NFA Gun Trust Lawyer Blog

Using a Gun Trust for multiple people is a common scenario that we discuss with people. Our general recommendation is that it is not a good idea to have several people contribute firearms to a single trust for the purpose of sharing ownership and use of the firearms.

While it is not such a bad idea, if people are going to be contributing firearms to your trust, most people want to use a trust like a company where each person will have equal rights. The equal rights scenario is a generally a bad idea because your gun do not necessarily go to who you want.

Imagine the following example. Adam, Burt, and Charlie want to form a trust so that they can each use all the firearms in a single Gun Trust. Adam is married and has children, Burt is single, and Charlie has a live in girlfriend. Each is planning on purchasing a silencer so that there will be three silencers to share. It would be important to add Adam's wife and Charlie's girlfriend on the trust to protect them from constructive possession and inadvertent transfers which are both violations of the NFA and have penalties that can include 10 years in jail and a 250,000 penalty.

Some of the problems in creating a trust like this are:

1. If Adam gets a divorce, will his wife have a claim against the silencers contributed by Burt and Charlie?
2. What if Adam, Burt, or Charlie no longer trust one or more of the others.
3. Can Adam, his wife, and Burt override Charlie
4. What if one moves or becomes a prohibited person?
5. Will Adam's silencer go to his children or to someone else in the Gun Trust or the child or spouse of another person who is involved with the trust.
6. Who will be responsible for the taxes if any are owed as a result of buying or selling Trust assets?
7. While Adam may trust Burt does he trust who Burt will want to use the restricted items in the trust?
8. What if any of the trustees has a financial problem, will the assets of the trust be subject to the claims of creditors of all three?

As you can see, there are many potential pitfalls in creating a trust like this. On the other hand if Adam sets up a trust and makes Burt and Charlie co-trustees and they each contribute property, Adam gets to control the use, possession, and eventual disposition of the property. This is not bad for Adam but may not be fair to Burt or Charlie.

If each of them setup their own trust, they can select the others as authorized users and then can each select what they would like to have happen to the property upon their death.

To solve these problems we would recomend a series of reciprocal trusts.

Adams Trust could name his wife, Burt, and Charlie as co-trustees.
Burt could name Adam and Charlie as co-trustees.
Charlie could name his girlfriend, Adam, and Burt as co-trustees.

Each could choose what they wanted to have happen to their properly upon their death or incapacity and make changes to the trust as they see fit regardless of what the others thought.

We are getting many questions regarding recent laws but one of the most common is "Whether a Gun Trust can prevent me from having to register my firearms or magazines?"

If you live in a state where registration is required, a Gun Trust will not prevent you from having to register your firearms and or magazines that are located in that state. If you would have to register them as an individual, your trust or you will have the same obligation.

The only way to avoid a state required registration is if the items are no longer subject to the state's laws. e.g. if the firearms or magazines are located in another state.

Remember there are states like CO, CT, and MD along with others who have enacted statutes while will limit your ability to transfer firearms and/or magazines as of the date of enactment or some date in the future.

In Colorado transfers will be restricted or prohibited after 7/1/13
In CT most transfers of magazines are now prohibited.
In MD residents appear to still have sometime to transfer items.

If you live in a state where you are able to do so, it is more important than ever to put your regular firearms and magazines into a gun trust to allow for flexibility that can be obtained by a trust.

If you have a NFA trust that was not designed for regular firearms and magazines, Contact Us to upgrade your trust.

Yes that's right, in states where it is still legal, you should transfer your high-capacity magazines to your Gun Trust as soon as possible. Given that some states like Colorado, New York, and Maryland have recent passed legislation that will or has limited the ability to transfer certain firearms and magazines those of you who still have the opportunity to transfer your magazines should take advantage of it.

In most states you can simply list the number, brand (if known), caliber, and number of bullets they hold on one of our assignment sheets that come with the trust. There it does not matter if you do not have the make, model, and serial number of a magazine as many do not have this information at this time. Just list what you know e.g. ( 25 Magpul 30 round 556 magazines, 8 metal 30 round 556 magazines).

