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             Congressional_______
          SaResearch Service






Supreme Court Invalidates Cap on Repayment

of   Candidate Loans Under the First

Amendment: Considerations for Congress



July 27, 2022
In Federal Election Commission (FEC) v. Ted Cruz for Senate, the U.S. Supreme Court invalidated a
provision of federal campaign finance law establishing a $250,000 limit on the amount of post-election
campaign contributions that may be used to repay candidates for personal loans made to their campaign
committees pre-election. On May 16, 2022, by a 6-3 vote, the Court held that the appellees, Senator
Rafael Edward Ted Cruz and his principal campaign committee, Ted Cruz for Senate, had standing to
challenge the loan-repayment limit and that the limit violates the Free Speech Clause of the First
Amendment.
This Legal Sidebar examines the Court's ruling in this case and concludes with an analysis of
considerations for Congress. An earlier CRS product, Campaign Finance and the First Amendment:
Supreme Court Considers Constitutionality ofLimits on Repayment of Candidate Loans, discusses the
facts of this case, the procedural history, and the arguments made before the Court.


Supreme Court Ruling in FEC v. Ted Cruz for Senate


Standing

As a threshold matter, the majority opinion written by Chief Justice Roberts held that the appellees,
Senator Cruz and his campaign committee (hereinafter collectively referred to as the Cruz campaign)
had standing to sue. Standing is a constitutional requirement that a plaintiff have a concrete, personal
interest in the litigation instead of a general policy objection or other generalized grievance. One element
of standing is that the plaintiff must have suffered an injury that is fairly traceable to the challenged
action.
The government asserted that, for two reasons, the injuries sustained by the Cruz campaign were not
traceable to the enforcement of the loan-repayment limit. First, the government argued that because the
Cruz campaign triggered the loan-repayment limit by intentionally failing to repay any part of Senator
Cruz's outstanding loan within 20 days of the election-as permitted by an FEC regulation-the injury is
                                                            Congressional Research Service
                                                              https://crsreports. congress.gov
                                                                               LSB10796

CRS Legal Sidebar
Prepared for Members and
Committees of Congress

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