HomeMy WebLinkAbout1295 - Pawnbrokers Secondhand Dealers & Junk Dealers0
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ORDINANCE NO. 12 9 5
AN ORDINANCE OF THE CITY OF NEWPORT BEACH
ADDING CHAPTER 5.20 TO THE NEWPORT BEACH
MUNICIPAL CODE RELATING TO PAWNBROKERS,
SECONDHAND DEALERS AND JUNK DEALERS
The City Council of the City of Newport Beach does
ordain as follows:
SECTION 1. Chapter 5.20 is added to the Newport Beach
Municipal Code to read:
"Chapter 5.20
PAWNBROKERS, SECONDHAND DEALERS
AND JUNK DEALERS
Sections:
=0.010 Pawnbroker Defined.
5.20.020 Pawnshop Defined.
5.20.030 Secondhand Dealer Defined.
5.20.040 Junk Dealer and Junk Collector Defined.
5.20.050 Permits.
5.20.060 License Fees.
5.20.070 Reports to Police.
5.20.080 Records Required to be kept.
5.20.090 Failure to Comply Unlawful.
5.20.100 Disposition of Articles.
5.20.110 Exempt Transactions.
5.20.120 Hours of Operation.
5.20.130 Property Received from Outside State.
5.20.140 Application of Reports and Records Provisions
to other Merchants Selling Secondhand Articles.
5.20.010 Pawnbroker Defined. The term 'pawnbroker'
shall mean a person, firm or corporation engaged in con-
ducting, managing or carrying on the business of loaning
money, for himself or for any other person, upon personal
property, personal security, 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.
5.20.020 Pawnshop Defined. The term 'pawnshop'
shall mean any room, store or place in which business or
activity described in Section 5.20.010 is engaged in,
carried on or conducted.
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5.20.030 Secondhand Dealer Defined. A. DEFINITION.
The term 'secondhand dealer' shall mean a person, firm or
corporation engaged in, conducting, managing or carrying
on the business of buying, selling, or otherwise dealing
in secondhand goods, wares or merchandise.
B. EXEMPTIONS.
1. Any person, firm or corporation who or which
engages in the business of selling genuine antique articles
which are purchased by such person, firm or corporation
directly from a wholesale dealer in such articles, or
which are imported.into the United States of America by
such person, firm or corporation, shall not be deemed to
be a 'secondhand dealer' by reason of engaging in such
business.
2. Any person, firm or corporation who or which
acquires in good faith, identifiable secondhand property
as part or complete payment for other personal property
• in the ordinary course of conducting a business of selling
new personal property directly to the consumer, shall not
be deemed to be a 'secondhand dealer' by reason of
engaging in such business.
3. Any person, firm or corporation who or which
engages in the business of selling used motor vehicles or
used watercraft vessels shall not be deemed to be a
'secondhand dealer' by.reason of engaging in such business.
4. Any person, firm, group, association or
corporation who or which acquires in good faith,
identifiable secondhand property for the sole purpose
of distribution of such property by sale, gift or
otherwise in furtherance of its stated objectives of
promoting religious, charitable or educational purposes
shall not be deemed to be a 'secondhand dealer' by
reason.of engaging in such activities. Any such person,
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firm, group, association or corporation must file a request
for exemption as a secondhand dealer with the City Manager on
a form provided by the City. A minimum of seventy -five per
cent of the gross proceeds, compensation and earnings obtained
from such activities must be devoted to its stated religious,
charitable or educational purposes in order to qualify for
exemption.
5. The exemptions set forth in paragraphs 1 through
4 of this section do not apply to transactions involving
bicycles and /or their parts, surfboards, firearms capable of
being concealed, cameras and photographic equipment, Marine
hardware and related equipment with a retail value of over
$50.00, typewriters and all business machines, sewing machines
and all musical instruments.
5.20.040 Junk Dealer and Junk Collector Defined.
(a) The term 'junk dealer' shall mean a person, firm or cor-
poration having a fixed place of business in the City of
Newport Beach and engaged in, conducting, managing or carrying
on the business of buying, selling or otherwise dealing, either
at wholesale or retail, in any old rags, sacks, bottles, cans, .
paper, metal or other articles commonly known as junk; provided,
however, that any person, firm or corporation authorized to
collect garbage or refuse pursuant to Section 6.04.090 of this
Code shall not be deemed to be a junk dealer by reason of
engaging in such business.
(b) The term 'Junk collector' shall mean a
person not having a fixed place of business in the City
of Newport Beach, who goes from house to house or from
place to place gathering, collecting, buying, selling
or otherwise dealing in any old rags, sacks, bottles,
cans, paper, metal or other articles commonly known as
junk; provided, however, that any person, firm or
corporation authorized to collect garbage or refuse
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pursuant to Section 6.04.090 of this Code shall not be
deemed to be a junk collector by reason of engaging in
such business.
of a pawnbroker, junk dealer, junk collector or second-
hand dealer, or deal in secondhand merchandise either as
a business or as a part of any other business without
first applying for and receiving a permit therefor from
the City Manager. Said permit shall be issued by the
City Manager, but only after having received a report of
investigation from the Chief of Police.
