I was thinking about doing a build for the first time, I have seen some AMD-65 kits that look like they would be cool to build up. I know that there are the US part count issue and using a longer brake so it's not a SBR. My question is a couple of the dealers selling these kits in the fine print say assembling the kit into a rifle would be a violation of 18 U.S.C. 925 (d) (3) . Any help on this or should I look into building something else ?

Dont worry about it if it were a problem there would be LOTS of people in jail by now including many well known manufacturers. I think the dealers only put that in there to cover their ass.

Yeah Ive seen that at many fun shows and a lot of places that sell parts kits..

something along the lines of  "these kits are for replacement parts only, it is unlawful to build a functioning firearm from these kits pursuant to USC blah blah"