GENERAL ASSEMBLY OF NORTH CAROLINA

EXTRA SESSION 1994

H	1 

HOUSE BILL 85

Short Title:  Gun License & Registration.	(Public)
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Sponsors: Representatives Michaux; and Burton.
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Referred to:  Judiciary I.
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February 11, 1994

A BILL TO BE ENTITLED
AN ACT TO PROVIDE FOR THE REGISTRATION OF CERTAIN FIREARMS, FOR THE REGULATION OF HANDGUN TRANSFERS, TO INCREASE THE PRIVILEGE LICENSE FOR GUN DEALERS, TO REQUIRE A WAITING PERIOD BEFORE THE SHERIFF MAY ISSUE A LICENSE TO BUY OR RECEIVE A HANDGUN, TO ADD AS REQUIREMENTS TO OBTAIN A LICENSE TO BUY A HANDGUN THAT  A PERSON BE COMPETENT WITH FIREARMS OR HAVE SUCCESSFULLY COMPLETED A FIREARMS TRAINING COURSE, AND THAT A PERSON HAVE LIABILITY INSURANCE, TO PROHIBIT THE POSSESSION OF A FIREARM BY AN UNEMANCIPATED MINOR, TO PROVIDE THAT THE SHERIFFS HAVE THE AUTHORITY IN ALL COUNTIES OF THE STATE TO ISSUE ANY LICENSES TO BUY  FIREARMS,  AND TO MAKE VARIOUS OTHER CONFORMING AND TECHNICAL CHANGES. 
The General Assembly of North Carolina enacts:
Section 1.  Chapter 14 of the General Statutes is amended by adding a new Article to read:
"ARTICLE 54B.
"Regulation of Handguns.
"Part 1.
"Registration of Firearms.
"§ 14-415.10.  Definitions.
The following definitions apply in this Article:
(1)	Business day. – A day on which State government offices are open.
(2)	Dealer. – Defined in G.S. 105-80.
(3)	Firearm. – A handgun or any other firearm with a barrel less than 24 inches in length.
(4)	Handgun. – A firearm that has a short stock and is designed to be held and fired by the use of a single hand.
(5)	Transfer. – Any act that conveys ownership or title including a sale, purchase, gift, or other receipt of title.
"§ 14-415.11.  Registration required; application; penalty for failure to register.
(a)	Owner of Firearm Must Register. – Any person who owns a firearm shall register that firearm with the sheriff of the county in which the person resides. If an application for registration is denied, the owner of the firearm shall surrender the firearm to the sheriff until the owner submits a new application and registration is granted. If the owner of a firearm rents the firearm to another, the owner of the firearm shall notify the sheriff of the firearm rental and provide any information regarding the rental that the sheriff may require.
(b)	Application. – An application for registration shall be made on the appropriate form furnished by the sheriff and shall include the written and notarized signature of the firearm owner.  The application shall include all of the following information:
(1)	The name, the bona fide residence and mail address of the owner, or the business address of the owner if the owner is a firm, association, or corporation.
(2)	A description of the firearm, including the make, model, serial number, and any other identifying numbers of the firearm, whether it is new or used, and if a new firearm, the date of sale and actual date of delivery of the firearm by the manufacturer or dealer to the applicant.
(3)	A statement of the applicant's title and of all liens upon the firearm, including the names and addresses of all lienholders in the order of their priority, and the date and nature of each lien.
(4)	Any other information the sheriff considers reasonably necessary to enable the sheriff to determine whether the firearm is lawfully entitled to registration.
(c)	Evidence of Ownership. – When the application refers to a new firearm acquired from a manufacturer, the application shall be accompanied by a manufacturer's certificate of origin that is properly assigned to the applicant.  If the new firearm is acquired from a dealer or another person who is not the manufacturer, the application shall be accompanied by the evidence of ownership required by the laws that apply to the person from whom the firearm was acquired.  If those laws do not require evidence of ownership, the application shall be accompanied by a notarized bill of sale from the person from whom the firearm was acquired.