If you live in Colorado, please continue reading

Continue reading "How to transfer Magazines to your Gun Trust" »

On Friday May 3, 2013, the National Riffle Association is having The 16th Annual Firearms Law Seminar in Houston Texas. This seminar is primarily focused for lawyers who deal with firearms related issues in the practice. Over the past few years, the ATF has presented the panel on Trusts and ownership of Title II firearms. I have personally been to this presentation several times looking for guidance or changes in the law or its interpretation. Unfortunately the NFA portion of the seminars have been disappointing and have not offered any real guidance in dealing with the many issues that a Gun Trust should deal with. This year the NRA asked me to speak Gun Trusts. I plan on dealing with many of the ethical problems with traditional trusts as well as how to use Gun Trusts to protect your clients firearms from future legislative restrictions as well protecting the guns from loss due to confiscation that often surrounds criminal charges or claims of domestic violence and/or child abuse that often surround divorce.

Many people are still looking for NFA Trusts and have not realized the benefits of a Gun Trust over a trust that only deals with NFA Firearms. Look for more information on the NRA Firearms Law Seminar. For more information about the National Firearms Law Seminar, please call 1-877-NRF-LAWS

If you are a lawyer and plan on attending and would like more information on Gun Trusts or have a question you would like me to address at the seminar, use the contact form and I will try to incorporate it into the Gun Trust Presentation portion of the NRA Firearms Law Seminar.

A recent email from Dana Pickles at the US Dept. Of Justice Bureau of ATF NFA Branch stated the following changes for North Carolina

Effective January 11 2013 the ATF is handling North Carolina transfers as follows:

Machine Gun transfers from a dealer to a dealer on a Form 3 no longer require a North Carolina Sheriff permission letter to possess the Machine Gun (MG)

From a Dealer to a Gun Trust using a Form 4. If the Form 4 states that the MG is being acquired for scientific research and/or experimentation or in accordance with 14-409? then still need North Carolina Sheriff permission letter to possess Machine Gun.

But If the reason on the Form 4 states in accordance with 14-409 then the North Carolina Machine Gun Letter or permission from the Sheriff is not required.

All other NFA transfers on a Form 4 - no longer require the reason to state "In accordance with 14-288.8" to approve the transfer.

(1) Do I need a Gun Trust if I don't own any Title II guns?:
Many people do not consider their regular firearms or magazines when creating a trust. Most NFA trusts are not properly created for all firearms. About 5 years ago we upgraded our NFA Trust to a Gun Trust that was designed for all of your firearms because most people who are purchasing a Title II firearms have Title I firearms. The decision-making process about giving someone a gun is the same regardless of its status as a Title I or Title II. For more on this topic see our recent blog on Putting Title I firearms into a Gun Trust.

(2) Do I have to pay the $200.00 tax stamp if I have a Gun Trust?

Yes, The Tax Stamp is for the ability to transfer a Title II firearms to an individual, business entity, or trust. In most cases the Tax Stamp is $200 but if you purchase an AOW the Tax Stamp is only $5. There is no discount or change in the Tax Stamp for a Trust.

(3) Is there a minimum or maximum number of guns I can put in your Gun Trust?
The Gun Trusts from a Gun Trust Lawyer® do not have any limitations on the number of guns that can be transferred to the trust or purchased with the trust. All of our Gun Trusts come with forms to allow for future purchases or assignments to the trust without the need to make any modifications or incur additional legal fees

Continue reading "10 Common NFA Trust or Gun Trust Questions" »

Many people are concerned about the ability to change the terms of their trust after they die or the Trust it becomes irrevocable. Our Professional Gun Trust no comes with an ArmsGuard™ Protector that allows for the terms of you trust to change if laws change in the future.

This means that if the local, state, or federal government changes a law dealing with firearms and your rights, your trust can be changed to deal with the changes even if the change is 300 years from now. If you have firearms and it is important to preserve them for future generations and keep creditors from being able to reach the firearms you should Contact Us to create a Gun Trust with the ArmsGuard™ Protector.

Remember it is important to have your firearms and magazines transferred to your Gun Trust before laws change. The ArmsGuard™ Protector can only work for items within the Gun Trust. Many states and the federal government now have bills before congress seeking to restrict our gun rights and the ability for future transfers. If these bills become laws, like recently happened in NY, you may not have the ability to buy, sell, or give firearms to your spouse or children. Some states have already passed laws which restrict the transfer of certain items so it is important to speak with a Gun Trust Lawyer® in your state.

Occasionally we receive a call from a client stating that their bank does not open accounts for trusts. If you are having a problem, you might contact the following banks that do accept trust accounts. A word to the wise, I would not mention guns or firearms when talking with a bank as many will not open accounts for gun related issues.

