No Labels Is Getting Sued by Its Own Donors for Its Third-Party Chicanery

New York City real estate titans Douglas and Jonathan Durst of the Durst Organization sued No Labels on Tuesday, claiming the centrist political advocacy nonprofit pulled a “bait and switch” after the group announced it had plans to run a third-party campaign in the upcoming presidential election.

The suit, filed in New York State Supreme Court, claimed that No Labels “lost its way” after receiving $145,000 from the cousins under the pretense that it would organize voters against partisanship and offer a home for the “politically homeless”—not stack the chances against President Joe Biden in an increasingly grave race for the White House.

The Dursts argue that the current iteration of No Labels—which claimed to be “not a third party, but rather a third bloc,” according to the moguls’ legal complaint—has “become the opposite” of what they initially set out to fund.

“The promise of promoting bipartisan government that No Labels made to donors such as the Dursts has now been irretrievably broken, and the Dursts, for one, want their money back,” reads the complaint. “They want no part of an organization that seems bent on pursuing a doomed third-party presidential bid outside the nation’s de facto two-party system.”

Although the nonprofit’s website says it has yet to commit to running a candidate in the race, it has clearly been paving the way for the possibility of doing so. Earlier this month, No Labels announced that it had gained ballot access in 13 states, from Hawaii to Maine.

“A third-party ticket option will only discourage bipartisan reform because it will take votes away from one of the major political candidates, giving an advantage to the other candidate,” the suit says.

But a leader and lawyer for No Labels, Dan Webb, described the suit to Courthouse News as “frivolous,” pointing out that the Durst cousins last sent checks to the nonprofit in 2020 and 2017. Webb told The New York Times that No Labels’s “fundamental mission has never changed.”

“This is nothing more than an organized distraction. Douglas’ last contribution was six years ago, and Jody’s last contribution was over three years ago. These contributions were spent on priorities that the Dursts had no complaints about at the time,” Webb told Courthouse News. But as they say, money—much like No Labels’ convictions—is fungible.