July 1, 1996
VIA UPS OVERNIGHT
James P. Hoffa
July 1, 1996
Page 1
James P. Hoffa
2593 Hounds Chase
Troy, MI 48098
Ron Carey, General President
International Brotherhood of Teamsters
25 Louisiana Avenue, N.W.
Washington, DC 20001
Corinne Lippa, President
Teamsters Local Union 398
190 Dodge Street
Rochester, NY 14606
John Sullivan, Associate General Counsel
International Brotherhood of Teamsters
25 Louisiana Avenue, N.W.
Washington, DC 20001
James P. Hoffa
July 1, 1996
Page 1
Re: Election Office Case No. P-814-LU398-PGH
Gentlepersons:
James P. Hoffa, a candidate for general president, filed a pre-election protest pursuant to Article XIV, Section 2(b) of the Rules for the 1995-1996 IBT International Union Delegate and Officer Election (“Rules”) against Corinne Lippa, president of Local
Union 398. The protester alleges that Ms. Lippa used union resources to mail out a request to Local Union 398 shop stewards to circulate campaign material. Ms. Lippa admits using union resources for campaign purposes.
Regional Coordinator William B. Kane investigated the protest.
Ms. Lippa obtained a petition form from the Carey campaign. On or about May 31, 1996, Ms. Lippa mailed to the Local Union 398 shop stewards a memorandum requesting them to circulate the petition for return to the Carey campaign. She used official union stationery, envelopes and stamps for this mailing. Ms. Lippa has acknowledged that she violated the Rules. She has reimbursed the local union for the postage she used for the mailing.
James P. Hoffa
July 1, 1996
Page 1
The Rules protect Ms. Lippa’s right to campaign.[1] However, the Rules provide that union resources cannot be used for campaigning. The prohibition in Article XII,
Section 1(b)(3) on using local union stationery is specific and without qualification.
Article XII, Section 1(b)(3) provides that:
No Union funds or other things of value shall be used, directly or indirectly, to promote the candidacy of any individual. Union funds, facilities, equipment, stationery, personnel, etc., may not be used to assist in campaigns unless the Union is compensated at fair market value for such assistance, and unless all candidates are provided equal access to such assistance and are advised in advance, in writing of the availability of such assistance. The use of the Union’s official stationery with the Union’s name, insignia or other mark identifying the Union is prohibited irrespective of compensation or access.
Ms. Lippa used union resources, including official union stationery, to support the Carey campaign. Moreover, she failed to observe the requirement of Article VIII,
Section 11(c) of the Rules that all candidates be notified in advance, in writing, of the availability of local union resources for a mailing to stewards.
Article XII, Section 1(b)(9) of the Rules provides, “Candidates are strictly liable to insure that each contribution received is permitted under the Rules.” In addition to imposing liability on the contributor, the Election Officer has found that the benefitted candidate is strictly liable. Pratt, P-469-LU966-NYC (April 2, 1996), aff’d, 96 - Elec. App. - 168
(April 15, 1996).
Regarding the candidate’s liability, the Election Appeals Master has stated:
Under [Article XII, Section 1(b)(9) of] the Rules, all candidates are strictly liable for the receipt of any improper contributions, whether or not solicited, and whether or not specifically known. This is an essential rule in the administration of an election procedure as complex and protracted as we are dealing with here. Indeed, national candidates for political office at the congressional and presidential level are routinely sanctioned for the improper use of campaign contributions, even when specific intent and personal knowledge are absent.
James P. Hoffa
July 1, 1996
Page 1
Accordingly, in this protest, the Election Officer finds that both Ms. Lippa and the Carey campaign have violated the Rules.
Therefore, the protest is GRANTED.
When the Election Officer determines that the Rules have been violated, she “may take whatever remedial action is appropriate.” Article XIV, Section 4. In fashioning the appropriate remedy, the Election Officer views the nature and seriousness of the violation as well as its potential for interfering with the election process.
The Election Officer orders the following remedy:
(1) Ms. Lippa shall cease and desist from using union resources to the campaign of a candidate for International office. The Carey campaign shall cease and desist from accepting a campaign contribution from any local union or subordinate body.
