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Forever 21 Dodges Discovery, Gets Tax Class Action Tossed

Law360, New York (January 16, 2018, 7:18 PM EST) -- Forever 21 dodged a class action Tuesday after a New York federal judge ruled a putative class was not entitled to discover whether the retailer had paid collected tax revenue to the state, dismissing their suit.

Submitting a refund request to the state’s tax commission is the sole remedy that state law avails for consumers, U.S. District Judge Robert W. Sweet held. The collection of sales taxes is a ministerial act, Judge Sweet reasoned, and once collected, a merchant’s duty ends, leaving taxpayers with recourse against...
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Case Information

Case Title

Togut v. Forever 21, Inc. et al


Case Number

1:17-cv-05616

Court

New York Southern

Nature of Suit

Personal Property: Other

Judge

Robert W. Sweet

Date Filed

July 24, 2017

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