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Commitments and Contingencies
9 Months Ended
Oct. 30, 2021
Commitments and Contingencies.  
Commitments and Contingencies

(11) Commitments and Contingencies

Legal Matters

The Company is involved in various legal matters generally incidental to its business. After discussion with legal counsel, management is not aware of any matters for which the likelihood of a loss is probable and reasonably estimable and which could have a material impact on its consolidated financial condition, liquidity, or results of operations.

Parsons v. Colt’s Manufacturing Company2:19-cv-01189-APG-EJY – On July 2, 2019 the estate and family of a victim of the Route 91 Harvest Festival shooting filed litigation against 16 defendants, one of which being a subsidiary of Sportsman’s Warehouse Holdings, Inc., for wrongful death and negligence. The Company’s motion to dismiss was granted except as to the wrongful death claim. The court also certified three questions to the Nevada Supreme Court, including an issue potentially dispositive of this matter: whether Nevada’s statute granting firearms manufacturers and retailers immunity from civil suit, NRS 41.131, precludes the plaintiffs’ theory of liability. On December 2, 2021, the Nevada Supreme Court issued a unanimous published decision in favor of the manufacturers and retailers, finding that the statute bars all claims. The plaintiffs have a period to petition the Supreme Court for reconsideration. If the decision remains undisturbed, the matter will be sent back to the federal district court, which will likely be obligated to dismiss the case in its entirety. No reasonable estimate of the amount of any potential losses or range of potential losses relating to this matter can be determined at this time.

TMS McCarthy, LP, Etc., Pltf. v. Sportsman’s Warehouse Southwest, Inc. Etc. Et Al., Dfts.- On June 23, 2020 TMS McCarthy, LP filed a complaint against Sportsman’s Warehouse Southwest, Inc., a wholly owned subsidiary of Sportsman’s Warehouse Holdings Inc., claiming the Company wrongfully terminated the lease relating to one of its stores. The Company believes the plaintiffs’ complaint is without merit based on the plain language of the lease at issue and on August 14, 2020 filed a counterclaim for declaratory relief. No reasonable estimate of the amount of any potential losses or range of potential losses relating to this matter can be determined at this time.