Chapter 5.24
PAWNBROKERS
Sections:
5.24.030 Qualifications of licensee and business.
5.24.060 Required acts of pawnbrokers.
State law reference(s) – Authority to regulate, § 12-56-102, C.R.S.
5.24.010 Definitions.
The following words, terms and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
Contract for purchase means a contract entered into between a pawnbroker and a customer pursuant to which money is advanced to the customer by the pawnbroker upon the delivery of tangible personal property by the customer on the condition that the customer, for a fixed price and within a fixed period of time, not to exceed 90 days, has the option to cancel such contract.
Fixed price means the amount agreed upon to cancel a contract for purchase during the option period. A fixed price shall not exceed:
(1) One-tenth of the original purchase price for each month, plus the original purchase price, on amounts of $50.00 or more; or
(2) One-fifth of the original purchase price for each month, plus the original purchase price, on amounts under $50.00.
Fixed time means the period, not to exceed 90 days, as set forth in a contract for purchase, for an option to cancel such contract.
Local law enforcement agency means the Police Department of the City.
Option means the fixed time and fixed price agreed upon by the customer and the pawnbroker, in which a contract for purchase may be, but does not have to be, rescinded by the customer.
Pawnbroker means a person regularly engaged in the business of making contracts for purchase or purchase transactions in the course of business.
Purchase transaction means the purchase by a pawnbroker in the course of business of tangible personal property for resale, other than newly manufactured tangible personal property which has not been previously sold at retail, when such purchase does not constitute a contract for purchase.
Tangible personal property means all personal property other than choses in action, securities or evidence of indebtedness, which property is deposited with or otherwise actually delivered into the possession of a pawnbroker in the course of business in connection with a contract for purchase or purchase transaction.
(Code 1994 § 10-146; Code 1965 § 17-70)
Cross reference(s) – Definitions generally, GJMC 1.04.020.
State law reference(s) – Definitions, § 12-56-101, C.R.S.
5.24.020 License required.
Any person who shall engage in the business of pawnbrokering shall be termed a pawnbroker and be subject to licensure and the other provisions of this code.
(Code 1994 § 10-147; Code 1965 § 17-71)
5.24.030 Qualifications of licensee and business.
No license required by this chapter shall be granted to any person who has been convicted of a felony. No license required by this chapter shall be granted in conjunction with any business where beer or other alcoholic beverages are sold or consumed or in conjunction with which there is operated any card room, billiard room or other place of amusement.
(Code 1994 § 10-148; Code 1965 § 17-72)
5.24.040 License fee.
The fee for each license required by this chapter shall be as established by resolution of the City Council and on file in the City Clerk’s office and shall be payable in advance.
(Code 1994 § 10-149; Code 1965 § 17-73)
5.24.050 Bond required.
Each applicant for a pawnbroker’s license shall, prior to being issued a license, give a bond in the sum of $2,000 to ensure the faithful observance of the provisions of this chapter and for the safekeeping and return of the articles held under a contract of purchase.
(Code 1994 § 10-150; Code 1965 § 17-74)
5.24.060 Required acts of pawnbrokers.
(a) A pawnbroker shall keep a numerical register in which he shall record the following information: The name, address and date of birth of the customer and driver’s license number or other identification number from any other form of identification which is allowed for the sale of valuable articles pursuant to § 18-16-103, C.R.S., or for the sale of secondhand property pursuant to § 18-13-114, C.R.S.; the date, time and place of the contract for purchase or purchase transaction; and an accurate and detailed account and description of each item of tangible personal property, including but not limited to any trademark, identification number, serial number, model number, brand name or other identifying marks on such property. The pawnbroker shall also obtain a written declaration of the customer’s ownership which shall state that the tangible personal property is owned by the customer, or shall have attached to such declaration a power of sale from an owner to the customer; how long the customer has owned the property; whether the customer or someone else found the property and, if the property was found, the details of the finding.
(b) The customer shall sign his name in the pawnbroker’s register and on the declaration of ownership and shall be given a copy of the contract for sale or a receipt of the purchase transaction.
(c) The pawnbroker’s register shall be made available to any local law enforcement agency for inspection at any reasonable time.
(d) The pawnbroker shall keep each register required by this section for at least three years after the date of the last transaction entered into the register.
(e) A pawnbroker shall hold all contracted goods for a period of 10 days following the maturity date of the contract for purchase, during which time such goods shall be held separate and apart from any other tangible personal property and shall not be changed in form or altered in any way.
(f) A pawnbroker shall hold all property purchased by him through a purchase transaction for 30 days following the date of purchase, during which time such property shall be held separate and apart from any other tangible personal property and shall not be changed in any form or altered in any way.
(g) Every pawnbroker shall provide the local law enforcement agency, on a daily basis, with two records, on forms to be provided or approved by the local law enforcement agency, of all tangible personal property accepted during the preceding week and one copy of the customer’s declaration of ownership. The forms shall contain the same information required to be recorded in the pawnbroker’s register pursuant to subsection (a) of this section.
(Code 1994 § 10-151; Code 1965 § 17-75)
State law reference(s) – Similar provisions, § 12-56-103, C.R.S.
5.24.070 Prohibited acts.
(a) No pawnbroker shall enter into a contract for purchase or purchase transaction with any individual under the age of 18 years, or with any person who is visibly intoxicated.
(b) No pawnbroker licensed under this chapter shall purchase outright any secondhand goods for the purpose of resale without first obtaining a license to deal in secondhand goods as required by this code.
(Code 1994 § 10-152; Code 1965 § 17-76)
State law reference(s) – Similar provisions, § 12-56-104, C.R.S.