Buying a firearm in the name of a trust?

[Dave_L]

Who's done it? What is needed to do it? Standard background check and process and they just note that it's owned by the trust?

Thanks!

[Great-Kazoo]

Yes to all the questions..

[Dave_L]

Thanks!

[Alpha2]

Ask our member NFATrustGuy. All the answers you need. I just received the third suppressor through the trust we set up. Your post oversimplified it a bit. But it's quick and painless. Check the forum on who knows their way around the issue, (as in "what dealers know what their doing and dont' screw the applicant"

[O2HeN2]

Standard background check and process and they just note that it's owned by the trust?
Background check on everyone that's named in the trust. Can get expensive.

O2

[Rooskibar03]

Background check on everyone that's named in the trust. Can get expensive.

O2

You sure? Not what I gathered from Rodney when I moved my lower for Form 1.

[kidicarus13]

I use something similar to this (thanks to NRA Trust Guy):

FORM4473
ACQUISITIONSTATEMENT




This statementis provided pursuant to the Notices, Instructions and Definitionssection of ATF Form 4473. It is specifically offered to satisfy theinstructions given for Section A, Question 1.


I am anauthorized representative of the XXX NFA TRUST in that I am presentlyserving as Trustee for XXX NFA TRUST.


The item(s)described in Section D of the aforementioned Form 4473 is beingacquired for the use of and will be the property of XXX NFA TRUST.


The name andaddress of the Trust is as follows:


XXX NFA TRUST
123 Main St.
Denver,Colorado 80218


I execute thisstatement under penalties of perjury.




Dated:


____________________________________
JohnBlazer, Trustee
XXX NFATRUST

[NFATrustGuy]

Background check on everyone that's named in the trust. Can get expensive.


Maybe, but probably not. Keep in mind that the interpretation below only applies to MY particular form of NFA Trust. There can be variances in the names different attorneys give to the various people involved in a Trust. Nobody is right or wrong, but unless I actually prepared your Trust, don't count on the terms I'm explaining, below, to apply to your Trust.

For those of you who are my clients, this is not an accurate statement. In my Trusts, we name an initial Trustee (same as the person who creates the Trust), Backup Trustees and then Beneficiaries.

The Colorado background check law requires background checks on anyone who is authorized to possess items held by the Trust. Among the 3 classifications listed above, ONLY the initial Trustee has legal access to the Trust's assets (the NFA items) until AFTER the initial Trustee dies. This means that at the outset anyway, ONLY the initial Trustee must have a background check.

Once the original Trustee dies, then any backup Trustee would need a background check as would the Beneficiaries before they are allowed to possess any firearms held by the Trust.

The other common situation--again, this applies to MY form of Gun Trust--is that people like to name their friends and family as Co-Trustees so that they can legally share in the fun. These co-Trustees have a present-day right to use/possess the Trust's firearms so they, too, will require background checks.

As for how to accomplish these stupid background checks, look to the law itself for a step-by-step. I'm sitting in front of my TV typing this live from my Lazy-Boy recliner so I don't have the law in front of me, but if I remember correctly, it's CRS 18-12-112. I've had a couple of FFLs call me and bitch about the requirement and even argue that it's not required, but it clearly is. I didn't make the law, I just try to help folks comply. I'm not an FFL myself so I'm pretty much useless when it comes to telling an FFL how, exactly, the process works with the CBI and the actual background check. All I can do is point out what the law says and encourage the FFLs to contact the CBI for clarification if they're having trouble with the background check.

[kidicarus13]

Maybe, but probably not. Keep in mind that the interpretation below only applies to MY particular form of NFA Trust. There can be variances in the names different attorneys give to the various people involved in a Trust. Nobody is right or wrong, but unless I actually prepared your Trust, don't count on the terms I'm explaining, below, to apply to your Trust.

For those of you who are my clients, this is not an accurate statement. In my Trusts, we name an initial Trustee (same as the person who creates the Trust), Backup Trustees and then Beneficiaries.

The Colorado background check law requires background checks on anyone who is authorized to possess items held by the Trust. Among the 3 classifications listed above, ONLY the initial Trustee has legal access to the Trust's assets (the NFA items) until AFTER the initial Trustee dies. This means that at the outset anyway, ONLY the initial Trustee must have a background check.

Once the original Trustee dies, then any backup Trustee would need a background check as would the Beneficiaries before they are allowed to possess any firearms held by the Trust.

The other common situation--again, this applies to MY form of Gun Trust--is that people like to name their friends and family as Co-Trustees so that they can legally share in the fun. These co-Trustees have a present-day right to use/possess the Trust's firearms so they, too, will require background checks.

As for how to accomplish these stupid background checks, look to the law itself for a step-by-step. I'm sitting in front of my TV typing this live from my Lazy-Boy recliner so I don't have the law in front of me, but if I remember correctly, it's CRS 18-12-112. I've had a couple of FFLs call me and bitch about the requirement and even argue that it's not required, but it clearly is. I didn't make the law, I just try to help folks comply. I'm not an FFL myself so I'm pretty much useless when it comes to telling an FFL how, exactly, the process works with the CBI and the actual background check. All I can do is point out what the law says and encourage the FFLs to contact the CBI for clarification if they're having trouble with the background check.

Thanks for weighing in, your advice is greatly appreciated.

[NFATrustGuy]

I use something similar to this:


I have a tough time correlating screen names to actual names, but based on the form posted by Kidicarus, he must be a client of mine! If not, I'd love to know where you picked up that form because it's something I created from thin air.

If you look closely at the instructions on a 4473 there's a requirement to notify the FFL in writing if you're purchasing a firearm on behalf of anything other than an individual (i.e. LLC, Corporation, Trust, etc.). I would guess that 90+% of FFLs aren't even aware of this requirement. Somebody pointed it out to me and I created the form posted by Kidicarus. It meets the requirements. I would guess that most FFLs shrug and accept the form.

I speculate that the requirement is largely ignored because the only time anybody would question it is if the FFL's records were audited or the firearm was used in a big crime. Since we all know that folks who are legitimate buyers of firearms are rarely the ones shooting up shopping malls or schoolyards, I'm guessing there's never been a reason to audit these types of records.

This form and the reason for it are only marginally associated with the need for background checks on SOME characters named in a Trust.

[Alpha2]

Don't miss with NFAtrustguy, he has a lot of time sit in that LazyBoy and research this stuff.

BTW, NFATG, I'm done with your swager, as my own is all set up and semi-auto, and swagin-a-mazin!