Alhambra Municipal Code Ch. 5.16 Pawnbrokers, Secondhand and Junk Dealers

Section

Statutory reference:

For provisions concerning the regulation of pawnbrokers, see Cal. Fin. Code §§ 21000 et seq.

For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

ANTIQUE DEALER. A person, other than a secondhand dealer as that term is defined in this section, engaged in conducting, managing, operating or carrying on the business of buying, selling or otherwise dealing in previously used goods, wares or merchandise which, because of age, rarity or his-torical significance, presently have a greater monetary value than when they were new, or which have an age recognized by the United States Government as entitling such items to an import duty less than that prescribed for contemporary merchandise.

BUY-FORM. The form or forms furnished by the Chief of Police to those persons defined herein for the purpose of recording and furnishing by such persons to the Chief of Police certain required information relative to purchases, pledges or consign-ments.

JUNK COLLECTOR. A person not having a fixed place of business in the city who goes from house to house or from place to place within the city, gathering, collecting, buying, selling, soliciting to buy, soliciting to sell or otherwise dealing or seeking to deal in any old rags, sacks, bottles, cans, papers, metal, rubber, tires or other articles commonly known as junk; and it shall be unlawful for any junk collector as defined in this section to store any junk so gathered, collected or purchased at any place in the city without having first obtained a permit and license as a junk dealer.

JUNK DEALER. A person having a fixed place of business in the city and engaged in conducting, managing, operating or carrying on the business of buying, selling or otherwise dealing in, either at wholesale or retail, any old rags, sacks, bottles, cans, paper, metal, rubber, tires or other articles commonly known as junk.

PAWNBROKER. A person engaged in con-ducting, managing or carrying on the business of pawnbroking, or the business of loaning money for himself, or any other person upon pawns or pledges, or the business of purchasing articles of personal property and reselling or agreeing to resell such articles to the vendors, or their assignees, at prices agreed upon at or before the time of such purchase.

PAWNSHOP. Any room, store or place in which a pawnbroker's business is engaged in, carried on or conducted.

SECONDHAND DEALER. A person, other than an antique dealer, as that term is defined in this section, engaged in, conducting, managing or carrying on the business of buying, selling or other-wise dealing in previously used goods, wares or merchandise, other than motor vehicles, trailers or boats, and making two or more sales of such second-hand goods, wares or merchandise during any one calendar month regardless of whether or not such business and such sales are carried on in connection with a regular retail or other business.

('86 Code, § 5.16.010) (Ord. 2734, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - ; Am. Ord. 3752, passed - - )

It shall be unlawful for any person, firm or corporation to engage in, conduct, manage or carry on the business of pawnbroker, antique dealer, secondhand dealer, junk dealer or junk collector without having first obtained a license therefor and paid the required fee as herein provided, with the exception, however, that if the principal business is the sale of new merchandise, then only the license fee provided for in Chapter 5.04 of this title shall be paid, but such business shall comply with all other provisions of this chapter and any other regulations concerning the business.

('86 Code, § 5.16.020) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - ) Penalty, see § 5.16.024

(A) Each license and each renewal license issued pursuant to this chapter for pawnbrokers, antique dealers or junk dealers shall expire on December 31 next following the date of its issuance.

(B) Each license and each renewal license for secondhand dealers shall be biennial and shall expire on December 31 of the second year following the date of its issuance.

(C) Each such license for all dealers as listed above may be renewed by making application for renewal of business licenses in Chapter 5.04 of this title.

('86 Code, § 5.16.022) (Ord. 3662, passed - - ; Am. Ord. 4168, passed - - )

Whenever any license fee required by this chapter is not paid prior to the delinquency date, a penalty shall be due and is hereby imposed in the manner, as of the time and in the amount specified in § 5.04.192 of this title.

('86 Code, § 5.16.024) (Ord. 3662, passed - - )

(A) Application for a license for a pawnbroker, antique dealer, or secondhand dealer shall be made in writing to the Director of Finance and shall state the name of the applicant, the place of business and such other information as the Director of Finance may require. Upon receipt of any such application, the same shall be forwarded to the Chief of Police who shall investigate such applicant and shall report to the Director of Finance the results of such investigation.

(B) No license shall be issued to any person of bad character nor any person who shall have been convicted of receiving stolen goods, robbery or burglary nor to any firm or corporation of which a principal partner, shareholder or officer is a person of bad character or has been convicted of any such offense.

