More Thoughts On NRA EVP Search Committee

Since my post yesterday on Marion Hammer’s letter to the NRA-EVP search committee, I’ve received a copy of Charles Cotton’s announcement of the search committee and have spoken with others including a former board member.

Two hours before Marion Hammer’s email went out, NRA Secretary and General Counsel John Frazer sent this to the entire Board of Directors:

Dear Fellow NRA Board Members:

At the request of several NRA board members, during our last board meeting in January, I noted that we would soon form a search committee to assist with the recruiting and placement of a new EVP and CEO of the National Rifle Association of America.

In accordance with NRA Bylaws, I am pleased to announce the creation of this select committee, the EVP Search Committee. This Committee is charged with determining the process and timing of the selection of appropriate candidates to present to the Nominating Committee and, ultimately, the full Board of Directors.

The members of the EVP Search Committee are:

Congressman Bob Barr – Chairman
Professor David Coy
Carol Frampton, Esq.
Curtis Jenkins, Esq.
Sheriff Jay Printz
Barbara Rumpel
Chief Blaine Wade

Please join me in expressing our gratitude to our fellow Board Members for their dedication to the NRA and their willingness to serve in this important role.

Respectfully,


Charles L. Cotton
NRA President

Two things stand out in Cotton’s letter. First, this committee will control the process and timing of the selection of candidates for the permanent CEO and Executive VP position. Second, any person or persons selected will go to the Nominating Committee before being presented to the Board of Directors. In other words, while officially the Board selects the EVP, the Nominating Committee will select the actual candidate and present the Board with a fait accompli.

This committee is a selection of people that will represent the interests of what I call the Old Guard or my friend calls “the cabal”. You have David Coy who failed in his fiduciary duties as a member of the Audit Committee. We might not have a trial in New York if he and others had done their job properly. You have Jay Printz who, at least through last September, was a stout defender of Wayne LaPierre. You have Barbara Rumpel whose primary connection to the Second Amendment seems to be as a “Friend of Susan”. None of these people are change agents.

Reevaluating Marion’s email to this committee barely two hours after it was announced, it is evident that she is telling them that NRA staff such as Interim EVP Andrew Arulanadam and CFO Sonya Rowling are non-starters as candidates for the permanent EVP position. When she says, “reach out to Board members for information and advice”, she means listen to her and the Old Guard or Cabal on what constitutes an acceptable candidate. Her call to be “transparent” with the Board doesn’t really mean transparency for all but rather the committee should report each and every move to her and the Old Guard before they actually make it.

Going back to Marion’s original call for a search committee, in retrospect she was not calling out Charles Cotton but rather telling him what she and the Old Guard wanted. She wanted a search committee comprised of Board members responsive to the Old Guard. She was providing cover for Cotton to seemingly be responsive to the call for a search committee while keeping it under his and the Old Guard’s tight grip.

Contrast this with what was suggested by Buz Mills. He called for a search committee of Board members with business experience selected from the floor by the BOD. This group would then use the services of an outside executive search agency to recruit, evaluate, and screen suitable candidates. In other words, they would find people capable of running a large non-profit whose values were consistent with fighting for Second Amendment rights. This might be someone like a Mike Fifer who ran Sturm, Ruger for many years as CEO. The search committee would then present the candidates to the Board for a “meet and greet”. I have seen this many times in academia when a new dean or college president is being selected. You will notice there is not mention of interference by the Nominating Committee in the process. The Board as a whole would discuss the candidates and then vote on them. This would take it out of the hands of the Old Guard or Cabal and put it in the hands of the entire Board.

I don’t know the timetable for a selection. Would it be in time for the next Board meeting? Or would a candidate be selected before Judge Cohen could impose a special monitor assuming the jury finds the NRA failed in its duties to its members? Speed would be in the interest of Charles Cotton and the Cabal. Speed, like this whole committee, would not be in the interests of the members of the NRA. That would be served by the Buz Mills’ model of finding a new EVP.

