Supreme Court Slams Mexico’s $10B Suit — Gun Liability Belongs in Congress, Not the Courts

Supreme Court Delivers Unanimous Ruling, Reinforcing 2005 Law

The U.S. Supreme Court didn’t merely dismiss Mexico’s $10 billion lawsuit against American gun makers — in Smith & Wesson v. Mexico the Court unanimously (9–0) eliminated the claim, reaffirming Congress’s judgment in the Protection of Lawful Commerce in Arms Act (PLCAA) of 2005.

As Justice Elena Kagan explained, Mexico’s theory "closely resembles the ones Congress had in mind" when it enacted the PLCAA — liability cannot be imposed without a direct, unlawful act by the defendant that causes the alleged harm.

Why The Ruling Matters

Congress passed the PLCAA to prevent lawsuits that seek to hold lawful manufacturers and sellers financially liable for crimes committed by third parties. The statute codifies basic tort principles: causation and direct fault matter. The lawful manufacture and sale of firearms that are later trafficked across borders by criminals does not, under established law, create the kind of causal link required for tort liability.

Backlash And Ongoing Litigation

Jonathan Lowy — the attorney behind the earlier wave of litigation whose strategy failed spectacularly in this instance — has resurfaced with new efforts, this time targeting Arizona retailers in a Nov. 30 op-ed coauthored with Pablo Arrocha Olabuenaga. But the Supreme Court’s ruling underscores the legal barriers his approach faces.

Legal Consensus And Industry Practices

Leading legal commentators agree that the PLCAA reflects sound limits on liability. Victor Schwartz has called it a "common-sense law that protects against unsound attempts to change liability principles," and Jonathan Turley notes that courts historically have rejected claims that would impose broad manufacturer liability in the absence of direct wrongdoing.

Moreover, federal law already regulates retail firearm sales: every sale by a licensed dealer requires an FBI background check and completion of ATF Form 4473, on which buyers affirm they are not straw purchasers. Falsifying that form is a federal felony punishable by up to 15 years in prison. For more than two decades the firearms industry and the ATF have promoted the "Don’t Lie for the Other Guy" campaign to discourage straw purchases.

On Mexico’s Record

The piece also questions portraying Mexico as a global model on curbing gun violence. Critics point to former President Andrés Manuel López Obrador’s "hugs, not bullets" approach and allegations that cartels have influenced politics. The article notes controversy around President Claudia Sheinbaum’s associations, including a widely reported stage appearance with Salvador Cienfuegos, a former defense minister who was arrested by U.S. authorities in 2020 on allegations tied to organized crime and later repatriated.

Conclusion: Go To Congress

Attempts to use civil suits as a backdoor to impose sweeping new restrictions risk bypassing democratic debate and the legislative process. The Supreme Court’s decision makes clear that if advocates want new limits on guns or sellers, the appropriate avenue is Congress — not the courthouse.

Lawrence Keane is Senior Vice President for Government & Public Affairs and General Counsel of the National Shooting Sports Foundation.