(d)	Failure to Register Is Class 1 Misdemeanor; Grace Period for New State Residents; Confiscation of Firearm. – Failure to register a firearm as required by this Part is a Class 1 misdemeanor.  A nonresident who moves into the State and who fails to register a firearm as required by this Part shall have a grace period of 30 days from the date of the offense in which to register the firearm.  The sheriff shall confiscate any firearm not registered under this Part and destroy it in accordance with G.S. 14-415.14.
"§ 14-415.12. Motor Vehicles to provide notice of registration requirement.
The Division of Motor Vehicles of the Department of Transportation shall modify its forms so that any eligible person who applies for original issuance, renewal, or correction of a drivers license or a special identification card issued under G.S. 20-37.7 shall be notified of the firearm registration requirement in this State and directed to contact the sheriff for further information.
"§ 14-415.13.  Manufacturer's certificate of origin of new firearm; assignment.
(a)	Manufacturer Must Issue Certificate. – Any manufacturer who transfers a new firearm to another shall, at the time of the transfer, supply the transferee with a manufacturer's certificate of origin assigned to the transferee.
(b)	Transfer Between Dealers. – A dealer who transfers a new firearm to another dealer shall, at the time of transfer, give the transferee the proper manufacturer's certificate assigned to the transferee.
(c)	Assignment of Certificate Upon Sale. – Upon sale of a new firearm by a dealer to a consumer-purchaser, the dealer shall execute in the presence of a person authorized to administer oaths an assignment of the manufacturer's certificate of origin for the firearm, including in the assignment the name and address of the transferee.  No title to a new firearm acquired by a dealer under subsections (a) and (b) of this section shall pass or vest until the assignment is executed and the firearm delivered to the transferee as provided in this subsection.
Any dealer transferring title to, or an interest in, a new firearm shall deliver the manufacturer's certificate of origin duly assigned in accordance with this subsection to the transferee at the time of delivering the firearm, except that where a security interest is obtained in the firearm from the transferee in payment of the purchase price or otherwise, the transferor shall deliver the manufacturer's certificate of origin to the lienholder and the lienholder shall immediately forward the manufacturer's certificate of origin together with the transferee's application for registration and necessary fees to the sheriff.
"§ 14-415.14. Grant or refusal of registration.
(a)	Grounds for Refusing Registration. – The sheriff shall refuse registration or any transfer of registration upon any of the following grounds:
(1)	The application contains any false or fraudulent statement, the applicant has failed to furnish required information or reasonable additional information requested by the sheriff, or the applicant is not entitled to the registration of the firearm under this Article.
(2)	The firearm is mechanically unfit or unsafe to be operated.
(3)	The sheriff has reasonable grounds to believe that the  firearm is a stolen or embezzled firearm, or that granting registration would constitute a fraud against the rightful owner or other person having valid lien upon the firearm.
(4)	The registration of the firearm stands suspended or revoked for any reason.
(5)	The required fee has not been paid.
(6)	The applicant does not have financial responsibility for the firearm as provided in G.S. 14-415.16.
(7)	The sheriff has reasonable grounds to believe that the applicant is an unemancipated minor.
(b)	Confiscation of Firearm. – If the sheriff refuses an original registration of a firearm, the sheriff shall confiscate the firearm until its owner is able to register pursuant to this Part.  If the sheriff determines after 30 days that the owner will not be able to register the firearm, the sheriff shall destroy the firearm.  If the sheriff refuses to transfer a registration, the sheriff shall return the firearm to the original registered owner.
(c)	Grant of Registration. – If the sheriff is satisfied that the application is genuine and complete and that the applicant is entitled to register the firearm described in the application, the sheriff shall register the firearm.
"§ 14-415.15.  Examination of registration records and index of stolen and recovered firearms.
The sheriff, upon receiving an application for registration or transfer of registration of a firearm, other than a firearm sold by a North Carolina dealer, shall first cross-check the serial numbers shown in the application with the sheriff's record of registered firearms, and against the index of stolen and recovered firearms required to be maintained by this Article.
"§ 14-415.16.  Financial responsibility prerequisite to registration; liability insurance must be maintained throughout registration period.
