PITTSBURGH, PA -(Ammoland.com)- JSD Supply argued for a preliminary injunction against the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in a federal court today.
JSD Supply sued the ATF after the Bureau issued the company a cease-and-desist order demanding that it stop selling parts and kits on its website. The government insisted that selling unfinished firearms frames and parts constituted selling unserialized firearms without a federal firearms license (FFL), even if the customer purchased the items separately. The ATF called this “structuring.”
JSD Supply owner, Jordan Vinroe, pulled down the company’s website out of an abundance of caution. Mr. Vinroe contacted Gun Owners of America (GOA) and retained GOA’s Chief Legal Counsel, Robert Olson, to represent the company. Mr. Olson called the Special Agent in Charge (SAIC) to get answers as to what the ATF believed JSD Supply could and couldn’t sell on their site.
However, instead of the SAIC calling back as promised in the cease-and-desist order, ATF Associate Chief Counsel Jeffrey Cohen and ATF Philadelphia field office Counsel Regina Drayton returned Mr. Olson’s call. On the call, the two government lawyers would not say what the company could do to be in compliance with the cease-and-desist order. The lawyers said they were not subject matter experts but said JSD Supply needed to comply with Final Rule 2021R-05F.
The new rule is not due to go into effect until August 24th. The cease-and-desist order specifically said it was independent of the new regulation surrounding privately manufactured firearms (PMF). The two ATF lawyers contradicted the letter. This early enforcement of the rule is one of the reasons that JSD Supply filed a federal lawsuit against the ATF.
Mr. Olson sent a follow-up letter to the ATF lawyers asking once more to clarify exactly what the letter was asking of JSD Supply. The ATF did not respond to the request. This inaction led the company to request a temporary restraining order (TRO) against the ATF imposing the cease-and-desist order. That request was denied, but the judge did schedule a hearing for a preliminary injunction against the ATF.
During the hearing, it was brought up that there was at least one other cease-and-desist served to another retailer of 80% firearms kits. That retailer was KM Tactical. The ATF purchased a Polymer80 kit from the site. After the ATF examined the Polymer80, it determined it to be a firearm and served KM Tactical with a cease-and-desist order. Mr. Olson argued that this showed that the ATF was applying the new rule several months before it was scheduled to go into effect.
The ATF could be trying to enforce the new rule early to shut down the unfinished frame industry before legal challenges to the new regulation could be heard in court. Division80, a company formed in Texas, has already filed a lawsuit over the new rule with GOA, Firearms Policy Coalition (FPC), and Second Amendment Foundation (SAF), preparing their legal challenges.
To get a court to issue a preliminary injunction, the case must meet specific criteria. The first is that the cease-and-desist causes irreparable harm. JSD Supply had to close its business while fighting the case, putting the whole company in danger of shutting down. The second is that the plaintiff is likely to succeed in the case.
The decision on the preliminary injunction is expected within a week. JSD Supply has vowed to keep fighting against ATF overreach and will seek a permanent injunction against the ATF’s cease-and-desist order. The court battle will be expensive even with GOA’s help. A defense fund has been set up to help JSD Supply pay legal bills and other expenses. Mr. Vinroe has vowed to donate any unused funds to a pro-gun organization.
The legal defense fund can be found at https://www.standwithjsd.com
About John Crump
John is a NRA instructor and a constitutional activist. John has written about firearms, interviewed people of all walks of life, and on the Constitution. John lives in Northern Virginia with his wife and sons and can be followed on Twitter at @crumpyss, or at www.crumpy.com.