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Borough of Spotswood, NJ
Middlesex County
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Table of Contents
Table of Contents
[Adopted 10-15-2012 by Ord. No. 2012-12]
As used in this article, the following terms shall have the meanings indicated:
DEALER
Any person, partnership or corporation who, through any means, buys or sells gold, silver, precious metals or jewelry, and includes anyone advertising the purchase or sale of any of the aforementioned items.
REGULATED ACTIVITY
The purchase of any item containing gold or silver or gems or any other precious metals, except for coins, for subsequent resale purposes and not for personal use.
USED ITEM CONTAINING GOLD OR SILVER
Any item containing gold or silver previously sold or transferred to a consumer for the personal use or enjoyment of such consumer.
A. 
No individual, person, partnership or corporation shall engage in business of purchasing precious metals and gems, and all forms of previously owned jewelry without first obtaining a zoning permit from the Borough of Spotswood Zoning Officer and a license from the Borough of Spotswood Clerk. The license shall bear a number issued by the Borough Clerk and shall be prominently displayed within the licensed premises.
B. 
An application for such license shall be filed with the Borough Clerk and shall be accompanied by a license fee of $200 for the initial application and $50 for each annual renewal for each premises on which the regulated activity is to be conducted.
C. 
Each licensee shall deliver a bond to the Borough Clerk executed by the applicant as principal, with a surety company authorized to do business under the laws of the State of New Jersey as to surety. The bond, to be approved by the Borough Attorney, shall be in the penal sum of $10,000, conditioned upon the due and proper observance of and compliance with the provisions and requirements of all ordinances of the Borough in force or which may be adopted respecting the conduct of this business and conditioned also that the bond shall be and remain for the benefit of any person or persons who shall have received judgment against any person licensed under this chapter by reason of any damage sustained by any such person as having made a sale to such licensee, due to dishonesty, fraud or deceit practiced in effecting purchase.
D. 
Each license shall expire on December 31 of the year in which it is issued.
Upon receipt of an application and fee pursuant to, the Borough Clerk shall refer such application to the Chief of Police, who shall institute such investigation of the applicant's moral character and business responsibility as deemed necessary for the protection of the public welfare. The applicant shall sign a waiver authorizing a criminal history check to be conducted by the Borough of Spotswood Police Department. Upon completion of the investigation, the Chief of Police shall return the application or a copy thereof to the Borough Clerk, within a reasonable period of time, accompanied by his recommendations as to whether the license should be issued or denied. If the recommendation is to deny the license, the grounds for such recommendation shall be stated. Grounds for recommending denial of a license may include information indicating that the applicant is not of good moral character or is of questionable business responsibility, and a recommendation of denial shall be given if the applicant has been convicted of any crime or disorderly persons offense involving dishonesty, fraud, deceit or misrepresentation or for failure to execute a waiver authorizing a criminal history check to be conducted. Upon receipt of the recommendation of the Chief of Police, the Borough Clerk shall issue or deny the license accordingly. If the license is denied, 75% of the fees shall be returned to the applicant, the balance going to offset the cost of the investigation. Any person aggrieved by such denial may appeal to the Borough Council, which may affirm, reverse or modify the decision.
A. 
Each dealer shall record in a bound book, non-loose-leaf form, with all pages numbered in sequence, entries of receipts and disbursements to be made in pen or ink. There shall be no space between entries and each entry shall be numbered in sequence. All such ledgers shall be made available for inspection by any law enforcement official of the Borough of Spotswood upon request and shall contain the following information:
(1) 
In the case of purchase:
(a) 
The name and address of the seller of the item.
(b) 
Signature of the seller.
(c) 
A complete description and color photo of each item bought.
(d) 
The date and hour of purchase.
(e) 
Identification used and number, such as driver's license; credit card.
B. 
The licensee shall, within 24 hours of the transaction, submit to the Borough Police Department the record of sale or trade of precious metals by fax or hand delivery.
C. 
These records shall be retained by the dealer for a period of one year and shall be subject to the inspection of any authorized police officer of the Borough of Spotswood.
A. 
Each dealer shall retain within the Borough, all merchandise in the form in which it was purchased for a period of at least seven days.
B. 
No transaction may be made with any person under the age of 19.
C. 
Each dealer must require two forms of identification of the person with whom it is transacting business.
D. 
All licensees shall be mandated to obtain from each person offering items for sale a clear photo identification of that person, along with the individual's current address, personal information and signature. All licensees under this section shall be required to maintain a photocopy machine or digital camera at their place of business and use such equipment to acquire a clear and viewable photocopy from the identification. This information shall be submitted to the Borough of Spotswood Police Department.
E. 
No person, firm or corporation shall, under any circumstances, go from house to house soliciting the purchase of old gold, old silver or other precious metals.
Any person or persons, as defined above, who violates any provision of this article shall, upon conviction thereof, be punished by a fine of not more than $2,000 or be imprisoned for not more than 90 days, or both, at the discretion of the Municipal Judge. A separate offense shall be deemed committed in each day during or in which a violation occurred or continues.