(a)	No firearm shall be registered in this State unless the owner at the time of registration has financial responsibility for the firearm as provided in this section. The owner of each firearm registered in this State shall maintain financial responsibility continuously throughout the period of registration.
(b)	Financial responsibility shall be a liability insurance policy or a financial security bond or a financial security deposit or by qualification as a self-insurer.
(c)	When it is certified that financial responsibility is a liability insurance policy, the sheriff may require that the owner produce records to prove the fact of the insurance, and failure to produce these records shall be prima facie evidence that no financial responsibility exists with regard to the firearm concerned. It shall be the duty of insurance companies, upon request of the sheriff, to verify the accuracy of any owner's certification.
(d)	When liability insurance with regard to any firearm is terminated by cancellation or failure to renew, or the owner's financial responsibility for the firearm is otherwise terminated, the owner shall immediately surrender the firearm and registration certificate of the firearm to the sheriff, unless financial responsibility is maintained in some other manner in compliance with this section.
(e)	Upon termination by cancellation or otherwise of an insurance policy or other security required in subsection (b) of this section, the insurer shall notify the sheriff of the termination, except that no cancellation notice is required if the insurer issues a new insurance policy complying with this section at the same time the insurer cancels or otherwise terminates the old policy, no lapse in coverage results, and the insurer sends the certificate of insurance form for the new policy to the sheriff. The sheriff, upon receiving notice of cancellation or termination of an owner's financial responsibility as required by this section, shall notify the owner of the cancellation or termination, and the owner shall, to retain the registration for the firearm registered or required to be registered, within 10 days after the date of notice given by the sheriff either:
(1)	Certify to the sheriff that the owner has financial responsibility effective on or prior to the date of the termination; or
(2)	In the case of a lapse in financial responsibility, pay a fifty dollar ($50.00) civil penalty to the sheriff's office and certify to the sheriff that the person now has financial responsibility effective on the date of certification, that the person did not use the firearm in question during the period of no financial responsibility with the knowledge that there was no financial responsibility, and that the firearm in question was not involved in a shooting accident or criminal offense during the period of no financial responsibility.
Failure of the owner to certify that the owner has financial responsibility as required by this section shall be prima facie evidence that no financial responsibility exists with regard to the firearm concerned and, unless the owner's registration and firearm have on or prior to the date of termination of insurance been surrendered to the sheriff, the sheriff shall revoke the firearm's registration and seize the firearm.
In no case shall any firearm, the registration of which has been revoked for failure to have financial responsibility, be reregistered in the name of the registered owner, spouse, or any child of the owner or spouse, within less than 30 days after the date of receipt of the notice from the sheriff, except that a spouse living separate and apart from the registered owner may register the firearm immediately in the spouse's name. Additionally, as a condition precedent to the reregistration of the firearm by the registered owner, spouse, or any child of the owner or spouse, except a spouse living separate and apart from the registered owner, the payment of a restoration fee of fifty dollars ($50.00) and the registration fee set in G.S. 14-415.23 for a new registration is required. Any insurer failing to give notice of termination of an insurance policy as required by this subsection shall be subject to a civil penalty of two hundred dollars ($200.00) to be assessed by the Commissioner of Insurance upon a finding by the Commissioner of Insurance that good cause is not shown for the failure to give notice of termination to the sheriff.
"§ 14-415.17.  Registration indexes.
(a)	The sheriff shall file each application received and shall keep a record of each firearm registered as follows:
(1)	Under a distinctive registration number assigned to the firearm;
(2)	Alphabetically, under the name of the owner;
(3)	Under the serial number or any other identifying number of the firearm; and
(4)	In any other manner the sheriff considers advisable.
(b)	The sheriff shall maintain a separate registration file for firearms that are owned or leased for use by individuals in the following categories:
(1)	Members of federal, State, and local law enforcement agencies if the firearms are used for official duties relating to transporting, apprehending, or arresting persons charged with violations of the laws of the United States or the State of North Carolina.
(2)	Agents for the Internal Revenue Service.
(3)	Public officials.
Individuals in the above categories shall provide satisfactory evidence to the sheriff that their personal safety is at risk.  This file shall be confidential for the use of the sheriff.
"§ 14-415.18. Availability of records.
