Airborne Product Settlement and Refund

Popular vitamin supplement maker Airborne Health has agreed to a $23 million settlement for false advertising (such as claiming Airborne products could cure or prevent the common cold).  Final approval of the settlement is expected in June. 

If you purchased certain Airborne products between 5/1/01 and 11/29/07, you can file a claim for a refund.  Visit www.airbornehealthsettlement.com or call 888.952.9080 for more information.  Here are some highlights:

1. You can file a claim for the full purchase price of products purchased, excluding sales tax, assuming you can find proof of purchase (yeah right, like I'm gonna find an old receipt for Airborne purchased at Trader Joe's on June 23, 2001).

2. More realistically, you can file a claim for up to 6 purchases with proof of purchase.  The refund will based on the average retail price of the products.  You still need to provide an approximate purchase date and purchase location.

3. You can file claims online or by mail.  If you have receipts, you can either scan and submit them online or mail them in.

4. You have until 9/15/08 to file your claim.  If the final approval of the refund, is appealed, it may take awhile for you to get your refund (if at all).

5. If total refund claims exceed the "settlement fund" ($23 million less attorneys fees and other expenses), then refunds will be reduced proportionately.

Will this $23 million settlement hurt Airborne?  Nah, probably not.  Last year they were No. 149 on the Inc magazine list of fastest growing private companies, with 2006 revenues of $145 million (up from $10 million in 2003).  And with only 22 employees!

Economic Stimulus Act of 2008

On Thursday, the Senate finalized H.R. 5140, the "Economic Stimulus Act of 2008" and sent it off to President Bush for his expected approval this week.  There were a few changes made from the original House proposal but it is largely the same.  In summary:

1. We will receive the greater of a) 2007 federal income taxes paid to a maximum of $600 (single) and $1200 (married) or b) $300 (single) and $600 (married).  To be eligible you must have paid at least $1 in 2007 taxes or had $3000 in employment income + veterans' disability payments + social security payments.

The major change is that rebates are now allowed for disabled veterans and seniors living mostly on Social Security who do not have earned income.

2. If you receive $1 or more in rebate and have kids, you get another $300 per kid.  This is based on your 2007 tax return, so the rebate applies to kids on hand as of 12/31/07.  Any new bundles of joy circa 2008 will not get you more rebate.

3. The rebates still start phasing out at 5% of adjusted gross income (AGI) starting at $75K (single) and $150K (married).  So effectively if your AGI is greater than $87K (single) or $174K (married), then no rebate for you!  The phase-out applies to both the basic credit and the child credit.

The only other "no rebate" scenario is if your tax liability was zero and your wages/disability/social security was less than $3000.

4. No credits will be issued for anyone without a valid Social Security Number on the 2007 tax return.

5. The rebates are not considered taxable!  Well that's good news!

6. For single family home loans made between 7/31/07 and 12/31/08, the Act raises the conventional loan limit from $417,000 to $729,750.  FHA loan limits will also be increased to as much as $729,750 or even $829,750 if warranted based on market conditions until 12/31/08.  This should provide some help to homeowners who need to refinance into something more affordable this year.

This is incentive to file your 2007 taxes on time, as rebates are expected starting in May.  And hopefully the $106 billion in rebates and $45 billion in business tax incentives this will cost in 2008 will truly help stimulate our economy!  I bought Apple stock recently in anticipation that everyone will buy another iPod with the extra cash this summer! 

For more detailed information, visit the Senate Finance Committee website by clicking here.

New California Second-Hand Smoke Law - 1/1/08

New Law Effective 1/1/08

Senate Bill 7 took effect yesterday to make it an infraction in the State of California to smoke a cigarette, cigar or pipe in a motor vehicle when a minor (under 18 years old) is in the car, whether the car is moving or stopped.  The fine for this infraction is up to $100 per occurrence.

The law prohibits a cop from stopping you for the sole purpose of determining whether you were breaking this law.  So rest assured, smokers, as long as you are not breaking any other laws, you may be off the hook while blowing fumes in your 9 year old's face. 

The law spells out "to smoke" as having a lighted pipe, cigar, cigarette containing tobacco or any other plant.  Maybe a creative type can figure out a way around this definition!

Another Second-Hand Smoke Law

Since we're talking about second-hand smoke around kids, were you aware that for over 6 years now it has been illegal to smoke or toss cigarette butts within 25 feet of any public playgrounds or "tot lot sandbox" areas? 

The California Health and Safety Code Section 104495 makes such acts illegal and punishable by a $250 fine per infraction.  The law also makes it illegal to intimidate, threaten or retaliate against anyone seeking enforcement of this law. 

There is one exception to this law...you are allowed to smoke on a public sidewalk that is within 25 feet of the playground or sandbox where your kids are happily playing.

From Smoking to Littering

But watch your butt(s).  Section 13002 of the Code makes it a misdemeanor to throw a lighted or unlighted cigarette onto any sidewalk or public location.  The fine ranges from $100 to $1000 per violation.

And California Penal Code Section 374.4 covers all types of littering on public or private property (though generally you're allowed to litter on your own property as long as it isn't out of hand), making it an infraction punishable from $250 up to $3000 per violation.

No More Handheld Cell Phone Use in Cars - 7/1/08

cellphoneban.jpg

Now may be the time to buy stock in companies that sell hands-free cell phone devices as we are only 6 months away from the new law banning handheld cell phone use in cars in California.  Approved by Arnold on September 15, 2006, the "California Wireless Telephone Automobile Safety Act of 2006" (Senate Bill 1613) makes it illegal to use handheld cell phones while driving beginning 7/1/08.

The law specifically disallows using handheld cell phones while driving.  But of course you can still use the cell phone if the car is stationary.  And the law does not prohibit, say, a passenger from using a handheld phone.

You MAY use a cell phone while driving in emergency situations, such as calls to police/911, health care provider, fire department or other emergency services.

You are allowed to use a cell phone while driving a car as long if you are using a hands-free listening and speaking system. 

The legislators must have felt the problem with cell phones is holding the phone, not the distraction of talking on the phone.  If this is the case, I'm wondering why they did not make the law more broad to include all types of activities in the car requiring the use of a hand...smoking, eating, drinking, reading, excessive iPod fiddling, nose picking, radio station switching, etc. 

In any case, your first violation will cost you a fine of $20 plus penalties for a first offense and $50 plus penalties for subsequent offenses.

Another law (SB 33) that takes effect on 7/1/08 is that teens under age 18 cannot use ANY cell phones (handheld or hands-free) or any other "mobile service device" (e.g. PDAs, Blackberries, walkie talkies, etc.).  Like the other law however, cell phones can be used for true emergencies while driving.

So consider yourself informed and start preparing now!