§ 441b. — Contributions or expenditures by national banks, corporations, or labor organizations.
[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
January 7, 2003 and December 19, 2003]
[CITE: 2USC441b]
TITLE 2--THE CONGRESS
CHAPTER 14--FEDERAL ELECTION CAMPAIGNS
SUBCHAPTER I--DISCLOSURE OF FEDERAL CAMPAIGN FUNDS
Sec. 441b. Contributions or expenditures by national banks,
corporations, or labor organizations
(a) In general
It is unlawful for any national bank, or any corporation organized
by authority of any law of Congress, to make a contribution or
expenditure in connection with any election to any political office, or
in connection with any primary election or political convention or
caucus held to select candidates for any political office, or for any
corporation whatever, or any labor organization, to make a contribution
or expenditure in connection with any election at which presidential and
vice presidential electors or a Senator or Representative in, or a
Delegate or Resident Commissioner to, Congress are to be voted for, or
in connection with any primary election or political convention or
caucus held to select candidates for any of the foregoing offices, or
for any candidate, political committee, or other person knowingly to
accept or receive any contribution prohibited by this section, or any
officer or any director of any corporation or any national bank or any
officer of any labor organization to consent to any contribution or
expenditure by the corporation, national bank, or labor organization, as
the case may be, prohibited by this section.
(b) Definitions; particular activities prohibited or allowed
(1) For the purposes of this section the term ``labor organization''
means any organization of any kind, or any agency or employee
representation committee or plan, in which employees participate and
which exists for the purpose, in whole or in part, of dealing with
employers concerning grievances, labor disputes, wages, rates of pay,
hours of employment, or conditions of work.
(2) For purposes of this section and section 79l(h) of title 15, the
term ``contribution or expenditure'' includes a contribution or
expenditure, as those terms are defined in section 431 of this title,
and also includes any direct or indirect payment, distribution, loan,
advance, deposit, or gift of money, or any services, or anything of
value (except a loan of money by a national or State bank made in
accordance with the applicable banking laws and regulations and in the
ordinary course of business) to any candidate, campaign committee, or
political party or organization, in connection with any election to any
of the offices referred to in this section or for any applicable
electioneering communication, but shall not include (A) communications
by a corporation to its stockholders and executive or administrative
personnel and their families or by a labor organization to its members
and their families on any subject; (B) nonpartisan registration and get-
out-the-vote campaigns by a corporation aimed at its stockholders and
executive or administrative personnel and their families, or by a labor
organization aimed at its members and their families; and (C) the
establishment, administration, and solicitation of contributions to a
separate segregated fund to be utilized for political purposes by a
corporation, labor organization, membership organization, cooperative,
or corporation without capital stock.
(3) It shall be unlawful--
(A) for such a fund to make a contribution or expenditure by
utilizing money or anything of value secured by physical force, job
discrimination, financial reprisals, or the threat of force, job
discrimination, or financial reprisal; or by dues, fees, or other
moneys required as a condition of membership in a labor organization
or as a condition of employment, or by moneys obtained in any
commercial transaction;
(B) for any person soliciting an employee for a contribution to
such a fund to fail to inform such employee of the political
purposes of such fund at the time of such solicitation; and
(C) for any person soliciting an employee for a contribution to
such a fund to fail to inform such employee, at the time of such
solicitation, of his right to refuse to so contribute without any
reprisal.
(4)(A) Except as provided in subparagraphs (B), (C), and (D), it
shall be unlawful--
(i) for a corporation, or a separate segregated fund established
by a corporation, to solicit contributions to such a fund from any
person other than its stockholders and their families and its
executive or administrative personnel and their families, and
(ii) for a labor organization, or a separate segregated fund
established by a labor organization, to solicit contributions to
such a fund from any person other than its members and their
families.
(B) It shall not be unlawful under this section for a corporation, a
labor organization, or a separate segregated fund established by such
corporation or such labor organization, to make 2 written solicitations
for contributions during the calendar year from any stockholder,
executive or administrative personnel, or employee of a corporation or
the families of such persons. A solicitation under this subparagraph may
be made only by mail addressed to stockholders, executive or
administrative personnel, or employees at their residence and shall be
so designed that the corporation, labor organization, or separate
segregated fund conducting such solicitation cannot determine who makes
a contribution of $50 or less as a result of such solicitation and who
does not make such a contribution.
(C) This paragraph shall not prevent a membership organization,
cooperative, or corporation without capital stock, or a separate
segregated fund established by a membership organization, cooperative,
or corporation without capital stock, from soliciting contributions to
such a fund from members of such organization, cooperative, or
corporation without capital stock.
(D) This paragraph shall not prevent a trade association or a
separate segregated fund established by a trade association from
soliciting contributions from the stockholders and executive or
administrative personnel of the member corporations of such trade
association and the families of such stockholders or personnel to the
extent that such solicitation of such stockholders and personnel, and
their families, has been separately and specifically approved by the
member corporation involved, and such member corporation does not
approve any such solicitation by more than one such trade association in
any calendar year.
(5) Notwithstanding any other law, any method of soliciting
voluntary contributions or of facilitating the making of voluntary
contributions to a separate segregated fund established by a
corporation, permitted by law to corporations with regard to
stockholders and executive or administrative personnel, shall also be
permitted to labor organizations with regard to their members.
