Earlier this year the National Rifle Association sued their subsidiary organization the NRA (1791) Foundation in federal court. As we previously reported, the judge dismissed some portions of the suit because they felt D.C. Superior Court was the most appropriate venue.
The NRA has now filed its complaint in D.C,’s local courts, and in it the NRA alleges that the NRA Foundation — now rebranded to The 1791 Foundation — engaged in trademark infringement, cybersquatting, and claimed their sister organization was withholding funds from the NRA proper. The Foundation claims that they have been upholding their fiduciary duties and filed their own countersuit in federal court in Virginia.
The claims that survived in federal district court were trademark and cybersquatting related. District Court Judge Sparkle L. Sooknanan wrote in her memorandum and opinion that “the NRA’s non-trademark D.C.-law claims also appear to present novel issues.” The claims listed as D.C.-law claims include: breach of trust, ultra vires, unauthorized diversion of charitable assets, breach of implied contract, and unjust enrichment.
The NRA’s new civil complaint states that they “bring this action to stop the Foundation from misappropriating the many millions of dollars that NRA supporters contributed to fund the NRA’s educational and other charitable activities.” Therein the Association claims that “the Foundation has been seized by disgruntled faction of former NRA directors who lost control of the NRA’s Board following revelations of financial improprieties, mismanagement, and breaches of fiduciary duty and member trust.”
As previously reported, the NRA (1791) Foundation Board of Trustees is made up of many former NRA Board of Director members. Foundation President Tom King failed to get reelected in 2025, however nearly all the remaining Foundation trustees who were also on the board all resigned prior to the 2026 director’s election. Only two Trustees of the Foundation also serve on the Board of Directors of the Association.
Many of the trustees on the Foundation board were close allies of former NRA Executive Vice President Wayne LaPierre. In the wake of the 2025 NRA Board of Directors election and unseating of then-NRA President Bob Barr is when this alleged “disgruntled faction of former NRA directors” left the NRA board and migrated to the Foundation.
The NRA sent Bearing Arms a comment concerning the partial dismissal of the federal case.
“As expected, the courts have rejected the organization formerly known as the NRA Foundation’s erroneous attempt to dismiss the NRA’s lawsuit,” said the NRA in a previously released statement. “This ruling clears the way for our challenge to proceed and explicitly directs the NRA to file a companion case in Washington, D.C. We anticipated this result and have filed that second lawsuit in the nation’s capital.”
In the current D.C. complaint, the NRA makes the following allegations against the Foundation:
- Third Party Beneficiary Breach of Contract
- Third Party Beneficiary and Settlor Breach of Trust
- Breach of Implied Contract
- Promissory Estoppel
- Unjust Enrichment
- Unauthorized Diversion of Charitable Assets
- Ultra Vires Violations of Organizing Documents
The day after the NRA filed their suit in D.C. court is when the Foundation filed their own lawsuit in federal court in Virginia. In The 1791 Foundation, Inc., F/K.A The NRA Foundation, Inc. v. The National Rifle Association of America, Inc., the Foundation accuses the NRA of several things. “This case is about greed, deception, and retaliation,” the complaint opens with. The Foundation claims that the NRA was attempting to use them as a piggybank.
Foundation leadership also accused the NRA of having “a history of jeopardizing foundation assets.” The complaint states:
In 2018, reports questioning the financial health of the NRA began to surface, as the NRA’s balance sheet showed that expenses were outpacing revenue. Reports of excessive legal and vendor expenses prompted the New York Attorney General to launch an investigation into the NRA, because it is a nonprofit organization incorporated in and subject to the laws of New York. In August 2020, the New York Attorney General sued the NRA, alleging that (1) NRA officers diverted millions of nonprofit funds on luxury travel and personal expenses, and (2) the NRA board failed to exercise independent judgment and approved improper expenditures, including conflicted insider transactions.
Looking at the list of Foundation trustees, many of them served on the NRA Board of Directors during that timeframe.
The Foundation blaming the past and present board of wrongdoing might not look good. In the past the Foundation relied on the staff of the NRA proper for everything. Since severing themselves from their parent organization, the Foundation brought on several employees and contractors that are speculated — through unverified rumors that the Foundation refuses to address — to be highly paid. The new employees and their salaries are likely going to raise questions about donor intent.
Who’s going to come out on top at the end of this brutal battle is not known. Since the federal judge did not dismiss the D.C.-law claims with prejudice, that might be a good sign for the Association. The fact that what started as a quarrel between factions that disagree — for whatever the reason(s) — has turned to three interrelated lawsuits is unfathomable given the lawfare the Association has already suffered. We’ll continue to monitor the feud between the NRA and NRA (1791) Foundation and report back with any updates.
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24 Comments
Production mix shifting toward USA might help margins if metals stay firm.
Nice to see insider buying—usually a good signal in this space.
Interesting update on National Rifle Association Files Suit in D.C. Superior Court Against Foundation. Curious how the grades will trend next quarter.
Good point. Watching costs and grades closely.
Nice to see insider buying—usually a good signal in this space.
Good point. Watching costs and grades closely.
Uranium names keep pushing higher—supply still tight into 2026.
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I like the balance sheet here—less leverage than peers.
Interesting update on National Rifle Association Files Suit in D.C. Superior Court Against Foundation. Curious how the grades will trend next quarter.
Good point. Watching costs and grades closely.
Interesting update on National Rifle Association Files Suit in D.C. Superior Court Against Foundation. Curious how the grades will trend next quarter.
Silver leverage is strong here; beta cuts both ways though.
Good point. Watching costs and grades closely.
Interesting update on National Rifle Association Files Suit in D.C. Superior Court Against Foundation. Curious how the grades will trend next quarter.
Good point. Watching costs and grades closely.
Exploration results look promising, but permitting will be the key risk.
I like the balance sheet here—less leverage than peers.
Good point. Watching costs and grades closely.
Silver leverage is strong here; beta cuts both ways though.
Good point. Watching costs and grades closely.
Good point. Watching costs and grades closely.
Uranium names keep pushing higher—supply still tight into 2026.
Good point. Watching costs and grades closely.