All records of the sheriff pertaining to application and to registration, except the registration file provided in G.S. 14-415.17(b), shall be open to public inspection at any reasonable time during office hours and copies shall be provided upon payment of the fee set in G.S. 14-415.23.
"§ 14-451.19.  Owner after transfer not liable for negligent operation.
The owner of a firearm who has made a bona fide sale or transfer of the owner's title or interest, and who has assigned the certificate of origin and delivered possession of the firearm to the transferee, shall not be liable for any damages resulting from the use of the firearm by another.
"§ 14-415.20. Notice of change of address or name.
Whenever any person, after applying for or obtaining the registration of a firearm, moves from the address or changes the name named in the application or shown upon a registration card, the person shall, within 30 days after the move or change of name, notify in writing the sheriff of the county in which the firearm is registered of the person's old and new addresses or old and new names.
"§ 14-415.21. Replacement of lost or damaged registration card.
In the event any registration card is lost or mutilated or becomes illegible, the owner or legal representative of the owner of the firearm for which the registration card was issued, as shown by the records of the sheriff, shall immediately apply for and obtain a duplicate, a substitute, or a new registration under a new registration number, as determined to be most advisable by the sheriff, upon the applicant's furnishing under oath information satisfactory to the sheriff, and payment of the fee set in G.S. 14-415.23.
"§ 14-415.22.  Registration evidence of ownership; ownership evidence of defendant's responsibility for conduct of operation.
(a)	In all actions to recover damages for injury to person or to property or for the death of a person, arising out of an accident involving a firearm, proof of ownership of the firearm at the time of the accident shall be prima facie evidence that the firearm was used with the authority, consent, and knowledge of the owner in the transaction out of which the injury or cause of action arose.
(b)	Proof of the registration of a firearm in the name of any person, firm, or corporation shall for the purpose of an action, be prima facie evidence of ownership and that the firearm was then being used by or under the supervision of a person for whose conduct the owner was legally responsible, for the owner's benefit, and within the course and scope of the person's employment.
"§ 14-415.23.  Fee schedule; administration; criminal penalties.
(a)	The sheriff may charge the following fees:
Application fee	$10.00
Registration fee	$25.00
Restoration fee	$50.00
Duplicate registration card	$5.00
Record copying cost	$3.00.
(b)	The monies collected under this Article shall be retained by the sheriff.
(c)	The sheriff shall administer and enforce the provisions of this Part and may adopt rules necessary for its administration and shall provide for hearings upon request of persons aggrieved by orders or acts of the sheriff under the provisions of this Part.
(d)	A person who commits any of the following offenses is guilty of a Class I felony:
(1)	Possesses an unregistered firearm.
(2)	With fraudulent intent alters an application to register a firearm or a registration card.
(3)	Forges or counterfeits an application to register a firearm or a registration card purported to have been issued by the sheriff under this Part.
(4)	Holds or uses an application to register a firearm or a registration card knowing that it has been altered, forged, or falsified.
(5)	Reproduces or possesses a blank certificate of origin.
"Part 2.
"Handgun Transfers Regulated.
"§ 14-415.24.  Handgun transfers by dealers regulated.
(a)	A dealer shall not transfer a handgun to anyone who is not licensed under G.S. 105-80 except as provided by this Part.
(b)	Before transferring a handgun to an individual who is not licensed under G.S. 105-80, a dealer shall do all of the following for each requested transfer:
(1)	Verify that the individual has a handgun license in accordance with G.S. 14-415.25.
(2)	Obtain from the individual a written statement as provided in G.S. 14-415.26.
(3)	Verify the identity of the individual by examining an appropriate photographic identification card or document that lists the name, address, date of birth, and  physical description of the transferee.
(4)	Notify the sheriff of the county in which the individual resides of the individual's intent to obtain a handgun and the contents of the individual's written statement, and forward to the sheriff a copy of the written statement as provided in G.S. 14-415.26.
(5)	Observe the waiting period required by G.S. 14-415.27.
(6)	Obtain from the individual a written statement issued by the sheriff of the county in which the individual resides during the 10-day period ending on the date of the most recent proposal of a transfer to the individual, stating that the individual requires access to a handgun because of a threat to the life of the individual or any member of the household of the individual.
