citizens united

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Did the Citizens United decision place corporations ahead of democracy? Activist Annie Leonard thinks so. CEI’s Communications Coordinator Lee Doren disagrees. Leonard views a strong government as an opposing force to corporate power. Doren points out in a new video that the more government does, and the more it spends, the more companies will flock to Washington to get a piece of the action. If you want to keep money out of politics, then keep politics out of our money.

Watch Lee’s video, “Story of Citizens United v. FEC, The Critique,” below:

In The Atlantic, former ACLU board member Wendy Kaminer discusses the New York Times’ refusal to correct repeated falsehoods in its editorials about the Supreme Court’s Citizens United decision, and its decision to repeat those false claims even after their falsity was pointed out by attorneys and a constitutional law professor. The Times has repeatedly insinuated that the Supreme Court overturned a 1907 federal law banning corporate contributions to political campaigns when it actually did no such thing.

The Citizens United ruling allowed corporations and unions to pay for their own political ads attacking politicians, but it did not allow them to make campaign donations to congressmen, or strike down the Tillman Act, a 1907 law barring such donations. The Times also falsely implied that the Supreme Court had struck down “disclosure requirements“ for campaign donations.

Earlier, law professors wrote at The Volokh Conspiracy about the New York Times’ refusal to print a letter to the editor pointing out a mistake in a recent Times editorial about federal appeals court rulings dealing with business and arbitration of legal disputes. The law professors also argued that the Times persistently misstated whether it is permissible to detain enemy combatants.

I have previously written about the New York Times’ failure to correct repeated falsehoods it printed in its “news” coverage of the Supreme Court’s 2007 Ledbetter v. Goodyear decision, which you can find at this linkTimes reporters such as Linda Greenhouse made it sound like the plaintiff in that case, Lilly Ledbetter, had been arbitrarily prevented by the Supreme Court from suing despite only recently learning of the pay discrimination around the time she retired. Actually, as lawyers have repeatedly pointed out, Ledbetter knew by 1992, if not earlier, that she was being paid less than the male employees she claimed should have been paid the same as her. No wonder the Supreme Court’s 2007 ruling in Ledbetter v. Goodyear dismissed her lawsuit as untimely.

As the National Journal’s Stuart Taylor noted, Ledbetter brought her discrimination claim only after the supervisor she accused of discrimination had died, and shortly before she retired, and she knew of the pay disparity she later complained about for at least five years before filing an EEOC complaint. Thus, she was unable to qualify for an extension of the 180-day deadline for suing based on lack of awareness of the pay disparity.

The New York Times editorials repeatedly makes false claims about court rulings to try to depict the Supreme Court as “pro-business.” But it is not in fact pro-business, as I previously explained here.

Indeed, the Supreme Court is more hostile to business than most of the lower federal courts, and is generally hostile to employers in discrimination cases.

In his speech in Tucson, where federal Judge John Roll was murdered, President Obama said that “only a more civil and honest public discourse can help us face up to our challenges as a nation.” But the President himself has often failed to live up to this aspiration, as his dishonest attacks on the judiciary, and his long line of broken campaign promises, illustrate. (Obama’s broken promises include false claims that he would implement a “net spending cut,” not raise taxes on anyone making less than $250,000, and not prevent anyone from “keeping” their existing health coverage.)

Some of Obama’s attacks on the judiciary have just exaggerated the scope of Supreme Court decisions for political gain.  For example, he deceptively claimed that the Supreme Court’s First Amendment ruling in Citizens United, which allowed U.S. companies and unions to spend money on political ads, “reversed a century of law” to allow “foreign corporations” to “spend without limit in our elections.”  (In response, Justice Alito silently mouthed the words “not true” when Obama attacked the Supreme Court for this ruling at the State of the Union Address, at which the Justices were present as invited guests).  In reality, as I noted earlier, the Supreme Court’s ruling did not lift restrictions on foreign companies; it did not call into question the 1907 federal law banning corporate contributions to politicians; and it overturned only one past Supreme Court decision, the Supreme Court’s controversial, 5-to-4 decision in Austin v. Michigan Chamber of Commerce (1990), a ruling that deserved to be overturned because it was itself “at odds with prior precedent.”

