Earlier editions: 2026-09
Title 5 — BUSINESS LICENSES AND REGULATIONS
East Palo Alto Municipal Code Ch. 5.40 Pawn Brokers, Secondhand Dealers, Junk Dealers and Junk Collectors
East Palo Alto Municipal Code · 2026-10 edition · updated 2026-10-04 · East Palo Alto
Cite as: East Palo Alto Municipal Code Chapter 5.40 · Text as of 2026-10-04
5.40.010 - Definition.¶
As used in this chapter:
"Junk collector" means a person not having a fixed place of business in the city who goes from house to house or from place to place gathering, collecting, buying, selling, or otherwise dealing in at either wholesale or retail, any old rope, iron, brass, copper, tin, lead, metal, rubber, rags, paper, sacks, bagging, empty bottles or any other articles commonly known as junk.
"Junk dealer" means a person, not an auto wrecker, having a fixed place of business in the city, and engaged in conducting, managing or carrying on the business of buying, selling, collecting, or otherwise dealing in, either at wholesale or retail, any old rope, iron, brass, copper, tin, lead, metal, rubber, rags, paper, sacks, bagging, empty bottles or any other articles commonly known as junk.
"Pawn broker" means any person engaged in any one or more of the following businesses:
Pawnbroking;
Lending money for him/herself or any other person upon personal property, pawns or pledges, in the possession of the lender;
Purchasing articles of personal property and reselling or agreeing to resell such articles, to vendors or assignees at prices agreed upon at or before the time of such purchase.
"Pawnshop" means any room, store, building, or other place in which the business of pawnbroker is engaged in, carried on or conducted.
"Secondhand dealer" means a person, other than a used car dealer or dealer in secondhand books or magazines, engaged in conducting, managing or carrying on the business or buying, selling, or otherwise dealing in secondhand goods, wares or merchandise, but does not include a person who does not sell or offer to sell secondhand goods, wares or merchandise, except such articles as are received by such person as payment or part payment for a new article sold by him/her. A person operating premises commonly called a "flea market" shall be considered a secondhand dealer.
(Prior code §§ 8-1.401—405)
5.40.020 - License required.¶
No person shall engage in, operate, maintain or carry on the business of a pawnbroker, secondhand dealer, junk dealer or junk collector, without first making application therefor, paying the annual license fee therefor and receiving a license from the license board to engage in such business.
(Prior code § 8-1.406)
5.40.030 - Fingerprints.¶
Each application for a license under this chapter shall be accompanied by the fingerprints of the applicant and of each of his employees to receive a badge upon a form issued by the chief of police of the city.
(Prior code § 8-1.407)
5.40.040 - License fees.¶
The license fee for each license issued pursuant to the provisions of this chapter shall be sixty dollars ($60.00.)
(Prior code § 8-1.408)
5.40.050 - Report of district attorney and chief of police.¶
Each application for a license provided for in this chapter shall be referred to the chief of police and to the city attorney by the license board for an investigation concerning the character of the person or persons interested in the proposed business. The city attorney and chief of police shall make a separate report to the license board as to the character of the applicant and the advisability of granting the license, which report shall be made within fourteen (14) days after such application has been referred to the officer.
(Prior code § 8-1.409)
5.40.060 - Referral to planning commission.¶
In addition to the procedure provided for in Chapter 5.04 of this code, each application for a license to engage in the business of pawnbroker, secondhand dealer or junk dealer shall be referred to the planning commission of the city for a determination as to whether or not the location of the proposed business, described in the application, is in conformity with the zoning laws.
(Prior code § 8-1.410)
5.40.070 - Records required.¶
A. Every person engaging in, operating, maintaining or carrying on the business of pawnbroker, secondhand dealer, junk dealer or junk collector shall keep a substantial, well-bound book in which there shall be entered at the time of purchase:
An exact description of all personal property purchased or sold by such person;
The date of purchase or sale;
The price paid for purchase or the amount received for sale;
The date of purchase or sale;
The name and residence of the person or place of business from whom purchased or to whom sold;
The signature of the seller or buyer;
And all particular and prominent marks of identification that may be found on such property.
