DOVER, Del. (AP) - A Delaware judge has dismissed a lawsuit filed by a group of business owners in Dewey Beach challenging the town's use of business license fees.
The lawsuit was filed earlier this year on behalf of businesses owned by attorney and former U.S. Senate candidate Alex Pires.
The lawsuit claimed that Dewey's business license fees exceed the cost of administering and enforcing the business licenses, and instead amounted to a tax that the town is not authorized to levy.
But a chancery court judge ruled this week that, even if the business license fees constitute taxes, the town charter as approved by the General Assembly gives Dewey officials broad taxing authority.
The businesses named as plaintiffs in the suit include the Rusty Rudder and Jimmy's Grille of Dewey Beach.
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