"§ 14-415.25.  Dealer may sell handgun only to individual who has a handgun license.
(a)	A dealer may transfer a handgun only to an individual who has a handgun license issued in accordance with Article 52A of this Chapter.  The dealer shall verify that the individual has a handgun license by requesting to see the license and examining it to determine its validity.
(b)	A handgun license is valid only if:
(1) 	It was issued no more than five years before the date of the purchase of the handgun;
(2)	It was issued in this State by the sheriff of the county in which the purchaser resides; and
(3)	The information on the license identifying the license holder accurately compares with the photographic identification card or document of the proposed transferee.
"§ 14-415.26.  Information to be obtained by dealer before transferring handgun; notification of sheriff.
(a)	Before transferring a handgun to an individual, a dealer shall obtain from the transferee a written statement that provides notice that the transferee intends to obtain a handgun from the dealer, indicates the date that the statement is made, and contains the following information:
(1)	The name, address, date of birth, and physical description of the transferee.
(2)	A description of the photographic identification card or document used to verify the identity of the transferee.
(3)	A statement that the transferee:
a.	Has not been convicted or indicted in any court for a crime punishable by imprisonment for a term exceeding one year.
b.	Is not a fugitive from justice.
c.	Is not addicted to or an unlawful user of any controlled substance as defined in G.S. 90-87.
d.	Has not been adjudicated as incompetent on the grounds of mental illness or been committed to a mental institution.
e.	Is not an alien who is illegally or unlawfully in the United States.
f.	Has not been discharged from the armed forces under dishonorable conditions.
g.	Is not a person who, having been a citizen of the United States, has renounced this citizenship.
(b)	Within one day after receiving the written statement described in subsection (a) of this section, the dealer shall notify the sheriff of the county in which the individual resides of the contents of the statement and forward a copy of the statement to the sheriff.
"§ 14-415.27.  Required waiting period before handgun transfer.
There is a waiting period of at least seven business days after the date on which notice is provided to the sheriff as required by G.S. 14-415.26 before a handgun may be transferred.  A handgun shall not be transferred unless during that waiting period the dealer has either (i)	received no information from the sheriff that the proposed handgun transfer violates federal, State, or local law or (ii) received notice from the sheriff that the sheriff has no information indicating that the proposed handgun transfer would violate federal, State, or local law.
"§ 14-415.28.  Dealer must notify sheriff if dealer receives notice of criminal violation after transfer.
If a dealer receives a report from a sheriff or any other law enforcement officer after the transfer of a handgun that the receipt or possession of a firearm by the individual to whom the transfer was made violates federal, State, or local law, then the dealer shall notify both the sheriff of the county in which the dealer is located and the sheriff of the county in which the individual resides within one business day after receipt of the information.
"§ 14-415.29.  Handgun transfers between individuals.
An individual shall transfer a handgun only to another individual who has a valid handgun license issued in accordance with Article 52A of this Chapter.  Before an individual transfers a handgun to another, the individual shall report the proposed transfer to the sheriff of the county in which the transfer is to occur and provide the appropriate handgun registration information to the sheriff as required by Part 1 of this Article.
"Part 3.
"Firearm Possession Regulated.
"§ 14-415.30. Age limit for possession of firearm.
(a)	It is unlawful for any person who is under the age of 18 to possess a firearm.
(b)	A violation of this subsection is a Class 3 misdemeanor. Any firearm illegally possessed under this section shall be confiscated by the sheriff and destroyed."
Sec. 2.   G.S. 105-80 reads as rewritten:
"§ 105-80.  Firearms dealers and dealers in other weapons.
