From the American Rabbit Breeders Association:
Basically if John Doe is selling rabbits for meat or fur, no licensing on the federal level is required. If John Doe is selling rabbits to individuals for use as pets, no licensing is required. But sell $500 in rabbits to a company not intending to use them for fur or meat [such as a pet shop(s), research facility, probably also zoos & amusement parks] then you need a federal license.Usually no licensing is required for the production of rabbits for meat as long as the zoning requirements are not violated. However, that is not true when the production of rabbits extend to the 'pet' market. It is possible that the rabbitry would need to be licensed and inspected under the guidelines of the Animal Welfare Act enforced by the U.S. Department of Agriculture. In short, licensing is required for breeders who supply more than $500 of rabbits to a wholesale facility/buyer. Direct pet sales to the consumer are not included in the $500 threshold. If there are no pet sales to a wholesale or resale facility, inspections by the USDA are not required. The $500 threshold also covers producers supplying rabbits to research facilities.
According to the feds, the law includes "...for certain animals bred for commercial sale, used in research, transported commercially, or exhibited to the public."
See: http://awic.nal.usda.gov/nal_display...ment_default=0
Sounds like they're screwed.