But other times, Obama’s attacks have been completely false — such as his attacks on the Supreme Court’s decision in Ledbetter v. Goodyear, which were deeply misleading, as legal commentators like Stuart Taylor of the National Journal have pointed out.

Obama didn’t let facts get in the way of a good story, or milking a political wedge issue, when he signed into law his very first legislation, the Lilly Ledbetter Fair Pay Act, which overruled the Supreme Court’s decision in the Ledbetter case. (In that case, the Supreme Court enforced the 180-day deadline for bringing pay discrimination claims contained in the federal discrimination law with the shortest deadline, Title VII. Other laws, like the Equal Pay Act, have much longer deadlines, like 3 years).

Obama falsely claimed that Lilly Ledbetter, whose pay discrimination claim was dismissed by the Supreme Court as untimely, worked at Goodyear “for nearly two decades before discovering that for years, she was paid less than her male colleagues for doing the very same work.” Actually, Ledbetter knew by 1992, if not earlier, that she was being paid less than the male employees she claimed should have been paid the same as her. Small wonder that the  Supreme Court’s 2007 ruling in Ledbetter v. Goodyear dismissed her claim as untimely. (As Stuart Taylor notes, she brought her discrimination claim only after the supervisor she accused of discrimination had died, and shortly before she retired.)

The White House statement accompanying Obama’s claim made additional false claims about the Supreme Court’s ruling.  It dishonestly claimed that the Supreme Court ruled that an employer can avoid discrimination claims just by concealing discrimination for 180 days — a claim flatly at odds with language in the Supreme Court’s decision, like footnote 10.

In an assertion parroted by gullible reporters, it claimed that “The Court ruled that employees subject to pay discrimination like Lilly Ledbetter must file a claim within 180 days of the employer’s original decision to pay them less . . . even if the employee did not discover the discriminatory reduction in pay until much later (check out Justice Alito’s arguments in the Court’s opinion).”

That claim was knowingly false, since it was contradicted by passages in the very court decision the White House linked to.  First, the Court never said there was a rigid deadline that bars claims by employees who “did not discover” discrimination “until much later.” Ledbetter never argued that the deadline should be waived or suspended based on her employer concealing discrimination against her, because she in fact knew for years about the pay disparity she later sued over. If she truly had been in the dark about the alleged discrimination, she could have sought to take advantage of exceptions to the deadline that suspend it, like waiver, estoppel, and equitable tolling, under the Supreme Court’s decision in Zipes v. Trans World Airlines (1982). But she never made that argument, because, as she testified in her deposition, she had been told many years earlier that she was being paid less than the men she later claimed ought to have been paid the same as her.

Ledbetter did not even argue that the outcome of her case would be affected by an even broader extension to the deadline for employees who are unaware of the discrimination against them known as the so-called discovery rule. As the Supreme Court specifically noted in footnote 10 of its decision, “we have previously declined to address whether Title VII suits are amenable to a discovery rule. . . .Because Ledbetter does not argue that such a rule would change the outcome in her case, we have no occasion to address this issue.”  In short, since Ledbetter had long known of the facts underlying her discrimination claim, relaxing the deadline for employees who “did not discover” the discrimination until much later would have done her no good.

Thus, it was obviously wrong for the White House to claim that the Supreme Court was barring discrimination claims irrespective of whether “the employee did not discover the discriminatory reduction in pay until much later.”

Moreover, the Supreme Court expressly noted that the plaintiff could have pressed her claim instead under the Equal Pay Act, which had a longer deadline for suing (usually 3 years) and more generous rules for when the deadline starts running. But her lawyer foolishly failed to preserve that claim, which was a mistake, as he admitted to the Supreme Court. The Supreme Court responded by noting, “Petitioner, having abandoned her claim under the Equal Pay Act, asks us to deviate from our prior decisions in order to permit her to assert her claim under Title VII.”

