Explore The NRA Universe Of Websites

APPEARS IN News

DOJ, State Legislative Counsel`s Office Clash Over New Handgun Law

Tuesday, March 27, 2001

NATIONAL RIFLE ASSOCIATION 11250 Waples Mill Road, Fairfax, Virginia 22030 CALIFORNIA RIFLE & PISTOL ASSOCIATION 271 East Imperial Highway, Fullerton, California 92835 Contact: Chuck Michel, CRPA Spokesperson (310) 548-3703 CALIFORNIA SPORTING GOODS ASSOCIATION 5800 Bluff Street, Norco, California 92860 Contact: Geoff Barclay, CSGA Spokesperson (909) 698-0880
Legality Of Gun Consignment Sales At Issue, Firearm Dealers Face Prosecution and Bankruptcy
SACRAMENTO - The California Legislative Counsel`s Office, which acts as the legal counsel to the State Legislature, just issued a formal Opinion (#21239) interpreting a new handgun law and condemning a California Department of Justice (DOJ) policy interpreting the same provision. As a result, gun dealers who, relying on the DOJ policy, facilitated private party "consignment" sales of handguns since the first of the year face possible prosecution. The registered handgun sales are subject to invalidation, and the registered guns may be confiscated. And most gun dealers, who relied on private party consignment sales for the majority of their profits, face insolvency. The law at issue is Senate Bill 15 of 1999, the "unsafe" handgun bill that became fully effective on January 1, 2001. SB 15 requires that all handguns pass a series of performance tests and be added to a DOJ list of guns approved for sale before a gun can be sold by a dealer in the state. (All handgun sales are registered, pursuant to preexisting law.) SB 15 has an exception allowing private parties (i.e., non dealers) to sell untested and unlisted handguns to other private parties. But, as has always been the case, that sale must be processed through a dealer and the handgun registered to its new owner. Previously dealers could buy used handguns directly from private parties, transfer them into their inventory, and then put them up for sale - often at significant mark-up. The DOJ policy interpreted SB 15 as banning that practice, and prohibited dealers from buying untested / unlisted guns directly from, or selling untested / unlisted guns directly to, private parties. But the DOJ policy does allow dealers to facilitate these private party sales by offering the guns on consignment. Dealers had hoped to stay in business using that consignment process in lieu of simply buying and selling the handguns as they had before SB 15 went into effect. So in reliance on the DOJ policy, they have been facilitating thousands of these consignment sales since the first of the year. The DOJ policy was formally adopted through a DOJ "Information Bulletin" sent to all gun dealers on December 12, 2000 (#2000 FD-07) (caag.state.ca.us /firearms/ infobuls). "If the Legislative Counsel opinion is adopted all these gun buyers, sellers, and dealers are in jeopardy of prosecution and of having their guns confiscated, because all the guns are registered," said civil rights attorney Chuck Michel, who represents the CRPA and its membership. "These problems were pointed out, but ignored when this law was rammed through the Legislature. We are deeply troubled by the position this puts CRPA members and gun owners in. We hope the DOJ will defend its position, but unfortunately in the past the DOJ has abandoned people who were prosecuted while complying with DOJ gun policies." "This is terrible. The possibility of criminal repercussions is bad enough. On top of that the minimal mark-up on new handguns, and the relatively few manufacturers willing to pay DOJ`s fees to have their new guns listed, makes it impossible for most dealers to stay in business without the revenue generated from private party consignment sales," said Geoff Barclay, President of the California Sporting Goods Association, which represents gun dealers throughout the state. "What makes this particularly devastating is that, with all the laws passed in the past two years, many dealers have gone under, and the ones left are barely hanging on as it is."
TRENDING NOW
HOA Firearm Clash Augurs a Broader Legal Debate

News  

Monday, June 1, 2026

HOA Firearm Clash Augurs a Broader Legal Debate

The fight to defend Second Amendment rights is not confined to Washington, D.C., or even to the halls of state capitals.

Virginia’s Semiauto Ban Hits Snag With County Enforcement Officials

News  

Monday, June 1, 2026

Virginia’s Semiauto Ban Hits Snag With County Enforcement Officials

While Virginia’s bans on “assault firearms” and magazines capable of holding more than 15 rounds was signed into law on May 14, and is scheduled to go into effect on July 1, it remains to be seen ...

Yet Another Tragic Example of the False Promise of Red Flag Laws

News  

Thursday, May 28, 2026

Yet Another Tragic Example of the False Promise of Red Flag Laws

We’ve consistently highlighted the defects of “red flag” laws, the chief of which is the underlying philosophy that compelling removal of a person’s own firearms is a sufficient resolution of any risk or threat of harm.

New York:  Gov. Kathy Hochul Signs Gun Ban in State Budget Process

Wednesday, May 27, 2026

New York: Gov. Kathy Hochul Signs Gun Ban in State Budget Process

On Wednesday, May 27, Gov. Kathy Hochul signed S.9005C, which “enacts into law major components” of the state’s public protection and general government budget.

NRA Files Lawsuit Challenging Post Office Carry Ban

Tuesday, May 26, 2026

NRA Files Lawsuit Challenging Post Office Carry Ban

The National Rifle Association, Gun Owners of America, Gun Owners Foundation, and three NRA members today filed a lawsuit challenging the federal prohibition on carrying firearms at United States Post Offices.

Department of Interior Announces Major Expansion for Hunters and Anglers

News  

Tuesday, May 26, 2026

Department of Interior Announces Major Expansion for Hunters and Anglers

This week, the Department of the Interior (DOI) announced it will be issuing a proposed rule that would result in the largest expansion of hunting and sport fishing opportunities in agency history.

NRA Files Lawsuit Challenging Maryland’s Glock Ban

Wednesday, May 27, 2026

NRA Files Lawsuit Challenging Maryland’s Glock Ban

The National Rifle Association, Firearms Policy Coalition, and Second Amendment Foundation filed a lawsuit yesterday challenging Maryland’s ban on Glock and Glock-style handguns.

Oregon: Initiative Petition 28 Threat to Hunting, Fishing, and Outdoor Heritage One Step Closer to Reality

Friday, May 29, 2026

Oregon: Initiative Petition 28 Threat to Hunting, Fishing, and Outdoor Heritage One Step Closer to Reality

The criminalization of hunting and fishing is one step closer to a reality in Oregon. 

Virginia: Despite Injunction, Virginia State Police to Conduct Background Checks for Private Sales

Thursday, May 28, 2026

Virginia: Despite Injunction, Virginia State Police to Conduct Background Checks for Private Sales

On May 27th, Virginia-based gun rights group the Virginia Citizens Defense League (VCDL) was informed by the Virginia Attorney General’s office that the Virginia State Police (VSP) would resume conducting background checks on private firearm ...

California: Multiple Anti-Gun Bills on the Move

Wednesday, May 27, 2026

California: Multiple Anti-Gun Bills on the Move

California lawmakers continue pushing sweeping anti-gun legislation targeting law-abiding gun owners, new residents, and even emerging technologies.

MORE TRENDING +
LESS TRENDING -

More Like This From Around The NRA

NRA ILA

Established in 1975, the Institute for Legislative Action (ILA) is the "lobbying" arm of the National Rifle Association of America. ILA is responsible for preserving the right of all law-abiding individuals in the legislative, political, and legal arenas, to purchase, possess and use firearms for legitimate purposes as guaranteed by the Second Amendment to the U.S. Constitution.