Wright City, MO
Warren County
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Table of Contents
Table of Contents

Section 625.010 Authority.

[Ord. No. 806 § I, 9-26-2013]
The City of Wright City is authorized to provide for the licensing and regulation of pawnbrokers and those dealing in jewelry, coins and precious stones pursuant to the provisions of Sections 79.450, 94.270 and 367.011 through 367.060, RSMo., as amended.

Section 625.020 Definitions.

[Ord. No. 806 §I, 9-26-2013]
As used in this Chapter, the following words shall have the following meanings:
GOOD MORAL CHARACTER
Shall mean a person whose background check does not include a felony or misdemeanor conviction which directly relates to the duties and responsibilities of the occupation of pawnbroker, including but not limited to the offenses related to controlled substances, receiving stolen goods, theft, burglary or robbery, embezzlement, forgery, extortion, gambling or bribery.
MONTH
That period of time from one date in a calendar month to the corresponding date in the following calendar month, but if there is no such corresponding date, then the last day of such following month, and when computations are made for a fraction of a month, a day shall be one-thirtieth (1/30) of a month.
NET ASSETS
The book value of the current assets of a person or pawnbroker less its applicable liabilities as stated in this definition. Current assets include the investment made in cash, bank deposits, merchandise inventory, and loans due from customers excluding the pawn service charge. Current assets do not include the investments made in fixed assets of real estate, furniture, fixtures, or equipment; investments made in stocks, bonds, or other securities; or investments made in prepaid expenses or other general intangibles. Applicable liabilities include trade or other accounts payable; accrued sales, income, or other taxes; accrued expenses; and notes or other payables that are unsecured or secured in whole or part by current assets. Applicable liabilities do not include liabilities secured by assets other than current assets. Net assets must be represented by a capital investment unencumbered by any liens or other encumbrances to be subject to the claims of general creditors.
PAWNBROKER
Any person engaged in the business of lending money on the security of pledged goods or engaged in the business of purchasing tangible personal property on condition that it may be redeemed or repurchased by the seller for a fixed price within a fixed period of time.
PAWNSHOP
The location at which or premises in which a pawnbroker regularly conducts business.
PERSON
An individual, partnership, corporation, joint venture, trust, association or any other legal entity however organized.
PLEDGED GOODS
Tangible personal property other than choses in action, securities, or printed evidences of indebtedness, which property is deposited with or otherwise actually delivered into the possession of a pawnbroker in the course of his business in connection with a pawn transaction.
SECURED PERSONAL CREDIT LOAN
Every loan of money made in this State, the payment of which is secured by a security interest in tangible personal property which is physically delivered into the hands of the lender at the time of the making of the loan and which is to be retained by the lender while the loan is a subsisting obligation.

Section 625.030 License Required.

[Ord. No. 806 §I, 9-26-2013]
A. 
No person or corporation shall conduct or operate the business of pawnbroker without having first obtained a license therefor as provided in this Chapter.
B. 
In addition to any other penalty which may be applicable, including revocation or suspension of any license, any person who operates a pawnshop pursuant to a license issued pursuant to this Chapter and/or operates a pawnshop pursuant to Sections 367.011 to 367.060, RSMo., who willfully violates any provision of this Chapter or Sections 367.011 to 367.060, RSMo., or who willfully makes a false entry in any records specifically required by this Chapter or Sections 367.011 to 367.060, RSMo., shall be guilty of a misdemeanor and upon conviction thereof shall be punishable by a fine not in excess of five thousand dollars ($5,000.00), or by confinement in jail for not more than six (6) months, or by both such fine and imprisonment. Upon the second conviction of the offense described in this Section, in addition to being punishable by fine or imprisonment, the person's pawnshop license shall be permanently revoked; except that there shall be no penalty for a violation resulting from an accidental and bona fide error, where such error is corrected upon discovery.
C. 
Any person who violates the provisions of Section 367.050.2, RSMo. shall be permanently prohibited from securing or holding a valid pawnshop license.

