Los Angeles County Municipal Code Part 2 Licensing Requirements

A.

Every person engaging in business as a seller of vacation certificates shall first procure a license and pay the annual and renewal fee in the amount set forth in Section 7.14.010 of this title in addition to the fees required under Section 7.85.050.

B.

Every person engaging in business as a servicer of vacation certificates which have been transferred to a user or recipient shall first procure a license and pay the annual and renewal fees in the amount set forth in Section 7.14.010 in addition to the fees required under Section 7.85.050.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 1 § 3802, 1951.)

The application procedure provided for in this chapter shall be followed with regard to licenses sought pursuant to this chapter, and the provisions of Sections 7.06.010 through 7.06.160 of this title shall not apply, unless otherwise specified.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 2 § 3807, 1951.)

Every person desiring a license pursuant to this chapter shall file an application with the tax collector upon a form to be provided by the tax collector, and at such time pay the required fee and penalty, if any. The following information and information required under subsection B of Section 7.85.190 shall be stated in the application, as well as any other reasonable information prescribed by the commission:

A.

The name and address of the applicant. If the applicant is a corporation, the name shall be exactly as set forth in its articles of incorporation. If the applicant is a partnership, the name and address of each general partner shall be stated. If one or more of the partners is corporation, the provisions of this chapter as to a corporate applicant apply:

B.

If the applicant is a corporation, the names and addresses of all directors and the name and address of any officer who is duly authorized to accept the service of legal process;

C.

If the business or activity is advertised to the public and known by a name or designation other than the name or designation of the applicant, such name or designation; otherwise, a statement that the business is not so advertised or known;

D.

The name and address of every stockholder owning not less than 10 percent of the stock of the corporation;

E.

Every person having an interest of not less than 10 percent in the business or activity to be licensed, and the amount thereof;

F.

The name and address of every person having any right, title or interest in the premises, or any part thereof, equal to or greater than one-tenth of the whole, upon which the business or activity is to be carried on. If any such person is a corporation, the same information as required of a corporate applicant;

G.

The names and addresses of at least five character references. If the applicant is a corporation, the names and addresses of at least five business references;

H.

Whether the applicant has ever been convicted by a state or federal court within the past 10 years of any misdemeanor or felony, other than minor traffic offences;

I.

A list of such convictions, and for all thefts, fraud (including injunctive or civil actions involving fraudulent advertising or sales or trade practices), obtaining money under false pretenses or embezzlement convictions, and a detailed explanation of the circumstances;

J.

The address of each proposed business location in the county;

K.

The person or persons who will have custody of the business records at each location;

L.

The location where such business records will be maintained;

M.

The applicant must provide an exact copy of the following:

a.

The vacation certificate,

b.

The casino, gaming or other bonus, gift or discount package that is provided to the user as part of or in conjunction with the use of the vacation certificate,

c.

Advertising bulletins, announcements, circulars, brochures, and all other promotional materials used to promote, sell or advertise the vacation certificate,

d.

All contracts, certificates, announcements, advertisements and instructions sent to recipients or users,

e.

Written copy of sales presentation or pitch made to prospective purchasers over telephone or by other means,

f.

Copy of the contract with each business entity providing accommodations, facilities and services offered in subparagraphs a, b or c above;

The contract provided by applicant pursuant to subparagraph f immediately hereinabove shall provide:

a.

Dates said rooms will be available,

b.

Details of all other facilities and services offered.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 2 § 3808, 1951.)

A.

In order to collect revenue and to defray the county's costs of administering this chapter, the purpose of which is to license and regulate vacation certificate sellers and thereby protect the public from fraudulent and deceptive practices in the sale and promotion of vacation certificates, the board of supervisors of the county of Los Angeles finds that it is reasonable to charge each seller of vacation certificates and each seller shall pay in addition to the first year and renewal fee set forth in Section 7.14.010 of this title, a license fee equal to two percent of the gross sales price of all vacation certificates sold; however, if the vacation certificates are sold for $15.00 or less, or if no fee is charged for the certificate, then the seller shall pay a license fee equal to $.30 for each certificate distributed to users and recipients.

B.