(6) Any corporation, including its subsidiaries, branches,
divisions, and affiliates, that utilizes a method of soliciting
voluntary contributions or facilitating the making of voluntary
contributions, shall make available such method, on written request and
at a cost sufficient only to reimburse the corporation for the expenses
incurred thereby, to a labor organization representing any members
working for such corporation, its subsidiaries, branches, divisions, and
affiliates.
(7) For purposes of this section, the term ``executive or
administrative personnel'' means individuals employed by a corporation
who are paid on a salary, rather than hourly, basis and who have
policymaking, managerial, professional, or supervisory responsibilities.
(c) Rules relating to electioneering communications
(1) Applicable electioneering communication
For purposes of this section, the term ``applicable
electioneering communication'' means an electioneering communication
(within the meaning of section 434(f)(3) of this title) which is
made by any entity described in subsection (a) of this section or by
any other person using funds donated by an entity described in
subsection (a) of this section.
(2) Exception
Notwithstanding paragraph (1), the term ``applicable
electioneering communication'' does not include a communication by a
section 501(c)(4) organization or a political organization (as
defined in section 527(e)(1) of title 26) made under section
434(f)(2)(E) or (F) of this title if the communication is paid for
exclusively by funds provided directly by individuals who are United
States citizens or nationals or lawfully admitted for permanent
residence (as defined in section 1101(a)(20) of title 8). For
purposes of the preceding sentence, the term ``provided directly by
individuals'' does not include funds the source of which is an
entity described in subsection (a) of this section.
(3) Special operating rules
(A) Definition under paragraph (1)
An electioneering communication shall be treated as made by
an entity described in subsection (a) of this section if an
entity described in subsection (a) of this section directly or
indirectly disburses any amount for any of the costs of the
communication.
(B) Exception under paragraph (2)
A section 501(c)(4) organization that derives amounts from
business activities or receives funds from any entity described
in subsection (a) of this section shall be considered to have
paid for any communication out of such amounts unless such
organization paid for the communication out of a segregated
account to which only individuals can contribute, as described
in section 434(f)(2)(E) of this title.
(4) Definitions and rules
For purposes of this subsection--
(A) the term ``section 501(c)(4) organization'' means--
(i) an organization described in section 501(c)(4) of
title 26 and exempt from taxation under section 501(a) of
such title; or
(ii) an organization which has submitted an application
to the Internal Revenue Service for determination of its
status as an organization described in clause (i); and
(B) a person shall be treated as having made a disbursement
if the person has executed a contract to make the disbursement.
(5) Coordination with title 26
Nothing in this subsection shall be construed to authorize an
organization exempt from taxation under section 501(a) of title 26
to carry out any activity which is prohibited under such title.
(6) Special rules for targeted communications
(A) Exception does not apply
Paragraph (2) shall not apply in the case of a targeted
communication that is made by an organization described in such
paragraph.
(B) Targeted communication
For purposes of subparagraph (A), the term ``targeted
communication'' means an electioneering communication (as
defined in section 434(f)(3) of this title) that is distributed
from a television or radio broadcast station or provider of
cable or satellite television service and, in the case of a
communication which refers to a candidate for an office other
than President or Vice President, is targeted to the relevant
electorate.
(C) Definition
For purposes of this paragraph, a communication is
``targeted to the relevant electorate'' if it meets the
requirements described in section 434(f)(3)(C) of this title.
(Pub. L. 92-225, title III, Sec. 316, formerly Sec. 321, as added Pub.
L. 94-283, title I, Sec. 112(2), May 11, 1976, 90 Stat. 490; renumbered
Sec. 316 and amended Pub. L. 96-187, title I, Secs. 105(5), 112(d), Jan.
8, 1980, 93 Stat. 1354, 1366; Pub. L. 107-155, title II, Secs. 203, 204,
214(d), Mar. 27, 2002, 116 Stat. 91, 92, 95.)
Prior Provisions
A prior section 316 of Pub. L. 92-225 was renumbered section 312,
and is classified to section 439 of this title.
Another prior section 316 of Pub. L. 92-225 was renumbered section
311, and is classified to section 438 of this title.
Amendments
2002--Subsec. (b)(2). Pub. L. 107-155, Secs. 203(a), 214(d),
substituted `` `contribution or expenditure' includes a contribution or
expenditure, as those terms are defined in section 431 of this title,
and also includes'' for `` `contribution or expenditure' shall include''
and inserted ``or for any applicable electioneering communication''
before ``, but shall not include (A)''.
Subsec. (c). Pub. L. 107-155, Sec. 203(b), added subsec. (c).
Subsec. (c)(6). Pub. L. 107-155, Sec. 204, added par. (6).
1980--Subsec. (b)(4)(B). Pub. L. 96-187, Sec. 112(d), substituted
``It'' for ``it''.
Effective Date of 2002 Amendment
Amendment by Pub. L. 107-155 effective Nov. 6, 2002, but not
applicable with respect to runoff elections, recounts, or election
contests resulting from elections held prior to Nov. 6, 2002, see
section 402 of Pub. L. 107-155, set out as an Effective Date of 2002
Amendment; Regulations note under section 431 of this title.
Effective Date of 1980 Amendment
Amendment by Pub. L. 96-187 effective Jan. 8, 1980, see section
301(a) of Pub. L. 96-187, set out as a note under section 431 of this
title.
Section Referred to in Other Sections
This section is referred to in sections 432, 433, 437g, 441c of this
title.
