State University of New York Institute of Technology
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NY state joins NYC in suing FedEx over untaxed cigarettes

This article addresses the action NY City and NY State is taking against FedEx in regard to the shipment of 400,000 cartons of untaxed cigarettes into NY.  The suit, filed by NY Attorney General Schneiderman, is looking for $239 million in damages.  In addition to the failure to collect taxes, it is also possible that the cigarettes were shipped to minors.  FedEx has claimed the case is foundationless as FedEx cannot open these packages to determine the contents, as this would be a violation of their clients privacy.

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