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National Treasury Employees Union v. United States of America

Citations: 927 F.2d 1253; 288 U.S. App. D.C. 398; 1991 U.S. App. LEXIS 4088; 1991 WL 33222Docket: 90-5406, 90-5407 and 90-5413

Court: Court of Appeals for the D.C. Circuit; March 15, 1991; Federal Appellate Court

Narrative Opinion Summary

The case involves the National Treasury Employees Union and other appellants challenging Title VI of the Ethics Reform Act of 1989, which prohibits federal employees below GS-16 from receiving honoraria. The appellants argued that this ban infringes on their First Amendment rights and sought a preliminary injunction. The district court, however, denied the request, finding no irreparable harm demonstrated by the appellants, a decision affirmed by the Appeals Court. Title VI, effective January 1, 1991, restricts honoraria for most federal employees but allows certain related payments. The Office of Government Ethics issued regulations permitting reimbursement of expenses related to free speech activities and allowing payments to charities. The appellants contended the ban deterred First Amendment activities due to the absence of financial incentives. However, the court ruled that potential future impacts did not merit injunctive relief, emphasizing that speculative harms and recoverable income losses do not satisfy the irreparable harm requirement. Consequently, the appellants' motion for a preliminary injunction was denied, leaving the honoraria ban in place while litigation continues.

Legal Issues Addressed

Advisory Opinions and Good Faith Protection

Application: Federal employees may seek advisory opinions on honoraria compliance, and those acting in good faith based on these opinions are protected from penalties.

Reasoning: Employees unsure about the legality of specific compensation can request an advisory opinion from ethics officials, and those acting in good faith based on such opinions are protected from civil or disciplinary actions.

Definition and Exceptions of Honoraria

Application: Title VI prohibits most federal employees from receiving honoraria, with exceptions for specific payments related to speaking or writing.

Reasoning: Title VI...prohibits most federal employees from receiving honoraria while employed...Interim regulations issued by the Office of Government Ethics (OGE) allow executive employees to receive certain payments related to speaking or writing...

Financial Impact and Irreparable Harm

Application: The court noted that temporary income loss, which can be recovered later, does not constitute irreparable harm.

Reasoning: The court counters that temporary income loss, which can be recovered later, does not constitute irreparable harm.

First Amendment Rights and Honoraria Ban

Application: The plaintiffs argued that the ban on honoraria infringes on their First Amendment rights to receive compensation for appearances, speeches, and articles.

Reasoning: The National Treasury Employees Union and other appellants...arguing that the ban on honoraria infringes their First Amendment rights to receive compensation for appearances, speeches, and articles.

Irreparable Harm and Preliminary Injunctions

Application: The court concluded that compliance with the honoraria ban would not cause irreparable harm, which is a requirement for granting a preliminary injunction.

Reasoning: The district court denied their request, concluding that compliance with Title VI would not cause irreparable harm...the appellants did not prove irreparable injury despite presenting a substantial legal question.

Speculative Harm and Preliminary Relief

Application: The court emphasized that speculative future harms do not justify preliminary injunctive relief.

Reasoning: Citing precedent, the court emphasizes that relief cannot be based on speculative future harms.