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Federal Election Commission | United States of America

Incorporating a nonconnected PAC

When a nonconnected committee incorporates for liability purposes only, its contributions to political committees are not subject to the Federal Election Campaign Act’s (the Act's) prohibition on corporate contributions.

Regardless of incorporation however, the treasurer remains liable for the committee‘s compliance with the Act. Liability for debts is generally governed by state law.

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Legal citations

Regulations

11 CFR 114.12(a)
Incorporation of political committees

Advisory opinions

AO 1995-10
Ownership of committee records

AO 1990-11
Campaign as separate legal entity

AO 1989-02
Committee's settlement of debt with corporate creditor

AO 1975-102
The effects of a declaration of bankruptcy by a former candidate upon committee debts and reporting obligations

This information is not intended to replace the law or to change its meaning, nor does this information create or confer any rights for or on any person or bind the Federal Election Commission or the public.

The reader is encouraged also to consult the Federal Election Campaign Act of 1971, as amended (52 U.S.C. 30101 et seq.), Commission regulations (Title 11 of the Code of Federal Regulations), Commission advisory opinions and applicable court decisions.