ATF Accidentally Opens Machine Gun Registry?

[Clod Stomper]

http://www.guntrustlawyer.com/2014/05/atf-may-have-accidentally-open.html

http://www.thefirearmblog.com/blog/2014/05/16/atf-inadvertently-open-door-machine-guns-trusts/

http://blog.princelaw.com/2014/05/14/did-atfs-determination-on-nics-checks-open-the-door-for-manufacture-of-new-machineguns-for-trusts/

I've never been really interested in getting into NFA stuff, but I could possibly be convinced to file a couple Form 1's (is that the correct form?) to make a couple DIAS's. Especially since this would most likely be temporary and they would be very pricey in the future.

Quote from the first link:

"Because unincorporated trusts are not "persons" under the GCA, a Federal firearms licensee (FFL) cannot transfer firearms to them without complying with the GCA. Thus, when an FFL transfers an NFA firearm to a trustee or other person acting on behalf of a trust, the transfer is made to this person as an individual (i.e., not as a trust). As the trustee or other person acting on behalf of the trust is not the approved transferee under the NFA, 18 U.S.C. 5812, the trustee or other person acting on behalf of a trust must undergo a NICS check. The individual must also be a resident of the same State as the FFL when receiving the firearm.
So, ATF, trying to be cute and find a way to require NICS checks without Congressional action, declared trusts not to fit the definition of a "person" under the GCA. No big deal, especially for us in Pennsylvania, as Pennsylvania Instant Check System (PICS) checks are already required for all NFA firearms, except silencers. But, not so quick...let's look at Section 922(o) of the Gun Control Act...

Section 922(o) provides:

(1) Except as provided in paragraph (2), it shall be unlawful for any person to transfer or possess a machinegun.
(2) This subsection does not apply with respect to-
(A) a transfer to or by, or possession by or under the authority of, the United States or any department or agency thereof or a State, or a department, agency, or political subdivision thereof; or
(B) any lawful transfer or lawful possession of a machinegun that was lawfully possessed before the date this subsection takes effect.

So, we have a prohibition on any "person" transferring or possessing a machinegun which was not lawfully registered before May 19, 1986. BUT, an unincorporated trust is not a "person" under the GCA, so this provision cannot apply to it.

In turning to the National Firearms Act, as amended, 26 U.S.C. 5801, et seq., we find that a "person" is defined as including a trust, pursuant to 26 U.S.C. 7701. Yet, there exists no 922(o)esque provision in Section 5801, et seq.

Therefore, pursuant to 26 U.S.C. 5812 and 5822, an unincorporated trust may lawfully transfer and make machineguns, as it is not a "person" for purposes of the GCA and Section 922 only applies to "persons" as defined by the GCA."

[DaveTN]

Therefore, pursuant to 26 U.S.C. 5812 and 5822, an unincorporated trust may lawfully transfer and make machineguns, as it is not a "person" for purposes of the GCA and Section 922 only applies to "persons" as defined by the GCA.

So find someone to test it.

I don’t know all the legal ins and outs, but a trust can’t make a machine gun, a person would have to do it. Edited May 18, 2014 by DaveTN

[Clod Stomper]

Oh, it will be tested. From the Princelaw blog...

"I will continue to update our viewers, as I have already submitted a Form 1 Application for a minigun…oh hell yeah I did…"

[Johnny Rotten]

keep wishing. I here clubfed has an indoor pool.

[Clod Stomper]

I don't think it's a crime to submit an application.

App has to be approved before anything is transferred or manufactured.

But I expect the ATF will reverse this. Not really worth it probably (to them) to get background checks on trusts but risk making new machine guns legal for trusts. Edited May 18, 2014 by Clod Stomper

[JohnC]

Interesting.

 

I suspect they might come with a warrant to search the premises after you file that. :cop:  :hiding:

Edited May 19, 2014 by JohnC