Litigation

MN Disclosure Law Survives Initial Challenge

By Peter Hardin

A federal judge has refused requests to suspend a new Minnesota law requiring  corporations to disclose their financial support of election-season advertising.

U.S. District Judge Donovan Frank declined to issue a temporary injunction in a lawsuit (see Gavel Grab) brought by backers of Republican gubernatorial candidate Tom Emmer and by Indiana-based lawyer James Bopp Jr., according to an Associated Press article.

The groups wanted the law thrown out on free speech grounds, and its disclosure requirements suspended right away. Judge Frank turned them down, explaining he was concerned about harm to the public and state:

“Invalidating the election laws at issue here would likely result in corporations making independent expenditures without any reporting or disclosure on the eve of the upcoming general election on November 2, 2010.”

“This result so close to the election would clearly harm the state, Minnesota voters, and the general public interest.”

All three groups said in the lawsuit they would spend money on independent electioneering efforts this fall, even naming some candidates whom they were interested in supporting. But they objected to forming a political committee, as the new law requires, and filing  campaign disclosure reports, saying the requirements are burdensome and amount to a free speech ban. The plaintiffs are Minnesota Citizens Concerned for Life, the Taxpayers League of Minnesota and a travel agency.

Minnesota’s law revealed Target Corp.?s donations totaling $150,000 to a group supporting Emmer; the donations have sparked controversy and a backlash (see Gavel Grab).

The lawsuit also sought a court ruling that would allow corporations to contribute directly to political candidates. Judge Frank found that Minnesota’s ban on corporations giving money directly to candidates and political parties was not rendered invalid by the U.S. Supreme Court’s January ruling in Citizens United v. FEC.

When Minnesota’s legislature approved the new disclosure law, it was responding to Citizens United, which cleared the way for unlimited corporate political spending (see Gavel Grab).

Full post as published by The Gavel on September 21, 2010 (boomark / email).