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Lobbying is a legal activity in the US, protected by the First Amendment as a form of free speech. However, it is a felony to break lobbying laws, which are complex and strictly enforced. The Lobbying Disclosure Act of 1995 defines what constitutes a lobbyist, their required government registration, their actions, and how they must comply to avoid penalties. For example, in California, lobbyists and lobbying firms are prohibited from making gifts or gifts totalling more than $10 in a calendar month to a state official. Lobbying is a lucrative business, with top lobbying sectors between 1998 and 2010 including finance, insurance, real estate, communications and electronics.
Characteristics | Values |
---|---|
Lobbying defined | Attempting to influence decisions made by a public official, usually to pass or defeat legislation |
Who hires lobbyists? | Special interest groups, corporations, private companies, nonprofits, unions |
Legality | Protected by the First Amendment as the right "to petition the government" |
Penalties | Jail time |
Lobbying expenses | $3.37 billion in 2017 |
What You'll Learn
Lobbying is protected by the First Amendment and the Lobbying Disclosure Act
Lobbying is protected by the First Amendment to the U.S. Constitution and the Lobbying Disclosure Act. The First Amendment protects the right to free speech and to petition the government for a redress of grievances. This right to petition the government is often interpreted as the right to lobby.
The Lobbying Disclosure Act of 1995 defines what constitutes a lobbyist and their required government registration, what lobbyist actions consist of, and how lobbyists must comply to avoid penalties. The Act was enacted to ensure that lobbying is publicly registered, allowing the public to evaluate any undue influences that may be affecting decision-making in the government.
The First Amendment and the Lobbying Disclosure Act protect the right to lobby as an inherent part of a constitutional republic. Lobbying is a way for citizens to participate in government and represent their interests. It is a form of influencing legislative action that affects all citizens and is distinct from bribery, which provides for an instance of favoritism to an individual or group.
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Lobbying is a paid activity
The term "lobbying" generally means a paid activity with the purpose of attempting to "influence or sway" a public official – including bureaucrats and elected officials – towards a desired specific action often relating to specific legislation. Lobbying is often perceived negatively by journalists and the American public, with critics considering it a form of bribery, influence peddling, or extortion. However, lobbying is protected by the First Amendment to the U.S. Constitution and is considered an important lever for a productive government.
The number of lobbyists in Washington is estimated to be over 12,000, with the industry bringing in $9 billion annually, mostly from corporations. Lobbying takes place at every level of government and can have a strong influence on the political system. Lobbyists are intermediaries between client organisations and lawmakers, explaining to legislators what their organisations want and vice versa.
There are two main types of lobbying: paid versus free lobbying, and inside versus outside lobbying. While the bulk of lobbying is done by business and professional interests who hire paid professionals, some lobbyists represent non-profits pro-bono for issues in which they are personally interested. Inside lobbying, or direct lobbying, involves direct attempts by lobbyists to influence legislation or rule-making by contacting legislators and their assistants. Outside lobbying, or indirect lobbying, includes attempts by interest group leaders to mobilise citizens outside the policymaking community, perhaps by using public relations methods or advertising, to prompt them to pressure public officials.
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Lobbying is done at every level of government
In Washington, D.C., lobbyists usually target members of Congress, but they also try to influence executive agency officials and Supreme Court appointees. Lobbying can strongly influence the political system. For example, a 2014 study suggested that special interest lobbying enhanced the power of elite groups and contributed to the nation's shift towards an oligarchy, where average citizens have little to no influence.
Lobbying is also prevalent at the state level, with lobbyists representing their clients' interests in state capitals. Additionally, there is lobbying activity at the county and municipal levels, particularly in larger cities and populous counties.
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Lobbying is a business
The business of lobbying involves paid professionals, often lawyers, who are hired by special interest groups to influence legislators or government officials. These lobbyists are intermediaries between their client organisations and lawmakers, explaining to legislators what their organisations want and vice versa.
The number of registered lobbyists in Washington is substantial, with over 12,000 lobbyists in 2018. However, most lobbying activity is handled by fewer than 300 firms. The barriers to entry are serious, as lobbyists need to have been "roaming the halls of Congress for years and years" to gain the necessary connections and influence.
The business of lobbying is lucrative, with top lobbyists earning millions of dollars a year. For example, lobbyist Gerald Cassidy donated a million dollars to one project and, in return, his firm received "many times that much in fees from their clients".
The business of lobbying is also controversial. Critics see it as a form of bribery that allows people with socioeconomic power to corrupt the law to serve their interests. However, lobbying is protected by the First Amendment to the US Constitution and the Lobbying Disclosure Act.
The business of lobbying is also subject to complex rules and regulations. For example, gifts for congresspeople and staffers are generally not allowed, and failing to follow lobbying rules can result in penalties, including jail time.
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Lobbying is regulated by law
Lobbying is a legal activity in the United States, protected under the First Amendment of the U.S. Constitution, which guarantees citizens the right "to petition the Government for a redress of grievances".
The practice is also supported by the Lobbying Disclosure Act of 1995, which defines what constitutes a lobbyist, their required government registration, what lobbyist actions consist of, and how lobbyists must comply to avoid penalties. The Act was amended in 2007 by the Honest Leadership and Open Government Act, which strengthened disclosure requirements and increased penalties for violations.
The legal framework surrounding lobbying is complex and stringent, with mandatory electronic filing of all lobbying registrations and reports. The Lobbying Disclosure Act requires paid lobbyists to file reports on their lobbying activity, on whether they previously held certain government positions, and more. The Act also requires lobbyists to disclose any criminal convictions.
Lobbying is a paid activity, with lobbyists often being well-connected lawyers or advocates, hired by special interest groups to argue for specific legislation. It is a highly profitable business, with the top 300 firms in Washington, D.C. handling most of the lobbying (in terms of expenditures).
While lobbying is a legal activity, it is subject to strict rules and regulations, and non-compliance can lead to civil or criminal penalties, including fines and imprisonment.
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Frequently asked questions
Lobbying is the act of attempting to influence decisions made by a public official, usually to pass or defeat legislation. Lobbying is protected by the First Amendment as a citizen's right "to petition the government".
The Lobbying Disclosure Act of 1995 defines what constitutes a lobbyist and their required government registration, what lobbyist actions consist of, and how lobbyists must comply to avoid penalties.
Breaking lobbying laws can result in civil fines of up to $200,000. Knowingly and corruptly failing to comply with lobbying laws can result in imprisonment for up to 5 years or fines under Title 18, United States Code.