💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Catholic nuns sue Smith & Wesson to halt its assault-style weapons sales

Published 12/05/2023, 02:44 PM
Updated 12/05/2023, 04:26 PM
© Reuters. FILE PHOTO: Attendees inspect Smith and Wesson firearms at the National Rifle Association's (NRA) annual meeting, in Indianapolis, Indiana, U.S., April 28, 2019.  REUTERS/Bryan Woolston/File Photo

By Tom Hals

WILMINGTON, Delaware (Reuters) - A group of Catholic nuns on Tuesday sued the board of Smith & Wesson to try to force the gunmaker to abandon the manufacture, marketing and sales of assault-style rifles that have been used in U.S. mass shootings.

The nuns, in a lawsuit filed in state court in Nevada, allege that Smith & Wesson's directors and senior management exposed the company to significant liability by intentionally violating federal, state and local laws and failing to respond to lawsuits over mass shootings.

"These rifles have no purpose other than mass murder," the nuns said in a statement.

Smith & Wesson, which is incorporated in Nevada, did not respond immediately to a request for comment.

AR-15 assault-style rifles have been used in a number of mass shootings that have shocked Americans.

The first page of the lawsuit contains a photo from a mass shooting at a Colorado cinema in 2012 that showed a Smith & Wesson assault rifle on the blood-splattered ground next to pink sandals. Twelve people died and 70 were injured in the attack.

The group of nuns filed the lawsuit in their role as Smith & Wesson shareholders, in what is known as a derivative lawsuit. Such lawsuits seek to hold corporate boards liable for breaches of their duties to shareholders, although courts generally find boards are protected from lawsuits for good-faith decisions.

If successful, the lawsuit would hold the company's directors liable for any costs associated with the allegedly illegal marketing of assault rifles and any damages would be paid to Smith & Wesson, not the plaintiffs.

The lawsuit is the first derivate case against a board over assault rifles, according to Jeffrey Norton, an attorney for the nuns.

The nuns alleged that the directors of Smith & Wesson have ignored growing legal risks from making assault-style rifles.

For many years, gunmakers enjoyed broad immunity for liability from mass shootings due to a 2005 U.S. law known as the Protection of Lawful Commerce in Arms Act. But last year, rival gunmaker Remington agreed to pay $73 million to settle claims by families of the victims of the 2012 shooting at the Sandy Hook Elementary School in Connecticut, which has encouraged others to sue over mass shootings.

In addition, New York, Illinois and California are among the states that have adopted laws that either ban assault rifles or make it easier to sue over their use.

At the same time, the U.S. Supreme Court and many other states have taken steps to expand gun-owner rights.

© Reuters. FILE PHOTO: Attendees inspect Smith and Wesson firearms at the National Rifle Association's (NRA) annual meeting, in Indianapolis, Indiana, U.S., April 28, 2019.  REUTERS/Bryan Woolston/File Photo

Smith & Wesson warned in its 2022 annual report that it might have to pay significant damages due to legal proceedings against the company.

The case in Nevada was brought by the Adrian Dominican Sisters of Adrian, Michigan; Sisters of Bon Secours USA of Marriottsville, Maryland; Sisters of St. Francis of Philadelphia of Aston, Pennsylvania; and Sisters of the Holy Names of Jesus & Mary, U.S.-Ontario Province of Marylhurst, Oregon.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.