(C) Each such application shall be accompanied by an amount equal to the applicable annual or biennial license fee as provided herein. If such license is granted, such amount shall be applied to payment of that license permit fee. If any such license shall be denied, such amount shall be retained by the city to cover the cost of its investigation.

('86 Code, § 5.16.030) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - ; Am. Ord. 4168, passed - - )

The annual license fee for a pawnbroker shall be in an amount established by City Council resolution, due and payable in advance on January 1 of each year. Payment of such annual fee shall be a condition precedent to the issuance of such annual license for the next year.

('86 Code, § 5.16.040) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3662, passed - - ; Am. Ord. 3962, passed - - ; Am. Ord. 4587, passed 6-27-11; Am. Ord. 4588, passed 7-11-11)

The annual license fee for an antique dealer shall be based upon the gross receipts of such business and shall be computed, levied and collected pursuant to the provisions set forth in Chapter 5.04 of this title.

('86 Code, § 5.16.041) (Ord. 3676, passed - - )

(A) The biennial license fee for a secondhand dealer shall be based upon the average of the gross receipts for the preceding two years of such business and shall be computed, levied and collected pursuant to the provisions set forth in Chapter 5.04 of this title.

(B) An additional processing fee in an amount established by City Council resolution pursuant to United States Department of Justice regulations shall be charged to each second-hand dealer at the time of each license renewal.

('86 Code, § 5.16.042) (Ord. 3501, passed - - ; Am. Ord. 3662, passed - - ; Am. Ord. 4168, passed - - ; Am. Ord. 4587, passed 6-27-11; Am. Ord. 4588, passed 7-11-11)

It shall be unlawful for any pawnbroker, antique dealer, or secondhand dealer to display or store any goods, wares or merchandise outside of a building or structure.

('86 Code, § 5.16.050) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - )

(A) Application for a license for a junk dealer or junk collector shall be made in writing to the Director of Finance and shall state the name of the applicant; the place of business or if there is no fixed place of business, the residence address of the applicant; and such other information as the Director of Finance may require. Such application shall contain a state-ment of the number of vehicles to be used in such business. Upon the receipt of any such application, the same shall be forwarded to the Chief of Police who shall investigate such applicant and shall report to the Director of Finance the results of such investigation.

(B) No license shall be issued to any person of bad character nor any person who shall have been convicted of receiving stolen goods, robbery or burglary nor to any firm or corporation of which a principal partner, shareholder or officer is a person of bad character or has been convicted of any such offense.

(C) Each such application shall be accompanied by an amount equal to the annual license fee provided herein. If such license is granted, such amount shall be applied to payment of the first year's license fee permit. If any such license shall be denied, such amount shall be retained by the city to cover the cost of its investigation.

('86 Code, § 5.16.060) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - )

The annual license fee for a junk dealer shall be based upon the gross receipts of such business and shall be computed, levied and collected pursuant to the provisions set forth in Chapter 5.04 of this title.

('86 Code, § 5.16.070) (Ord. 1918, passed - - ; Am. Ord. 3662, passed - - )

(A) The annual license fee for a junk collector shall be in an amount established by City Council resolution for each and every vehicle to be used in the conduct of his or her business. Such fee shall be due and payable in advance on January 1 of each year.

(B) If an applicant applies for a junk collector's license on or after July 1 of any year, the amount of the fee shall be one-half the annual rate for the balance of the calendar year.

('86 Code, § 5.16.072) (Ord. 3662, passed - - ; Am. Ord. 4587, passed 6-27-11; Am. Ord. 4588, passed 7-11-11)

Notwithstanding any provisions of this chapter to the contrary, there shall be no license fee in the case of any religious, charitable or educational society or institution engaged in, conducting, managing or carrying on the business of secondhand dealer, junk dealer or junk collector, provided that the proceeds, compensation and earnings obtained from such business are devoted to the religious, charitable or educational society or institution.

