HB45 • 2025

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO SALES OF FIREARMS, FIREARM ACCESSORIES, AND AMMUNITION.

Firearms

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Griffith
Last action: 2025-05-08
Official status: Out of Committee 3/12/25
Effective date: Not listed

Plain English Breakdown

The official summary mentions September 22, 2022 for the ISO code date, while the detailed text says September 9, 2022. The explanation uses the general concept without specifying the conflicting dates.

Delaware Law on Payment Codes for Gun Sales

This law requires payment companies to use a specific code when processing credit, debit, or prepaid card transactions for businesses that sell firearms and ammunition.

What This Bill Does

Requires payment card networks to provide the special merchant category code for gun sales by July 1, 2025.
Mandates that merchant acquirers assign this specific code to firearm merchants starting October 1, 2025.
States that any agreement trying to skip these rules is invalid and cannot be enforced.
Allows the Department of Justice to sue anyone who breaks these new payment rules.
Sets a civil fine of $10,000 for each violation found by the court.

Who It Names or Affects

Payment card networks that route transactions between banks.
Merchant acquirers that process credit and debit cards for businesses.
Firearms merchants whose highest sales value comes from guns, gun parts, or ammunition in Delaware.
The Department of Justice, which has the power to enforce this law.

Terms To Know

Merchant Category Code (MCC): A number used by banks and payment systems to identify what type of business is making a sale.
Firearms Merchant: A licensed seller whose highest sales value comes from selling guns, gun parts, or ammunition in Delaware.
Merchant Acquirer: The company that sets up the system for a business to accept credit and debit card payments.

Limits and Unknowns

Violators can avoid fines if they fix the problem within 30 days of receiving written notice from the Department of Justice.
To avoid penalties, violators must also provide proof that they fixed the issue and changed their internal policies to prevent it from happening again.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HA 1

1 • Griffith

PWB 5/7/25

Plain English: This amendment clarifies that new gun sales rules only apply to licensed sellers actually based in Delaware and sets a start date for these laws on January 1, 2026.

The law now clearly states it applies only to federal firearms licensees who are physically located inside the state of Delaware.
The effective date for this entire bill is changed so that all new rules begin on January 1, 2026.

This amendment does not explain what specific sales rules or restrictions will apply once the law takes effect in 2026.
The text only shows changes to definitions and dates, so it is unclear how other parts of the original bill might be affected.

HA 2

2 • Lynn

PWB 5/8/25

Plain English: This amendment defines what counts as a financial institution and requires them to report gun purchases over $1,000 while clarifying that time limits in the law are based on business days.

It creates a definition for 'financial institution' that includes banks, trust companies, payment card networks, and payment card issuers.
It requires financial institutions to report any firearm purchase costing more than $1,000 to the State Bureau of Identification.
It states that these new records cannot be released under the Freedom of Information Act.
It changes time limits in the law from calendar days to business days and adds financial institutions to groups responsible for following or reporting on the rules.

The text does not explain how a violation by a financial institution would be punished, only that they must follow the act.
The specific internal policy changes required from payment card networks are described generally as preventing future violations but lack detailed steps in this amendment.

Bill History

2025-05-08 Delaware General Assembly
Amendment HA 2 to HB 45 - Introduced and Placed With Bill
2025-05-07 Delaware General Assembly
Amendment HA 1 to HB 45 - Introduced and Placed With Bill
2025-03-12 Delaware General Assembly
Reported Out of Committee (Judiciary) in House with 2 Favorable, 4 On Its Merits
2025-03-06 Delaware General Assembly
Introduced and Assigned to Judiciary Committee in House

Official Summary Text

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO SALES OF FIREARMS, FIREARM ACCESSORIES, AND AMMUNITION.
This Act requires payment card networks to make available to merchant acquirers the merchant category code for firearms and ammunition businesses that was established by the International Organization for Standardization on September 22, 2022 by July 1, 2025, and for merchant acquirers to assign the MCC for firearms and ammunition businesses to firearms merchants beginning October 1, 2025.
This Act also authorizes the Department of Justice to bring civil actions against individuals or entities who violate the provisions of this Act, and requires that such violators pay a civil fine of $10,000 for each violation, in addition to attorneys’ fees and costs in investigating and bringing the action. A court may also impose injunctive relief to prevent future violations.

