July 2017

After months of litigation and more than six hours of court-ordered mediation, David Driscoll, on behalf of CenturyTel Service Group (“Service Group”), a wholly-owned subsidiary of CenturyLink, Inc., settled on highly favorable terms a Denver District Court lawsuit in which Service Group challenged more than $1M in use taxes, interest and penalties assessed by the City and County of Denver (“Denver”).  In the litigation, Service Group challenged various attempts by Denver to impose use taxes on operating system software licenses.  The parties disputed whether the system upgrades and licenses in question amounted to retail sales or purchases of computer software, which are taxable, or personal service contracts, which are not taxable.