(a)	Firearms. – Every person, firm, or corporation who is engaged in the business of selling or offering for sale firearms, other than antique firearms or firearms that are weapons of mass death and destruction, shall obtain a license from the Secretary of Revenue for the privilege of engaging in business and shall pay a tax of five hundred dollars ($500.00) for the license.  As used in this subsection, the terms 'antique firearm' and 'weapons of mass death and destruction' have the same meanings as in G.S. 14-409.11 and G.S. 14-288.8, respectively.  As used in this subsection, the term 'engaged in the business of' shall mean devoting time, attention, and labor to selling or offering for sale firearms as a regular course of trade or business with the principal objective of profit through the repetitive purchase and sale, or the manufacture for sale, of firearms.  Such term shall not include the making of occasional sales, exchanges, or purchases of firearms for the enhancement of a personal collection, or the sale of all or part of a personal collection of firearms.
A license issued under this subsection authorizes the licensee to engage in business at the location for which the license is issued and at a gun show held in the State.  A 'gun show' is an event sponsored either by an organization devoted to the collection, competitive use, or other sporting use of firearms or by an organization that sponsors events devoted to the collection, competitive use, or other sporting use of firearms in the community.
(b)	Other Weapons. – Every person, firm, or corporation who is engaged in the business of selling or offering for sale bowie knives, dirks, daggers, leaded canes, iron or metallic knuckles, or similar weapons shall obtain a statewide license from the Secretary of Revenue for the privilege of engaging in business and shall pay a tax of two hundred dollars ($200.00) for the license.
(c)	Local Licenses. – Counties and cities may levy a license tax on a business taxed under this section at an amount that does not exceed the State tax."
Sec. 3.  Article 52A of Chapter 14 of the General Statutes, as amended by Section 284 of Chapter 539 of the 1993 Session Laws, reads as rewritten:
"ARTICLE 52A.
"License Required for Sale of Handguns or Crossbows.
"§ 14-402.  (Effective January 1, 1995) Sale of certain weapons without license forbidden.
(a)	It is unlawful for a person, firm, or corporation in this State to sell, give away, transfer, purchase, or receive, at any place within this State from any other place within or without the State a handgun or crossbow unless a license for the handgun or crossbow is first obtained by the purchaser or receiver from the sheriff of the county in which the purchaser or receiver resides.
It is unlawful for a person to receive from any postmaster, postal clerk, employee in the parcel post department, rural mail carrier, express agent or employee, railroad agent or employee within the State of North Carolina a handgun or crossbow without possessing a license for the handgun or crossbow issued in accordance with G.S. 14-403 and exhibiting the license to the delivery person at the time of the delivery.  Any person violating the provisions of this section shall be guilty of a Class 2 misdemeanor.
(b)	This section does not apply to an antique firearm or an historic edged weapon.
(c)	The following definitions apply in this section:
(1)	Antique firearm. – Defined in G.S. 14-409.11.
(2)	Bolt. – A projectile made to be discharged from a crossbow.  The bolt differs from an arrow in that the bolt is heavier and shorter than an arrow.
(3)	Crossbow. – A mechanical device consisting of, but not limited to, strings, cables, and prods transversely mounted on either a shoulder or hand-held stock.  This devise [device] is mechanically held at full or partial draw and released by a trigger or similar mechanism which is incorporated into a stock or handle.  When operated, the crossbow discharges a projectile known as a bolt.
(3a)	Handgun. – Defined in G.S. 14-415.10.
(4)	Historic edged weapon. – Defined in G.S. 14-409.12.  
"§ 14-403. License issued by sheriff; form of license.
The sheriff of any county of this State shall issue to any person, firm, or corporation in any county a license to purchase or receive any weapon mentioned in this Article from any person, firm, or corporation offering to sell or dispose of the weapon.  The license shall be in the following form:

North Carolina,
...............County,
I, ..........., Sheriff of this County, certify that I am satisfied of the good moral character of ................who resides in...........................Township or County, North Carolina.  A license is issued to ............... to purchase one handgun or crossbow from any person, firm, or corporation authorized to transfer the firearm or crossbow.
This........day of.........19.......
.....................................
                                            Sheriff.

"§ 14-404. 
	Application for license; issuance or refusal of license; appeal from refusal; ground for refusal; fees.
(a)	Application. – A person shall apply to the sheriff of the county in which the person resides for a handgun license.  The person shall submit to the sheriff all of the following:
(1)	A completed application on a form provided by the sheriff's office.
(2)	A nonrefundable application fee of ten dollars ($10.00).
