AZ HB2535

Establishes requirements for firearms dealers in Arizona to implement reasonable measures to prevent transfers to straw purchasers and firearms traffickers, including screening customers, maintaining trace request records, and limiting transfers to one per thirty days per civilian customer.

Requires firearms dealers to prevent transfers to prohibited possessors and dangerous individuals by refusing sales to intoxicated or mentally unstable persons, conducting background checks, and refusing transfers at gun shows unless background checks are completed.

Mandates firearms dealers selling online or by phone to establish safeguards, verify customer identity matches payment method, and limit purchases to one per thirty days per civilian customer.

Requires theft prevention measures including locks, surveillance cameras, alarm systems, electronic inventory tracking with daily checks, and immediate notification to law enforcement of any loss or theft.

Imposes employment requirements for dealer staff including pre-employment background checks, initial and annual training on firearms law and straw purchase recognition, mandatory firing of employees involved in straw purchases, and semiannual public safety reports; establishes $1,000,000 minimum liability insurance requirement; sets $500 civil penalty per violation.