Federal Court issues Temporary Restraining Order against ATF’s “Engaged in Business” rule

Federal Court in Texas issues temporary restraining order against ATF to prohibit its enforcement of the “engaged in business” rule against members of TFA, GOA, GOF, VCDL and others.

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On May 1, 2024, Tennessee Firearms Association, on behalf of its members, filed a lawsuit in the Northern District of Texas as a co-plaintiff with the States of Texas, Louisiana, Mississippi, and Utah, Gun Owners of America, Gun Owners Foundation, the Virginia Citizens Defense League and Jeffrey Tormey. 

On May 19, 2024, Judge Matthew J. Kacsmaryk issued a temporary injunction in favor of the citizens of Texas, Mr. Tormey, all members of GOA and GOF, all members of Tennessee Firearms Association and all members of the VCDL against the Bureau of Alcohol, Tobacco, Firearms & Explosives prohibiting the ATF from enforcing the new “engaged in business” rule against the plaintiffs. This is not a national injunction so citizens of Tennessee who are not members of TFA, VCDL, GOA or GOF are not protected by this injunction.

The lawsuit presented several theories to support the assertion that the ATF’s rule should be blocked. The only issue that the Court addressed, since it alone was found to be adequate to block the ATF’s new rule from going into effect, was the claim under the Administrative Procedures Act. The Court found that “Plaintiffs are substantially likely to succeed on the merits” of that claim – a claim which would render the proposed rule void.

The Court also found that the individual Plaintiff and the organizational plaintiffs (GOA, GOF, TFA and VCDL) would clearly be irreparable harmed if the ATF’s rule were allowed to go into effect because “Plaintiffs understandably fear that these presumptions will trigger civil or criminal penalties for conduct deemed lawful just yesterday.” The Court rejected entirely the ATF’s assertion that there was no basis to fear civil or criminal prosecutions from it under its new Rule on what the Court characterized as a “just trust us” assertion.

The Court’s temporary injunction is through June 2, 2024. The Court has requested additional briefing but appears likely to extend the injunction past that time.

John Harris | Executive Director Tennessee Firearms Association


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