Give to Candidates First, then to Political Fundraising Groups

Alcohol beverage execs are more likely than those in many other industries to donate to political causes. So, it's worth taking note of a new decision by the the U.S. Court of Appeals for the Fourth Circuit which concludes that a federal statute that requires broadcasters to offer the lowest unit charge (LUC) advertising rates to candidates for public office means candidates, not political parties and joint fundraising committees.

The case arose because the Federal Communication Commission's Media Bureau issued a Public Notice extending the LUCs to political parties and joint fundraising committees with non-candidate members during pre-election periods.

Four candidates challenged this interpretation, arguing it unlawfully diluted their statutory right to LUC rates by extending it to entities whose spending cannot be considered spending by or on behalf of a candidate under campaign finance law.

The candidates challenged this before the FCC, which took no action. At the same time, however, the Media Bureau formally denied a similar reconsideration petition from another party and the FCC Chairman circulated a draft order to the other commissioners dismissing the candidates petition. The Fourth Circuit's decision struck down that interpretation.

Bottom line: For the most "bang for the buck," give first to candidates then to other fundraising entities.

The case is Brown v. Federal Communications Commission, 26-1785 (4th Cir. 2026).