Carbon nanotubes (CNTs) have been shown to provide multifunctional reinforcement to carbon fiber reinforced polymers (CFRPs). However, obtaining well controlled properties through tight control of dispersion and orientation remains an ongoing challenge. Use of magnetic fields and magnetically responsive CNTs offer a potential solution to this challenge. In addition, surface functionalization of the nanoparticle surface can unlock further enhancements in mechanical properties. This investigation aims to develop a vacuum bag oven (VBO) resin film infusion (RFI) process in which CNTs of controlled distribution and orientation and epoxy are infused into dry carbon fabric. CNTs were fabricated with a thin coating of nickel for magnetic responsiveness and were functionalized using diazotization to improve dispersion and enable covalent CNT crosslinking within the epoxy matrix. A magnetic field was applied during CNT/epoxy film B-staging, laminate cure, or during both steps. Composite quality was assessed via optical microscopy; all the specimens had void contents below 1%. Their interlaminar shear strength (ILSS) was obtained using a short beam bending test. The baseline composite made with plain epoxy demonstrated the lowest ILSS, and total energy dissipated up to failure. Introducing 0.1% by volume randomly oriented CNTs provided modest increases to these quantities, and magnetic alignment of the CNTs provided further increases to these quantities.