To throw one more wrinkle into this, given the precarious state of the NRA’s finances it may be up to a bankruptcy judge to make the decision on an interim basis. You have to ask why did former President Trump make his speech at the Great American Outdoor Show instead of at the Annual Meeting in May. I’m sure Mr. Trump would not want to be making his speech to the NRA faithful while the organization was in the midst of a bankruptcy trial.

Guest Post By Rocky Marshall

Roscoe “Rocky” Marshall is a former member of the NRA Board of Directors. More importantly, he is an experienced business executive. He is now founder and CEO of Frontier Truck Gear. Prior to that, he served as president of two subsidiaries of oil field services giant Baker Hughes which is a Fortune 150 company. In other words, he can drill down into an income statement or balance sheet to get to the real health of an organization. What he has to say below is not encouraging as to the health of the NRA.

Rocky had sought to be an intervenor in the lawsuit brought by the Attorney General of New York against the NRA, Wayne LaPierre, John Frazier, Woody Phillips, and Josh Powell. He sought to do so to be an advocate for the members of the NRA as it seems no one is actively representing their interests before the court as opposed to the interests of LaPierre and company. His motion was ultimately denied. I met Rocky in person at the 2022 NRA Annual Meeting and have corresponded with him extensively. What he is saying below is not some spur of the moment comment. He has been reading the tea leaves and saying this exact thing for some time now.

The Late Great National Rifle Association R.I.P. by Former NRA Director Rocky Marshall
To NRA Members: IT IS OVER!


The NRA’s financials are spiraling rapidly towards insolvency, and the future appears bleak for
the survivability of the NRA which may be forced into bankruptcy (for real this time) in the
coming months. The next and final chapter for the NRA will be in a bankruptcy court where a
Judge will likely appoint a “Receiver” to take control of the assets of the NRA.


The NRA has been thriving for over 150 years; but will likely not survive to the end of this year.
This once great organization is now facing dissolution as the direct result of malfeasance by
Wayne LaPierre and the impotent Board of Directors (BOD). Undoubtedly, key management
personnel including Wayne Lapierre, Wilson Phillips, and others will likely face criminal charges
for embezzlement, fraud, wire fraud, money laundering and other charges.


The NRA in the coming months will not be able to pay outstanding bills or maintain staff to
fulfill the mission due to the rapid decline of donations by members. In 2016, NRA revenues
reached a peak of $367 million and currently is projected to receive $200 million for the current
fiscal year 2022. The collapse in donations is directly related to the revelations that the NRA
Management misused millions of dollars of donations for personal benefit. The misuse of NRA
monies by NRA Management and the BOD has been reported as far back as 1998 when a
complaint was filed by NRA Directors with the FEC.1


A question that is often repeated is: “Why did the NRA BOD allow Wayne Lapierre and others to
misuse the donations and defraud the members?” The most obvious answer is because a few
key Directors were being paid. From 2002 through 2020, over $10 million dollars have been
paid directly or indirectly to NRA Directors. A secondary issue is that NRA Directors were not
informed and also routinely presented false information by NRA Officers and Management in
order to hide the truth. During my tenure as an NRA Director, I was routinely denied access to
information and also received blatantly untrue information from NRA officers. The NRA BOD
has not provided proper fiduciary oversight of the NRA for decades. The NRA BOD could have
easily stopped the fraud and mismanagement by Wayne LaPierre (and others) but instead
chose to ignore the obvious illegal activities. The BOD audit committee (chaired by the current
President Charles Cotton) approved transactions retro actively without BOD approval.


The current lawsuit from the New York Attorney General will likely not go to trial; but instead,
will be superseded by a forced bankruptcy. The negative press reports from these legal filings
will continue to drive donors away and revenues will decline. As a former Director for the NRA,
I have researched the complaints by the New York Attorney General and found all charges to be
true. I could not identify a single charge that was untrue or exaggerated. As has been
reported, Wayne Lapierre has admitted to several of the charges in the previous bankruptcy
trial in Dallas.