(2) Ms. Lippa shall reimburse the local union $5 for the local union stationery she used in the protested mailing.
(3) The candidate for whom no prohibited distribution of campaign material was made will be provided with a similar benefit. See Gilberg, P-284-IBT (September 20, 1991), rev’d on other grounds, 91 - Elec. App. - 194 (SA) (October 2, 1991) (providing equal benefit to one slate for employer contribution to other slate). Therefore, the Hoffa campaign shall be provided a mailing to the Local Union 398 stewards. If the Hoffa campaign wishes to mail out literature to the stewards, it should provide the literature, reproduced and tri-folded, to Local Union 398 within seven (7) days of receipt of this decision. The local union shall be responsible for the actual mailing out of the literature within five (5) days of the date of receipt of the literature.
(4) Mr. Carey and Ms. Lippa shall sign the notice attached hereto. The local union shall mail the notice to its stewards and post the notice for thirty (30) consecutive days on all union bulletin boards within seven (7) days of receipt of this decision. The costs of this mailing shall be paid by Mr. Carey’s campaign.
(5) After posting the notice and, if requested, mailing out campaign literature, but in any event, no later than fourteen (14) days after receipt of this decision, Ms. Lippa and
Mr. Carey shall each provide a signed affidavit to the Election Officer demonstrating their compliance with the foregoing order.
An order of the Election Officer, unless otherwise stayed, takes immediate effect against a party found to be in violation of the Rules. In Re: Lopez, 96 - Elec. App. - 73 (KC) (February 13, 1996).
James P. Hoffa
July 1, 1996
Page 1
Any interested party not satisfied with this determination may request a hearing before the Election Appeals Master within one day of receipt of this letter. The parties are reminded that, absent extraordinary circumstances, no party may rely upon evidence that was not presented to the Office of the Election Officer in any such appeal. Requests for a hearing shall be made in writing and shall be served on:
Kenneth Conboy, Esq.
Latham & Watkins
885 Third Avenue, Suite 1000
New York, NY 10022
Fax (212) 751-4864
Copies of the request for hearing must be served on the parties listed above as well as upon the Election Officer, 400 N. Capitol Street, Suite 855, Washington, DC 20001, Facsimile
(202) 624-3525. A copy of the protest must accompany the request for a hearing.
Sincerely,
Barbara Zack Quindel
Election Officer
cc: Kenneth Conboy, Election Appeals Master
William B. Kane, Regional Coordinator
NOTICE TO MEMBERS OF LOCAL UNION 398
The Election Rules forbid the contribution of local union resources to a campaign for International office. The Rules prohibit the use of union funds to assist in campaigning unless the union is reimbursed at fair market value for such assistance and unless all candidates are provided equal access to such assistance and are notified in advance in writing of the availability of such assistance. The Rules specifically, and without qualification, prohibit the use of official union stationery for campaign purposes.
We violated the Rules when Ms. Lippa used union resources to mail a memorandum requesting that a petition be circulated for the Carey campaign, without providing advance, written notice of the availability of these resources to James P. Hoffa, who is also a candidate for general president. We violated the Rules when Ms. Lippa utilized official local union stationery to do the mailing. Ms. Lippa reimbursed the local union for the costs of the mailing. Mr. Hoffa has been offered union resources for a similar mailing. The Carey campaign has paid for this mailing to stewards.
We understand that the use of union resources for campaign purposes is prohibited under the Rules and will not use such resources in the future.
_________________________ ___________________________
Ron Carey, General President Corinne Lippa, President
IBT Teamsters Local Union 398
This is an official notice which must remain posted for 30 consecutive days and must not be defaced or altered in any manner or be covered with any other material.
Approved by Barbara Zack Quindel, IBT Election Officer.
[1]Article VIII, Section 11(b) of the Rules provides that “All Union officers and employees, if members, retain the right to participate in campaign activities, including the right . . . to openly support or oppose any candidate, [and] to aid or campaign for any candidate . . .”