December 3, 1996
VIA UPS OVERNIGHT
Joe Fahey
December 3, 1996
Page 1
Joe Fahey, President
Teamsters Local Union 912
163 W. Lake Avenue
Watsonville, CA 95076
James P. Hoffa
2593 Hounds Chase
Troy, MI 48098
Ron Carey Campaign
c/o Nathaniel Charny
Cohen, Weiss & Simon
330 W. 42nd Street
New York, NY 10036
WLUP Radio
875 N. Michigan Avenue
Suite 3750
Chicago, IL 60611
Jim Belushi
c/o House of Blues
329 N. Dearborn
Chicago, IL 60610
Bradley T. Raymond
Finkel, Whitefield, Selik, Raymond,
Ferrara & Feldman
32300 Northwestern Highway, Suite 200
Farmington Hills, MI 48334
Joe Fahey
December 3, 1996
Page 1
Re: Election Office Case No. P-1293-LU912-NYC
Gentlemen:
A pre-election protest was filed pursuant to Article XIV, Section 2(b) of the Rules for the 1995-1996 IBT International Union Delegate and Officer Election (“Rules”) by Joe Fahey, a member of Local Union 912. Mr. Fahey alleges that screen actor Jim Belushi and WLUP, a Chicago radio station, made improper contributions to the campaign of James P. Hoffa, a candidate for general president. Specifically, Mr. Fahey alleges that while appearing on a WLUP talk show, Mr. Belushi endorsed Mr. Hoffa’s candidacy. Mr. Fahey also asserts that Mr. Hoffa’s campaign is strictly liable for the alleged improper endorsement.
In response, Mr. Belushi admits endorsing Mr. Hoffa’s candidacy but denies that he is an employer. Mr. Hoffa responds that Mr. Belushi’s comments are protected free speech and that the publication of his comments by WLUP fall within the media exception.
Joe Fahey
December 3, 1996
Page 1
This protest was investigated by New York City Protest Coordinator Barbara Deinhardt.
On November 20, 1996, Mr. Belushi called into a talk show hosted by Jonathan Brandmeier on WLUP (97.9 FM) radio in Chicago. WLUP is owned by Evergreen Media. The Brandmeier show is syndicated and is presented in a talk radio/comedy format. Mr. Belushi has been a call-in guest on the program several times before.
On this occasion, Mr. Belushi talked with Mr. Brandmeier about a new music establishment in the city, Chicago House of Blues. After speaking of this new venture,
Mr. Belushi said, “How’s Billy Hogan doing?”[1] Mr. Brandmeier did not respond. Mr. Belushi then said, “The ballots are out. We need to turn this town back into the union town it once was. We need everyone to vote for Hoffa.” Mr. Belushi does not deny making these statements.
Based on the investigation, Mr. Belushi is not an employer. As to the Chicago House of Blues, Mr. Belushi is a small investor who receives stock options in the Chicago House of Blues as compensation for his performances. He also owns stock options in the Los Angeles House of Blues through a similar compensation arrangement. Mr. Belushi has no managerial authority at either establishment.
Mr. Belushi also is currently under contract to do a television show for Brilstein, Grey. As part of the compensation arrangement with Brilstein, Grey, a secretary performs services for him. The secretary’s compensation is paid for by Brilstein, Grey and Mr. Belushi has no power to hire or fire her. Mr. Belushi also is part of a band. Other members of the band are indepen-dent contractors and are not employed by him. Money made by the band is split among the individuals. Mr. Belushi does not file government employer forms with social security or the IRS.
The Election Officer’s “Advisory on Campaign Contributions and Disclosure,” states inter alia that the Rules permit persons who are “[n]on-members who are not otherwise considered employers under the Rules . . .” from making campaign contributions.
The Election Officer finds that Mr. Belushi is not an employer as defined by the Rules. Instead, Mr. Belushi is a non-member of the IBT who is permitted to make a campaign contribution, i.e., to endorse a candidate for International office.
Joe Fahey
December 3, 1996
Page 1
There is no question that WLUP is an employer as defined by the Rules. However, the Election Officer has recognized a broad exception to the Article XII, Section 1 prohibition against employer contributions for “publications intended for and disseminated to the general public,” as to which “[t]he First Amendment of the U.S. Constitution requires . . . the greatest latitude in exercising the right to communicate.” Hoffa, P-743-IBT-SCE (May 23, 1996). Thus, under a “media exception” to the regulation of campaign contributions, the Election Officer does not exercise jurisdiction over “newspaper or magazine articles published by entities which are not owned or whose editorial policies are not controlled by candidates or committees acting on behalf of candidates.” Pressler, P-365-LU705-CHI (February 22, 1996); Brennan, P-971-IBT (October 16, 1991); Scott, P-969-IBT (October 18, 1991). The media exception also applies to cable and broadcast media. See, e.g., Pressler (applying media exception to radio broadcast).
WLUP was fully protected by the media exception in deciding to interview Mr. Belushi and in allowing Mr. Belushi to express his views on the campaign. There is no evidence that any person from Mr. Hoffa’s campaign controls the radio station’s editorial decisions.
Accordingly, this protest is DENIED.
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
Barbara C. Deinhardt, New York City Protest Coordinator
[1]This reference is to William T. Hogan, former secretary-treasurer at Local Union 714 and a former candidate for International secretary-treasurer on Mr. Hoffa’s slate.