Historians and columnists will report in future years that the NRA was destroyed from within by
the greed of NRA Management Wayne LaPierre, Woody Phillips, (and others) and also by the
lack of oversight by the NRA Board of Directors. Collectively this group has destroyed the most
valuable gun rights organization on the planet.

  1. Weldon H. Clark Jr. FEC Complaint 1998 (https://www.fec.gov/files/legal/murs/4865/00001F57.pdf)

Roundhill Group On Remington Purchase

There has been a lot of speculation on the Roundhill Group that purchased the non-Marlin firearms business of Remington Outdoor Company. Some reports had them as a property management company in Virginia which just didn’t quite fit. They are now identified as an investment company with headquarters in Pennsylvania and Florida.

From a post on SBG Media:

Roundhill Group, LLC, an investment company with headquarters in Pennsylvania and Florida, announced that it is purchasing Remington Firearms. The purchase includes all long guns, shotguns, pistols, the firearms manufacturing facilities, museum, and gift shop.

Roundhill Group LLC partner and spokesman, Jeff Edwards addressed questions regarding the acquisition:

“As is known, Roundhill Group LLC and a group of experienced firearms manufacturing and hunting industry professionals are in the process of purchasing Remington Firearms. Our intent with this acquisition is to return the company to its traditional place as an iconic American hunting brand. We intend to maintain, care for and nurture the brand and all of the dedicated employees who have crafted these products over the years for outdoorsmen and women both here in the USA and abroad. More than anything, we want to make Remington a household name that is spoken with pride.”

Edwards added, “The Roundhill Group is comprised of a group of individuals all of whom have years of experience in engineering, manufacturing and marketing both in and outside of the firearms space. They are all life-long hunting advocates and staunch Remington brand loyalists. They will work tirelessly to ensure that this company takes its rightful place as the iconic American brand that it was and still is.”

According to the court documents, the winning bid was for $13 million and this has been approved by the US Bankruptcy Court of the District of Northern Alabama.

We still don’t know too much about this group so I am anxious to see that comes out about them in the following days and weeks in the run-up to the SHOT Show.

Ruger On Marlin Assets Purchase

Ruger is cautious in their public statements. I think that is why they waited until today to make an announcement of their winning bid for the Marlin firearms assets of Remington Outdoor Company. The bid was only approved by the US Bankruptcy Court for the Northern District of Alabama yesterday.

Ruger will be paying $30 million from cash on hand for these assets and expects to close on the purchase this coming month. When Cerberus Capital Management bought Marlin in January 2008, the terms of the deal were not released. However, I think it would be a good assumption that Cerberus paid a lot more than $30 million. In that deal, Cerberus not only got Marlin, but also H&R, New England Firearms, and L.C. Smith.

I think Marlin fans and lovers of lever guns will rejoice given the comments of Ruger CEO Chris Killoy below:

“The value of Marlin and its 150-year legacy was too great of an opportunity for us to pass up,” said Ruger President and CEO Chris Killoy. “The brand aligns perfectly with ours and the Marlin product portfolio will help us widen our already diverse product offerings.”

The transaction is exclusively for the Marlin Firearms assets. Remington firearms, ammunition, other Remington Outdoor brands, and all facilities and real estate are excluded from the Ruger purchase. Once the purchase is completed, the Company will begin the process of relocating the Marlin Firearms assets to existing Ruger manufacturing facilities.

“The important thing for consumers, retailers and distributors to know at this point in time,” continued Killoy, “is that the Marlin brand and its great products will live on. Long Live the Lever Gun.”

As Michael Bane said on his podcast today, Ruger knows how to make firearms and this is good for Marlin.

Vista Outdoor On Bid For Remington Ammo Business

In my email this morning before 8am was a notice that Vista Outdoor had a filing with the Securities and Exchange Commission. It turns out it was their press release on their successful bid for the ammunition business of Remington.

