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Citizens United: What Happens Next?

Posted: 01/21/10 01:53 PM ET

Today's Supreme Court opinion marks a very bad day for American democracy, and one that was totally avoidable. Make no mistake: the Supreme Court had ample ways (I count at least six) to have avoided deciding the issues in the case. The case will affect not just Congress, but also state and local races, including judicial elections. In no elections will corporate or labor union spending limits be constitutional.

So what can happen now? There are a few options, but most appear either politically unrealistic, unconstitutional, or both:

1. Reenact narrower corporate spending limits. Some are suggesting that a narrower ban, such as one that targets only wealthy corporations. I don't think that will fly. Unlike many recent opinions from the Supreme Court in recent years, this one is not fractured. You have a united, five-Justice majority saying pretty much per se that spending limits are unconstitutional (except perhaps foreign corporations). There seems little wiggle room in the opinion.

2. Enact new public financing plans. If we worry about corporate dominance of money in the political process, how about trying to subsidize some campaigns through public financing. Today's opinion does not take public financing plans off the table, but an earlier Supreme Court opinion, FEC v. Davis, likely takes the most attractive portion of public financing plans out. Recent plans have had a provision allowing for additional "matching funds" when a candidate faces a wealthy opponent or third party spending. Relying on Davis's rejection of equality rationales for campaign finance regulation, an Arizona Court just struck down Arizona's matching fund component of its system. Without matching funds, candidates won't participate. With them, the plans may be unconstitutional.

3. A constitutional amendment. Are you kidding? A supermajority of Congress and the States to put limits on corporate spending. Not in my lifetime.

4. End the soft money ban. Really? Why do that? Well Congress might consider it because now third party groups, which tend to be more unaccountable and negative than parties will have greater ability to run ads, with parties' hands tied by that part of McCain-Feingold not yet struck down. The parties won't like it. If the ban is lifted, the potential for corruption increases.

5. Better disclosure. By an 8-1 vote, this gets a green light. Disclosure is much better than nothing, but it is not nearly enough to solve the corruption and inequality problems that will plague our system.

6. Change the Supreme Court. If one of the conservative Justices leave the Court, the law could change back in an instant. But that's not anything anyone can plan.

Patience may be the best medicine now.

 
 
 
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HUFFPOST PUNDIT
DRaymond
Network administrator, voiceovers
05:32 PM on 01/23/2010
I think the best approach would be to modify existing laws regarding foreign involvement in elections. Make it clear that if a partnership or corporation has even one foreign shareholder it cannot count as a US citizen for purposes for taking actions to influence US elections.

Honestly I think that this court plans on overturning this ruling just like it eventually contradicted all the legal basis for Bush v. Gore the first chance it got. The neoconservative 5 simply wants to give corporations the opportunity to completely buy the 2010 and 1012 elections and destroy Obama.
01:02 PM on 01/23/2010
One possible solution not mentioned in the article would be for states to revise their state laws to revoke the limited liability protection from vicarious liability for the stockholders, members, directors, managers, officers, employees, agents, and representatives of corporations, LLCs, and LLPs that use their resources to fund political campaigns. That could not be said to limit the first amendment speech of those entities and their agents, since Individual citizens do not have such protection and are clearly free to exercise their free speech. There are other means, somewhat related to this suggestion, that might discourage those in control of these separate entities from buying elections.

A second primary solution would be to revoke the tax-exempt status of any entity that funds any political campaign. Again, that would not enfringe on the entity's first amendment speech, because individuals are not tax-exempt and exercise free speech quite well, despite being taxed to death.

Just some food for thought.
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HUFFPOST SUPER USER
hubbahubba77
10:45 AM on 01/23/2010
How can we be expected to be patient when our democracy is dying? That advice is more ridiculous than the possibility of a constitutional amendment in Prof. Hasen's lifetime.
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suzc
Speak the Truth, even if your voice shakes
10:37 AM on 01/23/2010
I have LONG thought that we needed to make some major changes in Washington.

First, move the Supreme Court to North Dakota, or maybe Omaha.

Second, send Congress home to its constituents to do its business by video conferencing (at least get them out of DC and their bloated bureaucracies and incestuous slumming with each other and the Supremes).

Third, build a moat around the beltway.

Then, to balance the budget, maybe we could declare war on Japan and surrender so Japan will have to deal with the national debt.... and China.... instead us.
07:10 PM on 01/22/2010
The late California pol Jesse Unruh said it best: "Money is the mother's milk of politics."

The Citizens United ruling frees everyone (of all political persuasions) to pool their funds in specially chartered non-profit corporations for electioneering purposes. Well-heeled class traitors (basically FDR's ilk) can now join with legions of small donors in very amply funding newly minted left-liberal electioneering non-profits to effectively spread the messages of third parties and their maverick candidates or populist Democratic insurgent challengers to corporate friendly Democratic incumbents.

