Federal Election Commission v. National Conservative Political Action Committee

Anticipating PAC activity, the FEC and Common Cause, a long-time proponent of campaign finance reform, challenged the extensive spending by independent organizations with reference to provisions of PECFA. They filed suit in 1980 seeking to affirm the constitutionality of section 9012(f) of PECFA. The section stipulates that independent PACs could not spend more than $1,000 to support the election of a presidential candidate. The case quickly proceeded to the Supreme Court who reached a deadlock on the constitutional question. The deadlock left independent spending unaffected for the 1980 political campaign. As a result, NCPAC pioneered PAC independent spending strategies designed to defeat liberal Democrats in the 1980 elections. In 1980 NCPAC spent more than $7 million and FCM more than $2 million on Ronald Reagan's election campaign in an effort to gain control of the White House for the conservative Republicans.

In May of 1983, the Democratic party and the Democratic National Committee became alarmed by NCPAC's and FCM's intent to spend even more monies to gain President Reagan's re-election in 1984. Consequently, they filed suit to determine the legality of the two PACs' activities. Shortly afterwards, FEC joined the Democrats in the suit.

The plaintiffs initially filed suit accusing NCPAC of violating PECFA with the Federal District Court of the Eastern District of Pennsylvania. The suit focused on the spending of the PACs. The three-judge panel found 9012(f) not constitutionally valid on grounds that any limitation on spending by the PACs would violate First Amendment rights of free speech and free association. The plaintiffs appealed to the Supreme Court.