Here is what they are saying, in part, about their winning bid for Remington’s ammunition business:

“Remington ammunition and accessories have a storied role in America’s sporting heritage, with a legacy dating back to 1816,” said Chris Metz, Vista Outdoor Chief Executive Officer.  “We are excited and honored to add the iconic Remington brand and green box to Vista Outdoor’s portfolio of ammunition brands, and Remington accessories to our portfolio of Hunting and Shooting Accessories.  The Remington brand is beloved by hunting and shooting sports enthusiasts everywhere and we look forward to restoring it to greatness by leveraging Vista Outdoor’s scale, manufacturing infrastructure, distribution channels and Centers of Excellence.

“We see a clear path to value creation.  With our deep expertise and resources, we can transform Remington’s ammunition and accessories businesses to create a more efficient, profitable and sustainable operation.  At the same time, by rescuing the Remington ammunition businesses from bankruptcy, we will protect hundreds of jobs, support wildlife and habitat conservation and ensure that hunting and shooting sports enthusiasts can continue to purchase their favorite ammunition and accessories. We look at this acquisition as a means of better serving millions of consumers with the products they love from one of the country’s original and best-known brands, while furthering Vista Outdoor’s mission of being a powerhouse of passionate outdoor sports and recreation brands,” Metz added.

The Vista Outdoor bid was $81.4 million. For that, they will get the Lonoke, Arkansas manufacturing plant plus “intellectual property, including the Remington brand and trademarks.” They will be paying for it with cash on hand plus their credit line. The deal will close early in the 3rd Quarter of 2021.

They noted that Remington had $200 million in ammunition sales for 2019.

Of course, this is all dependent upon the approval of the US Bankruptcy Court for Northern Alabama in their hearings on Tuesday, September 29th.

Remington Outdoor Company Bankruptcy Update

What Cerberus put together to eventually form Remington Outdoor Company aka Freedom Group, the US Bankruptcy Court for Northern Alabama is taking apart. A court filing today has the results of the auction for the various components of the company. It was first reported by Dan Zimmerman at TTAG.

Earlier in September, I reported that JJE Capital was the stalking horse bidder for Remington’s ammunition business. That was to set the floor. The final bids were released today. These will be subject to approval of the court in a hearing to be held on Tuesday, September 29th.

From the Notice filed with the Bankruptcy Court today:

Vista Outdoor, Inc. as the Successful Bidder pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit A with respect to the Lonoke Ammunitions Business and certain IP assets; and SIG Sauer, Inc. as the Backup Bidder thereto pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit B with respect to the Lonoke Ammunitions Business;
Roundhill Group, LLC as the Successful Bidder pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit C with respect to the non-Marlin Firearms Business; and Huntsman Holdings, LLC and Century Arms, Inc. as the Backup Bidders thereto pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit D with respect to certain Firearms Business IP assets and Exhibit E with respect to certain non-Marlin Firearms Business inventory, respectively;
Sierra Bullets, L.L.C. as the Successful Bidder pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit F with respect to the Barnes Ammunitions Business; and Barnes Acquisition LLC as the Backup Bidder thereto pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit G with respect to the Barnes Ammunitions Business;
Sturm, Ruger & Company, Inc. as the Successful Bidder pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit H with respect to the Marlin Firearms Business; and Long Range Acquisition LLC as the Backup Bidder thereto pursuant to the terms of the Asset Purchase Agreement attached hereto as Exhibit I with respect to the Marlin Firearms Business;
JJE Capital Holdings, LLC as the Successful Bidder with respect to the DPMS, H&R, Stormlake, AAC, and Parker brands;
Franklin Armory Holdings, Inc., or its designated assignee, as the Successful Bidder with respect to the Bushmaster brand and certain related assets; and
Sportsman’s Warehouse, Inc. as the Successful Bidder with respect to the Tapco brand.

