Court Case: Scripto v. Carson Flashcards
1
Q
Who were the 3 parties in this case?
A
- Scripto (GA-based company)
- Carson (FL DOR)
- US Supreme Court
2
Q
What were the relevant facts of the case?
A
- Scripto hired 10 independent contractors to sell Scripto’s products in FL
- Company had no other presence in FL
- All orders were fulfilled in GA
- Scripto argued that they had no nexus in the state and the contractors didn’t count as nexus.
- FL said the contractors constituted as agents of Scripto.
3
Q
What was the decision of the case?
A
- US Supreme Court ruled that the contractors were acting as agents and met the “minimum link” for establishing nexus
- Tax was approved
4
Q
Which tax concept was at the forefront of this case?
A
Agency nexus
5
Q
What was the significance of this case?
A
Set the rule that if any remote sellers had any kind of employees/agents/or independent contractors in a state, it would establish nexus.
6
Q
What year did this case take place in?
A
1960