Each person required to be licensed under subsection B of Section 7.85.020 as a servicer of vacation certificates, shall pay, in addition to the first year and renewal fee set forth in Section 7.14.010 of this title, a monthly license fee in an amount equal to $.10 for each certificate serviced.

C.

The fees required under this section shall be paid in accordance with the provisions of Section 7.85.170.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 1 § 3803, 1951.)

Before any license shall be issued, the applicant therefor shall file with the commission a surety bond, which may be executed by a surety company authorized to do business in the State of California, in the penal sum of $1,000.00, Such bond shall be conditioned that the licensee shall pay the license fee imposed by Section 7.85.050 and that the licensee will indemnify the county and all other persons for any loss sustained thereby by reason of the violation by the licensee of any of the provisions of this chapter or failure to provide refund upon cancellation. In the event of any recovery under such bond, the same shall be immediately restored to its original penal sum, or a substitute bond furnished in the form and penal sum originally required.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 2 § 3809, 1951.)

Upon receipt of the license fee, required under Section 7.14.010, the tax collector shall:

A.

Issue a date receipt to the applicant showing the location(s) and activity for which an application has been made;

B.

Transmit copies of the license fee referral memorandum to the business license commission and to interested officers or departments of the county, including but not limited to the sheriff and director of the department of consumer affairs.

C.

Set the application for hearing before the business license commission not sooner than 45 days after receipt of such license fees.

(Ord. 12338 § 4 (part), 1981; Ord. 5860 Ch. 26 Art. 3 § 3813, 1951.)

The applicant shall be notified and advised in writing, at least five days prior to hearing before the business license commission, of the recommendation or other determination or every officer and department to which the application has been referred for investigation, inspection or other disposition.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 3 § 3815, 1951.)

A license required by Section 7.85.020 shall not be granted until the business license commission or referee holds a public hearing, notice of the date, time and place of which shall be given to the applicant as required by Section 7.10.100 of this title.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 3 § 3816, 1951.)

The applicant or its representative shall appear at the public hearing before the business license commission at the date, time and place set for hearing or to which the hearing may be continued.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 3 § 3817, 1951.)

A.

Any changes in the information and undertakings required by Sections 7.85.040, 7.85.060 and subsection B of Section 7.85 190 shall be submitted to the commission within 10 days of the date of such change.

B.

The failure to disclose any of the information required by Sections 7.85.040 and 7.85.060 truthfully, or the failure to make a full disclosure of the facts required, shall be grounds for denying a license, or, if a license has been issued and thereafter it is discovered that any applicant has made a false statement or withheld relevant facts in providing the information required, it shall be grounds for revoking the license.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 2 § 3810, 1951.)

Within the license period or on any renewal application, the licensee may be required by the business license commission to appear at a public hearing to present any supplementary information contemplated by Sections 7.85.040 and 7.85.060 or other information with respect to the conduct or operation of the licensed activity.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art, 3 § 3818, 1951.)

Except as may be otherwise provided in this chapter, a license required by this chapter shall not be issued except upon order of the commission. A valid license must be in the possession of the applicant in advance of engaging in the selling or servicing of vacation certificates.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 1 § 3806, 1951.)

In addition to any condition(s) imposed pursuant to Section 7.06.110 of this title, the business license commission may impose such other conditions as the commission finds necessary for reasons of the general welfare of the public. Such conditions shall appear on the license.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 3 § 3819, 1951.)

Any license issued under this chapter shall be revoked, suspended or modified, after notice and hearing as provided in Chapter 7.10 of this title, upon a finding that the licensee has;

A.

Failed to comply with any condition imposed on such licensee;

B.

Failed to comply with any of the provisions of this chapter;

C.

Committed any crime involving fraud, deception, false pretenses, misrepresentations, false advertising or dishonest dealing, or any act in violation of law;

D.

Disposed of or concealed any fund or assets of a user so as to defeat the user's right to a refund;

E.

Commingled registration fees and reservation deposits received from users with the general operating funds of the business;

F.

Made intentional misrepresentations or concealed material facts in its application for a license;

G.

Failed to submit any report or fees required by this chapter.

(Ord. 12338 § 4 (part), 1981: Ord. 5860 Ch. 26 Art. 3 § 3820, 1951.)