LuLaRoe Gets Class Status Overturned in Alaska Sales Tax Case

Multilevel-marketing company LuLaRoe LLC convinced the US Court of Appeals for the Ninth Circuit that a trial court shouldn’t have certified a class action alleging it improperly charged sales tax on Alaskan sales of its clothing.

LuLaRoe eventually refunded all the sales tax it collected on purchases in Alaska, which doesn’t have a sales tax, but it didn’t pay interest on the refunded amounts. In 2021, a trial court judge certified a class of just over 10,000 Alaskan customers who sought $36 million in damages under the state’s consumer protection laws for the interest on the now-refunded ...