Pa. Supreme Court Sides with Cozen O’Connor in Campaign Finance Dispute

Unanimous opinion (with some recusals):

The primary issue in this appeal is whether a law firm’s post-election forgiveness of a political campaign committee’s unpaid legal fees, which were incurred due to the
firm’s representation of a candidate in a ballot challenge, is subject to the contribution limitations established in the Philadelphia Campaign Finance Law, Philadelphia Code Chapter 20-1000, et seq. (“Code”), as applicable in 2007. The Commonwealth Court held that the post-election forgiveness of debt would constitute a “contribution” to the candidate’s political campaign under Section 1001(6) of the Code, and, thus, was subject to the $10,000 per year contribution limitation set forth in Section 1001(2). For the reasons set forth herein, we hold that the law firm’s forgiveness of debt would not constitute a contribution to the candidate’s political campaign as the debt at issue was [J-40-2014] – 2 not incurred “for use in . . . influencing the election of the candidate.” Id. § 1001(6). Accordingly, we reverse the order of the Commonwealth Court.

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