The U.S. Court of Appeals for the Third Circuit cleared the way for the New Jersey Bankers Association to contribute to political parties and candidates for local and state offices.

The association asked the federal appeals court to reverse a U.S. District Court ruling holding that a state ban on political contributions by banks does not violate the First Amendment. The state attorney general sought reversal of the district court’s holding that the statute’s restrictions on spending for independent expenditures violates the First Amendment.