Chapter 5.65
PAWNBROKERS AND SECOND-HAND DEALERS
Sections:
5.65.040 Holds on stolen property.
5.65.050 Transcripts to be furnished.
5.65.060 Transaction regulations.
5.65.070 Legal action – Recovery of attorney’s fees.
5.65.080 Licenses required – Fee, location and number.
5.65.090 Application for license.
5.65.100 Purchase from minors.
5.65.110 Penalty for violations.
5.65.120 Violations – Prosecution as principal.
5.65.010 Definitions.
Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
A. “Melted metals” means metals derived from metal junk or precious metals that have been reduced to a melted state from other than ore or ingots, which are produced from ore, that has not previously been processed.
B. “Metal junk” means any metal that has previously been milled, shaped, stamped or forged and that is no longer useful in its original form except precious metals.
C. “Nonmetal junk” means any nonmetal, commonly discarded item that is worn out, or has outlasted its usefulness as intended in its original form except nonmetal junk does not include an item made in a former period which has enhanced value because of its age.
D. “Pawnbroker” shall mean and include every person engaged, in whole or in part, in the business of loaning money on the security of pledges, deposits or conditional sales of personal property. No person may operate as a pawnbroker unless the person maintains a fixed place of business within the City.
E. “Pawnshop” shall mean and include every place at which the business of pawnbroker is being carried on.
F. “Precious metals” means gold, silver and platinum.
G. “Second-hand dealer” means every person engaged in whole or in part in the business of purchasing, selling, trading, consignment selling or otherwise transferring for value, second-hand property including metal junk, melted metals, precious metals; whether or not the person maintains a fixed place of business within the City.
H. “Second-hand property” means any item of personal property offered for sale which is not new; including metals in any form, except postage stamps, coins that are legal tender, bullion in the form of fabricated hallmarked bars and clothing of a resale value of $75.00 or less; except furs.
I. “Transaction” means a pledge, purchase or consignment by a pawnbroker or a second-hand dealer from a member of the general public. (Ord. 1570 § 1, 1984).
5.65.020 Exclusions.
The provisions of this chapter do not apply to transactions conducted by the following:
A. Motor vehicle dealers licensed under Chapter 46.70 RCW;
B. Motor vehicle wreckers or hulk haulers licensed under Chapter B4274;
C. Persons giving an allowance for the trade-in or exchange of second-hand property on the purchase of other merchandise of the same kind of greater value; and
D. Persons in the business of buying empty food and beverage containers or nonmetal junk. (Ord. 1570 § 1, 1984).
5.65.030 Recordkeeping.
Every pawnbroker and second-hand dealer doing business in this City shall maintain, wherever that business is conducted, a record in which shall be legibly written in the English language, at the time of each transaction the following information:
A. The signature of the person with whom the transaction is made;
B. The date of the transaction;
C. The name of the person or employee conducting the transaction (same);
D. The name, date of birth, sex, height, weight, race and address of the person with whom the transaction is (had) made;
E. The type and identifying number of identification used by the person with whom the transaction is made, which shall consist of a valid driver’s license or identification card issued by any state, or two pieces of identification issued by a governmental agency; one of which shall be descriptive of the person identified;
F. The nature of the transaction, a number identifying the transaction, the name and address of the business conducting the transaction and the location of the property;
G. A complete description of the property pledged, bought or consigned: including the brand name, serial number, model number, initials, engravings, size, patterns and color. And in the case of firearms: the caliber, barrel length, type of action and whether it is a pistol, rifle or shotgun;
H. The price paid or amount loaned.
This record shall at all times during the ordinary hours of business, or at reasonable times, if ordinary hours of business are not kept; be open to the inspection of any commissioned law enforcement officer of the state or any of its political subdivisions, and shall be maintained wherever that business is conducted for three years following the date of the transaction. (Ord. 1570 § 1, 1984).
5.65.040 Holds on stolen property.
Following notification from a law enforcement agency that an item of property has been reported as stolen, the pawnbroker or second-hand dealer shall hold that property intact and safe from alteration, damage, or commingling. The pawnbroker or second-hand dealer shall place an identifying tag or other suitable identification upon the property so held. Property held shall not be released for 120 days from the date of police notification unless released by written consent of the applicable law enforcement agency or by order of a court of competent jurisdiction. The pawnbroker or second-hand dealer shall give 10 days written notice before the expiration of the 120-day holding period to the applicable law enforcement agency about the stolen property. If notice is not given within the required 10-day period, then the hold on the property shall continue for an additional 120 days. The applicable law enforcement agency may renew the holding period for additional 120-day periods as necessary. (Ord. 1570 § 1, 1984).