B. APPLICATION FORM. The form on which
application shall be made for a permit hereto shall
require the following information:
1. Name of the applicant and complete
physical description.
• 2. Residence and business address of the
applicant.
3. The length of time for which a permit
is desired.
4. A statement as to whether or not the
applicant holds or has held a permit from any state,
municipality, governing body or licensing authority;
a list of such permits and a statement of the time,
place and by whom issued; a statement as to whether any
state, municipality, governing body or licensing
authority has ever refused to issue or to renew a
permit to the applicant and if so, a full and accurate
statement as to the reasons for any such refusal; a
statement as to whether any state, municipality,
governing body or licensing authority has ever revoked
a permit held by the applicant and if so, a full and accurate
statement as to the reasons for any such revocation.
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5.20.050
Permits.
A. REQUIREMENT.
No
person
shall engage
in, conduct,
manage or carry
on
the business
of a pawnbroker, junk dealer, junk collector or second-
hand dealer, or deal in secondhand merchandise either as
a business or as a part of any other business without
first applying for and receiving a permit therefor from
the City Manager. Said permit shall be issued by the
City Manager, but only after having received a report of
investigation from the Chief of Police.
B. APPLICATION FORM. The form on which
application shall be made for a permit hereto shall
require the following information:
1. Name of the applicant and complete
physical description.
• 2. Residence and business address of the
applicant.
3. The length of time for which a permit
is desired.
4. A statement as to whether or not the
applicant holds or has held a permit from any state,
municipality, governing body or licensing authority;
a list of such permits and a statement of the time,
place and by whom issued; a statement as to whether any
state, municipality, governing body or licensing
authority has ever refused to issue or to renew a
permit to the applicant and if so, a full and accurate
statement as to the reasons for any such refusal; a
statement as to whether any state, municipality,
governing body or licensing authority has ever revoked
a permit held by the applicant and if so, a full and accurate
statement as to the reasons for any such revocation.
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5. A statement as to whether or not the applicant
has ever been arrested for any crime, misdemeanor or
violation of any municipal ordinance and if so, the nature
of the offense and the punishment or penalty assessed
therefor, if convicted.
6. A photograph of the applicant taken within
sixty days immediately prior to the date of the filing
of the application which picture shall be two inches by
two inches showing the head and shoulders of the applicant
in a clear and distinguishing manner, except that this
requirement is waived with respect to an application for
renewal of a permit by an applicant holding an unexpired
permit issued under this chapter who has in a previous
application under this chapter complied with this requirement.
7. Applicant shall submit to being finger-
printed and shall submit the names of at least two
reliable property owners of the County of Orange, State
• of California, who will certify as to the applicant's
good moral character and business responsibility or, in
lieu of the names of reference, any other available
evidence as to the good moral character and business
responsibility of the applicant that will enable an
investigator to properly evaluate such moral character
and business responsibility, except that this requirement
is waived with respect to an application for renewal of a
permit where a person has made a previous application
under this chapter and has complied with this require-
ment.
C. INVESTIGATION. The City Manager shall
forthwith refer the applicant for a permit to the Chief
of Police who shall cause to be made such investigation
'• of the applicant's moral character and business
responsibility as he deems necessary for the protection
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of the public interests, except that such investigation
by the Chief of Police is not necessary with respect to
the renewal of an application for a permit hereunder
wherein such investigation of the applicant's moral
• character and business responsibility has previously
been determined.
D. REPORT OF INVESTIGATION. The Chief of
Police shall complete his investigation herein provided
for, within a reasonable time and shall make a written
report to the City Manager within thirty days and shall
certify in said report whether or not the moral character
and business responsibility of the applicant is satisfactory.
E. MULTIPLE BUSINESSES. If any person, firm
or corporation shall engage in, conduct, manage or carry .
on, at the same time, more than one of the businesses
defined and referred to in this chapter, such person
shall be deemed to be engaged in conducting, managing and
• carrying on such business separate and apart from the
other such business and such person, firm or corporation
shall comply in all respects with the provisions of this
chapter relating to each such business, and no person shall
fail, refuse or neglect to do so.
