Small Claims in California under new State law AB 28X

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lm90638

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I am in California and I want to sue an out of state automobile extended warranty company. I know you want to tell me I can not sue, but here is my argument. California just passed Assembly Bill 28X claiming that out of state retailers have a presence in the state, and must therefore collect sales tax, when they have people within the state making sales for them on commission. This extended warranty company has sales people all over the state working on commission since hundreds of dealerships try to sell consumers this company's extended warranty every time a car is purchased; and for every sale, the dealership gets a commission. I would classify each and every one of these dealerships as a sales outlet for the extended warranty company; therefore, the extended warranty company has a legal presence within the state of California. Can anyone comment on my chances of getting a small claims court to accept this argument and allow me to sue this out of state company in California?
 
what exactly do you want to sue them for?
 
Small claims courts have limited jurisdiction, statutes notwithstanding.

Your first problem will be in identifying WHO you will serve. If you identify your "target", you'll discover that out of state corporations will vigorously defend service, (meaning jurisdiction) not the merit of your claim.

That is, if you're lucky enough to effect service.

Not just any representative or agent can be be served.

In the matter if corporations, you must identify their registered agent. That is the entity you serve, assuming your "target" even has one in California. I'm betting they don't.

Why, you ask?

You're probably dealing with a foreign (as in non-US) company. Heck, you might even be dealing with an ex-con shyster operating out of the basement of his mother's double-wide!

Good luck!
 
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