§ 12082 of the California Penal Code details the procedure for completing sale, loan, or transfer through dealer; adoption of regulations; and violations by dealer.[i]

As per § 12082, a person shall complete any sale, loan, or transfer of a firearm only through a person licensed pursuant to Section 12071.  The seller of the firearm shall deliver the firearm to the dealer who shall retain possession of that firearm.  The dealer shall then deliver the firearm to the purchaser if it is not prohibited, in accordance with subdivision (c) of Section 12072.[ii]

In case the dealer cannot legally deliver the firearm to the purchaser, the dealer shall return the firearm to the transferor or seller or the person loaning the firearm immediately.  However, in cases where such return of the firearm to the seller or transferor or the person loaning the firearm will constitute a violation of subdivision (a) of Section 12072, the dealer shall not return the firearm.

If the dealer cannot legally return the firearm to the transferor or seller or the person loaning the firearm, then the dealer shall forthwith deliver the firearm to the sheriff of the county or the chief of police or other head of a municipal police department of any city or city and county who shall then dispose of the firearm.

The purchaser or transferee or person being loaned the firearm may be required by the dealer to pay a fee not to exceed ten dollars ($10) per firearm.  However, no other fee may be charged by the dealer for a sale, loan, or transfer of a firearm conducted pursuant to this section.  The dealer may however charge a smaller fee if he/she so desires.  The dealer may not charge any additional fees.

The Attorney General shall adopt regulations under this section to do all of the following:
(1) Allow the seller or transferor or the person loaning the firearm, and the purchaser or transferee or the person being loaned the firearm, to complete a sale, loan, or transfer through a dealer, and to allow those persons and the dealer to comply with the requirements of this section and other relevant sections and to preserve the confidentiality of those records.[iii]
(2) Where a personal handgun importer is selling or transferring a pistol or revolver, to allow a personal handgun importer’s ownership of the pistol, revolver, or other firearm capable of being concealed upon the person being sold or transferred to be recorded in a manner that if the firearm is returned to that personal handgun importer because the sale or transfer cannot be completed, the Department of Justice will have sufficient information about that personal handgun importer so that a record of his or her ownership can be maintained in the registry.[iv]

(3) Ensure that the register or record of electronic transfer shall state the name and address of the seller or transferor of the firearm or the person loaning the firearm and whether or not the person is a personal handgun importer in addition to any other information required.[v]

A dealer who does not sell, transfer, or keep an inventory of handguns is not required to process private party transfers of handguns.[vi]

[i] Cal Pen Code § 12082

[ii] Cal Pen Code § 12082 (a)

[iii] Cal Pen Code § 12082 (b) (1)

[iv] Cal Pen Code § 12082 (b) (2)

[v] Cal Pen Code § 12082 (b) (3)

[vi] Cal Pen Code § 12082 (c)