Ally Bank http://www.ally.com/
They do both revocable trusts and Irrevocable trusts.
Monthly Fees: $0.00
Minimum Balance: $0.00
Required Information: Title Page, Signature Page, Notary Page, Amendments and your trust must be funded within 30 days
Fax to 866-699-2969

PerkStreet http://www.perkstreet.com/
They do revocable trusts and Irrevocable trusts.
Monthly Fees: $0.00
Minimum Balance: $0.00
866.792.2834

BofI https://www.bofifederalbank.com/
They do both revocable trusts and Irrevocable trusts.
Monthly Fees: $0.00
Minimum Balance: $0.00
Required Information: Title Page, all Signature Page, Amendments and you must complete a Act Vesting Change form.
(877) 247-8002

Connexus C.U. https://www.connexuscu.org/
They do both revocable trusts but not Irrevocable trusts.
Monthly Fees: Varies
Minimum Balance: $0.00
Required Information: Title Page, Successor Page, All Signature Pages, Notary Page, Amendments and membership application
800-845-5025

Everbank https://www.everbank.com/
They do both revocable trusts and Irrevocable trusts.
Monthly Fees: $0.00
Minimum Balance: $0.00
Required Information Revocable: Personal info for everyone on trust, definitions page, all signature pages
Required Information Irrevocable: personal info for everyone on trust, copy of entire trust.

While there is no actual Assault Weapon Ban, we are being asked many questions about regular firearms and the benefits of a Gun Trust. As laws may change or what is proposed may be different from what actually happens, the answers below be reviewed with your local Gun Trust Lawyer® and we should all re-evaluate the situation when things become more certain.

Should I put my regular firearms in a Gun Trust?

Yes all firearms, accessories, and magazines should be put in a Gun Trust and the sooner you do it the more flexible your choices will be. A risk is that future transfers of certain guns (sounds like most guns) will be prohibited. If this happens you will not be able to transfer them to a Gun Trust. In addition, there are many other reasons why you should have your regular firearms in a Gun Trust See this article on putting Title I firearms in a NFA or Gun Trust.

How do I transfer my firearms into a NFA or Gun Trust?

While all of our Gun Trusts are designed for all firearms, many so-called Gun Trusts are not properly structured to deal with regular firearms and some not even NFA Firearms so this advice is for those who are using our Gun Trusts. The procedure and ability to transfer regular firearms will vary by state and location of the firearms. Generally it is the same procedure as how you would give or sell a gun to a friend. In most states nothing more than our assignment sheet is necessary to assign the firearms or accessories from yourself to the Gun Trust. In some states a dealer must be involved for firearm transfers and in others there are specific forms that may or may not allow for the transfer of the firearms to the trust. In general, if your state allows transfer of firearms to trusts, it should be done. If you live in one state, but the firearms are in another state, a trustee in that state may transfer the firearms into the trust.

Will the ATF know about my Title I firearms if I form a Gun Trust?

Not with our Gun Trust - Look for the GunTrustLawyer® and our Copyright notices to know if you have our Gun Trust.

Many traditional trusts and some so-called Gun Trusts or NFA Trusts use a Schedule A and/or Schedule B to list the assets or guns held by the trust. When you submit a Form 1 or Form 4 to the ATF they require a full copy of your trust along with amendments and schedules that are referenced in the documents. Our Trust does not reference a Schedule A or Schedule B and as such none is required to be submitted for approval with the ATF.

A trust which is designed for firearms should be be able to deal with all of your firearms without the risk of creating a de facto registration of your firearms. Some trusts use both a Schedule A and B in an attempt to intentionally deceive the ATF. This is not recommended as the ATF has changed their position several times on what is acceptable when submitting a trust and could start requiring any Schedules used with the trust. This could lead to a necessity to submit all of your firearms to the ATF with the next purchase.

Our Gun Trust has a different design to protect the privacy of the items that are held by the Gun Trust and only disclose the firearms that the ATF will have knowledge of anyway.

Can I Upgrade my Gun Trust to a Multi Generational Gun Trust to protect my firearms from loss upon my death?

