

The union is calling out Trader Joe's for selling meat and poultry from animals raised on antibiotics. The ad highlights how the overuse of antibiotics by the meat and poultry industries on healthy animals is promoting the spread of drug resistant superbugs that threaten public health. 

By Garrick Brown, research director, Terranomics