H.R. 9961: No Campaign Funded Cover-Ups Act

This bill would restrict how federal candidates and officeholders can use campaign money and legal defense funds in cases involving allegations of sexual assault, sexual abuse, or sexual harassment.

What it would prohibit

• Campaign contributions and legal expense funds could not be used to pay a lawyer to defend against claims of sexual assault, sexual abuse, or sexual harassment.
• Campaign funds or legal expense funds could not be used to pay a settlement or a court-ordered judgment related to those kinds of claims.
• Campaign funds or legal expense funds could not be used to hire a private investigator to look into the person making the claim.
• Campaign funds or legal expense funds could not be used for research aimed at finding embarrassing or negative information about the person making the claim.

How the bill treats campaign money under existing law

The bill would amend federal campaign finance law so that using campaign contributions for a settlement or court judgment tied to these claims would count as personal use. That matters because campaign money is generally not supposed to be used for personal expenses.

Limited reimbursement rule

If the covered person is found not liable for the sexual assault, sexual abuse, or sexual harassment claim, the bill would allow reimbursement from the campaign or legal expense fund for legal fees the person already paid themselves.

Who is covered

The bill applies to a covered individual, meaning a person who is either:

• a candidate for federal office, or
• a person who already holds federal office.

Retroactive effect

The bill would apply retroactively to payments made within the two years before enactment, not just to future payments.

New reporting requirements

The bill would require more detailed disclosure in campaign finance reports for legal-related spending. For each legal fee, legal service, or other legal expense, reports would need to include:

• the name of the person or entity being paid,
• the date and amount paid,
• a brief description of the general nature and purpose of the legal matter,
• whether the payment was for legal representation, reimbursement, a settlement, a judgment, or another purpose, and
• the name of any person whose legal expenses were paid or reimbursed, if different from the payee.

Relevant Companies

None found