Lawyers like Paul Mirengoff have repeatedly chided Obama and the White House for telling tall tales about the Ledbetter case.   During the 2008 election campaign, both Obama and state democratic parties made false claims about the Ledbetter case, in order to use it as a political wedge issue — claims that were mindlessly parroted by some in the media.

A good first step for Obama in fostering “civil and honest” debate would be to engage in it himself, by no longer distorting court rulings for political gain.

From The Hill: Vulnerable Democrats defend support for campaign finance legislation

Campaign finance regulations are an incumbent’s best friend. The incumbent already has name recognition, and a deep network of fundraising contacts. Heck, Congress’ franking privilege allows incumbents to send out de facto campaign messages for free. Challengers have none of those advantages.

It takes a lot of money to buy enough ads to get a challenger’s name recognition anywhere near the incumbent’s. Campaign finance regulations make it harder to raise that money, and harder to put up a fight against established officeholders. No wonder so many incumbents from both parties favor strict campaign finance regulations! It’s good for their job security.

At the president’s recent State of the Union address, he misleadingly attacked the Supreme Court for supposedly “reversing a century of law“ restricting corporate spending on political campaigns in its ruling this month in Citizens United v. FEC.

In response, an annoyed Supreme Court Justice Samuel Alito, who was attending the speech as an invited guest, apparently mouthed the words “not true,” although his words were not audible and did not interrupt the president’s speech.  (Obama was criticizing a Supreme Court ruling that struck down a recent federal restriction on corporations’ ability to criticize politicians.  The ruling, which was based on the First Amendment, said it was not invalidating a century-old 1907 law that bans corporations from making donations to politicians, who have long leaned on corporations to give money to their pet causes.  The ruling also did not lift restrictions on foreign corporations.  I earlier explained in the New York Times why corporations logically do have free speech rights.)

Maybe Justice Alito’s annoyance was cumulative, and based as much on the president’s past lies about an earlier Supreme Court ruling authored by Alito, as on his misleading criticism of the Supreme Court’s recent ruling.   Past lies make later falsehoods seem less like innocent mistakes.

In his 2008 campaign, and again in 2009, Obama criticized Justice Alito’s decision in Ledbetter v. Goodyear, which did not, contrary to the president’s claims, create a rigid 180 day deadline for bringing pay discrimination claims after an employee’s pay is set, regardless of whether the worker couldn’t have discovered the discrimination until years later.  (The deadline was 180 days, with various common-sense exceptions for hoodwinked employees, under one federal law, called Title VII.  But it is generally three years under another federal law, the Equal Pay Act, that also has more generous accrual rules.  Most employees could evade the short deadline of Title VII simply by having the sense to sue under the Equal Pay Act as well.  Alito’s ruling left workers with ample time to sue over discrimination, contrary to what Obama claimed.  Lilly Ledbetter lost her discrimination case because she waited until 1998 to file a complaint, despite admitting in her deposition that she knew her pay was low by 1992.)
I documented this in my commentary about the Supreme Court last yearNational Journal’s Stuart Taylor (a critic of the Supreme Court’s recent ruling in favor of corporations), and lawyers Paul Mirengoff and Ed Whelan, also described how Obama repeatedly distorted what the Supreme Court said in the Ledbetter case.

Richard Morrison, Jeremy Lott and the American Spectator’s Jim Antle collaborate on Episode 78 of the LibertyWeek podcast. We cover the reverberations from Scott Brown’s Senate election, Obama’s 77% disapproval rating among investors, the 1st Amendment verdict in the Citizens United case, the shame of UN climate science and a new hope for Haiti.

“If the First Amendment has any force, it prohibits jailing citizens for engaging in political speech.”

-Justice Anthony Kennedy, introducing today’s Citizens United decision.

Precisely. The correct way to rebut unwelcome speech is not to silence it. It is to counter it with more speech. Let the best arguments win. Advocating speech restrictions is a fancy way of saying, “my arguments are too weak to withstand criticism.” Get better arguments, then!

Free speech issues aside, there is a reason why McCain-Feingold is informally known as the Incumbent Protection Act. It stacks the deck against challengers. No wonder so many incumbent politicians from both parties have come out against today’s decision. It’s bad for their job security.