Chapter 5.32
CLOSE-OUT SALES
Sections:
5.32.030 Permit – Application requirements – Issuance.
5.32.050 Rules and regulations.
5.32.010 Definitions.
For the purposes of this chapter only, the following words and terms shall be deemed to mean and be construed as follows:
A. “Advertise,” “advertisement,” “advertising,” “publish” or “publication” means any and all means, whether oral, written, lettered or printed, used for conveying to the public notice of the conduct of a sale, as defined in this section, or notice of intention to conduct such sale, including but not limited to oral or written announcements by proclamation or outcry, newspaper advertisement, magazine advertisement, handbill, written or printed display, billboard display, poster and radio announcement.
B. “Permit” means a permit issued pursuant to this chapter.
C. “Permittee” means any person to whom a permit has been issued pursuant to this chapter.
D. “Person” means and includes any person, firm, association or corporation.
E. “Sale” means:
1. Any sale of, or any offer to sell, to the public or any group thereof, goods, wares or merchandise on order, in transit or in stock, in connection with a declared purpose as set forth by advertising that such sale is anticipatory to or to avoid the termination, liquidation, revision, windup, discontinuance, removal, dissolution or abandonment of the business or that portion of any business conducted at any locations; and
2. All sales advertised in any manner calculated to convey to the public the belief that upon the disposal of the goods to be placed on sale, the business or that portion thereof being conducted at any location will cease, be removed, be interrupted, discontinued or changed; and
3. All sales advertised to be “adjuster’s sale,” “adjustment sale,” “assignee’s sale,” “bankrupt sale,” “benefit of administrator’s sale,” “benefit of creditor’s sale,” “benefit of trustees’ sale,” “building coming down sale,” “closing out sale,” “creditors’ committee sale,” “creditors’ sale,” “damaged goods sale,” “end sale,” “executors’ sale,” “final days sale,” “fire sale,” “forced out sale,” “forced out of business sale,” “insolvent sale,” “insurance salvage sale,” “liquidation sale,” “loss of lease sale,” “mortgage sale,” “outselling sale,” “receiver’s sale,” “reorganization sale,” “salvage sale,” “selling out sale,” “smoke sale,” “smoke and water sale,” “trustee’s sale,” “quitting business sale,” “warehouse liquidation sale,” “warehouse bankruptcy sale,” “wholesale closing out sale,” “we quit sale,” “we give up sale,” “fixture for sale” or advertised by any other expression or characterization closely similar to any of the foregoing and calculated to convey the same meaning; and
4. All sales advertised in a manner calculated to indicate that the goods, wares or merchandise to be sold, or any part thereof, have been involved in any business failure or have been derived from a business which has failed, been closed, discontinued or liquidated; and
5. All sales accompanied by notices or advertising indicating that the premises are available for purchase or lease or are otherwise to be vacated; and
6. All sales accompanied by advertising indicating a business emergency or failure affecting the seller or any previous holder of the goods to be disposed of, and all sales advertised to be “action sale” or advertised by any other expression or characterization closely similar to said phrase and calculated to convey the same meaning. [1937 Code § 590.9.]
5.32.020 Permit – Required.
No person shall hereafter publish or conduct any sale of the type defined in this chapter without first obtaining a permit therefor from the city manager in the manner hereinafter provided in this chapter. [1937 Code § 590.1.]
5.32.030 Permit – Application requirements – Issuance.
A. No permit to conduct a sale as defined in this chapter shall be granted except upon written application to the city manager, signed and verified before a person authorized to administer oaths, by the person who intends to conduct such sale, and each application shall set forth and contain the following information:
1. Description, by street location and kind of building, of the location at which sale is to be held;
2. The nature of the occupancy, whether by ownership, lease or sublease, and if by lease or sublease, the effective date of the termination of such tenancy;
3. A statement of the means or methods of advertising to be used in advertising such sale;
4. The facts in regard to the insurance, bankruptcy, insolvency, assignment, mortgage foreclosure, administration, receivership, trusteeship, removal, executorship removal or other cause advertised to be the reason for the proposed sale;
5. An inventory or statement, in such form and in such detail as the city manager may require, setting forth the amount and description of goods, wares and merchandise to be sold at such sale, and, when required by the city manager, the date of acquisition of such goods, wares or merchandise, and the persons from whom obtained and the place from which the goods were last taken.
B. The city manager may require that all goods, wares and merchandise listed upon the inventory or statement shall be so described in detail by manufacturer’s name and lot number, the individual number of articles so numbered, colors, sizes and otherwise that the identity of such goods with the goods listed on such inventory can be readily determined.
C. Upon the filing of the application, the city manager may make or cause to be made an examination, audit or investigation of the applicant and his affairs, in relation to the proposed sale.
D. If the city manager finds that the statements in the application are true, that the inventory is complete and that the methods to be used by the applicant in conducting the sale are not such as, in the opinion of the city manager, will work a fraud upon the purchasers, the city manager shall issue to the applicant a permit to conduct such sale in accordance with the provisions of this chapter; otherwise the city manager shall deny the application and refuse the permit. The city manager may refuse a permit because of the insufficiency of the information set forth in the application, but in such event the city manager shall grant the applicant permission to file an amended application.
E. In the event the city manager denies the application and refuses to issue a permit, the applicant may appeal the decision to the city council whose decision in the matter shall be final.
