Repealsthe following statutes: (1) GS 14-51.2--Home, workplace, and motor vehicle protection and presumption of fear of death or serious bodily harm,(2) GS 14-51.3--Use offorce in defense of person and relief from criminal or civil liability,(3) GS 14-51.4--Justification for defensive force not available,(4) GS 14-315.1--Storage of firearms to protect minors,and (5) GS 14-415.24--Reciprocity and out-of-state handgun permits.

Enacts new GS 14-51.5, Use of deadly physical force against an intruder, to identify when a lawful occupant of a home or other place of residence is justified in using any degree of force that the occupant believes is reasonably necessary, including deadly force, against an intruder to prevent or terminateforcible entry into the home or residence providing that the occupant reasonably believes that the intruder (1) may kill or inflict serious bodily harm on the occupant or others in the homeor (2) intends to commit a felony in the home or residence. Provides that the lawful occupant has no duty to retreat from an intruder under the described circumstances. Declares that this section is not meant to repeal, expand, or limit any other common law defense available.

Enacts new GS 14-315.3, Safe storage of firearms, to make it a Class 1 misdemeanor for any personowning or possessing a firearmwho resides on the same premises as a minor or an unauthorizedpersonto store or leave the firearm out of the owner or possessor's immediate possession or control without (1) first securely locking the firearm in an appropriate safe storage depositoryor (2) rendering it incapable of being fired by using an appropriatesafety locking device.Defines minor as an unemancipated person less than 18 years of age and defines unauthorized person as a person who is unauthorized to legally purchase a firearm. Declares that nothing in this section prohibits a person from carrying a firearm on the person's body or in close proximity so that the firearm may used as easily and quickly as if carried on the body.

Amends GS 14-315.2 to rewrite the warning required to be conspicuously posted at each purchase counter of any retail or wholesale store, shop, or sales outlet that sells firearms. Makes a conforming change to require that a seller or transferor of any firearm deliver a written copy of new GS 14-315.3 to a purchaser or transferee.

Enacts new GS 14-409.13, Report of loss or theft of firearm, to require the owner of a firearm, as defined in GS 14-409.60, to report the loss or theft of the firearm within 48 hoursafter discovering the loss or theft to (1) local law enforcementor (2) the State Bureau of Investigation.Makes a violation of this section a Class 3 misdemeanor and makes a second or subsequent violation of this section a Class I felony.

Adds a new subdivision (1a) to GS 14-404(a) to require that a person seeking a firearm permit must verify possession of firearm liability insurance as required under GS 14-409.80, as enacted in this act. Enacts new GS 14-409.80, Liability insurance required for gun owners, to mandate that prior to owning a firearm, a person must obtain a liability insurance policy valued at no less than $100,000 and specifically covering any damages that result from any willful or negligent acts involving the use of the firearm. Requires that the policy be continuously maintained by the owner of the firearm. Prohibits the transfer of a firearm to a person unless that transferee provides proof of liability insurance. Requires a person who owns a firearm on December 1, 2013, to obtain the required liability insurance by January 15, 2014. Provides that a firearm owner is considered to own the firearm if it is lost or stolen until the person reports the loss or theft as required under GS 14-409.13. Directs the Department of Insurance to adopt rules to implement GS 14-409.80. States that this section does not apply to a law enforcement officer authorized to carry a firearm.

Enacts new GS 14-415.18A to require a sheriff who denies, revokes, or refusesto renew a person's application for a permit under Article 54B of GS Chapter 14 because of a prohibition under the national instant criminal background check system (NICS) to report the revocation, denial, or refusal to renew to the NICS. Provides specifications as to the reporting requirements. Makes conforming changes to GS 14-404.

Adds a new Article 53D, Transfer of Firearms,to GS Chapter 14. Provides definitions for the following terms as they are used in this article: (1) firearms, (2) NCIS, (3) SBI, (4) transfer, and (5) transferee. Declares that this Article applies to all private transfers of firearms. Prohibits the private transfer of firearms without (1) a background check in accordance with GS 14-409.64, as enacted in this actand (2) approval of the transfer from the SBI after the background check has been requested by alicensedgun dealer. Requires a person, who is not a licensed gun dealer, but istransferring a firearm to a transfereeto arrange for a licensed gun dealer to obtain the background check that is required by this section. Provides specifics of the responsibilities of the licensed gun dealer with respect to the background check. Permits a licensed gun dealer to charge a fee of no more than $10 for services rendered under this section. Provides that an approval from the SBI isvalid for 30 days. Prohibits a transferee from accepting possession of a firearm unless the transferor has obtained approval from the SBI subsequent to a background check request to a licensed gun dealer. Provides a list of nine exemptions to the provisions of this section. Makes a violation of this section a Class 1 misdemeanor. Directs the clerk of court to report a conviction of a person for violating this section to the SBI and the NCIS.

