IRS Tea Party lawsuit given class action status
A lawsuit filed by a California tea party group shortly after the IRS scandal broke nearly three years ago was granted class action status late Tuesday, meaning as many as 300 other conservative groups from across the country impacted by the local IRS office's actions delaying nonprofit status automatically join the case.
The NorCal Tea Party Patriots sued the IRS, along with individual workers and officials both here in Cincinnati and in Washington, in U.S. District Court in Cincinnati soon after it was disclosed that the IRS had indeed delayed approving conservative groups for nonprofit status. (The agency's nonprofit division works out of its downtown Cincinnati office.) The ruling to expand the suit was handed down Thursday by U.S. District Court Judge Susan Dlott and essentially allows any other group nationally with a similar claim to join the suit.
Dlott also sealed the case at the requests of the plaintiffs to protect taxpayer records that may be on file with both the IRS and NorCal Tea Party Patriots.
The IRS' disclosure in spring 2013 set off a firestorm and led to the resignations of the IRS' top official plus several others, as well as the suspension of other officials in Washington. Conservatives claimed it was a sign the administration was targeting groups unfairly, although the IRS and the Obama administration has since claimed the delays were not politically motivated and instead were because of confusion over the rule limiting "political activity" by such nonprofits. The Justice Department ruled in October 2015 there would be no criminal charges filed after an extensive investigation by the FBI.
Yet the plaintiffs' lawyers say they have proof in previous briefs that the delays and denials were part of "an orchestrated effort to hinder the effectiveness of Tea Party groups." The Liberty Township Tea Party also filed a similar suit in 2013; it is unknown whether the two suits will be joined.
The Enquirer first reported on the NorCal suit in May 2013, and then also reported taxpayers would be on the hook for the defense of the IRS as well as local workers named "John Doe" in the suit.
Taxpayers pay to hire workers' lawyers in IRS scandal
“This decision represents a significant step forward for obtaining relief for Tea Party groups that were identified, segregated, and harassed by the IRS solely because of their viewpoints,” said plaintiffs' attorney, Edward Greim, in a statement.
Todd Graves, the plaintiffs' lead attorney, said any group impacted by the delays or nonprofit screening procedures at the time could join the suit unless they chose to opt out. Previous IRS and Inspector General estimates put that at nearly 300 groups nationwide.
Greim also said that he and his team, including local attorney Chris Finney, of Union Township, deposed 10 IRS workers here in Cincinnati and in Washington. Finney is well-known locally for working on conservative causes, and is a founder and activist with the group Citizens Opposed to Additional Spending and Taxes.