Entering US with non-US family members

They don't need to claim American citizenship or be issued a passport.  They only need to if they are going into the US.

It would be up to your daughter when she comes of age to decide whether she renounces her American citizenship or keeps it, but she's not "not" an American citizen.  She is one unless she is ineligible for some reason.  This means that she is entitled to all the rights and burdened by all the responsibilities (including the taxation laws) until she is able to renounce if she so chooses.

I agree that I don't think anyone's been denied entry to the US because of it.  In fact, many people here have entered the US on another passport and have not had any problems.  And many have brought their children in on other passports without problems.

But I do believe it's a requirement, and personally, in this day and age, I wouldn't test it.  Why set yourself up for potential hassle when you can just do what you're meant to do?

Will Self wrote a story about being given hassle about it (his mum was an American).  Of course, they didn't know he was an American until he brought it up when they were about to deny him entry. I think there's a clip of him reading it on Youtube, but our speakers are still gone.  IIRC, it was a pretty funny story about US border guards and a bit spot on in my experience.

I doubt they'd deny anyone entry either.  They would be denying a citizen entry (or potentially deporting a citizen).  They can just make your entry a huge PITA if they wanted to do so.

Some people seem to repeat it, but can't point to a law.  I'd love to see the rule though from a US Government website that says an eligible person by law must claim citizenship and be issued a US passport.

However, dual nationals owe allegiance to both the United States and the foreign country. They are required to obey the laws of both countries. Either country has the right to enforce its laws, particularly if the person later travels there.Most U.S. citizens, including dual nationals, must use a U.S. passport to enter and leave the United States. Dual nationals may also be required by the foreign country to use its passport to enter and leave that country. Use of the foreign passport does not endanger U.S. citizenship.Most countries permit a person to renounce or otherwise lose citizenship.

http://travel.state.gov/travel/cis_pa_tw/cis/cis_1753.html

Unless there is a reason that makes her unable to automatically receive citizenship based upon her being the daughter of an American citizen, she's a citizen.

Just an update again:

We flew from London direct to Charlotte, NC.  We got in the US citizen line (as recommended from the forum) since I'm US but my wife and daughter are not.  When we got to the front of the line there was a woman directing people to the different immigration officers.  She asked if we were Americans and I said I was but my family was not.  She made us go to the back of the visitors line.     So we ended up being one of the last through instead of one of the first.  Oh well.

But immigration went fine and they didn't question my daughter not having a US passport.  Wife and daughter were pre-approved via ESTA for the visa waiver program ahead of time and it went just fine.   

But immigration went fine and they didn't question my daughter not having a US passport.  Wife and daughter were pre-approved via ESTA for the visa waiver program ahead of time and it went just fine.   

This could be an issue for your daughter in the future, if she is a US Citizen due to meeting the transmission requirements from you, she must enter and exit the US on a US passport.

If the parent(s) meets the transmission requirement, a child's birth may be reported at this Embassy and a U.S. passport and social security number may be obtained for him or her.

And
Dual Citizens

However, please note that all U.S. citizens, even dual nationals, must enter and depart the United States on U.S. passports.

Oh yeah, and the advanced screening for US bound flights at the gate was a joke.  My wife pulled out a lip balm stick from her purse she wasn't supposed to have and the screener woman said "put it back quick,  I didn't see that."     Then we continued on without shoe removal or any carry-ons being checked. 

And they didn't make us stay seated for the last hour of the flight either, it was US Air. 

Just an update again:

We flew from London direct to Charlotte, NC.  We got in the US citizen line (as recommended from the forum) since I'm US but my wife and daughter are not.  When we got to the front of the line there was a woman directing people to the different immigration officers.  She asked if we were Americans and I said I was but my family was not.  She made us go to the back of the visitors line.     So we ended up being one of the last through instead of one of the first.  Oh well.

But immigration went fine and they didn't question my daughter not having a US passport.  Wife and daughter were pre-approved via ESTA for the visa waiver program ahead of time and it went just fine.   

Bad luck.  I went through Atlanta 3 weeks ago and my non-US boyfriend (not husband) went through fine with me in the US citizens line.

We just flew Gatwick to Tampa on Dec 23rd and even though hubby is not a citizen got ushered to the US Citizens line (helps to have a 19 month old not in a stroller cause the stroller was with the luggage!).  Coming back was no issue as we're all UK Citizens (Jean and I being dual).

We flew from Gatwick to Atlanta and my husband had no problems going through the US line with us and on the way back I went through the UK line with them no problems. I guess it's just luck of the draw sometimes. 

I flew into Raleigh, NC last month and was told by immigration that my husband and I had to go through the visitors line...it seems like North Carolina is more strict on this than other states. 

We just flew Gatwick to Tampa on Dec 23rd and even though hubby is not a citizen got ushered to the US Citizens line (helps to have a 19 month old not in a stroller cause the stroller was with the luggage!).

We flew into SFO direct from LHR and all of us were allowed to go through the Citizens line (DD dual & I am US citizen & hubby is UK Citizen). However when we came through LHR on return the IO that handled our landing advised me that the next time we come in to go through the 'Returning Residents' line even though I am not a UK Citizen. But I think having a little one in a pushchair seems to part the seas and they just took us to the shortest line to get us through.

Oh yeah, I forgot to mention that when we went to Detroit in November we had no problems whatsoever going through the US citizens line. In fact, we had the nicest IO I've never met. He was chatty and friendly and I couldn't believe it.

However, seeing as the Christmas bomber took the same flight (different time) that I took, I reckon it won't be as friendly in Detroit these days.

We just flew Gatwick to Tampa on Dec 23rd and even though hubby is not a citizen got ushered to the US Citizens line (helps to have a 19 month old not in a stroller cause the stroller was with the luggage!). 

We had a 23 month old not in a stroller but that didn't help in our case.

I flew into Raleigh, NC last month and was told by immigration that my husband and I had to go through the visitors line...it seems like North Carolina is more strict on this than other states. 

Seems then it must be NC thing.  I don't mind going in the visitors line, I just didn't like having to get into the back of it after waiting in the US line already, with a cranky 23 month old.

Luckily this is the first time in 5 years I've visited the US and it will be at least that long before I return, so it's not a big deal in the whole scheme of things.