Skip to main content Skip to main content

NRA Declares Bankruptcy

An update on what's happening with the nation's largest 2nd Amendment advocacy organization.

NRA Declares Bankruptcy

( photo)

As has been reported, America’s oldest gun rights organization, the National Rifle Association (NRA) is in the midst of unprecedented legal and financial turmoil. With pending lawsuits against the NRA in New York and Washington, D.C., litigation expenses are adding up. The company, chartered in New York since November 17, 1871, filed for Chapter 11 Bankruptcy in the United States Bankruptcy Court for the Northern District of Texas on January 15, 2021. The announcement was made by a letter from CEO Wayne LaPierre to the NRA’s 76-member Board of Directors, and the news spread quickly.

In 2020, investigations by the Attorneys General of New York and Washington, D.C. produced lawsuits in both jurisdictions. Though these two officials are no friends to gun owners, the specific details outlined in the complaints [] are many.  

The ongoing legal problems have led to exorbitant legal fees, which has drained the NRA’s coffers. Despite public statements of financial strength, dozens of employees at the NRA’s Headquarters in Fairfax, Virginia, were laid-off or furloughed in 2020. Tax records indicate that the NRA ran a $12.2 million deficit in 2019, making the 2021 bankruptcy a predictable result.

The NRA owns a Texas-based Sea Girt, LLC, which also filed for bankruptcy. It’s unclear if this bankruptcy will help the NRA move past the New York suit. On Thursday, January 21, 2021, a state court judge allowed that case to move forward.

“It would be inappropriate to find that the attorney [general] couldn’t pursue her claims in state court just because one of the defendants wants to proceed in federal court,” said Judge Joel Cohen during the hearing.

According to court documents [], the NRA’s largest creditor is Ackerman-McQueen, the same agency at the center of the investigations in New York and Washington. Ackerman-McQueen, and its affiliates Mercury Group and Under Wild Skies, are allegedly owed more than $2 million by their former client. The NRA disputes this amount and is seeking damages in a separate lawsuit against the longtime vendors. Another $1.4 million is reportedly owed to the firms headquartered inside the NRA’s headquarters.

The NRA, which has claimed to be in its “strongest financial condition in years,” is asserting that the news of its bankruptcy marks a fresh chapter in the organization’s history that will help it move beyond its legal issues. The NRA will reportedly move its headquarters to Texas. The NRA may not escape the increasing dissatisfaction with LaPierre and his loyalists on the Board of Directors. If New York’s and Washington’s attorneys and politicians get there way, a change may come sooner rather than later.

Current Magazine Cover

Enjoy articles like this?

Subscribe to the magazine.

Get access to everything Guns & Ammo has to offer.
Subscribe to the Magazine

GET THE NEWSLETTER Join the List and Never Miss a Thing.

Recommended Articles

Popular Videos

First Look: Springfield Armory Model 2020 Waypoint Bolt-Action Rifle

First Look: Springfield Armory Model 2020 Waypoint Bolt-Action Rifle

At the heart of the rifle is the Model 2020 action which wish designed and built with very tight tolerances thanks to Springfield's technology-driven manufacturing capabilities The stainless steel action features an integral recoil lug, and pairs with a fluted bolt employing dual cocking cams and an enhanced extractor for high pressure loads. The blueprinted and precisely machined action allows Springfield to offer the Model 2020 with .75" MOA accuracy guarantee. Despite being a production rifle, the Model 2020 should rival more expensive custom builds.

Cameras Don

Cameras Don't Lie: Subsonic 9mm vs. .300 Blackout

In this segment of "Cameras Don't Lie," a subsonic-ammo showdown, 9mm vs. .300 Blackout fired from AR rifles.

Air Rifle and Pistol Reviews: Full-Auto Fun

Air Rifle and Pistol Reviews: Full-Auto Fun

Gun Tech Editor Richard Nance and Pro-Shooter Jim Tarr head to the range with both .177-caliber airguns to test their aim and demonstrate why the full-auto selector is often called the "giggle switch."

See All Videos

Magazine Cover

GET THE MAGAZINE Subscribe & Save

Digital Now Included!


Give a Gift   |   Subscriber Services


Buy Digital Single Issues

Don't miss an issue.
Buy single digital issue for your phone or tablet.

Buy Single Digital Issue on the Guns & Ammo App

Other Magazines

See All Other Magazines

Special Interest Magazines

See All Special Interest Magazines

GET THE NEWSLETTER Join the List and Never Miss a Thing.

Get the top Guns & Ammo stories delivered right to your inbox every week.

Phone Icon

Get Digital Access.

All Guns and Ammo subscribers now have digital access to their magazine content. This means you have the option to read your magazine on most popular phones and tablets.

To get started, click the link below to visit and learn how to access your digital magazine.

Get Digital Access

Not a Subscriber?
Subscribe Now