Gun Trusts

NFA Trusts

Class 3 License:  “In today’s world, obtaining class 3 weapons can be a real hassle.  There are numerous options that crop up when dealing with the BATF and local police concerning the ownership and possession of these weapons.  Remember, it is up to you to keep yourself up to date on the laws and regulations involving these restricted firearms. A NFA trust is an estate planning tool which can be used to acquire NFA (Class 3) weapons, suppressors and destructive devices. . . . Unless you are an experience trust attorney that has knowledge of NFA trusts, you will need to hire an attorney to make sure everything is followed to the letter of the law.  They are not outrageously expensive, but some people just don’t like working with attorneys.  Do yourself a favor and contact a good one – it will save you headaches in the long run.

By |2011-12-29T06:35:26-08:00December 29th, 2011|

Gun Trust Makes Getting Machine Guns and Sound Suppressors Easier for Missourians

KSPR ABC 33:  “There’s an easier way to get automatic weapons, and an attorney in Springfield says it’s totally legal.  It’s really only new to Missouri.  In August Missouri’s laws regarding Title II weapons were relaxed.  You no longer have to be a dealer or collector to own suppressors and machine guns, but getting them is still a hassle. . . . ‘What it is is an entity that can own a weapon controlled by the NFA and can do so a lot easier than an individual can,’ says Springfield attorney Doug Fredrick.  It’s called a National Firearms Act Gun Trust. . . . The Apple Law Firm in Jacksonville, Florida, kind of fathered the concept.”

By |2017-10-07T11:14:45-07:00October 8th, 2011|

Gun Collections Pose Special Estate Problems

Forbes:  “Gun Trusts are used for two main reasons. The first is to expedite a transfer of a National Firearms Act firearm. . . . The second reason is to provide detailed instructions over disposition of one’s gun collection. Many gun dealers make trust forms available. The problem is that they are usually just standard revocable living trusts, not specifically written about firearms ownership. They typically do not provide guidance or limitations for the Trustee who may find him or herself committing a felony in the way the items are used, held, transferred or sold. Some people cannot legally possess firearms. Some transfers are illegal. A properly written ‘Gun Trust’ for NFA purposes is far more than a form.”

To learn more about this topic, read “NFA Gun Trusts” and “Distributions of NFA Firearms from an Estate.”

By |2013-03-23T10:27:06-07:00September 22nd, 2011|

BATF Announces Legal Instrument Examiner Ann Feltner Will Review BATF Forms Submitted by Arizona Residents

The BATF National Firearms Act (NFA) Branch announced that as of July 2011, ATF Forms 1, 2, 10 and ATF Form 5320.20 will be assigned to a legal instruments examiner for processing according to the State of the applicant’s address. The NFA Branch also will begin assigning ATF Forms 3, 4 and 9 applications to examiners by the State of the transferor’s address. Applications already pending at the time of the change will continue to be processed by the examiner to whom they were previously assigned. Historically, applications in the NFA Branch have been assigned to legal instruments examiners alphabetically based on the name of the transferor or applicant.

The BATF expects this change in the assignment of applications to better enable NFA examiners to develop state law expertise and more knowledgeably and effectively respond to our customers during an era of unprecedented and ever increasing application volume. Please contact the NFA Branch at 304-616-4500 with any questions about this change.

The NFA Examiner for Arizona is Ann Feltner.

By |2016-12-13T20:33:46-08:00July 1st, 2011|

Must a Trustee of an Arizona Gun Trust Have an Arizona Driver’s License to Get an NFA Firearm from Dealer?

Question:  I am the trustee of my Arizona gun trust.  The trust registered the NFA firearm with the BATFE.  The weapon was shipped to my local Arizona FFL and is waiting to be picked up.  I recently moved to Arizona from another state and have not yet obtained an Arizona driver’s license.  Can I get the NFA firearm from the dealer?

Answer:  No.  As trustee of the gun trust that registered NFA firearm, you have the legal right to possess the firearm.  However, federal law requires that the dealer obtain a completed and signed Form 4473 from you and do a NICS check.  You must present an acceptable form of ID that shows your current residence address.  If your only ID is your non-Arizona driver’s license, the dealer cannot deliver the firearm to you.

A trustee who does not live in Arizona  may legally possess in Arizona the NFA firearm registered to the gun trust.  If the trustee of an Arizona gun trust wants to possess the Arizona gun trust’s NFA firearm outside of Arizona the trustee must file a BATFE Form 5320.20 Application to Transport Interstate or Temporarily Export Certain National Firearm Act (NFA) Firearms.

By |2016-12-13T20:33:47-08:00May 7th, 2011|

What Should I Do with Original Approved BATFE Forms

Question:  The BATFE sent me my approved Form 4 for my NFA title II firearm.  What should I do with this original document?

Answer:  I recommend that every individual, trust, LLC or corporation that submits any forms to the BATFE in connection with the acquisition, transport, disposition or any other purpose obtain a safe deposit box at a bank and deposit all original BATFE documents and copies thereof  in the safe deposit box for safekeeping.  The  safe deposit box should be registered with the bank in the name of the NFA firearm registrant.  It is especially important to safe-guard original documents that have a tax stamp.

The BATFE may demand to see the original form or a copy of it.  Consider your 4th amendment rights.  The BATFE loses records so it is important that you keep all originals and copies of forms submitted to and received from the BATFE.

Caution:  If the NFA firearm is a machine gun losing the machinegun’s associated paperwork could cause the person who possesses the firearm to be charged with a violation of 18 USC sec. 922(o), which states the general rule “it shall be unlawful for any person to transfer or possess a machinegun.”

By |2017-10-07T11:13:35-07:00October 2nd, 2010|

Invalid NFA Trusts: Myth or Reality

Prince Law Offices, P.C.:  “Unfortunately, the answer is that numerous individuals are submitting invalid trusts for the purchase of NFA firearms. In a current article of Small Arms Review (SAR), Vol 14, No. 1 , the National Firearms Act Trade & Collectors Association (NFATCA) reports that, “Virtually four out of five trusts get bumped back because it was simply an improper trust.” The NFATCA is not a law firm, does not refer members to any NFA Trust attorney, and does not receive any form of benefit from telling the readership that it is imperative that they seek proper counsel.”

By |2016-12-13T20:33:48-08:00September 12th, 2010|

Can a Trustee “use” the Assets of a Gun Trust?

Question:  I created a “gun” trust from a document I got from a national document preparer.  I named myself as trustee of the trust.  Can I now possess the NFA firearm that is registered to the gun trust?

Prince Law Offices, P.C. answered this question in a blog post.

Answer:  “The answer, generally speaking, is no, unless you have competent legal advice on how to form a trust that would allow the trustee to “use” the assets. What many who use Quicken or other products, instead of seeking competent legal advice, fail to recognize or understand is the purpose of a trust and the fiduciary duties that go along with it. So, first let me explain the purpose of a trust and then speak about the fiduciary duties.”

By |2016-12-13T20:34:14-08:00August 6th, 2009|

How to Fill out a Form 1 or Form 4 when Using a Gun (NFA) Trust

Prince Law Offices, P.C.:  “So you have a Gun Trust but how do you correctly fill out a Form 1 or Form 4 when the applicant is the Gun Trust? This is a common question and below explains how the forms should be filled out.  To begin with, irregardless of what individuals on the internet may tell you, you need to submit your ENTIRE trust with your application for transfer or making of a NFA firearm.  How to fill out a Form 1: (Form 1 Gun Trust examples: Front and Back)”

By |2016-12-13T20:34:14-08:00September 5th, 2008|