Here is the full draft text of the proposed constitutional initiative in Montana (known informally as the Montana Plan or Transparent Election Initiative) that would redefine the powers of “artificial persons” (e.g., corporations) and prohibit their spending on elections or ballot issues. Daily Montanan+1
Full Text of Initiative
BE IT ENACTED BY THE PEOPLE OF THE STATE OF MONTANA:
NEW SECTION. Section 1. Article XIII of The Constitution of the State of Montana is amended by adding a new section 8 that reads:
Section 8. Powers of Artificial Persons.
(1) Artificial Persons exist only by grant of the state and shall have no powers or privileges except those this constitution expressly provides. Daily Montanan(2) (a) The legislature may by statute create Artificial Persons consistent with subsection (1).
(b) The people never did, and do not, intend the powers of Artificial Persons to include Election Activity or Ballot-Issue Activity. This section retracts all Artificial Persons’ powers and re-grants only those powers that the people deem necessary or convenient to carry out an Artificial Person’s lawful business or charitable purposes, as described in (3)(e). Powers related to Election Activity or Ballot-Issue Activity shall not be deemed necessary or convenient to those purposes. Daily Montanan
(3) Definitions.
(a) “Artificial Person” means every entity whose existence or limited-liability shield is conferred by Montana law, including, without limitation: … Daily Montanan
(e) “Artificial Person Powers” means powers necessary or convenient to carry out lawful business or charitable purposes, excluding any power to directly or indirectly engage in Election Activity or Ballot-Issue Activity. Daily Montanan
(f) “Charter Privilege” means any benefit to Artificial Persons that exists only because the state of Montana confers it, such as, without limitation, limited liability, perpetual duration, succession in its corporate name, and tax credits and abatements. Daily Montanan
(g) “Foreign Entity” means an Artificial Person organized or existing under the laws of any jurisdiction other than the state of Montana. Daily Montanan(4) Total Revocation of Previous Power Grants.
(a) The creation and continued existence of an Artificial Person is not a right but a conditional grant of legal status by the state and remains subject to complete withdrawal at any time. All powers previously granted to any Artificial Person under Montana law are revoked in their entirety. No Artificial Person operating under the jurisdiction of this state shall possess any power unless specifically granted by this constitution. No provision of this constitution grants or recognizes any power of an Artificial Person to engage in Election Activity or Ballot-Issue Activity, except as provided in (5)(c). Daily Montanan(b) Transitional Safe Harbor. Nothing in (4)(a) shall be construed to invalidate, impair, or modify any existing contract, debt instrument, security, or other legal obligation validly entered into before the effective date of [this act]; provided, however, that nothing herein authorizes any Election Activity or Ballot Issue Activity after the effective date. Daily Montanan
(5) Selective Re-Grant of Artificial Person Powers.
(a) Each Artificial Person possesses the powers defined in (3)(e), unless its organizational documents limit the exercise of such powers, and no powers beyond those expressly granted. No provision of this constitution grants or recognizes any power of an Artificial Person to engage in Election Activity or Ballot-Issue Activity, except as provided in (5)(c). Daily Montanan(b) Any language in articles of incorporation, organization, association, or other organizational documents purporting to directly or indirectly confer Election-Activity authority or Ballot-Issue-Activity authority to Artificial Persons is void. Daily Montanan
(c) Political committees registered under Montana or federal law are entities created for the purpose of engaging in Election Activity and Ballot-Issue Activity. Such committees may be granted the power to engage in those activities provided that they exist solely for that purpose and claim no Charter Privilege other than limited liability. This constitution does not grant any other Artificial Person the power to engage in Election Activity or Ballot-Issue Activity. Daily Montanan
(d) No Charter Privilege shall be construed to authorize Election Activity or Ballot-Issue Activity. An Artificial Person that exercises Election-Activity authority or Ballot-Issue-Activity authority, unless expressly permitted to do so under (5)(c), initially forfeits all Charter Privileges as a matter of law. The legislature shall, during its first regular session following the effective date of [this act], enact procedures that allow reinstatement upon full disgorgement, certification of compliance, and payment of civil penalties. Daily Montanan
(6) Ultra Vires Actions. Any Election Activity or Ballot-Issue Activity conducted by an Artificial Person is ultra vires and void. Such conduct results in the forfeiture of Charter Privileges as provided in (5)(d) and shall also be subject to civil action by a member, shareholder, or the attorney general for injunctive relief, disgorgement, and confirmation or enforcement of the forfeiture. The legislature shall, during its first regular session following the effective date of [this act], enact procedures for such civil actions. Daily Montanan
(7) Severability. If any provision of [this act], or its application to any person or circumstance, is held invalid, the remaining provisions and applications that are severable shall remain in effect. In such event, no prior grant of corporate powers shall be revived or reinstated, nor shall any court construe [this act] to authorize broader powers than are expressly conferred in [this act]. Daily Montanan
NEW SECTION. Section 2. Effective date. [This act] is effective January 1, 2027. Daily Montanan
