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New York Attorney General Letitia James announced on Tuesday that Walmart has agreed to pay $16,000 in penalties and fees and ensure that all its third-party sellers are unable to sell imitation toy guns in New York.
Walmart must pay $14,000 in penalties and $2,000 in fees to the state.
The Office of the Attorney General (OAG) found during an investigation that third-party sellers on Walmart’s online store sold realistic-looking toy guns to New Yorkers. The investigation revealed that Walmart shipped nine of those toy guns to addresses in New York, including New York City, Westchester, and Western New York.
According to New York law, retailers are prohibited from selling or shipping toy guns that are black, dark blue, silver, or aluminum-colored and look like a real gun.
This is because realistic-looking toy guns can be used for perpetrating unlawful activities and have led to several deaths and shootings across the state. The law states that businesses that illegally sell or distribute realistic-looking toy guns in New York can be fined up to $1,000 per violation.
Toy guns sold in New York must be brightly colored or entirely made of transparent or translucent materials.
“Walmart failed to prevent its third-party sellers from selling realistic-looking toy guns to New York addresses, violating our laws and putting people at risk. The ban on realistic-looking toy guns is meant to keep New Yorkers safe and my office will not hesitate to hold any business that violates that law accountable,” James said.
Investigators from OAG were able to purchase a toy gun from Walmart and have it shipped to New York, the Office of the New York State Attorney General said in a statement.
According to a CNBC report, the latest fine comes almost a decade after retail giants like Walmart, Amazon, Sears, and others entered into a consent order and judgment with New York’s previous attorney general. Under the order, the companies had agreed to keep toy guns resembling actual deadly weapons off their shelves statewide and paid civil penalties over $300,000.
Walmart shares traded 0.92% higher on Tuesday. The stock has gained 8% in 2025 and over 49% in the past 12 months.
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