Enacts new GS 14-409.62 to provide additional specifications regarding the NCIS and reporting requirements. Directs the clerk of court of every judicial district in the state to electronically submit specified information to the SBIidentifying persons adjudicated incompetent, committed for substance abuse, or subject to an order of involuntary commitment.

Enacts new GS 14-409.63, providing a legislative declaration that this section's purpose is to set out a process for a person topetition for relief from federal firearms prohibitions imposed under 18 USC �_ 922(d)(4), as permitted by the federal NCIS Improvement Amendment Act of 2007(Pub. L. 110-180, Sec. 105). Identifies criteria for eligibility under this section, the due process to which the petitioner is entitled, and the proper record for reviewand requires the court to issue its findings to support granting relief to the petitioner. Provides that the petitioner has a right of appeal to the court of appeals should the court deny relief to the petitioner.

Enacts new GS 14-409.64 providing that the SBI may serve as a state point of contact for implementing 18 USC �_ 922(t), all federal regulations and applicable guidelines adopted under those regulations, and the NICS system.Specifies grounds for denial of a firearm transferand provides details as to the process for a transferee to appeal a denial of the transfer of a firearm. Directs the state Attorney General to adopt rules as necessary to carry out the duties of the SBI as the state point of contact and to assist in implementing 18 USC �_ 922(t). Identifies provisions that the adopted rules must include. Specifies unlawful offenses and makes it a Class 1 misdemeanor to violate any of those provisions.Provides that a transferor who complies with the provisions of this section is not subject to criminal or civil liabilityor regulatory sanctions that arise from the lawful transfer or denial of the transfer of a firearm.

Enacts new GS 14-409.65, which establishes the instant criminal background check cash fund. Authorizes the SBI to charge a fee for performing an instant criminal background check under this section. Limits the amount of the fee to total costs for performing the background check. Directs the SBI to remit all the collected funds to the State Treasurer. Provides that the money in the fund is subject to annual appropriation by the General Assembly for the direct costs associated with performing background checks under this section. Includes an annual reporting requirement.

Enacts GS 14-409.75 to require any person, firm, or corporation in the retail sale, rental, or exchange of firearms to keep a record of each firearm sold, rented, or exchanged at retail. Provides guidelines for keeping the required records. Enacts GS 14-409.80 to provide that failing to keep the required record or to exhibit the record when requested by law enforcement isa Class 3 misdemeanor. Also makes it a Class 3 misdemeanor for anypurchaser, lessee, or exchanger of a firearmto provide false information in connection with the making of such record.

Enacts a Part 4 of Article 53D to provide regulations regarding large-capacity ammunition magazines. Defines large capacity magazinesfor the purposes of this section. Makes it unlawful to sell, transfer, or possess a large-capacity magazine. Provides that a violation of this provision is a Class2 misdemeanor with subsequent offenses a Class 1 misdemeanor. Makes it a Class1 felony under this section if a personpossesses a large-capacity magazine during the commission of a felony. Provides a person may possess a large-capacity magazine if the person (1) owns the large-capacity magazine on December 1, 2013and (2) maintains continuous possession of the large-capacity magazine. Specifies exemptions from the offenses described in this section.

Requires that a large-capacity magazine manufactured in North Carolina on or after December 1, 2013, must have a permanent stamp or markingindicating that the large-capacity magazine was manufactured or assembled after that date. Makesa violation of this subsectiona Class 2 misdemeanor. Authorizes the SBI to adopt rules to implement these provisions.

Enacts a new Article 9,Firearms Manufacturer Divestment Act,in GS Chapter 147. Defines terms as used in this article. Includes a definition for public fundmeaning any funds held by the State Treasurer to the credit of the following: (1) Teachers' and State Employees' Retirement System, (2)Consolidated Judicial Retirement System, (3) Firemen's and Rescue Workers' Pension Fund, (4) Local Governmental Employees' Retirement System, (5) Legislative Retirement System, (6) Legislative Retirement Fund, and (7) North Carolina National Guard Pension Fund. Directs the Public Fund within 90 days of September 1, 2013 to make its best efforts to identify all firearms manufacturers in which the public fund has direct or indirect holdings or could possibly have holdings in the future. Requires that the public fund assemble the list of all firearm manufacturers in which the public fund holds direct or indirect investments by the first meeting of the public fund following the 90-day period. Requires the State Treasurer to promptly divest all direct and indirect holdings in firearms manufacturers held by the public fund. Declares that at no time is the public fund to acquire direct or indirect holdings in firearms manufacturers.

Effective December 1, 2013, and applies to offenses committed on or after that date.