The Alabama Ethics Commission unanimously approved an advisory opinion Wednesday stating that state law permits campaign funds raised by a candidate to pay legal fees for a civil lawsuit if the action is related to job duties while in office. The decision came in response to a request from Rep. Matt Simpson, a Republican from Daphne, who has indicated he may take legal action against a political action committee (PAC) that targeted him before the May Republican primary in his House district.

Simpson inquired whether he could use campaign contributions to help cover litigation costs under the state's Fair Campaigns Practice Act. Brian Paterson, chief counsel of the Alabama Ethics Commission, clarified the ruling, stating that "Campaign funds can be used for legal fees and costs associated with any civil action, criminal prosecution or investigation related to conduct reasonably related to performing the duties of the office held."

In an interview Thursday, Simpson confirmed he has not yet filed a lawsuit and is weighing his options. He expressed his belief that a lawsuit is "warranted because you have these groups that come in and say absolute false statements and lies." Simpson further elaborated that these alleged falsehoods were disseminated through mailers, messages in the community, and advertisements, claiming he voted for bills he opposed and vice-versa. He stated his intention to "hold them accountable" for the alleged false statements.

Simpson previously sent a cease-and-desist letter in May to Alabama Values PAC, a political organization that ran negative advertisements against him before the primary election. The letter demanded the PAC retract a flyer that falsely claimed Simpson voted to prioritize free college for immigrants without legal status.

Records show that Simpson voted against HB 210 in 2024, a bill sponsored by Rep. Reed Ingram, a Republican from Pike Road. This bill would have allowed students without legal status to attend Alabama postsecondary schools if they had applied for legal status or earned a diploma or GED after attending a high school for at least three years. The bill ultimately did not become law.

Alabama Values PAC was established in March by former Senator Dell Hill. Thomas Datwyler, a Wisconsin-based political consultant, is listed as its chairperson and CEO. Datwyler reportedly claims to have advised 400 political action committees. In a statement from March, Hill indicated the PAC's goal was to defend "traditional Christian principles that have made Alabama the best place to raise a family, start a business, and build strong communities." Hill accused unspecified "so-called conservative leaders" of voting for in-state tuition for immigrants without status, parole for violent offenders, supporting gambling legislation, and voting for restrictions on guns or property rights, though no specific examples were provided in the statement.

Messages seeking comment were sent to Alabama Values PAC and Datwyler on Wednesday. In May, the PAC informed al.com that the allegation against Simpson was due to a "printing error" but did not offer further details. Simpson narrowly lost the May primary election to Danielle Duggar.

According to its website, Alabama Values PAC also targeted Reps. Phillip Pettus, a Republican from Florence, and Frances Holk-Jones, a Republican from Foley, as well as Sens. Greg Albritton, a Republican from Atmore, and Andrew Jones, a Republican from Centre. Pettus and Albritton lost their respective primaries, while Holk-Jones advanced to a runoff and won, and Jones won his primary.

Key details from the advisory opinion clarify the scope of using campaign funds for legal actions. The law does not restrict the use of campaign funds to defend an elected official from an already filed lawsuit, nor does it prevent officials from using the money to initiate a civil claim for defamation. However, the opinion specifies that the Ethics Act prohibits individuals from using campaign contributions to pay legal fees associated with a personal injury claim.

If campaign funds are utilized for legal fees and associated costs related to actions of public office, any compensation or damages resulting from the lawsuit cannot be paid directly to the official for personal use. Paterson emphasized this point, stating, "If campaign funds are used for legal fees and associated costs, then any and all damages that result would need to be paid to the public official’s PCC (principal campaign committee) rather than to the candidate personally." This stipulation adds complexity, as the Fair Campaigns Practice Act (FCPA) prohibits a candidate from receiving payment of damages from a lawsuit against a political action committee beyond 12 months prior to an election in which the individual intends to be a candidate.