Expedia 2007 Annual Report Download - page 34

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Washington. See City of Branson, MO v. Hotels.com, L.P., et al., 106CC5164 (Circuit Court of Greene County,
Missouri). The complaint alleges that the defendants have failed to pay the city hotel accommodation taxes as
required by local ordinance. The complaint purports to assert claims for violation of the local ordinance, as
well as claims for declaratory judgment, conversion, and demand for an accounting. The deadline for
defendants to respond to the lawsuit has not yet been established. On April 23, 2007, the defendants filed a
motion to dismiss the lawsuit. On November 26, 2007, the court denied the defendants’ motion to dismiss.
Buncombe County Litigation. On February 1, 2007, Buncombe County, North Carolina filed a lawsuit in
state court against a number of internet travel companies, including Hotels.com, Hotwire, and Expedia
Washington. See Buncombe County v. Hotels.com, et al., 7 CV 00585 (General Court of Justice, Superior
Court Division, Buncombe County, North Carolina). The complaint alleges that the defendants have failed to
pay the county hotel accommodation taxes as required by local ordinance. The complaint purports to assert
claims for violation of the local ordinance, as well as claims for declaratory judgment. The deadline for
defendants to respond to the lawsuit has not yet been established. On April 4, 2007, the court consolidated the
Wake County, Dare County, Buncombe County, and Cumberland County lawsuits. On May 9, 2007, the
defendants moved to dismiss the lawsuits. On November 19, 2007, the Court granted in part and denied in
part defendants’ motion to dismiss the Buncombe County lawsuit.
Dare County, North Carolina Litigation. On January 26, 2007, Dare County, North Carolina filed a
lawsuit in state court against a number of internet travel companies, including Hotels.com, Hotwire, and
Expedia Washington. See Dare County v. Hotels.com, L.P., et al., 07 CVS 56 (General Court of Justice,
Superior Court Division, Dare County, North Carolina). The complaint alleges that the defendants have failed
to pay the county hotel accommodation taxes as required by local ordinance. The complaint purports to assert
claims for violation of the local ordinance, as well as claims for declaratory judgment, injunction, conversion,
constructive trust, accounting, unfair and deceptive trade practices and agency. The deadline for defendants to
respond to the lawsuit has not yet been established. On April 4, 2007, the court consolidated the Wake County,
Dare County, Buncombe County, and Cumberland County lawsuits. On May 9, 2007, the defendants moved to
dismiss the lawsuits. On November 19, 2007, the Court granted in part and denied in part defendants’ motion
to dismiss the Dare County lawsuit.
Myrtle Beach, South Carolina Litigation. On February 2, 2007, the City of Myrtle Beach, South
Carolina filed an individual lawsuit in state court against a number of internet travel companies, including
Hotels.com, Hotwire and Expedia. City of Myrtle Beach v. Hotels.com, LP, et al., 2007 CP26-0738 (Court of
Common Pleas, Fifteenth Judicial Circuit, County of Horry, South Carolina). The complaint alleges that the
defendants have failed to pay to the county hotel accommodations taxes as required by municipal ordinances.
The complaint purports to assert a claim for declaratory judgment that the accommodations tax at issue is
owed by the defendants. A hearing on the defendants’ motion to dismiss was held on December 11, 2007.
Horry County, South Carolina Litigation. On February 2, 2007, Horry County, South Carolina filed an
individual lawsuit in state court against a number of internet travel companies, including Hotels.com, Hotwire
and Expedia. Horry County v. Hotels.com, LP, et al., 2007 CP26-0737 (Court of Common Please, County of
Horry, South Carolina). The complaint alleges that the defendants have failed to pay to the county hotel
accommodations taxes as required by municipal ordinances. The complaint purports to assert a claim for
declaratory judgment that the accommodations tax at issue is owed by the defendants. On April 23, 2007, the
defendants filed a motion to dismiss the County’s complaint. On January 7, 2008, the Court denied the
defendants’ motion.
City of Fayetteville, Arkansas Litigation. On February 28, 2007, the City of Fayetteville filed a putative
class action in state court against a number of internet travel companies, including Hotels.com, Hotwire and
Expedia. City of Fayetteville v. Hotels.com, L.P., et al., CV 07 567-1 (Circuit Court of Washington County,
Arkansas). The complaint alleges that the defendants have failed to pay to the city hotel accommodations taxes
as required by municipal ordinances. The complaint purports to assert claims for violation of those ordinances,
unjust enrichment, conversion, imposition of a constructive trust, and declaratory judgment. The complaint
seeks damages in an unspecified amount. Plaintiff filed an amended complaint on July 24, 2007. On August 7,
2007, defendants filed a motion to dismiss. That motion is pending.
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