July 22, 1998
VIA UPS OVERNIGHT
James P. Hoffa
July 22, 1998
Page 1
James P. Hoffa
2593 Hounds Chase
Troy, MI 48098
Hoffa Slate
c/o Patrick J. Szymanski, Esq.
Baptiste & Wilder
1150 Connecticut Avenue, NW
Suite 500
Washington, DC 20036
Tom Leedham
c/o Tom Leedham Campaign Office
Post Office Box 15877
Washington, DC 20003
John Hess, Co-Editor
Jump Cut, A Review of
Contemporary Media
405 E Street, NE
Washington, DC 20002
Gail Sullivan
405 E Street, NE
Washington, DC 20002
Michael Eisenscher
c/o John Hess, Co-Editor
Jump Cut, A Review of
Contemporary Media
405 E Street, NE
Washington, DC 20002
Bradley T. Raymond, Esq.
Finkel, Whitefield, Selik,
Raymond, Ferrara & Feldman
32300 Northwestern Highway
Suite 200
Farmington Hills, MI 48334
James P. Hoffa
July 22, 1998
Page 1
Re: Election Office Case No. PR-166-TLC-EOH
Gentlepersons:
James P. Hoffa, a candidate for general president, and the Hoffa Unity Slate filed a pre-election protest pursuant to Article XIV, Section 2(b ) of the Rules for the 1995-1996 IBT International Union Delegate and Officer Election (“Rules”) against Tom Leedham, a candidate for general president, John Hess, the spouse of an IBT member Gail Sullivan, and Michael Eisenscher. The protester alleged that Messrs. Hess and Eisenscher engaged in solicitation and fundraising for Mr. Leedham’s legal and accounting fund in violation of the Rules. Messrs. Hess and Leedham deny that their actions violated the Rules. Mr. Eisenscher did not respond to the allegations.
This protest was investigated by Director of Campaign Finance Leslie Deak.
James P. Hoffa
July 22, 1998
Page 1
Mr. Hess is married to Gail Sullivan, a member of Local Union 174. He teaches film at the University of Maryland. He works for the University on contract; he is not a tenured professor. He, along with two other friends, publishes a periodical, Jump Cut, A Review of Contemporary Media. He does not employ any employee as a teacher or for his publication.
In June 1998, Mr. Hess sent a letter by electronic mail to his friends and acquaintances. In the letter, Mr. Hess identified himself as the spouse of an IBT member and solicited contributions for Mr. Leedham’s legal and accounting fund. Mr. Hess provided a summary explanation of the Rules with regard to campaign finance, stating that while only Teamster members and their families can contribute directly to Mr. Leedham’s campaign, others who are not employers may contribute to Mr. Leedham’s legal and accounting fund. Mr. Hess listed the information Mr. Leedham’s campaign needed from contributors, specifically name, address, employer, and occupation.
Mr. Eisenscher received Mr. Hess’s solicitation on July 5, 1998, and apparently sent the e-mail he had received from Mr. Hess to others through electronic mail. The Election Office has been unable to discover any information about Mr. Eisenscher. Neither Mr. Leedham nor Mr. Hess know Mr. Eisenscher. The Election Office sent an e-mail to Mr. Eisenscher using the e-mail address from the solicitation, but has received no response.
Employers are prohibited from making campaign contributions to general campaign funds. Rules, Article XII, Section 1(b)(1). Disinterested employers are allowed to contribute to legal and accounting funds established by candidates as long as the legal and accounting funds are segregated from the general election campaign funds. Rules, Article XII, Section 1(b)(2). The Advisory on Campaign Contributions and Disclosure, revised November 1997, (“Advisory”) states that “[l]egal and accounting funds may not be used to pay the expenses of soliciting contributions for the legal and accounting funds; such expenses must be paid with regular campaign funds.” Advisory, at 18. Therefore, contributions from employers cannot be used to solicit donations for candidates’ legal and accounting funds. Moriarty, PR-066-JHS-EOH (April 10, 1998).
Just as IBT members and their families may make campaign contributions, they may also solicit contributions to candidates’ legal and accounting funds. Mr. Hess, therefore, can solicit contributions for Mr. Leedham’s legal and accounting fund.
The Advisory further provides that
[N]on-member[s] may volunteer personal services to a campaign without making a contribution if the individual is not compensated by anyone for such services and the services are not within the individual’s regular business, work or income-producing activity.
James P. Hoffa
July 22, 1998
Page 1
Advisory, at 13.
Mr. Hess was not compensated by Mr. Leedham for his solicitation. Mr. Hess does not engage in fundraising activity, such as the preparation and dissemination of solicitation letters, in his occupation as a teacher or publisher. He used his personal computer and supplies in preparing and disseminating the letter. Therefore, in his volunteer capacity, Mr. Hess has not contributed to Mr. Leedham’s campaign.
Mr. Leedham has no information as to whether Mr. Eisenscher is an employer, an interested employer or a permissible contributor. Without being able to identify Mr. Eisenscher, the Leedham Campaign cannot insure that the contribution complies with the Rules, therefore, the Election Officer finds it was impermissible. Under Article XII, Section 1(b)(9) of the Rules, a candidate is strictly liable for insuring that all contributions received by its campaign comply with the Rules. The strict liability standard placed the burden for ascertaining the source of its contributions on Mr. Leedham’s campaign.
Accordingly, this protest is hereby DENIED in part; and GRANTED in part.
The Election Officer realizes that a remedy pertaining to the contribution from an unknown individual is difficult. Therefore, he orders the following remedy:
1. Mr. Leedham is directed to immediately cease and desist from accepting improper contributions.
2. Within two (2) days, Mr. Leedham is to e-mail to Mr. Eisenscher at meisenscher@igc.apc.org the following message:
The Tom Leedham Campaign has been directed to cease and desist from accepting improper contributions. You are directed not to make any solicitations by e-mail or otherwise on behalf of the Tom Leedham Campaign.
3. Within three (3) days, Mr. Leedham is to submit an affidavit to the Election Officer attesting to the sending of the e-mail with a copy of the e-mail attached.
Any interested party not satisfied with this determination may request a hearing before the Election Appeals Master within one (1) day of receipt of this letter. The parties are reminded that, absent extraordinary circumstances, no party may rely upon evidence that was not presented to the Office of the Election Officer in any such appeal. Requests for a hearing shall be made in writing and shall be served on:
James P. Hoffa
July 22, 1998
Page 1
Kenneth Conboy, Esq.
Latham & Watkins
885 Third Avenue, Suite 1000
New York, NY 10022
Fax: (212) 751-4864
Copies of the request for hearing must be served on the parties listed above as well as upon the Election Officer, 444 North Capitol Street, NW, Suite 445, Washington, DC 20001, Facsimile (202) 624-3525. A copy of the protest must accompany the request for a hearing.
Sincerely,
Michael G. Cherkasky
Election Officer
MGC:chh
cc: Kenneth Conboy, Election Appeals Master