They, ATF, didn't demand anything, they asked to have copies. And, in their interpretation, asking isn't demanding and not against the law. Willing and stupid participation of personnel unaware of their rights was what caused a compromise. Until they actually 'demand' at the point of a gun, they have no actual power - only perceived power. And that it is where it is up to the citizen to assert his/her rights.
As far as I am concerned when a federal agent “asks” for something he is, in effect, demanding it.