Chapter 7.16
AUCTIONS AND AUCTIONEERS*
Sections:
7.16.010 Closing out sale license required.
7.16.020 Definitions.
7.16.030 Inventory—Contents—False statements unlawful.
7.16.040 License—Term—Fees.
7.16.050 Inspection of premises.
7.16.060 Exceptions to Sections 7.16.010 through 7.16.050.
7.16.070 License—Exemptions.
7.16.080 Auction—Sale of personal property—Auctioneer’s license required.
7.16.090 Auctioneer’s license—Revocation—Fee.
7.16.100 Auctioneer’s license—Bond required.
7.16.110 Conducting auction at other than stated place—Special permit required.
7.16.120 Exceptions to Sections 7.16.080 through 7.16.110.
* For the statutory provisions regarding the keeping of records by auctioneers and the regulation of auctions of jewelry and appliances, see RCW Chapters 18.11 and 18.12 respectively.
7.16.010 Closing out sale license required.
It is unlawful for any person to advertise or conduct any auction, sales of distressed goods, removal or closing out sale without first filing with the city clerk the inventory hereinafter provided for and obtaining from him a license for such sale or auction, to be known as a “closing out sale license.” This license is in addition to a city business license that may be required under Chapter 7.02. (Ord. 4658 § 16, 2018: Ord. 678 § 1, 1955)
7.16.020 Definitions.
(a) “Closing out sale,” as used in Sections 7.16.010 through 7.16.070, means a sale advertised, represented or held out as such, arising from a future, actual or contemplated cessation of business, providing, however, that the closing out of a line or type of merchandise not resulting in a cessation of the entire business shall not be deemed a closing out sale.
(b) “Distressed goods, wares or merchandise,” as used in Sections 7.16.010 through 7.16.070, includes all goods, wares and merchandise advertised as an insurance, bankruptcy, mortgage, insolvent, assignee’s, executor’s, administrator’s, receiver’s, or trustee’s sale of goods, wares and merchandise, or a sale or goods, wares and merchandise advertised as damaged by fire, smoke, water or otherwise, or a sale of goods, wares and merchandise advertised as obtained by, through, as the result of, or by reason of any of the above-named situations or contingencies.
(c) “Removal sale,” as used in Sections 7.16.010 through 7.16.070, means a sale, advertised, represented, or held out as such, arising from a future, actual, or contemplated moving of a business from its present location to a new location, whether the new location is in the city of Kirkland or elsewhere. (Ord. 678 § 2, 1955)
7.16.030 Inventory—Contents—False statements unlawful.
The inventory required for securing the license herein provided for shall contain a complete and accurate list of the stock of goods, wares and merchandise to be sold at any sale for which a license is hereby required, together with the wholesale price thereof; which inventory or list shall be signed by the person seeking the license, or by a resident agent thereunto authorized, and by affidavit at the foot thereof, the applicant or his agent shall swear or affirm that the information therein given is full and true and known by him to be so. It is unlawful to sell, offer or expose for sale at any such sale, or to list on such inventory any goods, wares or merchandise which are not the regular stock of the store or other place, the business of which is to be closed out by such sale, or to make any replenishments or additions to such stock for the purposes of such sale or during the time thereof, or to fail, neglect or refuse to keep accurate records of the articles or things sold, from which records the director of finance and administration may ascertain the number or the kind and quantity sold. Commingling of additional merchandise with that inventory shall cause the merchandise inventory to lose its identity as distressed goods, and any license issued shall cease to apply to the sale of such goods. If the inventoried stock shall be offered for sale on the same premises with other stock by the same person, firm or corporation, the same shall be deemed to be commingled. (Ord. 4416 § 42, 2013: Ord. 3573 § 54, 1997: Ord. 678 § 3, 1955)
7.16.040 License—Term—Fees.
All licenses issued for the sale of goods, wares or merchandise at auction, by sale of distressed goods, or removal or closing out sale, shall be valid for a period of not exceeding thirty days unless renewed as hereinafter provided. The fee for such license is fixed as follows: The sum of twenty-five dollars plus two dollars for each one thousand dollars or fraction thereof of value of inventory submitted pursuant to Sections 7.16.010 through 7.16.070. Upon expiration of the thirty-day period, the director of finance and administration may extend such license on a daily basis upon the payment of an additional license fee of twenty-five dollars per day, which license shall continue in effect only so long as this daily license fee is paid and the licensee shall comply with the provisions of Sections 7.16.010 through 7.16.070. Auction sales shall be subject to an additional license fee of twenty-five dollars per day and shall be limited to a period of not exceeding thirty days. (Ord. 4416 § 43, 2013: Ord. 3573 § 55, 1997: Ord. 678 § 4, 1955)
