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      XEROX CORP. v. AMERICANS WITH HART; KROLL v. AMERICANS WITH HART

XEROX CORP. v. AMERICANS WITH HART; KROLL v. AMERICANS WITH HART 
 XEROX CORP. v. AMERICANS WITH HART; KROLL v. AMERICANS WITH HART
 On March 10, 1988, the U.S. District Court for the District of Columbia granted     the FEC's motion to vacate two writs of attachment filed by creditors of Americans     with Hart, Inc., Gary Hart's 1984 publicly funded Presidential campaign. The     court also dismissed the FEC as a party to the cases and remanded the cases     to the Superior Court for the District of Columbia. (*Xerox Corp. v. Americans     with Hart, Inc.*and *Harry Kroll v. Americans with Hart, Inc.*;     Civil Action Nos. 88-0086 and 88-0211, respectively.) The court has not yet     acted on the FEC's motion to dismiss a third writ of attachment filed by Semper-Moses     Associates, Inc., another creditor of the 1984 Hart campaign.BackgroundThe Commission declared Gary Hart eligible to receive matching funds on December     28, 1987, 13 days after his decision to reenter the 1988 campaign for the     Presidency.On December 28, 1987, and again on January 12, 1988, the Commission was served     with writs of attachment for assets belonging to the 1984 Hart campaign. The     General Counsel filed motions with the district court which sought to have     the writs vacated. Because the creditors who served the writs were in litigation     with the 1984 Hart campaign, the Commission also authorized the General Counsel     to send letters advising the creditors that no federal statute authorized     diversion of matching funds by the government to any other party. Moreover,     the letters said that any attempt to execute a creditor's judgment against     funds of the United States government would be barred by sovereign immunity.In addition, the letters noted that the Commission did not possess any assets     which belonged to the 1984 Hart campaign. The Commission had certified that     Hart was eligible to receive matching funds for his 1988 Presidential nomination     campaign. The 1988 campaign was called Friends of Gary Hart-1988, Inc., a     separate corporate entity from Americans with Hart.In conclusion, the letters explained that the Commission did not hold any     matching payments that the candidate might be entitled to; nor did it make     the actual payment of primary matching funds. Under the Presidential Account     Primary Matching Payment Account Act, the Commission determines the eligibility     of candidates to receive matching funds and certifies the amount the candidate     is to receive to the Secretary of the Treasury. The Secretary, not the Commission,     is responsible for making the payment.**Source:**   FEC *Record --* May 1988, p. 6


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.


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