California Appellate Court Reverses Lower Court’s Invalidation of Regulation on Bundled Sales of Cell Phones

Reversing the trial court’s 2020 decision to the extent it invalidated an administrative rule involving the discounted price of a cell phone that a retailer charges in a sale bundled with wireless cellular service, a California Court of Appeal concluded that the California Department of Tax and Fee Administration may allocate a portion of the contract price in such a bundled transaction to the cell phone.

Source Deloitte

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