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For Immediate Release:
6/25/2007
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Gary Kalman
(202) 546-9707 x311

Supreme Court Opens Loophole In Campaign Finance Law

Today’s decision in F.E.C. v. Wisconsin Right To Life reopens a significant loophole that allows corporations to sidestep campaign finance rules that were meant to curb corruption and level the playing field for all who engage in political campaigns.  
 
Under the guise of so-called “issue advertising,” corporations had long been able to skirt the ban on their direct involvement in elections. The McCain – Feingold law of 2002 closed that loophole by stating that advertising that mentions a candidate’s name within 60 days of a general election and 30 days of a primary election was presumed to be electioneering and therefore had to be paid for by funds raised under the rules established for everyone. The law created a clear bright-line test for campaigns to follow.
 
Today’s decision invites backdoor corporate involvement in campaigns and muddies the waters in ways that will likely lead to additional lawsuits.
 
The Court’s decision is unfortunate for both its potential impact and timing. As congressional scandals continue to unfold and public confidence in elected officials remains at historic lows, it adds insult to injury to step back from the very laws created to counter corruption and special interest influence.
 
The decision does not affect the ban on soft money contributions to political parties.