Whether so intended or not, it is a cure for the sclerosis to our body politic that has been caused by the worst-of-all-worlds limits on donations to individual candidates, complicated PAC rules and the hellish Orwellian FEC enforcement bureaucracy that has made participating in politics far too intricate and intimidating.

As to the potential "drowning out" problem, there is only so much bandwidth available to electioneers during election season. Only so many political ad slots on tv and radio, only so many websites and print media outlets to advertise on, only so many organizers to go door-to- door, only so many rallies and debates one can attend, etc.

Once there is enough money to effectively get a candidate's message out eloquently to the multitudes, it becomes a war of ideas and character of the competing candidates or cause's advocates.

That is a fight real progressives can and will win.

Eric C. Jacobson
Public Interest Lawyer
Culver City, California
08:03 AM on 01/23/2010
To those who would council patience, I would reply that as far as I'm concerned, America is finished. I no longer wish to participate in an electoral system where NON-HUMAN and often FOREIGN CONTROLLED entities have more ability to participate than flesh-and-blood citizens.

Democracy is when "we the people" control the government and tell it what to do, on an egalitarian basis between us, because all men are created equal, and require an equal opportunity to be involved in our own self government. When one citizen can contribute one hundred and another citizen can contribute one hundred million dollars to "self-government," those who imply that a hint of such equality remains are snakes.

I once spent a summer going door to door and asking people to register to vote so that they could participate in our system. If I were to do so today, I would tell people DO NOT VOTE, YOU ARE ONLY GIVING LEGITIMACY TO AN ILLEGITIMATE AND OPPRESSIVE FRAUD.

The Constitution is the government's charter. If the government strays from that charter, it ceases to be the government and becomes an armed mafia. In my consideration, that move is now complete. I no longer consider myself a United States citizen, but a refugee in an occupied land.
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suzc
Speak the Truth, even if your voice shakes
05:40 PM on 01/22/2010
My suggestion is to try all of the suggestions. Create limits on corporate charters. Prohibit action and spending by foreign corporations. Introduce a constitutional amendment. Most of all, though, I favor the revival of the Judicial Reorganization bill of 1937. The public outcry in 1937 resulted from the identification of the Court with the Constitution itself. The bill may not have passed in 1937, but it had its desired effect with the "switch in time that saved nine". If you look at the history of the bill (see Wikipedia) you will find that FDR was facing a crisis in which a few old men were thwarting the will of the country, and the usual ideas of amending the constitution etc were similarly not feasible at that time. History repeats itself, and it is particularly dangerous when the Nine pick the President who then reinforces the majority of those who chose him. History will not judge us well if the country does not respond to this crisis. I favor an increase to fifteen, to reduce each individual Justice's impact on the course of this country. Start the debate and the sitting Justices will read the newspapers. Take the Nine off the pedestal and then the debate will be whether an increase to eleven would be enough. Add Justices with differing backgrounds-not just in appellate court work, or politics, but find people with backgrounds in combined law and engineering, etc. The nation would be better for it.
05:19 PM on 01/22/2010
My answer is, “let’s get control of corporations.” Institutional investors are already required to vote in order to meet their fiduciary duty but many are conflicted. Our best hope may be to get individual investors to think like owners. I think if most people realized that almost all the shares all companies is actually owned by one company, Cede & Co., there would be a revolt.

Section 17A, subdivision e, of the Securities Exchange Act of 1934 required stocks to be immobilized. That happened in the early 1970s after a paperwork crisis caused more than a hundred brokers to go bankrupt. Instead of trading in actual shares, we trade in something akin to poker chips. "Security entitlements" don't carry the rights of real shares and over the years they turned shareowners into gamblers.

The first step in getting investors to think like owners is to make them actual owners. Together with folks at the United State Proxy Exchange, I'm drafting a petition to the SEC to have them help us change to a direct registration system. Go to CorpGov.net, take at look at that draft petition and my table on how street name registration results in rights denied Give us some feedback. Join the movement to control the corporations that determine more than any other, the air you breathe, the water you drink, even the politicians you elect.
11:15 AM on 01/22/2010
A bloodless coup enacted by the supreme court ruling (Roberts) EXACTLY one year after Obama officially sworn in as President (by Roberts in the oval office).

January 21, 2009 to January 21, 2010.

WHAT is going on here?
02:52 PM on 01/22/2010
I feel the same way. What the H is going on? But the bloodless coup started when the court ordered the vote count stopped in Florida, and who knows, maybe it was in the works well before then. It's clear that something very serious is going on. But with this, the gloves have come off. Basically, your American democracy has been pulled out from under you.

Who will even bother to vote anymore when it's so clear that the candidates really represent corporate interests?