Section 625.040 Application; Investigation; Approval or Denial.

[Ord. No. 806 §I, 9-26-2013]
A. 
Application Required. Application for a new, renewal, or transfer of a pawnbroker's license shall be made to the City Clerk. The issuance of a Pawnshop license for the applicable license period shall not create an automatic right to the reissuance of a Pawnshop license after any license period expires. Every application, whether it is for a new license, renewal of a license or transfer of a license, shall be reviewed for compliance with the provisions of this Chapter and State law for the ensuing license period as provided in this Chapter and requires an application as provided in this Section.
B. 
Application Contents. The application for a Pawnshop license shall be available from the City Clerk. The application shall require a Notary and shall be under oath. Each applicant shall be required to state under oath thereon the full name of and place of residence of the applicant; the place of business; and the number of employees intended to be engaged. If the applicant is a partnership, the applicant must state the full name and address of each member. If the applicant is a corporation, the applicant shall state the full name and address of each officer, shareholder, and director. The application shall also be accompanied by:
1. 
A signed authorization form, which shall be part of the under oath affirmation section on the last page of the application available from the City Clerk, authorizing the City Police Department to run a background check on the applicant(s) and provide a set of fingerprints for all applicant(s) which shall have been taken by the Wright City Police Department or a statement from the applicant that the applicant has submitted fingerprints required by this Section; if the applicant is a partnership, such authorization must be signed by each member; if the applicant is a corporation, such authorization must be signed by all officers and directors;
2. 
Pursuant to Section 367.043, RSMo., an investigation fee of five hundred dollars ($500.00) if the applicant is unlicensed to operate a pawnshop at the time of applying for the Pawnshop license or two hundred fifty dollars ($250.00) if the application involves a second or additional pawnshop license to an applicant previously licensed for a separate location or involves substantially identical principals and owners of a licensed Pawnshop at a separate location;
3. 
Proof of general liability insurance;
4. 
A bond satisfactory to the City in an amount of five thousand dollars ($5,000.00) for each license with a surety company qualified to do business in this State;
5. 
Proof that the applicant has net assets;
6. 
A statement that the applicant is familiar with the obligations and requirements of this Chapter and Sections 367.011 to 367.060, RSMo. and will operate the Pawnshop lawfully and fairly within the purposes of such laws; and
7. 
The annual license fee required by Section 367.043, RSMo., and Section 625.050.
C. 
Background Check. Upon receiving a complete application, the City Clerk shall send to the Chief of Police the authorization form and set of fingerprints or statement that the applicant(s) have already submitted his/her/their fingerprints to the Police Department. After receiving from the City Clerk the authorization form signed by all applicable applicants and either a set of fingerprints or such statement, the Chief of Police or other officer of the City designated by the Board of Aldermen shall cause a background check to be run on the applicant. The Chief of Police or other person who caused the background check to be run shall review such results and report in writing to the City Clerk whether the applicable applicants are of good moral character, as defined in this Chapter.
D. 
License Approval. The City Clerk shall approve the issuance of a new or renewal Pawnshop license or allow transfer of such Pawnshop license if the City Clerk determines that the applicant:
1. 
Is of good moral character (which shall be determined based upon the background check);
2. 
Has proved that the applicant has net assets of at least fifty thousand dollars ($50,000) readily available for use in conducting business as a Pawnshop for each licensed Pawnshop. If the City Clerk is unable to verify that the applicant meets the net assets requirement for a licensed Pawnshop based on the information provided in the application, the City Clerk may, at the sole cost of the applicant, require a finding including requiring an independent certified public accountant to provide a current balance sheet and written statement that the accountant has reviewed the books and records of the applicant and that the applicant meets the net assets requirement of this Section; and
3. 
Has sworn that the Pawnshop will be operated lawfully and fairly within the purposes of Sections 367.011 to 367.060, RSMo. and this Chapter.
E. 
License Denial. The City Clerk shall deny the application for a Pawnshop license, whether for a new, renewal or transfer of a Pawnshop license, if the applicant fails to satisfy any of the requirements of Section 625.040(A) through (D). In addition to failure to meet the requirements of Subsections (A) through (D) above, the City Clerk may also deny the renewal of or transfer of a license if the applicant for a licensed business was operating during the preceding licensing period in contravention of this Chapter or Sections 367.011 to 367.060, RSMo., has been found to have violated Section 367.050, RSMo., has failed to pay any other fees or taxes due and owing to the City, has operated or continues to operate in violation of this Chapter or any State or Federal law. Upon denial of any application, the City Clerk shall return any bond provided with the applicant's application, and shall refund the applicant's annual license fee that was submitted with the application, provided the applicant is not otherwise indebted to the City. No hearing is required for a denial of an application whether for an initial Pawnshop license or renewal of a Pawnshop license.

