Over the past several months, several states have introduced bills that mirror the federal Foreign Agents Registration Act (“FARA”). There has been a trend in the states to propose so-called “baby FARA” laws that apply to foreign-influenced political activity in the states, though the proposals vary in the scope of activities that are regulated. Last week, the governor of Arkansas signed into law one of the broadest such laws to date. The Arkansas law requires “representatives of a hostile foreign principal” and “foreign-supported political organizations” to register with the Arkansas Secretary of State and report details regarding their activities.
The law defines hostile foreign principals broadly to include foreign governments and political parties (China, Russia, North Korea, and Iran), foreign individuals from those countries, and corporations and organizations organized under the laws of or with their principal place of business in those countries. The law further defines “representative” to include employees, contractors, and those who act at the “request” of a hostile foreign principal and that engage in political activity in the state. Representatives of hostile foreign principals must register within 10 days of becoming a representative and report business information with the Secretary of State.
Under the new law, foreign-supported political organizations must also register with the state annually, beginning January 31, 2026, and file reports detailing their financial activities to influence state officials, receipts from hostile foreign principals, and business information. The definition of a foreign-supported political organization includes corporations and other organizations that have received money or things of value from a hostile foreign principal or a representative of a hostile foreign principal within the past five years and that engage in political activity in the state.
Both of these registration requirements turn on whether the relevant entity or individual engages in “political activities” in Arkansas, which is broadly defined to include efforts to influence state or local agencies, state officials, or members of the public within the state, with regard to:
- Formulating, adopting, or changing the policies or laws of the state; or
- Electing or opposing a candidate for local or state public office (not including campaign donations).
Finally, the law allows any citizen to file complaints for violations of these requirements, which makes it easier for critics or competitors to launch challenges under the law. Notably, the law does not include exemptions similar to the commercial exemptions or Lobbying Disclosure Act exemption that exist in the federal FARA statute. Many corporations rely on these exemptions under the federal statute, and the express inclusion of certain foreign companies as hostile foreign principals in the Arkansas law creates a significant new state-level registration obligation for those foreign corporations that engage in political activities in Arkansas.
If you have any questions concerning the material discussed in this client alert, please contact the members of our Election and Political Law practice.
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