Tustin Municipal Code Part 1 Pawnbrokers

No person shall engage in the business of pawnbroker without a valid pawnbroker permit issued by the Director.

(Ord. No. 1252, Sec. II, 6-3-02)

No person shall be eligible to receive a pawnbroker permit until such person has obtained a valid conditional use permit for such use.

No person who has been convicted of an attempt to receive stolen property, or any other offense involving stolen property, shall be eligible to receive a pawnbroker permit.

(Ord. No. 1252, Sec. II, 6-3-02)

In addition to all other information requested on the application form, the applicant shall file the following with the Director:

(1) A pawnbroker's two-year non-revocable surety bond in the amount of at least twenty thousand dollars ($20,000.00), or such amount as required by Division 8 of the Financial Code regarding pawnbroker regulations or successor provisions. The pawnbroker's bond shall be executed by a surety admitted in the State of California and shall be in favor of the State of California, for the benefit of persons who pledged property, when the property is not available for proper redemption due to the pawnbroker's criminal conduct.

(2) A financial statement confirming that the applicant has at least one hundred thousand dollars ($100,000.00) in the form of liquid assets readily available for use in each licensed business for which an application is made. The one hundred thousand dollars ($100,000.00) shall not include real property. The financial statement shall be signed under penalty of perjury by the applicant and a California certified public accountant, verifying that he or she has reviewed the financial statement.

(3) A list of the names, addresses, and fingerprints of the employees at the location proposed to be licensed.

(Ord. No. 1252, Sec. II, 6-3-02)

Upon receiving an application for a pawnbroker permit, the Director shall cause to be investigated the applicant and his/her employees, the place where the pawnbroker activity is to take place, the type of pawnbroker activities proposed, and if the place is suitable for the type of pawnbroker activities proposed.

The Director shall approve or conditionally approve the permit for such pawnbroker activities if the following determinations are made based on the required investigation:

(1) The applicant and those persons associated with the applicant in the conduct of the business are of good moral character;

(2) The pawnbroker activities proposed are not unlawful;

(3) The place where the pawnbroker activities are to take place is suitable for the type of pawnbroker activities proposed; and,

(4) The granting of such permit will not be detrimental to the public safety, morals, comfort, and welfare, nor detrimental to adjacent properties or uses.

(Ord. No. 1252, Sec. II, 6-3-02)

a Employees

No pawnbroker permittee shall employ any person in such business who would be disqualified from obtaining a pawnbroker permit under this Part. A revised list shall be submitted to the City Police Department, within ten (10) days of hiring any new employee(s), along with the fingerprints of the new employee(s). Employees of a pawnbroker permittee shall comply with all provisions of this section.

b Location

The business shall be carried on only at the location designated on the pawnbroker permit. Property of the business may be stored at other locations only with written consent of the Director and Police Chief. The Police Department and Community Development Department each has the authority to verify the location of storage of property.

c Hours of Operation

No pawnbroker business shall accept any item in pawn, nor make any loan on items of personal property except between the hours of 7:00 a.m. and 9:00 p.m.

d Display of Permit

The City's pawnbroker permit, certified by the City, shall be displayed on the premises in plain view at all times.

e Criminal Activity

A pawnbroker permittee shall not attempt to receive stolen property or commit any other criminal offense involving stolen property.

f Advertisement

A pawnbroker permittee shall not advertise the pawnbroker business unless the pawnbroker permit number is clearly displayed in the advertisement.

g No Transfer or Assignment of Permit

A permittee shall not transfer or assign a pawnbroker permit.

h Property Reporting, Holding, and Production Requirements

A pawnbroker permittee shall comply with all property reporting, holding, and production requirements as specified in Division 8 of the Financial Code regarding pawnbroker regulations, and Chapter 9 of Division 8 of the Business and Professions Code, or successor provisions regarding secondhand goods, as applicable.

i Charges and Loan Contract Requirements

A pawnbroker permittee shall comply with all rates, charges, and loan contract requirements as specified in Division 8 of the Financial Code, or successor provisions regarding pawnbroker regulations.

j No Transaction with a Minor

A pawnbroker permittee shall not receive anything in pledge from a minor.

k No Promise of Repurchase

A pawnbroker permittee shall not promise any person who sells goods to permittee that the seller may repurchase the goods sold.

(Ord. No. 1252, Sec. II, 6-3-02)