Chapter 5.30
PAWNBROKERS AND SECONDHAND DEALERS
Sections:
Article I. Pawnbrokers and Secondhand Dealers
5.30.050 Investigation by Chief of Police.
5.30.080 Permits nonassignable.
5.30.100 Inspection by Chief of Police.
5.30.110 Accepting goods from intoxicated persons or suspected felons, etc., prohibited.
5.30.120 Compliance with zoning regulations.
5.30.130 Business tax certificate required.
Article II. Junk Dealers
5.30.150 Report of building inspector.
5.30.160 Revocation of license for noncompliance with chapter.
5.30.170 Compliance with regulations by persons licensed prior to effective date of chapter.
Article I. Pawnbrokers and
Secondhand Dealers
5.30.010 Law governing.
Subject to regulation by the State of California, all secondhand dealers must comply with the requirements set forth in the California Business and Professions Code, Division 8, Chapter 9 (Section 21500 et seq.). A pawnbroker is regulated by Division 8, Section 21000 et seq. of the Financial Code. A licensed pawnbroker is exempt from the secondhand dealer licensing requirements pursuant to Sections 21641 and 21642 of the Business and Professions Code and may engage in any secondhand dealer transaction. However, a pawnbroker conducting secondhand dealer activities must comply with all the secondhand dealer laws. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.1).
5.30.020 Definitions.
(a) “Pawnbroker” is every person engaged in the business of receiving goods, including motor vehicles, in pledge as security for a loan pursuant to Section 21000 of the Financial Code, as amended from time to time.
(b) “Secondhand dealer” shall include any person, corporation, firm, or corporation whose business includes buying, selling, trading, taking in pawn, accepting for sale on consignment, accepting for auctioning or auctioning secondhand tangible personal property pursuant to Section 21626 of the Business and Professions Code, as amended from time to time. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.2).
5.30.030 Permit required.
It shall be unlawful for any person to engage in the business of a pawnbroker or secondhand dealer within the city limits without first obtaining a permit issued by the Chief of Police. A permit shall be issued to each pawnbroker and secondhand dealer after their application is approved by the Chief of Police and the Department of Justice. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.3).
5.30.040 Application.
Each pawnbroker and secondhand dealer shall complete an application that will be investigated by the Chief of Police. Such application must contain a financial statement reviewed and signed by a licensed certified public accountant. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.4).
5.30.050 Investigation by Chief of Police.
The Chief of Police shall cause an investigation to be made of the statements in the application and of the background of the applicant and forward the applicant(s) information and fingerprints to the Department of Justice for review. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.5).
5.30.060 Denial of permit.
Upon the Chief of Police’s review of the application, the Chief of Police may refuse to issue or renew a permit to the applicant under this chapter for any of the following reasons:
(a) The investigation reveals that the applicant falsified information on the application, concealed a material fact or otherwise committed any fraud in the application.
(b) The applicant has been convicted of a misdemeanor/felony involving an offense against private property interests. Such property offenses include, but are not limited to, larceny, false pretense, fraud, grand theft, embezzlement and receipt of stolen property.
(c) The applicant has been denied a permit under this chapter within the immediate past year, unless the applicant can and does show to the satisfaction of the Chief of Police that the reasons for such earlier denial no longer exist.
(d) The applicant may appeal the Chief of Police’s decision to deny the issuance or renewal of, or to suspend or revoke, a permit under this chapter under the procedures set forth in Chapter 2.115 SCCC. (Ord. 1723 § 2, 10-27-98; Ord. 2007 § 5, 11-19-19. Formerly § 20-1.6).
5.30.070 Fees.
The applicant shall pay a Department of Justice investigation fee for review of the applicant(s) fingerprints. The applicant shall also pay a City of Santa Clara processing fee as established by resolution. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.7).
5.30.080 Permits nonassignable.
No pawnbroker or secondhand dealer permit may be sold, transferred or assigned by the permittee, or by operation of law, to any other person or persons; any such sale, transfer or assignment, or attempted sale, transfer or assignment, shall be deemed to constitute a voluntary surrender of such permit and such permit shall thereafter be deemed terminated and void. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.8).
5.30.090 Renewal of permits.
Pawnbroker and secondhand dealer permit application(s) for submittal to the Department of Justice shall be maintained and renewed every other year from the date of issuance by the City. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.9).
5.30.100 Inspection by Chief of Police.
All records kept pursuant to this chapter shall be, at all reasonable times, open to the inspection of the Chief of Police of the City, or designee. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.10).
5.30.110 Accepting goods from intoxicated persons or suspected felons, etc., prohibited.
No applicant holding a permit under this chapter, or the applicant’s manager, agent or employee shall take or receive any goods, articles or things from any person who is in an intoxicated condition or from any suspected thief or associate of thieves or a suspected or known receiver of stolen property or from any persons reasonably suspected to be contained in any such categories. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.11).
5.30.120 Compliance with zoning regulations.
No person shall operate a pawnbroker and secondhand dealer business without compliance with all applicable zoning regulations. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.12).
5.30.130 Business tax certificate required.
No business tax certificate shall be issued until investigation by the Chief of Police and Department of Justice is completed and the permit is approved. The business tax certificate shall be issued upon payment of the business tax fee as required in Chapter 3.40 SCCC. (Ord. 1723 § 2, 10-27-98. Formerly § 20-1.13).
Article II. Junk Dealers
Stat. Ref.: For State law as to records to be kept by junk dealers, see B. & P.C.A., §§ 21605 to 21608. For State law as to failure of junk dealer to produce register for inspection by authorized persons, see Pen. C., §§ 343, 344.
5.30.140 Reserved.
5.30.150 Report of building inspector.
No license required by Chapter 3.40 SCCC shall be issued to maintain a junkyard unless and until the building inspector of the City shall have reported that the provisions of this chapter have been complied with. (Ord. 608 § 1. Formerly § 20-10).
5.30.160 Revocation of license for noncompliance with chapter.
Failure to carry on, maintain or conduct the business of a junkyard according to the regulations specified in SCCC 5.30.140 after a license has been issued therefor shall be good and sufficient cause for the revocation of such license to carry on such business. (Ord. 608 § 1. Formerly § 20-11).
5.30.170 Compliance with regulations by persons licensed prior to effective date of chapter.
Any business being carried on, maintained or conducted under a license issued under Chapter 3.40 SCCC and prior to the effective date of the ordinance codified in this chapter shall have thirty (30) days from and after such effective date in which to comply with the requirements of this chapter. (Ord. 608 § 1. Formerly § 20-12).