uFormer NFL Player Wins Case Over Cleveland’s “Jock Tax” Methodsr

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  (EDrost88)

  Most people dreaming of a career in professional sports that will take them around the country to play for huge crowds in major U.S. cities are probably imagining the glitz and glamor that goes with that job. But then there’s the un-fun parts, like paying taxes in each one of those states, as well as some cities that levy taxes against income earned locally. One former NFL player filed a lawsuit against Cleveland’s so-called “jock tax,” not to dispute that he owed taxes there, but because of how the city calculated what he owed.

  Former Chicago Bears linebacker Hunter Hillemeyer won a lawsuit today in Ohio Supreme Court claiming Cleveland unfairly taxed him during his playing career when it came time for him to pay income taxes based on his time working there in the NFL, reports the Chicago Tribune.

  In his case going back to 2007, he argued that he was overtaxed for the games he played in that city. Cleveland had imposed a 2% tax on income allocable to the city, and determined that 5% of his income was taxable for the one game he played with the Bears each year in the city for the years 2004, 2005 and 2006.

  Not so fast, Hillenmeyer argued — he said players are compensated not just for the games they play, but for the work they put in practicing, attending strategy meetings and promotional activities. He said that his duty days added up to 163 days those years, only two of which each year were spent in Cleveland.

  Based on his calculations of the time spent in Cleveland, he should only have owed about 1.25% each year, he argued in the court papers. The court agreed in a unanimous opinion, finding that Cleveland’s tax method violated the due process clause of the 14th Amendment.

  “Cleveland’s power to tax reaches only that portion of a nonresident’s compensation that was earned by work performed in Cleveland,” the opinion said. “The games-played method reaches income for work that was performed outside of Cleveland, and thus Cleveland’s income tax violates due process as applied to NFL players such as Hillenmeyer.”

  He’s due a partial refund of the tax paid, the court said, which he claims comes down to a total refund of $5,062 for the three years.

  Former Chicago Bear wins suit over Cleveland’s ‘jock tax’ [Chicago Tribune]

  
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by Mary Beth Quirk via Consumerist

uComcast Decides Competing Against Municipal Fiber Is Just Fine, Brings 2 Gbps Service to Chattanoogar

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  Chattanooga: pretty blue bridges, municipal broadband, and Comcast. (ash)

  
  While most of us languish away without even a flicker on the horizon of someday getting gigabit speeds or real broadband competition, residents in a handful of cities are lucky enough to have both. This summer, Chattanoogans will join the shortlist of Americans who not only have blazing fast internet, but also a choice of providers.

  The Times Free Press reports that Comcast is promising Chattanooga the same “Gigabit Pro” service they’re rolling out elsewhere: fully symmetrical 2 Gbps, fiber-to-the-home connections. The roll-out is planned to begin in June and will reach up to 200,000 homes.

  “But wait,” you might say. “Chattanooga sounds really familiar. Something something municipal fiber internet?”

  Chattanooga, as we’ve discussed several times over the past year, is well known for its super fast, globally competitive symmetrical gigabit fiber network — a public utility that the FCC recently granted permission to expand, despite restrictions in Tennessee state law.

  Comcast’s previous Gigabit Pro announcements have been oh-so-coincidentally appearing in cities that are either currently targeted by Google Fiber (as in Atlanta) or by AT&T’s GigaPower service (as in Florida and California). So in bringing their new service to Chattanooga, they’re doing essentially the same thing, only targeting the public sector.

  Chattanooga created its municipal fiber network in the first place because existing, incumbent ISPs (*coughComcastcough*) were unwilling or unable to provide high-speed, reliable, affordable service to the city and its residents. We’re sure it’s entirely coincidental that Comcast should have chosen now, right after the city’s gotten permission to expand and improve their popular network even farther, suddenly to bring their A-game to town.

  Comcast is staunchly against the existence of publicly-owned or -operated networks and does not believe it should have to compete with them. The company and its executives work fiercely to make sure that as many states as possible (currently about 19) pass or maintain protectionist laws that block public networks.

  There’s still no word on how much Comcast plans to charge for their double-gigabit service. Chattanooga’s Electronic Power Board (EPB) currently offers its 1 Gbps service to area residents for about $70 per month. Google Fiber also runs $70 monthly, in cities where it’s offered, and AT&T more or less matches the price point if there’s a competitor in town.

