Explore The NRA Universe Of Websites

APPEARS IN Legal & Legislation

Federal Court Strikes Down Biden Administration’s “Engaged in the Business” Rule in NRA Case

Thursday, October 2, 2025

Federal Court Strikes Down Biden Administration’s “Engaged in the Business” Rule in NRA Case

Yesterday, in Butler v. Bondi, the U.S. District Court for the Northern District of Alabama held that the Bureau of Alcohol, Tobacco, Firearms and Explosives exceeded its statutory authority by issuing its 2024 Final Rule expanding the definition of being “engaged in the business” of “dealing in firearms.”

Congress forbids anyone, “except a licensed importer, licensed manufacturer, or licensed dealer, to engage in the business of importing, manufacturing, or dealing in firearms.” Dealing in firearms without a license is punishable by up to five years’ imprisonment, a $250,000 fine, and a loss of the right to possess a firearm.

Under the Firearms Owners’ Protection Act (FOPA) of 1986 (which amended the Gun Control Act of 1968), someone is “engaged in the business” of dealing in firearms if that person “deal[s] in firearms as a regular course of trade or business with the principal objective of livelihood and profit through the repetitive purchase and resale of firearms.” The 2022 Bipartisan Safer Communities Act (BSCA) altered that definition by replacing “livelihood and profit” with “to predominantly earn a profit.” The BSCA did not alter FOPA’s exclusion for “a person who makes occasional sales, exchanges, or purchases of firearms for the enhancement of a personal collection or for a hobby, or who sells all or part of his personal collection of firearms.”

On April 19, 2024, the ATF promulgated the Final Rule “to clarify[] the criteria for determining when a person is ‘engaged in the business.’” The Final Rule provides that “there is no minimum threshold number of firearms purchased or sold that triggers the licensing requirement” and that “there is no minimum number of transactions that determines whether a person is ‘engaged in the business’ of dealing in firearms.” It explains that “even a single firearm transaction or offer to engage in a transaction . . . may require a license.” The Final Rule also excludes firearms acquired for “personal protection” from the firearms that may be sold from a personal collection without a license. The ATF’s Final Rule thus rewrites the law, contradicts Congress’ statutory language, and adds confusion rather than clarification.

On July 19, 2024, the National Rifle Association and two NRA members sued the Attorney General, the ATF, the ATF Director, and the Department of Justice, asking the district court to invalidate the Final Rule on several grounds.

Yesterday, the district court invalidated the Final Rule, holding that the ATF exceeded its statutory authority by issuing it. The court issued a permanent injunction against the ATF and the DOJ from enforcing several provisions of the Final Rule against the plaintiffs in the case, including all members of the NRA, and entered a declaratory judgment to that effect.

Please stay tuned to www.nraila.org for future updates on NRA-ILA’s ongoing efforts to defend your constitutional rights, and please visit www.nraila.org/litigation to keep up to date on NRA-ILA’s ongoing litigation efforts.

TRENDING NOW
The NFA’s New Era: What Has Changed, What Remains the Same, Items of Note

News  

Monday, October 12, 2026

The NFA’s New Era: What Has Changed, What Remains the Same, Items of Note

As we announced separately this week, ATF has determined that it will use its executive discretion to uniformly suspend enforcement of large portions of the National Firearms Act (NFA).

Creating Crimes Out of Thin Air: Federal Bill Seeks to Treat Air Guns as Firearms

News  

Monday, October 5, 2026

Creating Crimes Out of Thin Air: Federal Bill Seeks to Treat Air Guns as Firearms

A new bill introduced in Congress proposes to regulate “lethal air guns” as firearms under the Gun Control Act of 1968, as amended (GCA). Yet the risk of fatalities and criminal misuse from air guns ...

Guardsmen’s Arrest Shows D.C. Still Lacks Common Sense, Proportionality on Guns

News  

Monday, October 12, 2026

Guardsmen’s Arrest Shows D.C. Still Lacks Common Sense, Proportionality on Guns

A lot of has changed for the better in the Nation’s Capital since Donald Trump returned to the White House. But the recent arrest of a young National Guardsman for an apparently harmless breach of ...

Officials Admit It: There’s No Actual Substance Behind Canadian Gun Grab

News  

Monday, October 12, 2026

Officials Admit It: There’s No Actual Substance Behind Canadian Gun Grab

A year ago, Canada’s Public Safety Minister Gary Anandasangaree admitted, in a bombshell recording with a gun owner, that the Liberal government’s “assault-style firearm” ban and confiscation program isn’t driven by public safety or gun ...

Jive Turkeys: Everytown Gears Up to Spoil Thanksgiving with Gobbledygook

News  

Monday, November 17, 2025

Jive Turkeys: Everytown Gears Up to Spoil Thanksgiving with Gobbledygook

Thanksgiving in America isn’t just about food, family and football. According to a survey published by casino.ca (with its Great Thanksgiving Family Feud Map), the holiday typically “comes with a slice of family chaos and a touch of ...

Questions and Answers About the Texas NFA Case

News  

Monday, August 17, 2026

Questions and Answers About the Texas NFA Case

On August 12, we reported on an important development in the ongoing litigation over the National Firearms Act (NFA) filed by multiple plaintiffs in U.S. District Court for the Northern District of Texas. These included, ...

U.S. Department of Justice Declares Age 18-20 Handgun Sales Ban Unconstitutional

News  

Wednesday, September 23, 2026

U.S. Department of Justice Declares Age 18-20 Handgun Sales Ban Unconstitutional

On September 17, the Department of Justice’s Office of Legal Counsel (OLC) issued a memorandum opinion to answer the question “whether restricting young adults from buying firearms comports with the Second Amendment as the Supreme ...

Pervasive Surveillance and Data Storage an Emerging Concern for Gun Owner Privacy

News  

Monday, October 5, 2026

Pervasive Surveillance and Data Storage an Emerging Concern for Gun Owner Privacy

Americans have willingly, and sometimes unwillingly, surrounded themselves with technology that watches, listens, records, and remembers. Cars know how and where we drive. Phones track just about everything in our daily routines. 

Federal Court Strikes Down NFA Registration Requirements for Suppressors, Short-Barreled Rifles, and Short-Barreled Shotguns in NRA Case

Wednesday, August 5, 2026

Federal Court Strikes Down NFA Registration Requirements for Suppressors, Short-Barreled Rifles, and Short-Barreled Shotguns in NRA Case

In another major victory for the National Rifle Association and law-abiding gun owners, the U.S. District Court for the Northern District of Texas today held that the National Firearms Act’s registration and approval requirements for ...

What Does the Texas NFA Decision Mean for You?

News  

Wednesday, August 12, 2026

What Does the Texas NFA Decision Mean for You?

On August 5, 2026, Judge Wesley Hendrix of the U.S. District Court for the Northern District of Texas held that the National Firearms Act’s registration and approval requirements for suppressors, short-barreled rifles, and short-barreled shotguns ...

MORE TRENDING +
LESS TRENDING -

More Like This From Around The NRA

NRA ILA

Established in 1975, the Institute for Legislative Action (ILA) is the "lobbying" arm of the National Rifle Association of America. ILA is responsible for preserving the right of all law-abiding individuals in the legislative, political, and legal arenas, to purchase, possess and use firearms for legitimate purposes as guaranteed by the Second Amendment to the U.S. Constitution.