Dealer licence changes

As the holder of a dealer’s licence the changes that will impact you are described in summary below.

Changes to Sales to Visitors (from June 2020)


While dealers are still able to make sales to people who are holders of a visitor firearms licence, the visitor can no longer take ownership of a firearm for possession for their use while in New Zealand (s22E).

The visitor can purchase a firearm from a dealer but only if that do not take physical possession of the firearm and it is instead exported to their home country by the dealer, subject to the usual export and import requirements of New Zealand and the visitor’s home country.

If section 22E is contravened the visitor’s licence is immediately revoked, and that information will be relevant when considering suspension or revocation of the dealer’s licence.

 

Dealer endorsements


The Act is now clear about the recording of arms items that are part of the dealer stock. Dealers holding pistols, restricted weapons, prohibited firearms and/or prohibited magazines in their capacity as a licensed dealer need endorsements on their dealer’s licence (not just their personal firearms licence) (s 29(2A) and 30A(2)) and a permit to possess recording the transfer of each item to that endorsement (s 10(1)). This is to make clear the distinction between firearms etc. held by a dealer for their personal use and those held as dealer stock.

Dealers dealing in pistol carbine conversion kits will need an endorsement permitting the dealer to possess pistols on their dealer licence and a permit to possess or import in relation to each pistol carbine conversion kit (s35AAA).

For more information see: Apply for an endorsement and permit to possess items

 

Changes to Dealer locations (from June 2020)

A dealer’s licence must be issued in respect of one place of business (s7) and the place must be specified in the licence. However, a dealer licence may authorise a dealer to operate from more than one place of business if, at each of those places of business, there is a manager who also holds a dealer licence.

Also, firearms belonging to the dealer may be handled at another site

  • if the dealer hires out the firearms for use by:
    • a broadcaster, bona fide theatre company or society or cinematic or television film production company or video recording production company; and
    • the security & handling of those items is supervised by a theatrical armourer who is a person with an endorsement under s 30(1)(c) or 30B(3) that specifies that the dealer’s items may be handled at other sites. That armourer also needs to have written permission from Police specifying the site location and the duration and description of the theatrical production at that site.
  • On an occasional basis, if Police approves a condition on the dealer’s licence permitting this.

Items that dealers need to produce to Police on demand and permit Police to inspect, now include pistol carbine conversion kits (section 6A).

Gun shows (s7A)

Dealers no longer have to close their principal business location for the duration of a gun show as a standard condition of obtaining approval to conduct business at a gun show. However, the approval will be subject to any conditions specified by Police.
 

Dealer licence conditions


Items that dealers need to produce on demand, and permit inspection of now include pistol carbine conversion kits (section 6A).
 

Dealer licence renewals


It has been expressly clarified that if an application for dealer licence renewal is made before the expiry date but is not determined before that expiry date, then the licence continues in force until the application is determined, and the renewal will then take affect from the date the previous licence expired (s 8A(4) and (5)).
 

Dealer employees


As previously, employees of dealers must not assist with carrying on any dealer activity unless they have a firearms licence. If the dealer activity involves pistols, pistol carbine conversion kits, restricted weapons, prohibited firearms or prohibited magazines, then the employee’s firearms licence also needs an endorsement under section 30 or 30B of the Act authorising them to possess those items in connection with their duties as an employee of a licensed dealer (s11).

If a dealer’s licence is revoked, suspended, surrendered, or expires then an employee of the dealer may not carry on any dealer activity for the dealer (s 8C(1)(b), 9B(1)(b) & 60C(1)(b)).

Dealers who hire out firearms for theatrical use

Dealers who hire out firearms for use by theatre companies or societies, or to cinematic or television film production companies, or video recording production companies, and the firearms are to be used by members of the company or society, will need to have an on-site theatrical armourer supervising use of the firearms (s5C).

The theatrical armourer will, as before, need to hold a current theatrical endorsement for the pistols, restricted weapons, prohibited firearms or prohibited magazines that are to be used in the production. In addition, that theatrical armourer’s endorsement will also need to specify that the dealer’s items may be handled at other sites; and that armourer also needs to hold written permission from Police specifying the site location and the duration and description of the theatrical production at that site (s7(2)).
 

Duration of endorsements in capacity as an employee of a licensed dealer

For employees of licensed dealers with pistol, restricted weapon or prohibited firearms endorsements, the endorsement lasts for one year unless one of the following occurs first:

  • the employee’s firearms licence expires, is surrendered, or revoked;
  • the licensed dealer’s licence expires, is surrendered or revoked; or
  • the dealer’s endorsement is revoked; or
  • the employee ceases to be employed by the licensed dealer.