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Supreme Court Unanimously Sides with Smith & Wesson in Mexico's $10 Billion Lawsuit

Author: | Publish Date: Jun 08, 2025 | Fact checked by: Marko Lalovic

Historic 9-0 Ruling Shields Firearms Industry from $10 Billion Claim

The United States Supreme Court has delivered a resounding unanimous decision this week, completely dismissing Mexico's ambitious $10 billion lawsuit against American firearm manufacturers. The landmark case, Estados Unidos Mexicanos v. Smith & Wesson Brands, Inc., concluded with all nine justices rejecting the foreign government's claims against the domestic gun industry.

Legal Battle Reaches Nation's Highest Court

The case made its way to the Supreme Court in March, featuring high-profile legal representation on both sides of the contentious issue. Representing the firearms manufacturers, Noel Francisco—who previously served as Solicitor General during Donald Trump's initial presidential administration—presented arguments defending the gun companies. On the opposing side, Mexico enlisted Cate Stetson from Hogan Lovells, one of the world's most prominent international law firms.

Core Arguments and Legal Framework

Mexico's Position on Manufacturer Liability

Stetson advanced the argument that American gun manufacturers had "aided and abetted" violations of existing firearms regulations, effectively facilitating the placement of weapons "in criminals' hands and those criminals harmed Mexico." This legal theory aimed to circumvent the Protection of Lawful Commerce in Arms Act (PLCAA), the federal legislation designed to protect the firearms industry from baseless litigation.

Defense of Industry Protections

Francisco countered with a straightforward interpretation of PLCAA's explicit protections, arguing that the federal statute clearly shields gun companies from such expansive lawsuits. His position emphasized that the law was specifically designed to prevent exactly this type of broad liability claim.

Justice Kagan Delivers Decisive Opinion

Liberal Justice Authors Pro-Industry Ruling

In an unexpected turn, Justice Elena Kagan—nominated to the court by President Obama in 2010—authored the unanimous decision that reversed the lower court's earlier judgment and sent the case back for proceedings aligned with the Supreme Court's opinion.

Congressional Intent Behind PLCAA

Justice Kagan's opinion emphasized the original legislative purpose behind the Protection of Lawful Commerce in Arms Act: "Recall that Congress enacted the statute to halt a flurry of lawsuits attempting to make gun manufacturers pay for the downstream harms resulting from misuse of their products." She further explained that "Congress explained that PLCAA was meant to stop those suits – to prevent manufacturers (and sellers) from being held 'liable for the harm caused by those who criminally or unlawfully misuse firearm[s].'"

Recognition of Lawsuit's Similarity to Targeted Cases

The Justice drew clear parallels between Mexico's case and the exact type of litigation Congress intended to prevent: "Mexico's suit closely resembles the ones Congress had in mind: It seeks to recover from American firearms manufacturers for the downstream damage Mexican cartel members wreak with their guns."

Notable Commentary on Firearm Types

Acknowledgment of Common Use Standard

Justice Kagan's opinion included a significant observation regarding so-called "assault weapons," noting that "Mexico focuses on production of 'military style' assault weapons, but these products are widely legal and purchased by ordinary consumers." This statement appears to acknowledge the common use standard for AR-15 style firearms.

Industry Response to Victory

Smith & Wesson Leadership Celebrates Outcome

Smith & Wesson, serving as one of the primary defendants in the litigation, expressed strong satisfaction with the Supreme Court's decision. Company President and CEO Mark Smith characterized the ruling as a comprehensive victory with far-reaching implications.

"Today's unanimous Supreme Court decision shutting down this ridiculous lawsuit against our company represents not only a big win for Smith & Wesson, but our industry, American sovereignty and, most importantly, every American who wishes to exercise his or her Second Amendment rights," Smith stated in response to the verdict.

Broader Implications for Constitutional Rights

The CEO further emphasized the case's significance beyond the immediate parties involved: "This suit, brought by Mexico in collaboration with U.S.-based anti-Second Amendment activist groups, was an affront to our nation's sovereignty and a direct attack on the Constitutional rights of law-abiding Americans."

Opposition Response and Legislative Pushback

Gun Control Advocates Express Disappointment

Organizations advocating for stricter firearm regulations, including the Center for American Progress and similar left-leaning groups, expressed disappointment over what they viewed as a lost opportunity to establish manufacturer accountability. These organizations had hoped the case would create precedent for holding "U.S. gun manufacturers accountable for fueling gun violence in Mexico."

Congressional Democrats Propose Legislative Changes

In response to the Supreme Court's decision, Democratic lawmakers on Capitol Hill have renewed calls for enhanced firearm restrictions and introduced new legislation aimed at completely eliminating the Protection of Lawful Commerce in Arms Act, seeking to remove the legal protections that proved decisive in this case.

Aleksa Miladinovic

Aleksa Miladinovic is a passionate technology enthusiast born and raised in Serbia, whose interest in defense technology was sparked by his country's rich firearms manufacturing heritage. His journey began when attending a Partner defense exhibition in Belgrade, where he was captivated by the innovative engineering and precision mechanics behind modern defense systems. With Serbia being a significant producer of military equipment in the region, Aleksa has developed a deep appreciation for the technical advancements and engineering excellence that the firearms industry represents.