New Bill Repeals Gun Industry Liability Shield, Opens ATF Trace Data to Civil Lawsuits

The Equal Access to Justice for Victims of Gun Violence Act of 2025 is straightforward, but its impact is massive. It does two things: first, it wipes out key sections of the Protection of Lawful Commerce in Arms Act (PLCAA), and second, it makes federal gun trace data fair game in civil court cases.

The Liability Shield Gets Lowered

For years, the firearms industry—manufacturers, sellers, and dealers—has largely operated under a federal liability shield granted by PLCAA. Think of it as specialized armor that protects them from lawsuits when their legally sold products are later used in a crime. This bill, specifically in Section 2, repeals Sections 2, 3, and 4 of PLCAA. What does that mean in the real world? It means that armor is gone. If this bill passes, victims of gun violence may now be able to sue manufacturers or sellers in civil court, seeking damages for negligence or other claims related to the misuse of firearms. For the gun industry, this instantly increases their legal risk and potential operating costs, which could affect everything from insurance premiums to the price of a rifle.

Opening Up the ATF’s Files

Section 3 deals with evidence, specifically the data collected by the ATF’s National Trace Center. When a gun used in a crime is recovered, the ATF traces its history—who manufactured it, who imported it, and which licensed dealer sold it first. This information, stored in the Firearms Trace System database, has generally been protected from being used in civil court. This bill changes that. It makes the trace data "discoverable and admissible" in any civil lawsuit or administrative hearing. For a plaintiff’s lawyer representing a victim of gun violence, this is huge. They can now subpoena the federal government for the gun’s history—the exact path it took from the factory floor to the crime scene—and use that as evidence to potentially prove negligence or establish liability against a manufacturer or dealer.

Who Feels the Change?

For victims and their families, this bill is intended to restore their ability to seek justice and compensation directly from the companies that made or sold the weapon used against them. It clears a major hurdle that PLCAA previously erected. However, for gun manufacturers and licensed dealers, especially smaller operations, the change means navigating a new landscape of potential litigation. Suddenly, they face the risk of expensive lawsuits that could potentially bankrupt them, even if they followed every law perfectly during the sale. The question is whether the increased legal exposure will force the industry to adopt stricter sales practices or simply drive up their operating costs. Meanwhile, the ATF will see an increase in administrative burden as they field subpoenas and discovery requests for their trace data, shifting resources away from criminal investigations and into civil litigation.