Supreme Court strikes down a federal restriction that applied to candidates who loan large amounts of money to their own political campaigns, a victory for Sen. Cruz, the Texas Republican who challenged it.
struck down a federal restriction that applied to candidates who loan large amounts of money to their own political campaigns, a victory for Sen. Ted Cruz, the Texas RepublicanIn a 6-3 ruling, the court said the law, adopted in 2002, was a violation of a political candidate’s free expression, applyingthat said because money buys the ability to spread a political message, limits on expenditures implicate the First Amendment.
Cruz loaned his re-election campaign $260,000 — intentionally going above the limit in order to trigger a legal challenge — when then-Rep. Beto O’Rourke ran against him in 2018. Justices Stephen Breyer, Sonia Sotomayor, and Elena Kagan dissented. In an opinion for the three, Kagan said that when political candidates loan money to their own campaigns and then solicit donations in order to get repaid, the contributors know the money they’re giving goes directly to the candidate’s pocket.
At the time, the Cruz campaign against O'Rourke was the most expensive Senate contest in history. When his campaign said it could not repay the senator the full amount, Cruz filed a lawsuit challenging the limitation.
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