('86 Code, § 5.16.090) (Ord. 1918, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3662, passed - - )

(A) Every person defined in § 5.16.010 of this code, whether or not he or she is licensed under this chapter, shall prepare buy forms as provided by this section and shall, at the close of each business day, mail to the Chief of Police all such buy forms made out during that day. Such buy forms shall contain a full, true and complete report of all goods, wares, merchandise or other things received on deposit, pledged or purchased during that day, except used tires or batteries which were taken in part payment for new tires or batteries and except merchandise originally sold new by the pawnbroker or dealer and subsequently taken as a trade-in on other merchandise sold by the same pawnbroker or dealer; and shall also contain other information required by the Chief of Police which, considering the type of business of those persons defined in § 5.16.010 hereof, may assist in the detection of stolen property. Blanks to be obtained from the Police Department as herein provided shall bear a caption providing blank spaces in which shall be written or printed the date of such report, the name and place of business of the person, firm or corporation making same, and the hour of the day when the same is received at the Police Depart-ment. Such blanks shall be so printed and subdivided as to contain spaces with the proper captions for the furnishing of the information required by this code. A copy of this chapter to be furnished by the Chief of Police shall be kept conspicuously posted in the place of business of every such pawnbroker or antique, secondhand or junk dealer.

(B) It shall be unlawful for any person to sign or give a fictitious name of address upon the deposit, sale or pledge of any goods, wares, merchandise or thing of value, or for use in the report form required to be made by the provisions of this section, or for use in the register required to be kept by the pro-visions of the Penal Code of the State of California.

('86 Code, § 5.16.110) (Ord. 2734, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - ; Am. Ord. 3752, passed - - )

Every person defined in § 5.16.010 of this code, whether or not he is licensed under this chapter, shall enter upon the buy form positive identification fur-nished by the seller, pledgemaker or consignee; such as driver's license number, work badge number, auto or truck license number, or junk collector's business license, in addition to the individual's true name and address. In lieu of the positive identification men-tioned above, the pawnbroker or dealer shall require the seller, pledgemaker or consignee to furnish a plain legible impression print of his right index finger, or next finger in the event of amputation, upon the face side of the original sheet of the buy-form.

('86 Code, § 5.16.120) (Ord. 2734, passed - - ; Am. Ord. 3501, passed - - ; Am. Ord. 3676, passed - - ; Am. Ord. 3752, passed - - )

Every person who sells, pledges or consigns any property to any person defined in § 5.16.010 of this code, whether or not he is licensed under this chapter, in the course of business conducted by such person, except household furniture, used tires, or used batteries, taken in part payment for new tires, or used batteries, and except merchandise sold by the same such person, shall furnish true, positive identification to such pawnbroker or dealer by which he can be located by the Chief of Police.

('86 Code, § 5.16.130) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

Every person defined in § 5.16.010 of this code, whether or not he is licensed under this chapter, shall preserve for a period of two years, a copy of the buy-form provided for that purpose, containing a carbon copy record thereon of the original writing made by the person, his agent or employee, the original of which has been furnished to the Chief of Police. Every record and property pledged, purchased or received by such person shall be produced for inspec-tion to any peace officer.

('86 Code, § 5.16.140) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

Statutory reference:

For further provisions concerning records to be kept by junk dealers, see Cal. Bus. & Prof. Code §§ 21605 to 21608.

The Chief of Police shall maintain a file of all reports received pursuant to the terms of this chapter for a period of two years and such reports shall be open to inspection by any peace officer.

('86 Code, § 5.16.150) (Ord. 2734, passed - - )

No person, firm or corporation shall melt, destroy, sell or otherwise dispose of any article, goods, wares, merchandise or thing obtained or used in any business for the conduct of which a license is required by this chapter until 30 days after making a report to the Chief of Police as required by § 5.16.110 that such article, goods, wares, merchan-dise or thing has been purchased or received by such person, firm or corporation.

('86 Code, § 5.16.160) (Ord. 2734, passed - - )

Every junk dealer, or anyone engaged in the business of purchasing scrap metals for the purpose of reselling or for the purposes of smelting or refining same, shall retain and keep on their premises all metals purchased by the individuals or dealers in the following manner:

(A) The entire purchase of each day shall be put and kept in a separate place designated for that purpose.

(B) Each day's purchase shall be reported to the Chief of Police as required by § 5.16.110 of this code.

(C) After such report is made, each day's purchase reported thereby shall be kept for a period of 21 days, or until released by the Chief of Police, whichever occurs first, and shall be at all times open to the inspection of the Police Department.

