We are now roughly eight months away from a presidential election that has provided upsets, captivating storylines and ample fodder for late night comedians. While not as well understood, this election cycle has also underscored the potential for corporations to take an active role in the political process, as well as the potential legal and reputational risks of such involvement.
Corporations are increasingly viewing political activity as a necessary component to their business activities. Companies in a few heavily regulated industries have long understood that the key questions of whether and how your business can operate are often decided by public officials. As a result, those companies have historically established robust government affairs programs to lobby public officials. Today, corporations in a wide range of industries are reaching the same conclusion. In addition, many companies are going beyond lobbying and supplementing their existing public affairs function with electoral involvement.
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