Forming a Trust

[8mpg]

Need to find a cheaper lawyer to draw up trusts.. My question is...would people with a trust setup be grandfathered or will the BATFE just revoke all the previous doings?

[David]

what is a gun trust? can somebody break it down for me in cliff note style? and why would someone have to get a CLEO signature to buy something? just a gun noob asking questions.

In 1934 due to the rising amount of crime with machine guns and the fact they couldnt pin a lot of crimes on gangsters; Congress created the NFA which declared a $200 tax had to be paid and that a CLEO (didtrict Judge, DA, Chief of Police, Sheriff, State Police Chief etc) had to sign off on the owner for the legal purchase of the item.

The trust gets around the signature simply because the trust is an entity as a whole and an entity has no one face to it. Same with buying stuff threw a corporation.

[Cooter]

My grandma pays a policy on me currently. I think it's a waste of money, especially for someone with no wife or kids.

Wish I could cash out on it though.

we share the same bleak outlook on life :cool:

[bottlerocket]

and why would someone have to get a CLEO signature to buy something? just a gun noob asking questions.

NFA regulated items. SBR and suppressors are common ones. SBR is basically a pistol with a stock. Anything below 16" barrel needs to have no stock on it and its considered a pistol and therefore cannot have a stock (correct me if I'm wrong on the length, I'm going from memory). If it has a stock on it, it is no longer considered a pistol, but a short barreled rifle. You need to go through a specific process to be allowed to own one. Same for a suppressor. You need to have authorization to buy/own one.

Not sure if the same process applies to fully automatic weapons or not.

[jefehbk]

what is a gun trust? can somebody break it down for me in cliff note style? and why would someone have to get a CLEO signature to buy something? just a gun noob asking questions.

[billybob81]

good to know, I guess there is no reason for me to transfer my stuff over to a trust then. I don't let anybody else use my stuff without me there, and if I am gone, it is all locked up in one of my safes at home.

[David]

Well that's an awfully bleak way of looking at death.

I take it that you don't have life insurance, lol.

My grandma pays a policy on me currently. I think it's a waste of money, especially for someone with no wife or kids.

Wish I could cash out on it though.

[Moose242]

I'll be dead anyways, so I dont care who gets what. They can scrap it for all I care.

Well that's an awfully bleak way of looking at death.

I take it that you don't have life insurance, lol.

[David]

I like that I can leave my stuff with my cousin when I go overseas or on vacation without worry. Also, if I die he can just come over and pick my shit up without filing for new transfers.

Forms 5s do the same thing.

Its all a wash.

I'll be dead anyways, so I dont care who gets what. They can scrap it for all I care.

[Moose242]

Again, all boils down to personal options. I don't let anyone use my stuff without me being there, so that pro for some isn't for me.

I like that I can leave my stuff with my cousin when I go overseas or on vacation without worry. Also, if I die he can just come over and pick my shit up without filing for new transfers.

[David]

I live in Tarrant County and it wasn't hard for me to get a CLEO signature. All I had to do was mail my app to the sheriff's office and a copy of my DL and they signed it and mailed it back. So there is no read advantage to having it in a trust? What about transferring to a family member should something happen to me? Is that easier/cheaper with a trust?

You can have people designated in the trust that will be allowed possession instead of just one person by the individual route.

Again, all boils down to personal options. I don't let anyone use my stuff without me being there, so that pro for some isn't for me.

[billybob81]

I live in Tarrant County and it wasn't hard for me to get a CLEO signature. All I had to do was mail my app to the sheriff's office and a copy of my DL and they signed it and mailed it back. So there is no read advantage to having it in a trust? What about transferring to a family member should something happen to me? Is that easier/cheaper with a trust?

[slow06]

Is there a base idea on price? I sent my contact info to them to start but just curious.

I think in the original thread somebody said the lady from Houston was $600

[Denny]

It's debatable. I don't use trusts just because a Cleo sig isn't that hard to get for me. Others it isn't. Others argue that they shouldn't have to ask a Cleo permission to own such items, either way you're asking the ATF permission.

Pick your poison. Either way works.

That's the way I look at it, just whatever is more convenient. It all ends up going to the same place.

[David]

I did not go with the trust route and I now own 3 NFA items. 2 cans and 1 SBR AR-15. Is a trust really a better way to go?

It's debatable. I don't use trusts just because a Cleo sig isn't that hard to get for me. Others it isn't. Others argue that they shouldn't have to ask a Cleo permission to own such items, either way you're asking the ATF permission.

Pick your poison. Either way works.