F. No application for any such permit shall be accepted by the city manager for filing unless accompanied by a filing fee computed as follows: A fee of $25.00; no part of the filing fee shall be refundable.
G. Each permit issued under the provisions of this chapter shall have printed, written or stamped on the face thereof the following:
This permit is granted by the City Manager of the City of Pittsburg and accepted by the permittee upon the condition that such permittee comply with and abide by all of the provisions of Chapter 5.32, of the Pittsburg Municipal Code;
with a line thereunder for signature by the permittee and a witness.
At the time of the delivery of the permit, such statement must be signed by the permittee in the presence of an employee of the city who shall sign as a witness.
H. The permit fee, herein provided for and established, shall be additional to any license required under the provisions of Chapter 5.04 PMC, and the payment of the license chargeable under the provisions of Chapter 5.04 PMC shall be a condition precedent to the granting of a permit under the provisions of this chapter. [1937 Code § 590.2.]
5.32.040 Permit – Conditions.
Any permit issued under the provisions of this chapter shall authorize the one type of sale named in the application, at the place named therein, for a period of not more than 60 calendar days, and shall permit the sale of goods only which are set out in the application, all of which goods throughout the duration of the sale must be definitely separated from any other goods displayed at or within the store or place of business, and all advertising, signs or notices referred to or calling attention to the sale must be confined to the display or displays of goods involved in the sale; provided, however, that the city manager may, upon a verified application therefor, renew the permit for a period of not to exceed 30 days, upon the payment of a renewal fee in the amount of $25.00, no part of which fee shall be refundable. Such verified petition for renewal shall set forth a complete list of goods listed in the original application and remaining unsold and shall not contain any goods, wares or merchandise not named in such original application. Upon receipt of such application for renewal, the city manager shall cause an investigation to be made at once, and if satisfied of the truth of the statements therein contained, the city manager shall grant such renewal, which shall be endorsed and signed as provided for the original permit. The city manager may renew any original permit in the manner above provided not to exceed two renewals; provided, however, that the city manager may not issue permits or renewals which will allow the conduct of any sale of any kind or kinds, named in this chapter, at any one location for more than 120 calendar days in any one calendar year. No more than one permit (with renewals as herein authorized) for the conduct of any sale named in this chapter shall be issued to a permittee or for any one location in any calendar year. As in the case of original applications, denials of renewal applications by the city manager may be appealed to the city council whose decision in such matters shall be final. [1937 Code § 590.3.]
5.32.050 Rules and regulations.
Such permit shall be valid only for the advertising, representation and sale of the particular goods, wares or merchandise described in the original application therefor, and at the particular time and particular place stated therein, and by the particular applicant, and any renewal, replenishment or substitution of such goods, wares or merchandise, or change of such time or place for such sale, or change of person conducting the sale, is unlawful and shall render such permit void. No person in contemplation of conducting any such sale or special sale, or during the continuance of such a sale, shall order any goods, wares or merchandise for the purpose of selling them at such sale, and any unusual purchases or additions to the stock of such goods, wares or merchandise within 60 days before the filing of such application for a license to conduct such a sale shall be presumptive evidence that such purchase or additions were made in contemplation of such sale and for the purpose of selling them at such sale.
Each sale of goods, wares or merchandise as were not inventoried and described in the original application shall constitute a separate offense under this chapter. [1937 Code § 590.4.]
5.32.060 Loss of identity.
Any removal of any goods, wares or merchandise inventoried and described in the original application form from the place of sale mentioned in such application shall cause such goods to lose their identity as the stock of any of the sales defined herein, and no permits thereafter will be issued for the conducting of a sale of any such goods, wares or merchandise in such manner as to identify them with the store, store name, store owner or location referred to in the original application. [1937 Code § 590.5.]
5.32.070 Enforcement.
Upon commencement and throughout the duration of any sale, as defined in this chapter, the permit shall be prominently displayed near the entrance to the premises. A duplicate original of the application and stock list pursuant to which such permit was issued shall at all times be available to the city manager, or to his duly authorized representatives, and the permittee shall permit such duly authorized representatives to examine all merchandise in the premises for comparison with such stock list. [1937 Code § 590.6.]
5.32.080 Records.
Suitable books and records shall be kept by the permittee and shall at all times be available to the duly authorized representatives. At the close of business each day, the stock list attached to the application shall be revised and those items disposed of during such day shall be so marked thereon. [1937 Code § 590.7.]
5.32.090 Exemptions.
The provisions of this chapter shall not apply to or affect the following persons:
A. Persons acting pursuant to an order or process of a court of competent jurisdiction;
B. Persons acting in accordance with their powers and duties as public officers such as sheriffs and marshals;
C. Any publisher of a newspaper, magazine or other publication who publishes any such advertisement in good faith, without knowledge of its false, deceptive or misleading character, or without knowledge that the provisions of this chapter have not been complied with;
D. Persons engaged in the business of buying and selling secondhand, distressed, bankrupt or liquidated stock or similar merchandise in bulk lots for purposes of resale and having a fixed place of business for such purposes in the city. [1937 Code § 590.8.]
5.32.100 Sales in progress.
No sale as defined in this chapter which is in progress at the time the ordinance codified in this chapter becomes effective shall be continued more than 30 days thereafter without complying with all of the requirements of this chapter. [1937 Code § 590.10.]