5.65.050 Transcripts to be furnished.
A. Upon request every pawnbroker and second-hand dealer doing business in the City shall furnish or mail within 24 hours to the Chief of Police of the City, on such forms as are provided by the Chief of Police, a full, true and correct transcript of the record of all transactions conducted on the preceding day within the jurisdiction of the Chief of Police.
B. If a pawnbroker or second-hand dealer has good cause to believe that any property in his or her possession has been previously lost or stolen, the pawnbroker or second-hand dealer shall promptly report that fact to the Chief of Police; together with the name of the owner, if known, and the date when and the name of the person from whom it was received (by him). (Ord. 1570 § 1, 1984).
5.65.060 Transaction regulations.
A. Second-Hand Dealers.
1. Property bought or received on consignment by a second-hand dealer with a permanent place of business in the City shall not be removed from that place of business, except consigned property returned to the owner, within 15 days after the receipt of the property. Property shall at all times during the ordinary hours of business be open to inspection to any commissioned law enforcement officer of the state or any of its political subdivisions.
2. Property bought or received on consignment by a second-hand dealer without a permanent place of business in the City, shall be held within the city or county in which the property was received, except consigned property returned to the owner, for 15 days after receipt of the property. The property shall be available within the appropriate jurisdiction for inspection at reasonable times by any commissioned law enforcement officer of the state or any of its political subdivisions.
B. Pawnbrokers.
1. Property bought or received in pledge by any pawnbroker shall not be removed from that place of business, except when redeemed by the owner within 15 days after the receipt of the property. Property shall at all times during the ordinary hours of business be open to inspection to any commissioned law enforcement officer of the state or any of its political subdivisions.
2. All pawnbrokers are authorized to charge and receive interest and other fees for money loaned on the security of personal property actually received in pledge as provided by Chapter 19.60 RCW.
3. A pawnbroker shall not sell any property received in pledge within 90 days after the term of the loan expires. However, if a pledged article is not redeemed within the 90-day period, the pawnbroker has all rights, title and interest of the pledgor or the pledgor’s assigns.
4. Every transaction entered into by a pawnbroker shall be evidenced by a written document, a copy of which shall be furnished to the pledgor. The document shall set forth the loan period, the date on which the loan is due and payable, and shall inform the pledgor of the pledgor’s right to redeem the pledge within 90 days after the expiration of the loan term. (Ord. 1570 § 1, 1984).
5.65.070 Legal action – Recovery of attorney’s fees.
In an action brought by an owner to recover goods in the possession of a pawnbroker or second-hand dealer, the prevailing party is entitled to reasonable attorney’s fees and costs. (Ord. 1570 § 1, 1984).
5.65.080 Licenses required – Fee, location and number.
A. It shall be unlawful for anyone to engage in the business of pawnbroker, pawnshop or secondhand dealer without first having obtained a license therefor as required by the current business license ordinance. The licenses required under this chapter are separate from and in addition to the business license that may be required under Chapter 5.05 MTMC when applicable.
B. Said license shall not be assignable or transferable. All licenses are subject to revocation by the City Council for cause or for any violation of the laws of the state of Washington or the ordinances of the City of Mountlake Terrace. All renewals shall be granted in the absence of the prior submission of such application to the Chief of Police who may add such comments as he deems appropriate.
C. No license for a pawnshop or pawnbroker or secondhand dealer shall be issued to conduct said business in any area of the City outside the area zoned BC as defined in the Zoning Code and Comprehensive Plan of the City of Mountlake Terrace.
D. No license for a pawnshop or pawnbroker or secondhand dealer shall be issued hereafter, which would increase the number of such holders of such license to more than one for every 15,000 population or portion thereof, according to the last preceding census and approval of the City Manager. (Ord. 2764 § 14, 2019; Ord. 1570 § 2, 1984).
5.65.090 Application for license.
Application for pawnbroker or pawn shop or second-hand dealer’s license shall be in writing filed with the City Clerk on forms furnished by the City Clerk and shall be accompanied by the required fee. The application shall be referred to the Police Department for recommendation to the City Manager, which may thereafter direct issuance. (Ord. 1570 § 3, 1984).
5.65.100 Purchase from minors.
Purchases from persons under 18 years of age are prohibited. (Ord. 1570 § 4, 1984).
5.65.110 Penalty for violations.
Any person violating or failing to comply with any of the provisions of this title shall be deemed guilty of a misdemeanor, and upon conviction thereof, shall be punished by a fine in any sum not exceeding $300.00. (Ord. 1570 § 5, 1984).
5.65.120 Violations – Prosecution as principal.
Every person concerned in any act or omission in violation of this title, whether he directly performs or omits to perform any act in violation of this chapter, or aids or abets the same, whether present or absent, and every person who directly or indirectly counsels, encourages, hires, commands, induces or otherwise procures another to commit such violation is, and shall be, a principal under the terms of this title and shall be proceeded against and prosecuted as such. (Ord. 1570 § 6, 1984).