Patent ID: 8061718

Claim:
A bit holder for a rotary tool, the bit holder comprising: a drive shaft including an elongated bit channel formed in an end of the drive shaft and a cavity extending from the bit channel to an outer portion of the drive shaft; a lock member provided in the cavity of the drive shaft, the lock member moveable within the cavity; a collet positioned in the bit channel, the collet including a collapsible end portion; and a sleeve engaging the drive shaft and moveable between a release position and a lock position on the drive shaft, wherein the sleeve clamps the collapsible end portion of the collet and forces the lock member at least partially into the bit channel when the sleeve is in the lock position, wherein the sleeve includes an annular inner groove that is aligned with the cavity of the drive shaft when the sleeve is in the release position such that the lock member extends at least partially into the annular inner groove when the sleeve is in the release position.