Why can super PACs accept unlimited contributions under federal campaign-finance rules?

Super PACs are permitted to accept unlimited contributions due to two key legal developments following the 2010 Citizens United v. Federal Election Commission decision.

First, the Supreme Court ruled in Citizens United that the government cannot constitutionally limit independent political expenditures by corporations and unions, as such restrictions violate the First Amendment guarantee of freedom of speech.1

Second, the U.S. Court of Appeals for the District of Columbia Circuit, relying on the Citizens United precedent, ruled in SpeechNow.org v. Federal Election Commission that limits on the amounts individuals could contribute to organizations making only independent expenditures were unconstitutional.23

Together, these rulings established that because these groups—now known as Super PACs—do not coordinate their spending with candidates or political parties, their fundraising and spending cannot be capped. While this shift is defended by some as a victory for free speech, critics argue it undermines the integrity of democratic institutions by allowing wealthy interests to exert outsized influence on elections.4213