Current Bill Text

Read the full stored bill text

Legislation Document

SPONSOR:

Rep. Griffith & Rep. Gorman & Rep. Bush & Sen. Sokola

Reps. Burns, Heffernan, K. Johnson, Ross Levin; Sens. Pinkney, Seigfried, Sturgeon

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE BILL NO. 45

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO SALES OF FIREARMS, FIREARM ACCESSORIES, AND AMMUNITION.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend Subpart II, Title 6 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:

Chapter 50F. SALES OF FIREARMS, FIREARM ACCESSORIES, AND AMMUNITION.

§ 5001F. Definitions.

As used in this chapter:

(1) “Ammunition” means as defined in § 1448(c) of Title 11.

(2) “Firearm” means as defined in § 222 of Title 11.

(3) “Firearm accessory” means an attachment or device designed or adapted to be inserted into, affixed onto, or used in conjunction with a firearm, and which is designed, intended, or functions to alter or enhance the firing capabilities of a firearm, the lethality of the firearm, or a shooter’s ability to hold and use a firearm.

(4) “Firearms merchant” means a federal firearms licensee for which the highest sales value is, or is expected to be, from the combined sale in Delaware of firearms, firearm accessories, or ammunition, as stated by the business to its merchant acquirer in the ordinary course of business.

(5) “Merchant acquirer” means an entity that establishes a relationship with a merchant for the purpose of processing credit, debit, or prepaid transactions.

(6) “Merchant category code for firearms and ammunition businesses” means the merchant category code for firearms and ammunition businesses established by the International Organization for Standardization on September 9, 2022, or the most recent successor merchant category code for firearms and ammunition businesses established by the International Organization for Standardization after September 9, 2022.

(7) “Payment card network” means an entity that provides services that route transactions between bank participants to conduct debit, credit, or prepaid transactions for the purpose of authorization, clearance, or payment.

§ 5002F. Merchant category codes.

(a) A payment card network must make the merchant category code for firearms and ammunition businesses available for merchant acquirers that provide payment services for firearms merchants.

(b) A merchant acquirer must assign to a firearms merchant the merchant category code for firearms and ammunition businesses.

(c) A waiver or attempted waiver of the requirements of this section is contrary to public policy, void, and unenforceable.

§ 5003F. Enforcement.

(a) A person or entity who violates this chapter is subject to the civil penalties described in subsection (d) of this section and the Department of Justice has exclusive authority to enforce this chapter.

(b) At least 30 days prior to bringing an action under subsection (d) of this section, the Department of Justice must provide written notice to the person or entity against whom an action will be filed that identifies the violations of this chapter committed by the person or entity.

(c) The Department of Justice may not bring an action under subsection (d) of this section if, upon receipt of the written notice required under subsection (b), the recipient does both of the following:

(1) Cures the violation within 30 days of receiving the notice.

(2) Provides the Department of Justice with the following:

a. A written statement attesting that the person or entity cured the violation.

b. Supporting documentation to demonstrate how the violation was cured.

c. A written statement attesting that the person or entity has made changes to internal policies to prevent the recurrence of violations in the future.

(d)(1) The Department of Justice may bring a civil action against any person or entity who violates this chapter.

(2) If the court determines that the person or entity against whom a civil action is brought by the Department of Justice under this section violated this chapter, the person or entity is subject to the following:

a. A civil fine of $10,000 for each violation.

b. Such injunctive relief as the court deems necessary to prevent the person or entity from further violating this chapter.

c. Reasonable attorneys’ fees and costs incurred in investigating and bringing an action under this chapter.

Section 2. This Act takes effect as follows:

(1) Payment card networks must make available the merchant category code for firearms and ammunition businesses under 6 Del. C. § 5002F(a) no later than July 1, 2025.

(2) All other provisions of this Act are effective October 1, 2025.

SYNOPSIS

This Act requires payment card networks to make available to merchant acquirers the merchant category code for firearms and ammunition businesses that was established by the International Organization for Standardization on September 22, 2022 by July 1, 2025, and for merchant acquirers to assign the MCC for firearms and ammunition businesses to firearms merchants beginning October 1, 2025.

This Act also authorizes the Department of Justice to bring civil actions against individuals or entities who violate the provisions of this Act, and requires that such violators pay a civil fine of $10,000 for each violation, in addition to attorneys’ fees and costs in investigating and bringing the action. A court may also impose injunctive relief to prevent future violations.