B. Such book shall be kept neat and clean and all entries therein shall be neat and legibly written in ink; such book shall be open for inspection by any sheriff of the county, or any police officer, constable, or other peace officer of the city, at all times during ordinary hours of business, and shall not in any manner be concealed from them.
(Prior code § 8-1.411)
5.40.080 - Goods to be held fifteen days.¶
All junk of every description purchased by junk dealers or junk collectors, all goods purchased or otherwise acquired by pawn brokers by pawn or pledge and all secondhand goods purchased by secondhand dealers must be held by such persons or businesses for a period of at least fifteen (15) days from the date of purchase or acquisition before the same may be sold. All junk, pawned goods and secondhand goods purchased or otherwise acquired shall, upon demand, be shown or exhibited to any sheriff of the county, or any police officer, constable or other peace officer of the city, and shall not in any manner be concealed.
(Prior code § 8-1.412)
5.40.090 - Special prohibitions.¶
No person engaging in, operating, maintaining or carrying on the business of secondhand dealer, junk dealer, or junk collector shall receive any personal property by way of pledge or pawn, nor shall any person, firm or corporation engage in the business of pawnbroker on the same premises wherein the business of secondhand dealer, junk dealer or junk collector is located.
(Prior code § 8-1.413)
5.40.100 - Hours.¶
A. A person engaging in, operating, maintaining or carrying on the business of pawnbroker, secondhand dealer, junk dealer or junk collector, shall not; and
B. An agent or employee of any such business shall not:
Accept any pledge or loan any money on personal property or purchase or receive any goods, wares or merchandise or any article or thing, or
In any manner whatsoever engage in or conduct any such business between the hours of seven p.m. and seven a.m.
(Prior code § 8-1.414)
5.40.110 - Purchases from minors and intoxicated persons prohibited.¶
It is unlawful for any person engaging in, operating, maintaining or carrying on the business of pawnbroker, secondhand dealer, junk dealer or junk collector to receive or purchase any property, article or thing from any person who shall appear to be, or who is known to be intoxicated, or from any minor under the age of twenty-one (21) years; provided, however, that this prohibition shall not apply where the minor dealing with such person presents the written consent of his/her parent or guardian, duly signed, authorizing the particular transaction to be conducted with such person; and provided further, that such written consent shall be retained by such person as long as the property procured through such transaction remains in the possession of such person, and provided further that such written consent shall be exhibited upon demand to any peace officer requiring the same.
(Prior code § 8-1.415)
5.40.120 - Employment of minors prohibited.¶
It is unlawful for any person engaging in, operating, maintaining or carrying on the business of pawnbroker, secondhand dealer, junk dealer or junk collector, to employ any minor to collect, receive or in any manner obtain possession of any article or personal property for such person.
(Prior code § 8-1.416)
5.40.130 - Badge requirement.¶
No person shall pursue the business of junk collector, nor shall any secondhand dealer or junk dealer pursue his/her business away from his/her fixed place of business, without a license as hereinafter set forth.
At the time of delivery of the license as a secondhand dealer, junk dealer or junk collector the licensee and each of his/her employees intending to so pursue such business away from his/her fixed place of business shall be issued a metal badge. A deposit in the amount of ten dollars ($10.00) shall be made for each badge. The license badge shall bear the number of the license in figures plainly discernible. Such badge shall be worn constantly by the licensee on an outer garment in such a way as to be conspicuous during such times as the licensee is engaged in such business, provided, however, that such badge need not be worn by a secondhand dealer or junk dealer while upon his fixed place of business. Five dollars ($5.00) of the deposit provided for in this chapter shall be returned to the licensee upon the surrender of the license and badge within thirty (30) days of the expiration thereof. A fee of five dollars ($5.00) shall be charged for replacement of a lost badge.
(Prior code § 8-1.417)
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