Section 625.050 Annual Fee; Term.

[Ord. No. 806 §I, 9-26-2013]
In addition to the investigation fee, the annual fee for a pawnbroker's license shall be five hundred dollars ($500.00) per annum as mandated by Section 367.043, RSMo.; provided that, no license shall be issued for less than six (6) months, and no license shall be issued until the fee is paid. This license fee shall be due on the first day of January of each year.

Section 625.060 Separate License For Each Location.

[Ord. No. 806 §I, 9-26-2013]
A. 
No pawnbroker shall be allowed to have more than one (1) place for transacting the business of a pawnbroker without having first obtained a license for such place of business.
B. 
No person shall act as agent for a pawnbroker at any other place than the place of business stated in the application for a license.

Section 625.070 Change of Address.

[Ord. No. 806 §I, 9-26-2013]
In the event a licensee under this Chapter shall change any of the address stated in the application during the term for which the license is issued, such licensee shall notify the license collector of such change not later than one (1) day after such change.

Section 625.080 Revocation or Suspension of License.

[Ord. No. 806 §I, 9-26-2013]
A. 
Any license issued under this Chapter may be revoked or suspended for any violation of any provision of this Chapter or Sections 367.011 to 367.060, RSMo., subject to the following procedures:
1. 
Immediate Suspension Procedure. If the Chief of Police believes that the safety, morals or peace of the residents of the City are immediately affected by a suspected violation of any provisions of this Chapter or Sections 367.011 to 367.060, RSMo., he/she may immediately suspend the license. The suspended licensee shall not conduct business during such suspension. A hearing before the Board of Aldermen and Mayor shall be conducted within five (5) days following the suspension. After such hearing where evidence is presented, the Mayor and Board of Aldermen after consideration of all evidence may revoke such license, continue the suspension, overturn the suspension, or take such other action as may be appropriate under the circumstances.
2. 
Suspension And Revocation Procedure. If the Chief of Police believes that the suspected violation is not of such imminent hazard to the safety, morals or peace of the residents of the City, he/she shall cause a hearing to be scheduled prior to taking any suspension or revocation action. The licensee shall be given at least ten (10) days' notice of the hearing. At such hearing the licensee shall show cause why the license should not be suspended or revoked. After such hearing where evidence is presented, the Mayor and Board of Aldermen after consideration of all evidence may suspend or revoke such license or take no action.

Section 625.090 Compliance With Chapter Required.

[Ord. No. 806 §I, 9-26-2013]
No person or corporation shall conduct or operate a business of pawnbroker in violation of any of the provisions of this Chapter or Sections 367.011 to 367.060, RSMo., as amended.

Section 625.100 Register To Be Kept; Receipt For Pledged Property; Database; Lost Receipt.