If these bids are approved, Vista Outdoor will become an even larger player in the civilian ammunition market with the addition of Remington’s ammunition factory in Arkansas.

The other big story is that Ruger will be adding the Marlin lever action lineup of rifles to its product line. It is unknown if they will keep the old name or market them under the Ruger name.

JJE Capital is the owner of Palmetto State Armory among other companies. DPMS will be a good fit for them as will H&R in the budget category. I’m not sure of their intention for Parker which makes the reproduction Parker shotguns nor what they plan to do with suppressor maker AAC or barrel maker Stormlake.

Franklin Armory getting Bushmaster will be a good fit for them. Likewise, Sierra Bullets adding Barnes Bullets to their lineup makes sense.

Roundhill Group, LLC is a property management group out of Virginia according to a story out of New York. I’m not sure if that is the correct Roundhill as there are a number of companies by that name with various spellings. Nonetheless, they will be getting the non-Marlin firearms business which would include Remington itself and presumably Dakota Arms. The story indicates a bit of unease in Ilion, NY where the Remington factory is the largest employer in Herkimer County. The backup bidder for this part of the assets includes Century Arms. I would hate to see what they would do with Remington.

Finally, Sportsman’s Warehouse is getting Tapco. I presume they intend for this to be used to provide accessories to be sold in their chain of stores.

The Wall Street Journal does bring up an interesting point in their report on the breakup of Remington into pieces. What happens now with the Connecticut lawsuit?

The Covid-19 pandemic and civil unrest have Americans stocking up on guns and ammunition, but Remington said it was short of funds, despite having erased hundreds of millions of dollars in debt in a 2018 bankruptcy.

The company is facing a lawsuit over its marketing of the Bushmaster rifle, which was used in the December 2012 killing of 20 children and six adult school staffers at Sandy Hook Elementary School in Newtown, Conn.

The 2020 bankruptcy halted a lawsuit brought by the families of some of the Sandy Hook victims, which had been preserved in the first pass through chapter 11.

Remington hasn’t said what its drive to throw its assets on the bankruptcy auction block would mean for the Sandy Hook lawsuit or for company retirees who crowded into a session with bankruptcy administrators, asking what would become of their benefits.

Remington Selling Ammo Business To SC Company

The Wall Street Journal reported yesterday that Remington Arms has agreed to sell its ammunition business for $65 million plus assumption of debt. The buyer is JJE Capital Holdings of Columbia, SC. You may not recognize JJE Capital but you will recognize one of their biggest portfolio companies – Palmetto State Armory.

From the WSJ:

Firearms maker Remington Outdoor Co. has agreed to sell its ammunition business out of bankruptcy to South Carolina-based investment firm JJE Capital Holdings LLC for $65 million plus the assumption of liabilities, subject to better offers.

The JJE offer came in the form of a stalking-horse bid, setting a floor on the sale price for Remington’s ammunition business, which the company has been marketing while in chapter 11. Remington filed for bankruptcy protection in July and has been open to selling its ammunition and firearms operations to pay off its debt.

JJE Capital is considered a “stalking horse bidder” meaning they were given the opportunity to make the first bid. This first bid then serves as a floor for the price of that asset in bankruptcy.

According to papers filed with the bankruptcy court in Alabama, JJE Capital would get Remington’s Arkansas plant, its lease on its Utah property (Barnes Bullets), any improvements made to the Utah property, all the equipment and machinery, all the existing contracts for ammunition, and all the intellectual property. All permits for things like storm water and all special licenses from ATF and the Department of State would be transferred as allowed by law.

As noted in the Wall Street Journal report, this all is subject to both court approval and to any potentially higher bids.

H/T Peter

Remington Declares Bankruptcy…Again

Remington and its subsidiary companies declared bankruptcy for the second time in little more than two years. The Chapter 11 filing was made in US Bankruptcy Court for the Northern District of Alabama. There were separate filings for Remington Arms Company LLC, Remington Outdoor Company Inc., and Remington Arms Distribution Company LLC.