('86 Code, § 5.16.170) (Ord. 2734, passed - - ; Am. Ord. 3676, passed - - )

Until any article, goods, wares, merchandise or thing pledged to or purchased by any person defined in § 5.16.010 of this code, whether or not he is licensed under this chapter, are held for the time required by this code or released by the Chief of Police, such person shall not clean, alter, repair, paint, or otherwise change the appearance of such articles, goods, wares, merchandise or things. At all times during business hours, he shall expose the same to public view.

('86 Code, § 5.16.180) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

The Chief of Police may release any property covered by this chapter which he inspects, if after such inspection he is satisfied that such property is in the lawful possession of any person defined in § 5.16.010 of this code, whether or not such person is licensed under this chapter.

('86 Code, § 5.16.190) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

The Chief of Police may place a hold order upon any property acquired by any person defined in § 5.16.010 of this code, whether or not such person is licensed under this chapter, in the course of his business for a period of 90 days, and upon release of such property, the Chief of Police may require such person to keep a true record of the property and include therewith the true name and address of the person to whom such property was sold, or any other method of disposition.

('86 Code, § 5.16.200) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

Any person defined in § 5.16.010 of this code, whether or not he is licensed under this chapter, shall not export from this county any goods, wares, merchandise or thing pledged to or received by him in the conduct of his business until the Chief of Police has inspected and released such property.

('86 Code, § 5.16.210) (Ord. 2734, passed - - ; Am. Ord. 3752, passed - - )

Notwithstanding any other provision of this chapter every person defined in § 5.16.010 of this code, whether of not such person is licensed under this chapter, and any merchant dealing in or offering for sale and item or items of secondhand jewelry or objects of art or similar merchandise which is identifiable by number, letter, phrase, mark, or other means of identification commonly recognized in trade, shall file with the Chief of Police the report required by § 5.16.110 concerning any such item received from outside the state or received from any person, who, within 30 days prior thereto, received it from outside the state or brought it into the state. Records of such articles shall be kept as required by § 5.16.140. Any such article shall be kept for the time as required by § 5.16.160 before being sold.

('86 Code, § 5.16.215) (Ord. 3676, passed - - ; Am. Ord. 3752, passed - - )

The waiting period mentioned in § 5.16.170 and the making of buy-forms mentioned in § 5.16.110 does not apply to property purchased from a licensee holding a similar county license, if in the sale of such property such licensee has complied with all the provisions of this chapter. This section does not apply to purchases made by junk dealers from junk collec-tors. A junk collector's license is not the same as a junk dealer's license.

('86 Code, § 5.16.220) (Ord. 2734, passed - - )

The provisions contained in §§ 5.16.140 and 5.16.170 shall not be deemed to apply to the purchase or sale by junk dealers or junk collectors of rags, bottles other than milk or cream bottles, secondhand sacks other than cement sacks, barrels, cans, shoes, lamps, or scrap iron when bought or sold for scrap, stoves, or household furniture, when the reasonable value of such items is less than $15.

('86 Code, § 5.16.230) (Ord. 2734, passed - - ; Am. Ord. 3676, passed - - )

The waiting period required by § 5.16.170 does not apply to property purchased on a bill of sale or invoice from a regularly established place of business. As used in this section, an established place of business means a place of business which has been dealing in the type of articles purchased at the same location for not less than two years.

('86 Code, § 5.16.240) (Ord. 2734, passed - - )

Whenever any provision of this chapter shall require a report to the Chief of Police, or shall require a record of any secondhand article, or shall require the holding of such article for any stated period of time by any antique dealer, secondhand dealer, junk dealer, pawnbroker, or anyone engaging in any business in this chapter specifically referred to, it shall also include any merchant who receives for sale, attempts to sell, or displays for sale any such secondhand article for another person in expectation of receiving a commission, fee, gratuity or regard therefor or as an agent or broker, and each and every provision of this chapter shall thereupon be applicable to such person as though he were in the specific business mentioned herein.

('86 Code, § 5.16.245) (Ord. 3676, passed - - )

A copy of this chapter shall be furnished each new licensee upon the first delivery of the buy-form by the Chief of Police, and the licensee must be furnished with all subsequent amendments that affect the type of business of the licensee. Additional copies of such sections and amendments may be procured from the office of the City Clerk by the licensee upon demand.

('86 Code, § 5.16.250) (Ord. 2734, passed - - )