(3)	Proof that the person is competent with firearms or has satisfactorily completed a firearms training course as described in subsection (b) of this section.
(4)	Proof that the person has appropriate liability insurance as provided by G.S. 14-415.16.
(b)	Competence With Firearms or Completion of Firearms Training Course. – A person may prove competence with firearms or successful completion of a firearms training course by any one of the following:
(1)	Completion of any hunter education or hunter safety course approved by the Wildlife Resources Commission or a similar agency of another state.
(2)	Completion of any firearm safety or training course approved by a local law enforcement agency.
(3)	Experience with a firearm through participation in organized shooting competition or military service.
(c)	Processing of Application. – Upon receipt of the application and information listed in subsection (a) of this section, the sheriff shall conduct a background check of the applicant using any reasonable means deemed necessary by the sheriff to determine the applicant's moral character, criminal record, if any, competence with a firearm, financial responsibility as required by G.S. 14-415.16, and purpose for wanting to possess a handgun or crossbow.  The sheriff may also request and consider any other information that the sheriff deems necessary to determine whether a license should be issued to the applicant.  The sheriff shall at a minimum conduct a background check of the applicant sufficient to determine if the license should be refused for any of the reasons listed in subsection (e) of this section.
(d)	Purposes for Which License May Be Issued. – A license may be issued under this Article only for the following purposes:
(1) 	The protection of the applicant's home, business, person, family, or property.
(2)	Target shooting.
(3)	Collecting.
(4)	Hunting.
(e)	Persons to Whom License Shall Not Be Issued. – A license shall not be issued under this Article to any of the following persons:
(1)	A person who is under an indictment or information for or has been convicted in any state, or in any court of the United States, of a felony (other than an offense pertaining to antitrust violation, unfair trade practices, or restraints of trade), except that if a person has been convicted and later pardoned or is not prohibited from purchasing a firearm under the Felony Firearms Act, the person may obtain a license.
(2)	A person who is a fugitive from justice.
(3)	A person who is an unlawful user or addicted to marijuana or any depressant, stimulant, or narcotic drug, as defined in G.S. 90-87.
(4)	A person who has been adjudicated incompetent on the grounds of mental illness or has been committed to any mental institution.
(f)	Waiting Period.– No license shall be issued under this section until seven calendar days have elapsed from the time of application for the license.  However, if a person has already been issued a license, no further license shall be issued to the person in that same calendar year until 14 days have elapsed from the time of application for the additional license.  No person may apply for a license while the person has a pending application for another license.  The day of application is the first day of the period.
(g)	Issuance or Refusal of License. – The sheriff shall notify the applicant within 30 days of the date of the application whether the license will be granted or refused.  If the sheriff is satisfied that the applicant qualifies for a license, the sheriff shall notify the applicant as provided by this section and shall issue the license immediately upon receipt of a license fee of twenty-five dollars ($25.00).  If the sheriff is not satisfied that the applicant qualifies for a license, the sheriff may, for good cause shown, refuse to issue the license.  The sheriff shall notify the applicant in writing within seven days of the refusal that the application for the license is refused and shall state the reasons for the refusal.
(h)	Appeal From Refusal of License. – If a person is refused a license under this section, the person may petition the chief judge of the district court for the district in which the application was filed.  The determination by the court on appeal shall be upon the facts, the law, and the reasonableness of the sheriff's refusal, and shall be final.
"§ 14-405. Record of licenses kept by sheriff.
The sheriff shall keep a book, to be provided by the board of commissioners of each county, in which the sheriff shall keep a record of all licenses issued under this article, including the name, date, place of residence, age, former place of residence, etc., of each person, firm, or corporation to whom or which a license is issued. 
"§ 14-406. Dealer to keep record of sales; register sales with sheriff.
(a)	Every dealer in handguns and other weapons mentioned in this Article shall keep an accurate record of all sales of weapons, including the name, place of residence, date of sale, etc., of each person, firm, or corporation to whom or which the sales are made.  The record shall be open to the inspection of any duly constituted State, county or police officer, within this State.