We do allow any previous clients to upgrade their Gun Trust and not lose their initial investment in the Gun Trust. Changing your Gun Trust to a Multi Generational Gun Trust can insulate your regular firearms form future legislative changes that might have your forfeit your firearms upon your death. Many people have substantially larger firearms collections with their Title I firearms than their Tittle II firearms. For those families it may be wise to investigate upgrading your Trust to a Multi Generational Asset Protection Gun Trust. This can be done by drafting a new trust that replaces your existing trust. All you need to do is sign the new documents and simply swap your papers and you will now have all the new benefits of the most advanced gun trust available. Our Professional Gun Trust not only provides for multi generational ownership but also provides asset protection and other document for ease of management in creating and removing an unlimited number of authorized users.

One of the most common questions we receive is about naming your Gun Trust. Based on our experience and the problems people have encountered over the names they have chosen, here is our advice.

• If possible do not include the words NFA, Gun, Firearms, or Weapons in the name of your trust.
• Keep the Gun Trust name short as you are not allowed to engrave abbreviations should you ever decided to build using an ATF Form 1.
• Keep the Gun Trust name simple and easy to identity with you so that you do not have to keep a copy of the trust and the Tax stamp in your possession. Basically you want to make it easy for law enforcement to determine that you are rightfully in possession of the item without having to take you into possession.
• Pick a name that allows you to modify the type of trust without creating confusion over what type of trust it is. In other words do not use unnecessary words like "revocable" "irrevocable" or "living trust" in the name

We usually recommend your last name and the word trust as your Gun Trust name. This will not prevent you from opening bank accounts and it also should keep you from spending the night in jail if you are ever stopped by someone who does not understand that these items are legal. Your documents should be designed to demonstrate that you are legally in possession. This is very easy with if your name matches the trust, drivers license and tax stamp.

Allow for flexibility in the trust by not locking you into something specific or misleading with unnecessary words.

Keep the name short so it is easy to engrave and most importantly remember that your trust may be used by different people in different states over many years so it is important to follow rules that work in multiple states. You may only get the chance to create one Gun Trust, it needs to be done right and you need to feel comfortable that your trust is supported in multiple states.

Many of you have asked your estate-planning lawyer about Gun Trusts and have not been able to find anyone who knows about them. This is not hard to believe because other than some materials I have produced or talked to others about there is no text book on gun trusts.

We work with lawyers in every state to help them prepare gun trusts for clients in their state while providing them a resource for the knowledge and information necessary to understand the ownership, transfer and possession of firearms.

In 2006, I recognized the need to create a Trust for NFA and regular firearms. It was at that time, that I created the Gun Trust. A Gun Trust is based on the traditional concepts of estate planning. Traditional trusts deal with all types of assets that are primarily financially based, but a Gun Trust only deals with firearms. They are not meant to circumvent federal or state laws, as many would have you believe. Trusts were clearly contemplated as owners of firearms by the National Firearms Act. The National Firearms Act (NFA), requires a tax to be paid to own, possess or transfer guns such as machine guns, short barreled rifles and shotguns, silencers or sound suppressors, and AOWs. They are referred to as Title 2 firearms because they are regulated under Title 2 of the 1968 Gun Control Act. Normal firearms are regulated under Title I of the Gun Control Act. Many people mistakenly call them Class 3 weapons, but Class 3 refers to a license or Special Occupational Tax (SOT) that a FFL must obtain prior to buying or selling Title II Firearms.

History of the National Firearms Act

The NFA was passed in 1934 in response to the criminal activity of the time. It imposed a $200 tax on certain firearms thought to be contributing to the growing crime problem. In an effort to discourage possession of these types of firearms, individuals were required to register them with the government and pay a tax of $200. Once this tax was paid, the owner would receive a Tax Stamp for the $200 that would have to be kept with the firearm to identify the owner, who could be in possession, and in what state the firearm could be located. Later the NFA was amended to further restrict certain items called Any Other Weapons ( an "AOW"). The tax to purchase an AOW was only $5 but to build one the tax was the same $200 as with other Title II firearms.

The NFA was designed to have strict requirements and carries stiff penalties for violations. Only an individual, business entity, or trust may own a Title II firearm in the civilian community. In addition, only the owner or their representative may be in possession of that firearm. Illegal possession, transfer, or ownership of a Title II firearm carries a prison sentence of up to 10 years, a fine of up to $250,000, loss of the firearms, and loss of the vessel (vehicle, or home) that the illegal firearms were contained. The NFA defines possession to include loaning so it is important to understand the concept of constructive possession and why individual ownership poses many risks to the average family. Many people mistakenly believe it is ok to let someone else use their Title II firearm if they are close buy, inside a closed fence, hand is on their left solder, or can see them. Even if these were permitted, imagine bringing a silencer home from a gunsmith or range. While you are on the phone your spouse grab your keys to go shopping. Surely you would not believe that this was permitted transfer or possession of a Title II firearm without pre-approval and paying the Tax. A Gun Trust can help protect and manage Title II firearms from these common issues.