[Ord. No. 806 § I, 9-26-2013]
A. 
The pawnbroker shall keep a computerized register of all items pawned at each Pawnshop, and such register shall contain the information listed in Subsection (C) of this Section pursuant to and in accordance with Section 367.031, RSMo., and the pawnbroker shall provide access to appropriate law enforcement officials and is authorized to charge reasonable costs pursuant to and in accordance with Section 367.031, RSMo.
B. 
The pawnbroker shall use sequentially numbered, computerized or preprinted receipts, which shall identify and allow space for the entry of the required information listed in Subsection (C) of this Section.
C. 
At the time of making any secured personal credit loan, the pawnbroker shall execute and deliver to the borrower a receipt for and describing the tangible personal property subjected to the security interest to secure the payment of the loan. The receipt shall contain the following:
1. 
The name and address of the pawnshop;
2. 
The name and address of the pledgor, the pledgor's description, and the driver's license number, military identification number, identification certificate number, or other official number capable of identifying the pledgor;
3. 
The date of the transaction;
4. 
An identification and description of the pledged goods, including serial numbers if reasonably available;
5. 
The amount of cash advanced or credit extended to the pledgor;
6. 
The amount of the pawn service charge;
7. 
The total amount which must be paid to redeem the pledged goods on the maturity date;
8. 
The maturity date of the pawn transaction; and
9. 
A statement to the effect that the pledgor is not obligated to redeem the pledged goods, and that the pledged goods may be forfeited to the pawnbroker sixty (60) days after the specified maturity date.
D. 
The pawnbroker shall provide copies of the information contained in Subsection C(1) through (4) of this Section to City Law Enforcement Officers upon request. The pawnbroker may satisfy such requirements by transmitting such information electronically to the computerized registry in accordance with Section 367.031, RSMo., except that paper copies shall be made available for an on-site inspection upon request of any appropriate Law Enforcement Authority.
E. 
If the pawn receipt is lost, destroyed or stolen, the pledgor may so notify the pawnbroker in writing. Receipt of such notice shall invalidate such pawn receipt, if the pledged goods have not already been redeemed. Before delivering the pledged goods or issuing another pawn receipt, the pawnbroker shall require the pledgor to make a written affidavit of the loss, destruction or theft of the receipt. The pawnbroker shall record on the written statement the pledgor's identification information as reflected on the original transaction receipt, the date the statement is given, and the number of the pawn ticket lost, destroyed or stolen. The affidavit shall be signed by a Notary Public appointed by the Missouri Secretary of State to perform notarial acts, pursuant to Section 486.205, RSMo.

Section 625.110 Pawnbroker Obligations and Restrictions.

[Ord. No. 806 § I, 9-26-2013]
A. 
Each pawnbroker doing business within the City shall:
1. 
Cooperate with all Law Enforcement Officers;
2. 
Comply with the procedures and obligations concerning procedure to identify and recover misappropriated goods as outlined within Section 367.044, RSMo.;
3. 
Keep, consistent with accepted accounting practices, adequate books and records relating to the pawnbroker's pawn transactions, which books and records shall be preserved for a period of at least two (2) years from the date of the last transaction recorded therein; and
4. 
Employ, if reasonably available in his area, a reputable company for the purpose of fire and theft security.
B. 
The maximum rate of interest charged for making and carrying any secured personal credit loan shall not exceed two percent (2%) per month.
C. 
A pawnbroker shall not:
1. 
Accept a pledge from a person who is under eighteen (18) years of age;
2. 
Make any agreement requiring the personal liability of a pledgor in connection with a pawn transaction;
3. 
Accept any waiver, in writing or otherwise, of any right or protection accorded a pledgor under Sections 367.011 to 367.060, RSMo.;
4. 
Fail to exercise reasonable care to protect pledged goods from loss or damage;
5. 
Fail to return pledged goods to a pledgor upon payment of the full amount due the pawnbroker on the pawn transaction. In the event such pledged goods are lost or damaged as a result of pawnbroker negligence while in the possession of the pawnbroker, it shall be the responsibility of the pawnbroker to replace the lost or damaged goods with like kind of merchandise. Pawnbrokers shall not be responsible for loss of pledged articles due to acts of God, acts of war, or riots;
6. 
Accept as collateral security or purchase any photographic equipment, electronics, tools and equipment or any other item that would commonly bear a manufacturer's serial number, unless said item has a plainly visible manufacturer's serial number affixed; and
7. 
Purchase or take in trade used or secondhand personal property unless a record is established that contains:
a. 
The name, address, physical description, and the driver's license number, military identification number, identification certificate number, or other official number capable of identifying the seller;
b. 
A complete description of the property, including the serial number if reasonably available, or other identifying characteristic; and
c. 
A signed document from the seller providing that the seller has the right to sell the property.

