Chapter 5.52
CLOSING-OUT AND SPECIAL SALES
Sections:
5.52.020 Inventory – Required.
5.52.040 Inventory – Contents.
5.52.050 Inventory – Verification.
5.52.010 License – Required.
(1) It is unlawful in advertising or conducting any sale of goods, wares or merchandise to represent such sale as a “closing-out sale,” “going out of business sale,” “liquidation sale,” “quitting business sale,” or any other expression or characterization which conveys the same or similar meaning or leads the public to believe that such sale is in anticipation of termination of a business, without first having filed with the city clerk the inventory provided for in this chapter and having obtained a license so to do, to be known as a “closing-out sale license”; provided, that any sale, the advertising or conduct of which clearly indicates the intent of closing out only a specific line, type, model or make of merchandise of a business shall not be subject to the requirements of this section.
(2) Only one such license shall be issued to any person for the same or a similar business at the same location and no such license shall be issued to any person who has not been in the business to be closed out at the same location for a period of at least six months. (Ord. 893 § 1, 1976).
5.52.020 Inventory – Required.
It is unlawful in advertising or conducting any sale of goods, wares or merchandise to represent such sale as a “fire sale,” “smoke damage sale,” “water damage sale,” “loss of lease sale,” “demolition sale,” “bankrupt stock sale,” “moving sale,” “forced to vacate sale,” or any other expression or characterization which conveys the same or similar meaning without first having filed with the city clerk the inventory provided for in this chapter and having obtained a license so to do, to be known as a “special sale license.” (Ord. 893 § 2, 1976).
5.52.030 License – Fee.
The fee for a “closing-out sale license” or a “special sale license” shall be as follows: for a period not exceeding 30 days, $50.00; for a period not exceeding 60 days, $100.00; and for a period not exceeding 90 days, $150.00. No “closing-out sale license” or “special sale license” shall be issued for a period exceeding 90 days. (Ord. 893 § 3, 1976).
5.52.040 Inventory – Contents.
(1) The inventory required by MMC 5.52.010 and 5.52.020 shall be complete and accurate as to the stock of goods, wares and merchandise to be sold at any sale for which a “closing-out sale license” or “special sale license” is required, and shall be in such form and detail as may be required by the city clerk for the purpose of verifying such inventory as hereinafter provided and determining compliance with this chapter. Such inventory shall be signed by the person seeking the license, or by an authorized resident agent, and by affidavit he or such agent shall swear or affirm that the information therein given is full and true, and known by him or such agent to be so.
(2) 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 place of business, or to make any replenishments or additions to such stock for the purpose of such sale, or during the time thereof, to fail, neglect or refuse to keep accurate records of the articles or things sold, from which records the city clerk may ascertain the kind and quantity or number sold. (Ord. 893 § 4, 1976).
5.52.050 Inventory – Verification.
The city clerk or any person designated by him may in his discretion verify the details of an inventory filed for the purpose of obtaining a “closing-out sale license” or “special sale license,” or may make a check and verify the items of merchandise sold during the sale, and it is unlawful for any person to whom a “closing-out sale license” or “special sale license” has been issued to fail or refuse to give the city clerk or any person designated by him for that purpose all the facts connected with the stock on hand or the proper information on goods sold, or any other information that he may require in order to make a thorough investigation of all phases connected with the sale. (Ord. 893 § 5, 1976).
5.52.060 Applicability.
The provisions of this chapter shall be applicable to “closing-out sales” or “special sales” which are in progress on the effective date of the ordinance codified in this chapter; provided, however, that the licenses and inventory required under this chapter need not be obtained in such cases for a period of 10 days following the effective date of the ordinance codified in this chapter. Application for a “closing-out sale license” or “special sale license” in a case where such sale was in progress on the effective date of the ordinance codified in this chapter shall indicate the date on which such sale commenced, and the term of the license as provided in MMC 5.52.030 shall be adjusted as if it were effective on the date such sale commenced. The fee for such licenses, as provided in MMC 5.52.030, shall be prorated to reflect the portion of the license term which is subsequent to the effective date of the ordinance codified in this chapter. The inventory required by MMC 5.52.040 shall show the stock of goods, wares and merchandise as of the date of application for the license. (Ord. 893 § 6, 1976).
5.52.070 Exemptions.
The provisions of this chapter shall not be applicable to trustees in bankruptcy, executors, administrators, receivers or public officers acting under judicial process. (Ord. 893 § 7, 1976).
5.52.080 License – Denial.
In addition to such other grounds as may be provided by this chapter, the city clerk may refuse to issue a “closing-out sale license” or “special sale license” if he has good reason to believe that the applicant has falsified any material fact in his application or any inventory filed therewith, and if he finds that any licensee has violated any provision of this chapter, or any law or ordinance relating to fraud or misrepresentation, he shall make a written record of such finding and may immediately revoke or suspend such license. The applicant may appeal such acts by the city clerk by filing a notice of appeal within 10 days following such acts. The appeal shall be heard and determined by the city council within two weeks of filing of said notice of appeal. (Ord. 893 § 8, 1976).
5.52.090 Violation – Penalty.
Any person violating or failing to comply with any of the provisions of this chapter shall, upon conviction thereof, be punished by a fine in a sum not to exceed $300.00 or by imprisonment in jail for a term not exceeding 90 days, or by both such fine and imprisonment. (Ord. 893 § 9, 1976).