  
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by Kate Cox via Consumerist

uPopeyes Manager Fired After Armed Robbery Returns To Work Tomorrow, Announces Plans To Suer

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  (KHOU 11)

  Last week, we shared the story of a Popeyes shift manager who was fired after an armed robbery while she was on duty. Depending on whether you ask the manager or the franchisee, she was fired for refusing to pay back the $400 taken in the robbery, or for keeping too much money in the cash drawer at a time. After the story made headlines nationwide, she received a job offer and an apology from the store’s owner, and says that she plans to sue for emotional distress.

  KHOU reports (auto-play video) that the manager’s attorney has sent the local franchisee a letter about her demand for $5.5 million for emotional distress. The company has 30 days to respond to her demand.

  It’s understandable that she felt distressed: living through an armed robbery is stressful enough, but she had abruptly lost her job while pregnant and responsible for her three other children.

  The manager maintains that even if her mistake was keeping too much cash in the register at a time, they were so busy in the period before the robbery that she didn’t have time to deposit cash in the safe, and the $400 taken represented only about an hour’s sales.

  She had accepted a job with a different local Popeyes restaurant: it’s not clear whether that location has the same owner as the franchise that fired her.

  Popeye’s manager fired after robbery, asking for $5.5M [KHOU]

  
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by Laura Northrup via Consumerist

uAmerican Airlines Passenger Accused Of Stealing From Crew Member, Fellow Traveler Mid-Flightr

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  (benh57)

  While you might expect a pickpocket working amid a large crowd of people, it’s not the norm to worry about your possessions getting swiped mid-air. Law enforcement authorities say an American Airlines passenger flying from Los Angeles to New York yesterday has been accused of stealing from not only a fellow traveler onboard the flight, but a crew member as well.

  When a flight attendant noticed her tote bag containing her iPad, among other items, had gone missing, the pilot made an announcement on the loudspeaker asking passengers to look around for it, reports NBC New York.

  A passenger eventually spotted the cover of the missing iPad under a seat, and the area was searched until the tote bag was found — sans iPad.

  The crew member told authorities she saw the suspect put the tote bag under the seat where it was later found, prompting a search of her belongings. The iPad turned up in the passenger’s carry-on bag.

  In the meantime, another passenger said she swa the suspect near her purse after she woke up from a nap, and found that her passport and bank card were missing. Authorities said a search revealed the suspect had hidden the items in her underwear. A prescription bottle containing marijuana was also allegedly discovered in her possession.

  She was brought in for questioning by Port Authority of New York and New Jersey officers when the flight landed, and was ultimately charged with grand larceny and possession of stolen property.

  Woman on Flight to NYC After “Judge Judy” Appearance Allegedly Stole iPad, Hid Bank Card in Underwear [NBC New York]

  
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by Mary Beth Quirk via Consumerist

uFTC Halts Mortgage Relief Operation Targeting Consumers In Foreclosurer

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  (Jim Perry)

  Financially distressed consumers on the brink of foreclosure have enough to worry about without having to be on the lookout for shady mortgage relief companies making hollow promises to save their homes. Today, the Federal Trade Commission put an end to an operation that took advantage of homeowners’ vulnerabilities.

  The FTC announced today that a court had granted the agency’s request to halt the operation of HOPE Services – also doing business as HAMP Services – alleging that the mortgage relief enterprise promised homeowners it would help get their mortgages modified, but instead effectively stole their mortgage payments, leading some to foreclosure and bankruptcy.

  According to the FTC complaint [PDF], the operation targeted consumers facing foreclosure – especially those who had failed to get any relief from lenders – by pretending to be “nonprofit” with government ties.

  The company allegedly sent homeowners mail bearing what looked like an official government seal, and indicated that the recipients might be eligible for a “New 2014 Home Affordable Modification Program” (HAMP 2).

  HAMP 2 was described by the company as “an aggressive update to Obama’s original modification program,” saying that consumers’ banks now have an incentive from the government to lower interest rates.

  The company drew consumers into its scheme by falsely claiming it had a high success rate, special contacts who would help get loan terms modified, and an ability to succeed even when consumers had failed, the FTC complaint states.

  Once HOPE Services obtained consumers’ financial information, the company falsely told them they were “preliminarily approved” and claimed they would submit loan modification applications to the U.S. Department of Housing and Urban Development, the Neighborhood Assistance Corporation of America and the “Making Home Affordable” program.

  Shortly after this, the company told consumers they were approved for a low-interest rate and monthly payments significantly lower than their current payment. They were also told that making three monthly trial payments and providing a fee to reinstate a defaulted loan would get them a loan modification and make them safe from foreclosure.

  Consumers were also allegedly advised not to speak with their lender or an attorney.