Section 625.120 Photographing of Persons Pawning or Selling Articles Required.

[Ord. No. 806 § I, 9-26-2013]
No pawnbroker shall accept any article or property as collateral security, or purchase any article or property without a photograph of the transaction being made, along with the receipt or pawn ticket given to such person; nor shall any pawnbroker refuse to deliver such photograph to any Law Enforcement Officer upon request in connection with a specific item of stolen property, within one (1) year following the date such photograph is taken. Every pawnbroker shall display a notice to his/her customers in a prominent place to the effect that he/she is required, by City ordinance, to photograph every person pawning or selling an item to said pawnbroker and keep all such photographs for at least one (1) year.

Section 625.130 When Loans Due; Return of Collateral; Restrictions.

[Ord. No. 806 § I, 9-26-2013]
A. 
Every secured personal credit loan shall be due and payable in a lump sum thirty (30) days after the date of the loan contract or, if extended, thirty (30) days after the date of the last preceding extension of the loan. If it is not paid when due, the loan shall be considered in default on the day following the due date.
B. 
The pawnbroker shall retain possession of the tangible personal property subjected to the security interest to secure payment of any secured personal credit loan for a period of sixty (60) days following the date of the default. If, within sixty (60) days following the date of the default, the pledgor pays the pawnbroker the principal sum of the loan plus the loan fee(s) and the interest due up through the date of the payment, the pawnbroker shall thereupon deliver possession of the tangible property to the pledgor.
C. 
If the pledgor fails to make payment within sixty (60) days, on the day following the sixty-day period the title to the tangible property shall pass to the pawnbroker without foreclosure. The right of redemption by the pledgor shall be forever barred.
D. 
A pledgor shall have no obligation to redeem pledged goods or make any payment on any pawn transaction.
E. 
Except as otherwise provided herein, any person properly identifying himself/herself and presenting a pawn receipt to the pawnbroker shall be presumed to be entitled to redeem the pledged goods described therein.

Section 625.140 Stolen Goods.

[Ord. No. 806 § I, 9-26-2013]
It shall be the duty of every pawnbroker to report to the Police any article pledged with him/her, or which is sought to be pledged with him/her, if he/she shall have reason to believe that the article was stolen or lost, and found by the person attempting to pledge it, in the case of a lost article.

Section 625.150 Inspection of Records and Property; Hold Orders.