ATF Requirements

Title 2 firearms must be registered with the ATF through application process. Whether you are purchasing a Firearm from a dealer with a Class 3 SOT or building your own Title II firearms, you must first go pay and obtain approval from the ATF to have it transferred or to build the firearm. For an individual the ATF requires that you fill out the appropriate form, affix a two-by-two inch photograph of yourself along with fingerprints, and have the application signed by your local chief law enforcement officer (the "CLEO") In addition you must include the tax fee which is typically $200 for each Title II firearm. Once the application is approved the person or entity who submitted the application will receive notice and the firearm may then be created or transferred. The approval time may take anywhere from three to six months.

The NFA Gun Trust

NFA gun trusts have become popular in recent years as an alternative to individual registration because of the flexibility they offer after the firearm is purchase as well as not requiring the photos, fingerprints, or CLEO signature. The Gun Trust can allow other managers or trustees of the trust to uses the firearms. State law controls the formalities of creating a trust and while in some cases lesser formalities may be required, it is recommended that you comply with the formalities other states to simplify the process and authorization in the case that you or others involved with the trust do not live in the same state where the trust was created. There are basically four types of people or entities that are involved with a Gun Trust: grantor/settlor, trustee, successor trustee and beneficiary.

The grantor or settlor is the person who creates the Gun Trust to manage who and how and when others will have access to or can use firearms within the Trust. A Trustee will submit the application to ATF but instead of registering the firearm in their name, he or she will list the Gun Trust as the owner. Trustees are also the individuals who will hold the trust property for one set of people during the grantor's life and the beneficiaries after the death of the grantor. Trustees may legally possess NFA weapons in the trust even though they are not listed on the application. In most cases a Trustee should be at least 18 years old (federal law prohibits anyone under 18 buying NFA firearms, and anyone under 21 from purchasing NFA firearms from a FFL with a Class 3 SOT) and not be otherwise prohibited from possessing firearms. A well drafted Gun Trust Lawyer® can craft provisions to allow for minor children to use the firearms with adult supervision. The beneficiary is the individual who receives the trust property upon the occurrence of a defined event that is often the death of the grantor. A well-drafted gun trust will deal with the many issues that arise in the event that one of the beneficiaries is a minor child, immature, or a prohibited person at the time the grantor dies.

Advantages of a Gun Trust

Gun Trusts should be very flexible. While most are established as a revocable trusts there are many advantages to using an irrevocable trust that are not available to a Gun Trust that is revocable. While many irrevocable trust have significant disadvantages, it is possible to intentionally violate tax code and remove the disadvantages. This type of trust is called an intentionally defective irrevocable trust.

Another advantage is that a Gun Trust does not require the Fingerprints, photographs, and CLEO approval. Not only can this speed up the process, but it also is more private.

While business entities have some of the same benefits as a Trust, they often involve yearly expenses, formalities, and are not designed to deal with ownership, transfer, possession, and use of firearms like a Gun Trust.

While many Gun Trusts are not designed to protect your firearms for generations or from creditors of yourself or your family, there is a Professional version of the Gun Trust that is designed to do both. If you are concerned about giving children and future family members that ability to use firearms if it should become illegal to transfer these firearms later or what to protect your guns from creditors, you should ask about the Multi-Generational Asset Protection Gun Trust.

Top 12 signs that you may not have a real gun trust.

1) You were told to put only NFA firearms in your trust
2) Your Trust talks about real estate, stocks, your house, and guardians of children
3) Your trust instructs others to break the law if you become incapacitated or die.
4) Your trust allows You to dissolve your trust without any prior actions
5) Co-Trustees are listed right in your trust document
6) Your Trust uses a Schedule A
7) Your Trust requires the sale of your firearms to pay you income if I become incapacitated.
8) Your trust does not specifically allow for the purchase of firearms in the powers
9) You trust does not mention guns, the NFA, Title II, Prohibited Persons, or uses incorrect terms like Class 3 firearms.
10) Your trust did not come with an extensive manual and how to section describing almost everything you could possibly think of.
11) You were told the Gun Trust was designed to circumvent laws.
12) Your trust does not contain a Copyright by Gun Trust Lawyer® David M. Goldman

For more information on whether a NFA Gun Trust or Gun Trust makes sense for your circumstances, use the contact form on this page to receive more information on Gun Trusts.

