All You Need to Know About FFL Dealership in North Dakota

Table of Contents:

• Introduction to North Dakota Firearm Laws

• How to Obtain a Federal Firearms License (FFL) in North Dakota

• Firearms in North Dakota: Permitted Vs. Restricted

• Selling Firearms Online Legally in North Dakota

• Understanding Background Checks for Firearm Sales in North Dakota

• Conclusion

Introduction to North Dakota Firearm Laws

This blog post covers important information about Federal Firearms License (FFL) dealerships in North Dakota. It explains the process of obtaining an FFL, the regulations involved, and the responsibilities of dealers.

Understanding these aspects is essential for anyone interested in starting or managing an FFL dealership in the  North Dakota. This information will help you navigate the requirements and ensure compliance with local laws.

How to Obtain a Federal Firearms License (FFL) in North Dakota

Step 1: Understand the Federal Requirements

1. Determine Eligibility:
   • Be at least 21 years old.
   • Be a U.S. citizen or legal resident.
   • Not be prohibited from owning firearms (e.g., felony convictions, restraining orders).
   • Have a business location that complies with local zoning laws.
2. Choose the Type of FFL:

There are several types of FFLs, including Type 01 (Dealer in Firearms) and Type 07 (Manufacturer of Firearms). Choose the one that fits your business model.

• Type 01 – Firearm Dealer/Gunsmith.
• Type 02 – Pawnbroker.
• Type 03 – Collector.
• Type 06 – Manufacture of Ammunition.
• Type 07 – Manufacturer of Firearms.
• Type 08 – Importer of Firearms.
• Type 09 – Dealer of “Destructive Devices”
• Type 10 – Manufacturer of “Destructive Devices”

1. Complete ATF Form 7:
   • Fill out the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Form 7 (Application for Federal Firearms License). This form requires information about your business, including your business name, address, and the type of firearms you intend to deal in.
2. Submit Fingerprints and Photographs:
   • You must provide two passport-sized photographs and fingerprint cards. These will be used for a background check.
3. Pay the Application Fee:
   • The fee varies depending on the type of FFL you are applying for. For example, a Type 01 FFL costs $200 for three years.
4. Submit Your Application:
   • Send the completed Form 7, fingerprints, photographs, and payment to the ATF. You can submit your application by mail or online through the ATF’s eForms system.
5. ATF Review:
   • The ATF will review your application, which typically takes about 60 days. They may contact you for additional information or to schedule an interview.
6. Receive Your FFL:
   • If your application is approved, you will receive your FFL in the mail. Ensure you keep it displayed at your business location as required by law.

Step 2: Understand North Carolina State-Specific Requirements

While North Carolina does not license firearms dealers, there are specific state laws that you must comply with once you have your FFL. Here’s what you need to know:

1. Universal Background Checks:
   • Be aware that all firearms dealers in North Carolina must conduct background checks on prospective purchasers, as mandated by state law. This aligns with federal requirements for federally licensed dealers.
2. Provide Written Copies of State Law:
   • As a retail seller or transferor, you must deliver a written copy of North Carolina state law relating to the storage of firearms to protect minors with every firearm transfer. This is crucial for ensuring responsible firearm ownership.
3. Retention of Sales/Background Check Records:
   • Familiarize yourself with the laws requiring dealers to retain records of sales and background checks. This is important for compliance and future audits.

Firearms in North Dakota: Permitted Vs. Restricted

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Note: Remember that while many firearms are permitted, there are restrictions on who can possess them and where they can be carried. Always seek legal advice for the most up-to-date and accurate information.

Selling Firearms Online Legally in North Dakota

1. Confirm the Order
   • Order Verification: Ensure that the order details are correct, including the type of firearm, quantity, and customer information.
   • Age Verification: Confirm that the customer meets the minimum age requirement for purchasing firearms (21 years for handguns and 18 years for long guns).
2. Check State Regulations
   • North Dakota Firearm Laws: Familiarize yourself with North Dakota’s specific laws regarding firearm purchases. North Dakota does not require a permit to purchase firearms, but buyers must comply with federal regulations. Additionally, there are no restrictions on the sale of most firearms, but it’s essential to ensure that the firearm being sold is legal in the state.
3. Prepare for Transfer
   • Select an FFL for Transfer: Since firearms cannot be shipped directly to the customer, you must send the firearm to a licensed FFL dealer in North Dakota. This is a critical step in any FFL Transfer as the customer will need to provide the name and address of the FFL dealer they wish to use for the transfer.
   • Contact the Receiving FFL: Reach out to the chosen FFL dealer in North Dakota to confirm their willingness to accept the transfer and inquire about any specific requirements they may have.
4. Complete Required Documentation
   • ATF Form 4473: Prepare the ATF Form 4473, which must be filled out by the customer at the receiving FFL. This form records the transaction and is essential for compliance with federal regulations.
   • Bill of Sale/Invoice: Create a bill of sale or invoice that includes details of the transaction, such as the firearm’s make, model, and serial number, along with the buyer’s information.
5. Shipment of the Firearm
   • Shipping the Firearm: Once you have confirmed the receiving FFL, package the firearm securely and ship it via a carrier that complies with federal regulations (e.g., UPS, FedEx). Ensure that you include all necessary documentation, such as a copy of your FFL and the invoice.
   • Labeling: Clearly label the package as containing a firearm, and ensure that it is addressed to the licensed FFL dealer.
6. Notify the Customer
   • Tracking Information: Provide the customer with tracking information for the shipment so they can monitor its progress.
   • Instructions for Pickup: Inform the customer about the process they will need to follow at the receiving FFL, including bringing valid identification and completing the ATF Form 4473.
7. Record Keeping
   • Maintain Records: Keep copies of all transaction documents, including the ATF Form 4473 and the shipping records, for your records. Federal law requires FFL dealers to maintain these records for at least 20 years.

Understanding Background Checks for Firearm Sales in North Dakota

Federal Requirements

Background Checks: Federal law mandates that federally licensed firearms dealers must initiate a background check on purchasers before selling a firearm.

NICS: The checks can be conducted through the National Instant Criminal Background Check System (NICS), which is maintained by the FBI.

North Dakota’s Status

Not a Point of Contact State: North Dakota does not serve as a state point of contact for NICS. This means that all background checks for firearm transfers in North Dakota are processed directly through the FBI.

No State Requirement for Checks: There is no state law in North Dakota requiring firearms dealers to conduct background checks prior to transferring firearms.

Exemptions

State Permits: Under federal law, individuals who have been issued state permits to purchase or possess firearms may be exempt from background checks if:

• The permit was issued within the previous five years in the state where the transfer occurs.
• The permit was issued after a background investigation, including a NICS database search, confirmed that possession of a firearm would not be unlawful.

Concealed Weapons Licenses: Holders of concealed weapons licenses issued after December 1, 1999, are also exempt from background checks when purchasing firearms.

Private Sales

No Background Checks Required: Firearms transfers conducted by private sellers (non-firearms dealers) in North Dakota do not require background checks. However, all federal and state prohibitions on purchasers still apply.

Conclusion 

By following these steps, you can ensure a smooth and compliant transaction for your customer in North Dakota. Always stay updated on both federal and state laws, as they can change and may impact your business operations. This diligence not only protects your business but also fosters trust with your customers.

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Disclaimer: The information presented here has been compiled from multiple public sources. It serves as a general overview of firearm regulations and guidelines concerning the specific state. This content is intended for informational purposes only and should not be interpreted as legal advice or relied upon as a substitute for professional legal counsel.