[Ord. No. 806 § I, 9-26-2013]
A. 
The computerized register and photographs provided for in this Chapter shall at all times be open to the inspection of the City Police Officers or the State of Missouri under Chapter 590, RSMo.
B. 
All records and information that relate to a pawnbroker's pawn, purchase or trade transactions and that are delivered to or otherwise obtained by an appropriate Law Enforcement Officer pursuant to this Chapter and Sections 367.031 and 367.040, RSMo. are confidential and may be used only by such appropriate Law Enforcement Officer and only for the following official law enforcement purposes:
1. 
The investigation of a crime specifically involving the item of property delivered to the pawnbroker in a pawn, purchase or trade transaction;
2. 
The investigation of a pawnbroker's possible specific violation of the recordkeeping or reporting requirements, but only when the appropriate Law Enforcement Officer, based on a review of the records and the information received, has probable cause to believe that such a violation occurred; and
3. 
The notification of property crime victims of where property that has been reported misappropriated can be located.
C. 
Upon request, a Law Enforcement Officer may inspect property that is described in information furnished by the pawnbroker pursuant to Subsection C(1) through (4) of Section 625.100. When a Law Enforcement Officer has probable cause to believe that goods or property in the possession of a pawnbroker are misappropriated, the officer may place a hold order on the property. The hold order shall contain the following:
1. 
The name of the pawnbroker;
2. 
The name and mailing address where the pawnshop is located;
3. 
The name, title, and identification number of the Officer placing the hold order;
4. 
The name and address of the Officer and the claim or case number, if any, assigned by the agency to the claim regarding the property;
5. 
A complete description of the property to be held, including model number, serial number, and transaction number;
6. 
Name of the department reporting the property as stolen; and
7. 
The expiration date of the holding period.
D. 
The hold order shall be signed and dated by the issuing Officer and signed and dated by the pawnbroker or the pawnbroker's designee as evidence of the hold order's issuance by the Officer, receipt by the pawnbroker, and the beginning of the initial holding period. The officer issuing the hold order shall provide an executed copy of the hold order to the pawnbroker for the pawnbroker's recordkeeping purposes at no cost to the pawnbroker.
E. 
Upon receiving the hold order, and subject to the provisions of Section 367.047, RSMo., the pawnbroker shall retain physical possession of the property subject to the order in a secured area. The initial holding period of the hold order shall not exceed two (2) months, except that the hold order may be extended for up to two (2) successive one-month holding periods upon written notification prior to the expiration of the immediately preceding holding period. A hold order may be released prior to the expiration of any holding period or extension thereof by written release from the agency placing the initial hold order. The initial hold order shall be deemed expired upon the expiration date if the holding period is not extended pursuant to this Subsection. Upon the expiration of the initial holding period or any extension thereof, the pawnbroker shall deliver written notice to the Law Enforcement Officer issuing the hold order that such order has expired and that title to the property subject to the hold order will vest in the pawnbroker in ten (10) business days. Ownership shall only vest in the pawnbroker upon the expiration of the ten-day waiting period subject to any restriction contained in the pawn contract and subject to the provisions of Sections 367.044 to 367.053, RSMo. Vesting of title and ownership shall be subject to any claim asserted by a claimant pursuant to Section 367.044, RSMo.
F. 
While the hold order is in effect, the pawnbroker may consent to release, upon written receipt, the stolen or embezzled property to the custody of the City Police Department.
G. 
Except as provided in Subsection F of this Section, the pawnbroker shall not release or dispose of the property except pursuant to a court order or the termination or expiration, if any, of the hold order.
H. 
If criminal charges have been filed in any Missouri court involving property that is in the possession of a pawnbroker licensed by the City and such property may be needed as evidence, the appropriate prosecuting attorney may place a written hold order on the property. Such order shall contain the case number, the style of the case, and a description of the property. The pawnbroker shall hold such property until receiving notice of the disposition of the case from the prosecuting attorney's office. The prosecuting attorney's office shall notify the pawnbroker in writing within fifteen (15) days of the disposition of the case.

Section 625.160 Minors.

[Ord. No. 806 § I, 9-26-2013]
Subject to the restrictions in Subsection C of Section 625.100, no pawnbroker shall have any business dealings as a pawnbroker with any unemancipated minor under the age of eighteen (18) years, except with the written consent of the parent or guardian.

Section 625.170 Compliance With State Law.

[Ord. No. 806 § I, 9-26-2013]
The fees collected under this Chapter are mandated by State law and are not and shall not be deemed to be City-imposed fees. Any fee collected by the City as directed by and in accordance with Sections 367.011 to 367.060, RSMo., as amended, that is found by a court of competent jurisdiction to be invalid, shall be subject to refund by the City in accordance with law.