Consignment Pistols

[ParallaxTactical.com]

Hey there FFLs,

I was wondering how consignment pistols work, specifically off-roster pistols. If a customer consigns an off-roster pistol, can it only be transferred to roster exempt people (ex. police)?

[CA Gun Laws Suck]

An off-roster pistol on consignment at a FFL can be sold to anyone since it is a PPT.

[ParallaxTactical.com]

So the dealer would just hold onto the pistol but not log them into the book?

[IrishPirate]

An off-roster pistol on consignment at a FFL can be sold to anyone since it is a PPT.

+1

this is another reason the safe gun list is rediculous. if it's not safe, it's not safe, but their reasoning is strictly there to make money and to keep guns out of CA. obviously it's a safe gun or no one would buy it. the drop test is rediculous because there are so many ways around getting what the state says are unsafe weapons. if they're unsafe, how can anyone have them, especially officers who ar supposed to have the most reliable guns.....ahhhh, someone get me off this soapbox!!!!

[eltee]

How do the procedures differ from an in-store PPT and a "consignment sale" regarding bound book entry (I suspect no difference), etc. On a consignment, does the FFL have the seller complete the "Seller" portion of a DROS worksheet and when a "buyer" is found (or comes into the store) the buyer fills out the appropriate section of the DROS worksheet and the transaction is then completed as a normal PPT DROS?

On a consignment based PPT, I assume the FFL gets a predetermined cut, % or fee from the seller in addition to the $10.00 profit on processing the PPT?

Or, is it different and then treated as a "dealer sale?" If it is a dealer sale, then the FFL can get his cut from the seller, plus charge what he wants for the DROS?

Benefits to either, or negative issues?

[bwiese]

Hey there FFLs,

I was wondering how consignment pistols work, specifically off-roster pistols. If a customer consigns an off-roster pistol, can it only be transferred to roster exempt people (ex. police)?

Nope. They're counted essentially as a PPT. DOJ has acknowledged consignments can be non-Rostered.

(Unfortunately some BATF crap staff gets this screwed up in audits and threatens to "hold it over" an FFL's head - which is kinda useful if other issues pop up, since it shows the BATF auditor is incompetently playing outside his sandbox).

I buy non-Rostered consignment guns from local dealers fairly often, and I'm not an exempt person.

[bwiese]

How do the procedures differ from an in-store PPT and a "consignment sale" regarding bound book entry (I suspect no difference), etc. On a consignment, does the FFL have the seller complete the "Seller" portion of a DROS worksheet and when a "buyer" is found (or comes into the store) the buyer fills out the appropriate section of the DROS worksheet and the transaction is then completed as a normal PPT DROS?

I'm not an FFL but having seen the paperwork I believe the seller does fill out some paper that essentially makes it a PPT.

I believe the FFL also has some pawnshop-related issues having to hold the gun in limbo for 30 day.

On a consignment based PPT, I assume the FFL gets a predetermined cut, % or fee from the seller in addition to the $10.00 profit on processing the PPT?

This is where consignments & PPTs differ. The consigner prob says, "I want $XX" for my gun. The shop lists the guns for $(X+margin) and eventially buyer pays paperwork fees. So the pricing flexes out after negotiations cuz the gun has to sell or it just sits there.

[CA Gun Laws Suck]

How do the procedures differ from an in-store PPT and a "consignment sale" regarding bound book entry (I suspect no difference), etc. On a consignment, does the FFL have the seller complete the "Seller" portion of a DROS worksheet and when a "buyer" is found (or comes into the store) the buyer fills out the appropriate section of the DROS worksheet and the transaction is then completed as a normal PPT DROS?

On a consignment based PPT, I assume the FFL gets a predetermined cut, % or fee from the seller in addition to the $10.00 profit on processing the PPT?

Or, is it different and then treated as a "dealer sale?" If it is a dealer sale, then the FFL can get his cut from the seller, plus charge what he wants for the DROS?

Benefits to either, or negative issues?

Yes, most FFL's have a predetermined amount they get when the gun in paid in full and leaves the store such as 20% etc. The seller of the consignment gun fills out all the paperwork before hand and then it sits in back for 30 days before it can be offically sold. So that way the local police dept can make sure the gun is not stolen etc.

[eltee]

... The seller of the consignment gun fills out all the paperwork before hand and then it sits in back for 30 days before it can be offically sold. So that way the local police dept can make sure the gun is not stolen etc.

Is the 30 hold mandatory? Aside from normal FFL licensing (fed, state, local) as a firearms dealer, is there additional licensing (pawn broker, etc.) needed to do consignment sales? How does the local PD, etc. know if there is a consignment gun sitting in a dealer's safe?

This is very interesting and informative. New territory.

[halifax]

Is the 30 hold mandatory? Aside from normal FFL licensing (fed, state, local) as a firearms dealer, is there additional licensing (pawn broker, etc.) needed to do consignment sales? How does the local PD, etc. know if there is a consignment gun sitting in a dealer's safe?

This is very interesting and informative. New territory.

Not all jurisdiction require it. Check with your local authorities.

[CA Gun Laws Suck]

The 30 Day Pawn hold is for San Diego I do not know about other cities. There is seperate paperwork done for consignment paperwork.