In reports prior to its actual filing for bankruptcy, it had been speculated that the Navajo Nation would be the buyer to take it out of Chapter 11. According to the investing site Seeking Alpha those talks broke down.

Remington had been searching for potential buyers and was in talks to sell itself out of bankruptcy to the Navajo Nation before negotiations collapsed in recent weeks, leaving the company without a lead bidder, or stalking horse.

I had speculated along with others that having the Navajo as the owners would put a crimp in the pending lawsuit in Connecticut over liability for the Newtown murders. This would have been due to the sovereign immunity of the Navajo Nation.

The bankruptcy filings indicate assets of between $100 million and $500 million with liabilities in the same range.

The five largest creditors are all governmental entities. They include (in order) the Pension Benefit Guaranty Corporation, the State of Arkansas, the City of Huntsville, the State of Alabama, and the State of Missouri.

This is followed by companies that make smokeless powder like St. Marks and Alliant, that provide forgings and barrels like Dasan USA, and those that supply basic materials (lead, copper, brass) like Doe Run and Eco-Bat Indiana. The only tax creditor listed was the Village of Ilion, NY which came in as the 38th largest creditor. This last bit leads me to speculate that Remington had been keeping up with its payroll, income, and excise tax payments.

Now that talks with the Navajo Nation have broken down and there is no lead bidder or stalking horse, it will be interesting to see how Remington comes out of this Chapter 11 bankruptcy. In its prior bankruptcy, I think it was a forgone conclusion that the hedge fund Cerberus would transfer ownership to investors Franklin Templeton and JP Morgan.

Here, we just don’t know. I would love to see the Navajo – or any tribe – emerge as the buyers if only so as to screw the Brady Campaign and the ambulance chasing lawyers in Connecticut. Time will tell and I’ll keep reporting on it.

How Appropriate

The McClatchy chain of newspapers is in bankruptcy. The chain includes such newspapers as the Sacremento Bee, the Miami Herald, and The State (Columbia, SC). Closer to me they own three of the ten largest newspapers in North Carolina including The Charlotte Observer and the News and Observer of Raleigh. While I can’t speak to the non-NC parts of McClatchy, their NC papers tend to be very anti-gun.

New Jersey-based Chatham Asset Management, a hedge fund, is their largest creditor and has won an auction to buy the chain. The auction results must be finalized by the bankruptcy court.

From the N&O:

“From the outset of this voluntary Chapter 11 filing, our aim was to permanently address both the company’s legacy debt and pension obligations and strengthen our balance sheet in order to provide greater certainty and stability to the wider group of our colleagues and stakeholders who benefit from a restructured McClatchy,” Craig Forman, president and CEO of McClatchy, said in a statement Sunday.

“We’re pleased that Chatham and the supportive secured first-lien creditors believe in our business and our mission and are helping to achieve these goals.”

When McClatchy, the nation’s second largest local news company, filed for Chapter 11 bankruptcy in February, its restructuring plan called for Chatham, which has been an investor since 2009, to emerge as owner. The company, whose stock had been publicly traded, would be under private ownership.

After the pandemic disrupted the economy in March, McClatchy added a second exit option, putting itself up for sale.

Chatham owns a couple of other newspaper & media companies: Canadian based Postmedia Network and American Media.

American Media was the parent company of the National Enquirer until April 2019 when it was forced to sell it by Chatham. It was erroneously reported by the News & Observer that they still owned it. Nonetheless, they retained such paragons of journalism as US Weekly, the Star, and inTouch.

As the conservative-leaning Carolina Partnership for Reform noted:

Just think… if you didn’t believe the news from these papers before, now you’ll have a reason to say why. And if you like scandal and sensation, you won’t have to go to the grocery store checkout aisle to get it.