ATF hires 9 new examiners. Last week, the NFATCA posted an article that the DOJ lifted the hiring ban for the BATFE (Bureau of Alcohol, Tobacco, Firearms and Explosives) and the ATF hired 9 new examiners.

This should significantly speed up the approval process for the purchase or manufacture of firearms restricted by the National Firearms Act. The new staff at the ATF who examine the requests for transfer ( ATF Form 4) and the requests to manufacture (ATF Form 1) should be around 30 which is almost triple the number just a few months ago when expected approval times were in excess of 6 months. We do not know if this will bring times down to 2-3 months but it seems reasonable.

A Gun Trust should be designed to hold all firearms including those restricted by the NFA. All of our Gun Trusts are designed for all of your firearms. As an owner of all types of guns, I designed this trust to deal with issues from a revolver, to a Glock pistol, and even NFA firearms like silencers and machine guns.

What most people do not realize is that many of the same issues regarding transfer upon death or incapacity exist for regular firearms as well as those sold by Class 3 SOT dealers. It is for this reason that I would suggest putting all of your Guns in one of our NFA Gun Trusts.

The real issue is that while we can pick beneficiaries while we are alive, we do not know who will survive us or anything about them on the date of our death.

We do not know where they will live; in some states regular firearms are highly restricted or prohibited by law. Will some or all of our guns will be permitted in the state where each beneficiary will live at the time of our death?

The legal status of our beneficiaries. Have our kids or friends done something silly that we do not know about that might have caused the beneficiaries to lose their rights to own, possess, or use a gun. Are they involved with drugs in a state where it is legal? While legal in some states, it is still a federal crime and would make a person using illegal drugs (at the federal or state level) a prohibited person. Another issue might involve being charged with an act of domestic violence or child abuse even if not ultimately convicted of the charge. The Lautenberg amendment is a federal statute that says that certain actions by you or your attorney on your behalf that are associated with charges which are classified as domestic violence or child abuse can cause a permanent loss of your firearms rights.

Most importantly, as much as we would like to believe that our beneficiaries will be the right age and have the right mental state when we die, we will not be there to make the decision. Our Gun Trust takes all of this into consideration and allows the successor Trustee to look at the age, make sure they are old enough and of the right frame of mind. Other trusts only require that someone is not determined to be legally incompetent. With firearms this is not enough, someone can be legally sane, but not the person you would want to hand a gun. People change over time, and it is not always for the better.

Our Gun Trust allows all of these issues to be considered and then a decision can be made or the decision can be to wait an addition period of time and reevaluate the beneficiary.

Aliens who are legally in the United States can purchase NFA firearms as long as they are not a prohibited person. When doing so they often have confusion over how to fill out a 5330.20 when it asks if they are a non-immigrant Alien in question 5. The following definition may help answer the question in your particular circumstances.

Under 8 USCS § 1101 a non-immigrant alien is defined as "an alien having a residence in a foreign country which he has no intention of abandoning who is coming temporarily to the United States to perform temporary services or labor, if unemployed persons capable of performing such service or labor cannot be found in this country." Rowland v. Marshall, 650 F.2d 28, 29 (4th Cir. Va. 1981)

Today we received another copy of a Gun Store Generic NFA Trust that was provided to a customer of the shop. Not only was it a generic trust and did nothing to advise or protect the client from issues regarding the transfer, ownership, possession or use of TItle II firearms (sold by Class 3 dealers) but the trust itself was invalid as it did not comply with the requirements to create a valid trust in the State. While it may have been a valid trust in another state, each state has its own requirements for creating a valid trust. These requirements change and a trust that may have been valid a few years ago may not be valid under the current laws of the state. It is important to make sure your trust complies with the state's requirements for creation of a valid trust. What is disturbing is that ATF approved transfers to this invalid trust.

Remember just because ATF approves a transfer, the agency is not stating that your trust is valid nor that you are legally able to be in possession of the firearms. If you have a free trust or a gun shop trust it is important to have it reviewed for legality as well as compliance with the ATF to make sure your document is valid and that your document does not instruct you or others to break the law in regards to regular firearms or those restricted by the NFA.