F. REVOCATION OR REFUSAL. A permit issued
hereunder may be revoked by the City Manager or an
application for issuance or renewal of such permit may
be refused by the City Manager if he determines after
notice and hearing:
1. That the applicant or permit holder is not
an individual of good moral character and business
responsibility; or
2. That the application of the applicant or
permit holder contains any false, fraudulent or mis-
leading material statements.;. or
3. That the applicant or permit holder has made
any false, fraudulent or misleading material statement in
the course of conducting his business under said permit in
the City of Newport Beach; or
4. That the applicant or permit holder has
perpetrated a fraud upon any person whether or not such
fraud was perpetrated in the conduct of his business in
the City of Newport Beach; or
5. That the applicant or permit holder has
violated any of the statutes of the State of California
relating to the activities engaged in by the applicant; or
6. That the applicant or permit holder has been
convicted of any crime or misdemeanor involving moral
turpitude; or
7. That the applicant or permit holder has
conducted his activity in the City of Newport Beach in
an unlawful manner or in such a manner as to constitute
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a breach of the peace or a menace to the health, safety
or general welfare of the public.
G. NOTICE OF HEARING. Notice of the hearing
provided for shall be given in writing to the applicant
or permit holder, as the case may be. Such notice shall
be mailed, postage prepaid, to the applicant or permit
holder, as the case may be, at his last known address at
least five days prior to the date set for hearing. The
applicant or permit holder, as the case may be, shall have
the right to be represented at such hearing by counsel.
H. APPEAL. Any person aggrieved by the action
of the Chief of Police or the City Manager in the denial
of an application for permit or renewal of permit as
provided heretofore, shall have the right of appeal to
the City Council of the City of Newport Beach. Such
appeal shall be taken by filing with the City Council
within fourteen days after notice of the action complained
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of has been mailed to such person's last known address,
a written statement setting forth fully the grounds for
appeal. The City Council shall set a time and place for
a hearing of such appeal and notice of such hearing shall
• be given to the appellant in the same manner as provided
in Subsection G of this section for notice of hearing on
revocation: The decision of the City Council on such
appeal shall be final and conclusive.
5.20.060 License Fees. Every person conducting or
carrying on the business of a pawnbroker, junk.dealer,
junk collector, or secondhand dealer or dealing in.second-
hand merchandise, as a separate business, shall pay an
annual license fee of One Hundred Dollars ($100), or
Five Dollars ($5) per day.
Every person conducting or carrying on the business
of a pawnbroker, junk dealer, junk collector, or second-
hand dealer, or dealing in secondhand merchandise in
• connection with any other business, shall pay the license
fee required by the laws of the City of Newport Beach
for said other business, plus the additional sum, if any,
which shall be required to be paid, not to exceed the
sum of One Hundred Dollars ($100) per annum total or, at
the rate of Five Dollars ($5) per day if conducted on a
day to day basis.
Notwithstanding any provisions of this ordinance to
the contrary, any religious, charitable or educational
society or institution engaging in, conducting, managing
or carrying on the business of secondhand dealer, junk
dealer or junk collector shall not be required to make
payment of any of the fees herein prescribed, provided
that a minimum of seventy -five per cent of the gross
proceeds, compensation, and earnings obtained from such
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business are devoted to the religious, charitable and
educational purposes, respectively, of such religious,
charitable or educational society or institution.
5.20.070 Reports to Police. A. TIME OF MAKING.
Every pawnshop, secondhand dealer, junk collector and
junk dealer shall, on each Monday and Thursday before
the hour of 10:00 a.m. of said day, make out and deliver
to the Police Department, on a blank form to be obtained
from the Police Department by such pawnshop, secondhand
dealer, junk collector and junk dealer for such purpose,
a full, true and complete report of all goods, or things
received on deposit, pledged or purchased during the
period preceding the filing of such report.
B. CONTENTS. Such report shall be in English
and shall contain the name and place of business of the
person making the same and the date and hour of the day
when prepared. Such report shall show the hour of the
day when each article was received on deposit, pledged
or purchased, and the true name and address, as nearly as
the same is known or can be ascertained by such pawnshop,
secondhand dealer, junk collector or junk dealer, of the
person who left such article on deposit, or pledged or
sold the same, together with a description of such person
and a statement as to whether such person is under the
age of eighteen years. Such report shall also show the
number of the receipt or pawn ticket, the amount loaned,
the amount purchased, and a complete description of each
article left on deposit, pledged or purchased. If any
article so left on deposit, pledged or purchased has
.engraved thereon any number, word or initial, or contains
any settings of any kind, such report shall contain such
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number, word or initial, and shall show the kind of
settings and the number of each kind.
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C. CONFIDENTIAL. The Chief of Police shall cause
all reports received pursuant to the terms of this section
to be filed in a secure place, and the same shall be open
to inspection only by members of the Police Department, or
upon order of a court of competent jurisdiction.
