Chamber secures legal victory to protect businesses’ rights in Minnesota 

By Doug Loon
President and CEO
Minnesota Chamber of Commerce

We have some exciting news to share. As noted in previous podcasts, the Chamber was engaged in litigation against the state, and we now have a permanent injunction with no appeal in our case. The deadline for the state's appeal, which was set by federal Judge Tostrud, has passed. This marks the conclusion of a two-year journey by the Chamber and our allies to protect the fundamental rights of businesses here in Minnesota.

This is the first ruling of its kind on the constitutionality of the so-called foreign influence corporation law. This idea has been floated by groups around the country, and Minnesota was the first to pursue it during the 2023 Legislative Session. Unfortunately, the Legislature’s decision to move forward with this created uncertainty and additional costs for businesses due to unnecessary interference.

But in the end, we won, and we are pleased with the result. This precedent-setting decision ensures that businesses, like individuals, have the opportunity to participate in elections and have their voices heard. We extend our gratitude to our members, our declarants, and those who filed amicus briefs in support of the Chamber, including the U.S. Chamber of Commerce, the National Association of Manufacturers, the National Association of Broadcasters and the Minnesota Newspaper Association. Thank you to all of them for standing with the state Chamber and other organizations to protect our rights.

Additionally, as noted, a special election in House District 40B resulted in the expected 67-67 tie between Democrats and Republicans, highlighting the necessity for bipartisan cooperation to effectively govern Minnesota. A new power-sharing agreement has been established, with Republican Lisa Demuth now serving as House Speaker and both parties sharing equal control over House committees. This tie presents an opportunity for both parties to work together to promote economic growth and strengthen our communities.

We want to ensure that Minnesota remains a place for economic opportunity by avoiding unnecessary mandates, tax increases and regulatory slowdowns. Instead, we hope to see bipartisan efforts that lead to balanced policies. Can we come together to address tax concerns, regulatory mandates and advance permitting reforms? These are issues we have discussed before, and we remain hopeful for bipartisan collaboration at the Capitol to keep our state on a growth trajectory.

Finally, a reminder: Chamber Day at the Capitol is April 3rd. This is a unique opportunity for business leaders to engage directly with legislators from both parties and work toward shared goals that support Minnesota’s private sector economy. Join us on April 3rd as our team and members advocate for pro-growth policies to ensure a strong economic future for our state.

We look forward to catching up with you on the Minnesota Business Podcast next week and seeing you at the Capitol throughout the session.