When you consider it, the pairing of the News and Observer as a sister company to the American Media offerings is quite appropriate. While they are now piously progressive, as a student of North Carolina history, it is hard to forget their role in advancing white supremacy on behalf of the Democratic Party. Whether it was editorials attacking miscegenation or their scurrilous cartoons, the N&O (and the Charlotte Observer) was more sensational in its earlier days than even the tabloids are today.

As I said in the headline, how appropriate.

Remington Arms Eyeing Bankruptcy…Again

The Wall Street Journal reported Friday that Remington Arms is preparing to file for Chapter 11 bankruptcy again. If so, this will be the second time in about two years that they’ve sought the protection of the bankruptcy court.

As Michael Bane pointed out on Facebook, Remington had already shut down their AR brands and has missed out on the boom due to COVID-19. Moreover, pistols are selling like hotcakes – except for 1911s. Again, Remington missed out.

Now here is where the potential bankruptcy gets interesting. The probably lead bidder for Remington is the Navajo Nation.

From the WSJ:

The bankruptcy filing could come within days as the gun maker makes preparations for the Navajo Nation to serve as the lead bidder to purchase Remington’s assets out of chapter 11, these people said. Founded in 1816, Remington’s namesake weapons are mainstays in hunting, shooting sports, law enforcement and the military.

The Navajo Nation—a territory with roughly 175,000 people across parts of Utah, Arizona, New Mexico—could finalize a bid for Remington as soon as Friday, one of the people said. Any bid for the company would be subject to competing offers and require bankruptcy-court approval.

The timetable could be pushed back, and an offer from the Navajo Nation isn’t guaranteed to materialize, people familiar with the matter said.

The Navajo Nation, which explored buying Remington as far back as 2018, owns a set of business enterprises in industries including energy, transportation, and utilities. In 2019, a business owned by Navajo Nation purchased coal company Cloud Peak Energy’s mining assets out of bankruptcy.

What makes ownership by the Navajo Nation particularly interesting is that they have sovereign immunity. This is especially true in light of the litigation in Connecticut over Remington’s supposed liability for the Newtown murders.

Jim Shepherd of The Shooting Wire had some very astute comments on this issue today.

So what would a Navajo acquisition look like?

With their business acumen and consultants, it probably wouldn’t look very different from most other offers price-wise. But the Nation’s unique status would introduce two variables: sovereign immunity and tribal law.

Interpreting what sovereign immunity really means, especially in a business negotiation, is an assignment I’m not equipped to complete. It is a complicated relationship between the various tribes and the federal government. While their businesses generally operate under the U.S. tax codes including taxes, there are some very notable exceptions.

Tribes under the terms of sovereign immunity are shielded from litigation much the same as states. That protection “usually extends to suits arising from a tribe’s ‘off-reservation’ or commercial activities, including the activities of an off-reservation tribal casino.”

With regard to business endeavors, federal courts, according to the American Bar Association, generally do not distinguish between “governmental” and “commercial” activities. “Numerous courts,” says the ABA in Doing Business in Indian Country: A Primer “have thus held that tribal sovereign immunity extends to tribal casinos, businesses, schools and corporations (my emphasis).”

While it’s not absolute, there’s a “strong presumption” against any waiver of that immunity, and it can only be abrogated otherwise by an “unequivocal expression” of Congress.

Tribal officials and employees acting in their official capacities and within the scope of their employment are also shielded from damage suits and requests for injunctive relief. They’re also immune from subpoena enforcement to “compel production of tribal witnesses or documents.”

Think what having tribal sovereign immunity would do for a firearms manufacturer. They wouldn’t have to depend upon the Protection of Lawful Commerce in Arms Act which a President Biden and a Democrat-run Congress have promised to repeal. They could look both Brady Legal Project attorneys and ambulance chasing plaintiffs attorneys in the face and say “eff off.” Moreover, could you really imagine any Congress, Republican or Democrat majority, in these days and times trying to take immunity away from tribes?

2020 which was already an “interesting” year just got more interesting. I am anxious to see how this all plays out.