Something is very wrong.
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HUFFPOST SUPER USER
hubbahubba77
10:47 AM on 01/23/2010
The significance of the timing of the ruling was not lost on me, either. Did you know that this case was "fast-tracked" and that the justices agreed to hear arguments when they normally would have been on vacation, just to speed up the deciding of it? Anyone who thinks it's all a coincidence is kidding themselves. Roberts and his cronies will have to answer for this, if not in this lifetime, then by a higher power.
10:21 AM on 01/22/2010
If spending money is a form of speech then economics is a branch of literature - not that economics isn't mostly fiction anyway. Spending money is not a "form of expression" though it's obvious that money is spent on forms of expression. So the "conservative" judges should get their categories straight. Strict construction hogwash.
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HUFFPOST SUPER USER
DevonTexas
Eternal Optimism
09:10 AM on 01/22/2010
What shocked me was the lack of precident and constitutional support that this court looked to. I thought they were supposed to be the strict constitutional fundamentalists! The overturned 100 years of precident to reach around and grab this decision. It's almost as bad as the Bush v. Gore decision in 2000.
The only good to come of this is that history books will have a heyday with the Roberts' Court. If the corporations will allow it to be written.
08:43 AM on 01/22/2010
Disagree that amending the Constitution is impossible or even too difficult to be practical. At least until actual attempts show otherwise.

Let's try this. Citizens who want an amendment mobilize to demand that amendment preempt all other legislative business. Whenever elected officials show themselves, for whatever purpose, they confront angry protests (sound familiar?), and demands that the politicians endorse a pledge to pass and ratify an amendment stripping political agency from business corporations.

Congressman comes home to his district--protests at his district office, at his home, at any public meetings. President goes to Congress for State of the Union--protests along the street. Senator attends a fundraiser--picket the venue.

Make it clear that the politician can stop voter confrontations only by signing and abiding by the pledge to amend, but not otherwise.

The cause is just and important. It fully warrants the energy needed to keep it going until it succeeds. I think it will succeed fairly quickly, because I think most politicians understand the catastrophic effects of this Supreme Court decision far better than the majority of justices did.
05:31 AM on 01/22/2010
Did you see this comment?

"There is another way this can be approached short of a constitutional amendment.

We can use the existing laws that ban foreign involvement in US elections. We can ammend the law to simply say that any corporation or partnership with ANY shareholders who are not US citizens do not count as US citizens. That might still allow a few closely held companies to still have no restrictions but any publicly traded company would certainly be disqualified."
HUFFPOST SUPER USER
ginny1920
01:48 PM on 01/22/2010
I LIKE THIS!!!!!
But how would it apply to non-corporations, such as "special interest groups" like charities, human rights groups, animal/environment protection groups, gun rights protections groups, etc.? Would it go on the source of their funding? Funding from U.S. citizens only?
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suzc
Speak the Truth, even if your voice shakes
10:42 AM on 01/23/2010
I like it too.
apply to "all non-natural persons" or "all entities other than natural persons"
including charities
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Skygazer
USA needs fiber optic Internet for one and all, vi
03:56 AM on 01/22/2010
I'm just going to hope Clarence or Scalia, or heck both of them, have a heart attack.

IS that wrong? Does that make me a bad person?
08:21 AM on 01/22/2010
nope....doing the same thing here. its our only hope, i'm afraid.
HUFFPOST SUPER USER
chabuka
03:54 AM on 01/22/2010
Maybe the Corporate buying of "Lawmakers" has already started, with the "purchase" of at least five of the "Justices" who sit on the Supreme Court..couldn't Congress impose term limits on the Supremes....? Maybe impeach for giving false testimony at their confirmation hearings....Roberts and Alito "swore" they would not be "activist Judges" by overturning established law... ! What about "International Corporations" with their "special interest" overseas...will they bleed us dry, drain the resources, forced labor...? Buying Congress, and forcing more Wars (for corporate profit) on to us..?....(the taking of other countries resources by military force, how many WARS will that bring down on the U.S., while the Corporate "Government" CEO's hide and wait it out, in their underground Bunkers) force our Lawmakers to drop any and all labor laws that protect U.S. workers..? Like the "bothersome" minimum wage laws.....forcing the U.S. labor force to work for what the Chinese, Indian, etc. wokers are paid, or for free....? You laugh, but if the Corporations buy, pay for and own Government...who is going to stop them...? Endless, endless ramifications could arise from this.......there must be something that can be done....will Congress have the stones to do it....or are they already licking their lips in anticipation of all that Corporate money...?
HUFFPOST SUPER USER
ddanimal
03:25 AM on 01/22/2010
With more corporate money, there is going to be even LESS chance to amend the constitution after the next election cycle. We are doomed.

The only way out of this trap is for someone to use bullets on the SCOTUS. We are getting close to the point where violence will become the only means for revolution.
02:36 PM on 01/22/2010
I understand your frustration but violence is never the answer. This is a serious matter and that kind of talk isn't good.
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suzc
Speak the Truth, even if your voice shakes
10:33 AM on 01/23/2010
But when the People have been completely oppressed (and that is happening here even if we don't yet fully recognize it), then revolution may be the only answer. Read the Founding Fathers. Is it time for another overthrow? If Congress and the WH don't make changes now, then yes, it probably is. Sometimes it is the DUTY of free men to overthrow a corrupt government nonresponsive to the People. Sound familiar? Nervous-making, of course.