  In reality, the FTC alleges in its complaint, homeowners who made the payments did not have their mortgages modified and their lenders never received their trial payment.

  Consumers who were promised the loan modifications were then contacted by an Advocacy Department’ run by one of the defendants named in the FTC complaint, and told that the fictional department could get them an even better loan modification than the one purported obtained by through the Making Home Affordable program.

  The Advocacy Department was developed to allegedly trick consumers into continuing to make all of the monthly trial payments. When concerns were raised by consumers about continuing foreclosure warnings, sale date notices and court dates, they were told their loan modifications were being processed or nearly completed.

  According to the FTC, by keeping consumers on the hook for months, the operation was able to significantly increase consumers’ trial payments.

  Consumers were told their payments were put in escrow accounts and would eventually be used to pay off lenders.

  Instead, the company took the payments for themselves, often leading consumers to lose their homes, and incur additional penalties and interest as they fell behind on their mortgages.

  In addition to halting the operation’s business, the FTC has filed a contempt complaint against one of the scheme’s principals, Brian Pacios, who is already under a court order that prohibited him from mortgage relief activities.

  Court Halts Mortgage Relief Operation that Targeted Homeowners Facing Foreclosure [Federal Trade Commission]

  
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by Ashlee Kieler via Consumerist

uInternet Money Guys Start Asking The FCC Not To Implement Net Neutralityr

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  (Tom Richardson)

  
  Net neutrality has already made a lot of enemies, and the new rule hasn’t even been implemented yet. Along with big ISP lawsuits and hostility in the House, the FCC’s Open Internet Rule is now facing pushback from some of the big money entrepreneurs who make the internet their business.

  An “ad hoc group of Internet gray beards,” as tech reporter Katy Bachman aptly styles them, have filed a petition to the FCC requesting that the agency put a stay on their own order.

  If that sounds unlikely to happen, that’s only because it is. The petition therefore also includes a threat: if the FCC doesn’t hold its own order by May 11, then the “Tech Innovators” group will file a suit asking the court to issue a stay.

  Daniel Berninger, founder of VCXC, filed the petition (PDF). VCXC is a tech group pushing to hasten the IP transition — that is, the move away from copper wire telecom service and onto replacement phone-over-broadband services.

  You may or may not have heard of Berninger or of most of the other executives among the group (Marc Cuban is probably the most recognizable name), but you’ve heard of many of their companies and products, like Vonage and Lotus Notes.

  In short, these are entrepreneurs who have backed successful internet venture bets before, and they are now telling the FCC that it’s in everyone’s best interest if future would-be entrepreneurs aren’t guaranteed the same equal playing field they got their starts on.

  The petition claims, much like the lawsuits, that the Open Internet order exceeds the FCC’s authority, is “arbitrary and capricious,” and will harm future innovation and investments in internet businesses.

  Berninger and the others are pushing for a Congressional, non-Title II solution to the problems of net neutrality, and to that end are meeting with some members of Congress today. Realistically, the most likely outcome of the stay is one more lawsuit to be rolled together with all the others and eventually decided in one fell swoop years down the line.

  [via Katy Bachman]

  
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by Kate Cox via Consumerist

uSales Of $100 Million Homes Are Way Upr

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  (.sanden.)

  The housing market simply can’t keep up with the demand from a very specific part of the market…people who seek houses worth $100 million or more. Sales of houses with nine-figure price tags have reached an all-time high of…well, five of them sold last year, but there are many more on the market or being sold away from the general real estate market, and the fabulous-homes-for-billionaires market will just keep growing.

  Not that the lovely people at Christie’s International Real Estate are objective observers of the high-end real estate market. However, looking at the very highest end of the real estate market does give us some interesting insights into global trends. First is the fact that billionaires see giant houses as an investment. “It’s something they’ll hold onto for a lifetime,” the CEO of Christie’s Real Estate told Bloomberg News, “the same way they’ll hold onto a Picasso or a Warhol or any number of the great pieces of art we’ve sold over the years.” You can put a painting inside your house, but you can’t live inside a painting.

  Some of these mega-homes aren’t really “homes” for their owners, anyway: they’re a place to park money. It was just three years ago that uber-rich people from mainland China were first allowed to buy houses abroad, and many of the nine-figure residences on the market have sold to them.

  Good news for people with more modest means, though: in the world’s wealthiest areas, the experts say that luxury homes usually only start at around $2 million.

  Sales of $100 Million Homes Rise to Record Worldwide [Bloomberg News]

  
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by Laura Northrup via Consumerist