The Federal Election Commission (“FEC”) recently answered a common question for those involved in operating a federal PAC: When is the treasurer personally liable for violations of the rules on recordkeeping and reporting? In doing so, the FEC highlighted the importance of external oversight of PAC operations, and the value of periodic audits of the
campaign finance
Picking Battles: The FEC and the Constitution
Perhaps no citation has been more favored in Federal Election Commission (“FEC”) decisions over the past decade than Heckler v. Chaney, 470 U.S. 821 (1985), a Supreme Court decision that gives an agency broad discretion over which enforcement cases to pursue. But there is a category of cases where the FEC is not employing…
FEC Commissioners Issue New Guidance on Donor Disclosure for Groups Paying for Political Advertisements
Trade associations, 501(c)(4) social welfare organizations, other outside groups that pay for political advertisements, and their donors now have more answers to long-running questions regarding when donations to these groups are publicly reportable. After postponing consideration of the issue during its previous meeting, the Federal Election Commission (“FEC”) approved Wednesday an interim final rule on…
The Supreme Court Strikes Down Restrictions on Repayment of Candidate Loans. What Next?
As we previewed in the fall, the Supreme Court today struck down the longstanding statutory prohibition on the use of funds raised after Election Day to repay a candidate loan in Federal Election Commission v. Cruz. Although the outcome of the case—which was brought by Senator Ted Cruz (R-TX) following his re-election in 2018—was…
Employees Running for Public Office: Political Law Compliance Considerations
Even corporations with careful political law compliance practices can be caught off guard when they learn that an employee is running for public office. The corporation may have a good understanding of what the corporation’s obligations and restrictions are in the political arena, but not fully know how to handle the compliance issues stemming from…
Understanding H.R. 1 (Part 1): Corporate & Trade Association Campaign Activity
With a growing chorus of support across the progressive landscape, the For the People Act of 2021 has emerged as a key legislative priority for congressional Democrats in the 117th Congress. Envisioned as a “transformational anti-corruption and clean elections reform package,” the bill would enact sweeping changes to federal election laws along with important changes…
Understanding H.R. 1 (Part 1): Corporate & Trade Association Campaign Activity
With a growing chorus of support across the progressive landscape, the For the People Act of 2021 has emerged as a key legislative priority for congressional Democrats in the 117th Congress. Envisioned as a “transformational anti-corruption and clean elections reform package,” the bill would enact sweeping changes to federal election laws along with important changes…
House COVID 3.0 Legislation Would Ban Federal Lobbying and Impose Permanent Corporate Political Spending Disclosure Requirements for Aid Recipients
The countless lobbyists urging Congress to include relief for their clients in the third coronavirus legislative package (“COVID 3.0”) currently pending in Congress may soon be unemployed, at least if the House version becomes law.
The Take Responsibility for Workers and Families Act (H.R. 6379), proposed by Democrats in the House of Representatives…
Interacting with the Government During the Pandemic: Compliance Blind Spots for Corporations and Executives
The consequences of the COVID-19 pandemic are reverberating in every sector of the global economy, from life sciences to transportation, retail to manufacturing, financial services to sports and entertainment. As federal, state, and local governments attempt to blunt the pandemic’s public health and economic effects, many companies are frantically working with government to seek the…
New Jersey “Dark Money” Disclosure Law Permanently Enjoined
Last year, we blogged about a new and highly restrictive disclosure law in New Jersey that took aim at so-called “dark money” spending by nonprofit and political organizations. In response to a series of lawsuits, a federal court has issued an order permanently prohibiting the state from enforcing the law against “independent expenditure committees” as…