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Thursday, April 26, 2007

Good Day for 501(c)(3)s in the Supreme Court

Yesterday's oral argument before the Supreme Court in Wisconsin Right to Life, suggests that the grassroots lobbying rights of 501(c)(3) organizations may get greater protection in the court's upcoming decision. In the oral arguments the attorney for the Federal Election Commission (FEC), Paul Clement, admitted that 501(c)(3) organizations would have an "inspirational" challenge to the electioneering communications rule because we cannot establish political action committees (PAC). (The FEC's defense to the rule has been that it does not ban broadcasts that mention federal candidates, but only requires them to be paid for with funds raised separately by a PAC.)

The amicus brief from charities clearly had an impact on the Court.

Early in the oral argument Chief Justice John Roberts asked Clement, "Can I understand you to suggest we ought to draw a distinction in as-applied challenges between a 501(c)(3) organization and a corporation?" To which Clement replied, "I think a 501(c)(3) corporation has a much better as-applied challenge if they can bring it. And that's the as-applied challenge that's sort of been discussed in some of the amicus briefs. The problem is Appellee (WRTL) is not in a position to do that, because they are a 501(c)(4) corporation."

OMB Watch will post a summary of the oral argument on our website in the next few days. In the meantime, the complete transcript of the oral argument is here.

The charities' amicus brief was written by attorneys Robert F. Bauer, Karl J. Sandstrom and Ezra W. Reese of the firm Perkins Coie. Charities that signed the brief are:

National organizations:

  • Alliance for Healthy Homes
  • American Conservative Union Foundation
  • Center for Lobbying in the Public Interest
  • Independence Institute
  • Independent Sector
  • NARAL Pro-Choice America Foundation
  • National Council of Jewish Women
  • National Council of Nonprofit Associations
  • National Legal and Policy Center
  • National Low Income Housing Coalition
  • OMB Watch
  • Violence Policy Center

State organizations:

  • California Association of Nonprofits
  • The Housing Alliance of Pennsylvania
  • Nonprofit Coordinating Committee of New York, Inc.
  • The North Carolina Center for Nonprofits
  • Pennsylvania Association of Nonprofit Organizations



Posted by Kay Guinane



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