(b)	Every dealer in handguns shall register with the sheriff all transfers of handguns made by the dealer.  A dealer shall register the transfer of any handgun as required by this section within five days of the transfer.
(c)	Failure to register a handgun transfer as required by this section is a Class 1 misdemeanor.
"§ 14-407. Weapons to be listed for taxes.
During the period of listing taxes in each year the owner or person in possession or having the custody or care of any weapon mentioned in this article is required to list the weapon specifically, as is now required for listing personal property for taxes. Any person listing any weapon for taxes shall be required to designate the person's place of residence, including local street address. 
"§ 14-407.1. Sale of blank cartridge pistols.
The provisions of G.S. 14-402 and 14-405 to 14-407 shall apply to the sale of pistols suitable for firing blank cartridges. The clerks of the superior courts of all the counties of this State may in their discretion issue to any person, firm or corporation, in any such county, a license or permit to purchase or receive any pistol suitable for firing blank cartridges from any person, firm or corporation offering to sell or dispose of the same, which said permit shall be in substantially the following form:
North Carolina
............. County
I, ..............., Clerk of the Superior Court of said county, do hereby certify that .................., whose place of residence is............Street in .......... (or)	in ............... Township in ......... County, North Carolina, having this day satisfied me that the possession of a pistol suitable for firing blank cartridges will be used only for lawful purposes, a permit is therefore given said ............ to purchase said pistol from any person, firm or corporation authorized to dispose of the same, this..............day of ........, 19 .......
..........................................
	Clerk of Superior Court
The clerk shall charge for his services, upon issuing such permit, a fee of fifty cents (50¢).
"§ 14-408.  (Effective January 1, 1995) Violation of § 14-406 or 14-407 a misdemeanor.
Any person, firm, or corporation violating any of the provisions of G.S. 14-406 or 14-407 is guilty of a Class 2 misdemeanor.
"§ 14-409.  Machine guns and other like weapons.
(a)	As used in this section, 'machine gun' or 'submachine gun' means any weapon which shoots, is designed to shoot, or can be readily restored to shoot, automatically more than one shot, without manual reloading, by a single function of the trigger.  The term shall also include the frame or receiver of any such weapon, any combination of parts designed and intended for use in converting a weapon into a machine gun, and any combination of parts from which a machine gun can be assembled if such parts are in the possession or under the control of a person.
(b)	It shall be unlawful for any person, firm or corporation to manufacture, sell, give away, dispose of, use or possess machine guns, submachine guns, or other like weapons as defined by subsection (a) of this section:  Provided, however, that this subsection shall not apply to the following:
Banks, merchants, and recognized business establishments for use in their respective places of business, who shall first apply to and receive from the sheriff of the county in which said business is located, a permit to possess the said weapons for the purpose of defending the said business; officers and soldiers of the United States Army, when in discharge of their official duties, officers and soldiers of the militia and the State guard when called into actual service, officers of the State, or of any county, city or town, charged with the execution of the laws of the State, when acting in the discharge of their official duties; the manufacture, use or possession of such weapons for scientific or experimental purposes when such manufacture, use or possession is lawful under federal laws and the weapon is registered with a federal agency, and when a permit to manufacture, use or possess the weapon is issued by the sheriff of the county in which the weapon is located.  Provided, further, that any bona fide resident of this State who now owns a machine gun used in former wars, as a relic or souvenir, may retain and keep same as his or her property without violating the provisions of this section upon his reporting said ownership to the sheriff of the county in which said person lives.
(c)	(Effective January 1, 1995) Any person violating any of the provisions of this section shall be guilty of a Class I felony."
Sec. 4.  (a) Article 53 of Chapter 14 of the General Statutes is repealed.
(b) Section 4 of Chapter 1073 of the 1959 Session Laws is repealed.
Sec. 5.  Section 2 of this act becomes effective July 1, 1994; the remainder of this act becomes effective January 1, 1995, and applies to offenses committed on or after that date.  Notwithstanding the requirements of Part 1 of Article 54B of Chapter 14 as added by this act, a person who acquired a firearm before January 1, 1995, is not required to register that firearm under Part 1 of Article 54B of Chapter 14 of the General Statutes until February 1, 1995.