5.20.080 Records Required to be Kept. Every pawn-
broker, secondhand dealer, junk dealer and junk collector
shall keep, for a period of three years, a complete record
in the English language of all goods, wares, merchandise or
things pledged to or purchased or received by him, which
record shall contain all of the matters required to be
shown in the reports referred to and described in Section
5.20.070 of this chapter. Every such record and all goods,
wares, merchandise and things pledged to or purchased or
received by any such secondhand dealer shall be open at all
times during business hours to the inspection of the
Chief of Police or any police.officer of the City of
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Newport Beach.
5.20.090 Failure to Comply Unlawful. No person
engaged in conducting, managing or carrying on the business
of a pawnbroker, secondhand dealer, junk dealer or junk
collector, nor any agent or employee of any such person,
shall fail, refuse or neglect to file any report or keep
any record in the form, in the manner, at the time and
in all respects in accordance with the requirements of
this chapter, or fail, refuse or neglect to exhibit to
the Chief of Police or any police officer of the City of
Newport Beach, immediately upon demand for the privilege
of such inspection, any such record or any goods, wares
or merchandise or things pledged to or purchased or
received by such person.
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5.20.100 Disposition of Articles. No pawnbroker or
secondhand dealer shall sell or otherwise dispose of any
article, merchandise or thing within fifteen (15) days
after the same has been received or purchased, nor fail
to keep such article, merchandise or thing unaltered, as
pledged or purchased, in lots separate and apart from
other articles, merchandise or things in the place of
business of such pawnbroker or secondhand dealer for a
period of fifteen (15) days from the date of pledge or
purchase thereof.
No junk dealer or junk collector shall sell or
otherwise dispose of any article, merchandise or thing
within three (3) days after the same has been received
or purchased, nor fail to keep such article, merchandise
or thing unaltered, as pledged or purchased, in lots
separate and apart from other articles, merchandise or
things in the place of business of such junk dealer or
Junk collector for a period of three (3), days from the
date of pledge or purchase thereof.
5.20.110 Exempt Transactions. The provisions
of this chapter concerning records and reports shall
not be deemed to apply to the purchase or sale by junk
dealers or junk collectors of rags, bottles, secondhand
sacks, barrels, cans, shoes, lamps, or scrap iron, when
bought or sold for scrap, stoves, or household furniture
(with the exception of sewing machines and musical
instruments), or the purchase or sale by secondhand
dealers of household furniture (with the exception of
sewing machines, all musical instruments and typewriters),
or to the purchase or sale of any motor vehicle, trailer
or semi - trailer which has been registered in California
as required by law.
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5.20.120 Hours of Operation. No person engaged in,
conducting, managing or carrying on the business of pawn-
broker, secondhand dealer, junk dealer or junk collector,
or any agent or employee of any such person shall accept
any pledge of or loan any money upon 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 twelve
o'clock midnight on Saturday and the hour of seven o'clock
in the forenoon of the following Monday, or between the
hour of seven o'clock in the afternoon of any day, other
than Saturday or Sunday, and the hour of seven o'clock in
the forenoon of the following day.
5.20.130 Property Received from Outside State.
Notwithstanding any other provisions of this chapter, every
auction house manager, pawnbroker, secondhand dealer, and
any merchant dealing in or offering for sale any item or
items of secondhand jewelry or object 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 Police Department
the report required concerning any such item received from
outside the State of California or received from any person,
who, within thirty days prior thereto, received it from
outside the State of California or brought it into the
State of California. Records of such articles shall be
kept as required by Section 5.20.080.
5.20.140 Application of Reports and Records Pro-
visions to Other Merchants Selling Secondhand Articles.
Whenever any section of this chapter shall require a report
to the Police Department, 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 second-
hand dealer or junk dealer or anyone engaging in any
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ATTEST:
business in this chapter specifically referred to, it
City • -er
shall also include any merchant who receives for sale,
attempts to sell, or displays for sale any such secondhand
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article for another person in expectation of receiving a
commission or fee or gratuity, or reward therefor, or as
an agent or broker, and each and every provision of this
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chapter shall thereupon be applicable to such person as
though he were in the specific business mentioned herein.
SECTION 2. Sections 12.56.070, 12.56.080 and 12.566-090
of
the Newport Beach Municipal Code are hereby repealed.
SECTION 3. This ordinance shall be published once in
the
official newspaper of the City, and the same shall be effective
30
days after the date of its adoption.
This ordinance was introduced at a regular meeting of
the
City Council of the City of Newport Beach held on the 7th
day
of April , 1969, and was adopted on the 28th
day
of April , 1969, by the following vote, to wit:
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AYES, COUNCILMEN: McInnis, Shelton, Parsons,
Marshall, Rogers, Hirth, Gruber
NOES, COUNCILMEN: None
ATTEST:
City • -er
—_ED AS THEINAL
s � �
•' \ . /4PTY-tL ERX OFfTHE CITY OF NEW440ftr BEACH
Ul
ABSENT COUNCILMEN: None
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