On Friday, the National Rifle Association of America (NRA) slammed the “corrupt political and regulatory environment” in the State of New York and announced plans to reincorporate in Texas. The NRA has been incorporated in New York for approximately 150 years. The NRA describes the move as part of a new restructuring plan aimed at streamlining costs, handling pending litigation, and operating in a more efficient and welcoming environment.
New York Democrats have not been shy about their disdain for the country’s oldest civil rights organization. When New York Attorney General Letitia James was running for office, James called the NRA both a “terrorist organization” and a “criminal enterprise.” When elected, James vowed to investigate the NRA’s “legitimacy,” the NRA recalled in a press release.
Hostility from New York leaders prompted the NRA to file a lawsuit against the state attorney general, accusing the attorney general of “attempting to ‘blacklist’ the organization and its financial partners in violation of their First Amendment rights.” The NRA has filed similar lawsuits against Gov. Andrew Cuomo (D-NY) and New York’s Department of Financial Services.
Part of the NRA’s restructuring plan utilizes the protections of chapter 11 bankruptcy.
“Under this plan, the Association wisely seeks protection from New York officials who it believes have illegally weaponized their powers against the NRA and its members,” said NRA counsel William A. Brewer III. “The NRA will continue the fight to protect the interests of its members in New York – and all forums where the NRA is unlawfully singled out for its Second Amendment advocacy.”
The NRA notes many businesses, nonprofits and organizations of all kinds routinely file voluntary chapter 11 proceedings to streamline their legal and financial affairs. Despite the organization filing chapter 11 protection, the NRA reports to be in its strongest financial condition in years and expects to uphold its commitments to employees, vendors, members, and other stakeholders in the community.
“This strategic plan represents a pathway to opportunity, growth and progress,” said NRA CEO Wayne LaPierre. “Obviously, an important part of this plan is ‘dumping New York.’ The NRA is pursuing reincorporating in a state that values the contributions of the NRA, celebrates our law-abiding members, and will join us as a partner in upholding constitutional freedom. This is a transformational moment in the history of the NRA.”
The NRA says it will seek court approval to reincorporate in the State of Texas, citing Texas as the home of more than 400,000 NRA members and the host of the NRA’s 2021 Meeting set for Houston.
I’ll leave you with this. It may shed some light on why the NRA decided not to reincorporate in California.