Similar disputes nationwide have been percolating through federal and state courts challenging application of occupancy tax laws, written before online travel booking took off. The various suits sought payments from online firms.

The 4th U.S. Circuit Court of Appeals concluded that an online travel company does not meet the statutory definition of “retailer” under a Pitt County, N.C., occupancy tax law. Pitt County v. Hotels.-com, No. 07-1900 (4th Cir. 2009).