7.16.050 Inspection of premises.
All premises used for such licensed sales shall be at all times open to inspection by any employee of the city required to enforce Sections 7.16.010 through 7.16.070, or by any expert or accountant designated by the chief of police in order to ascertain whether any infraction of any provision of Sections 7.16.010 through 7.16.070 has taken place, or is taking place therein. (Ord. 678 § 5, 1955)
7.16.060 Exceptions to Sections 7.16.010 through 7.16.050.
Sections 7.16.010 through 7.16.050 shall not apply to public or court officers, or to any person acting under the direction of state or federal court in the course of their official duties. (Ord. 678 § 6, 1955)
7.16.070 License—Exemptions.
The licensing provisions of Sections 7.16.010 through 7.16.050 shall not apply to any bona fide clearance sale by local merchants having suffered damage from fire or water, or by any bona fide local merchant actually engaged in a cessation or termination of his business. Such local merchants, as by this section are excluded from the licensing provision, shall, however, file the inventory as required by Sections 7.16.010 through 7.16.050. (Ord. 678 § 7, 1955)
7.16.080 Auction—Sale of personal property—Auctioneer’s license required.
No personal property including, but not by way of limitation, goods, wares or merchandise shall be sold at auction in the city, except in compliance with the provisions of Sections 7.16.090 through 7.16.120. It is unlawful to sell or cause or permit to be sold at auction any personal property in the city, unless such sale is conducted by an individual who has applied for and obtained an auctioneer’s license from the city. (Ord. 1073 § 1, 1967)
7.16.090 Auctioneer’s license—Revocation—Fee.
The issuance and revocation of auctioneer’s licenses shall be governed by Sections 7.20.030, 7.20.040 and 7.20.080 of this title. The annual license fee for an auctioneer’s license shall be one hundred dollars. The fee for a license issued for a period of less than one year shall be at the rate of twenty-five dollars per day. (Ord. 1073 § 2, 1967)
7.16.100 Auctioneer’s license—Bond required.
Every applicant for an auctioneer’s license shall file with the city a surety bond running to the city in the amount of one thousand dollars, with surety acceptable to, and approved by the city, conditioned that the applicant, if issued an auctioneer’s license, will comply fully with all the provisions of the ordinances of the city and the statutes of the state of Washington regulating and concerning auctions and auctioneers; will render true and strict accounts of all his sales to any person or persons employing him to make the same; will not practice any fraud or deceit upon bidders or purchasers of property from him at any auction sale, or suffer or permit any person in his employ to practice any such fraud or deceit, and will pay all damages which may be sustained by any person, by reason of any fraud, deceit, negligence, or other wrongful act upon the part of the licensee, his agent or employees in the conduct of any auction, or in the exercise of the calling of auctioneer. A liability insurance policy issued by an insurance company authorized to do business in the state of Washington, which conforms to the above requirements, may be permitted by the city council in its discretion in lieu of a bond. (Ord. 1073 § 3, 1967)
7.16.110 Conducting auction at other than stated place—Special permit required.
No auction sale of personal property shall be conducted at any place other than the premises designated by the licensee in his application as his place of business, except upon the issuance of a special permit. Application for such special permit shall state the nature and the quantity of goods to be sold and the number of days during which it is desired to conduct such sale. Such permit may be refused or revoked by the city manager if he determines that there is good and sufficient reason for such refusal or revocation. Any individual aggrieved by the action of the city manager in refusing to issue or renew or in revoking any such special permit shall have the right of appeal to the city council in the manner prescribed in Section 7.20.080 of this title. No special permit shall issue to any individual except one to whom an auctioneer’s license has theretofore been issued under the provisions of Sections 7.16.080 through 7.16.100. (Ord. 1073 § 4, 1967)
7.16.120 Exceptions to Sections 7.16.080 through 7.16.110.
The provisions of Sections 7.16.080 through 7.16.110 shall not be applicable to auction sales conducted by trustees or referees in bankruptcy, executors, administrators, receivers or other public officials acting under judicial process, nor to the sale of real property at auction, nor to sales conducted for charitable purposes. (Ord. 1073 § 5, 1967)