The purpose of this chapter is to:
A. Implement, within the jurisdiction boundaries of the Township of
Ocean, and establish procedures pursuant to the New Jersey Pawnbroking
Law, N.J.S.A. 45:22-2 et seq.
B. Establish procedures for the licensing and operation of pawnbrokers
and dealers of secondhand goods through the implementation of a standard
body of uniform policies and recordkeeping requirements to which each
business governed by this chapter shall abide.
C. Facilitate the prevention of fraud, impositions and other abuses
upon citizens of the Township of Ocean.
D. Ensure the difficulty of disposing of stolen property and aid in
the recovery of stolen property.
E. No person shall use, exercise or carry on the business, trade or
occupation of buying scrap gold, old gold, silver, jewelry, home electronics/audio
and visual equipment, musical instruments, telephones and telephonic
equipment, scales, computers, computer hardware and software, typewriters,
word processors, scanners, sporting goods of all kinds, antiques,
platinum, all other precious metals, tools of all kinds, televisions,
DVRs, GPS, camcorders, car stereos, gift cards, furniture, clothing
or other valuable articles, hereinafter referred to as "secondhand
goods or articles," or being a secondhand Dealer within the Township
of Ocean without having first obtained a license from the Township
of Ocean Clerk as hereinafter provided.
Words used in the present tense shall include the future, words
in the plural number shall include the singular number, and words
in the singular number shall include the plural number. The word "shall"
is always mandatory and not merely directory. As used in this chapter,
the following terms shall have the meanings indicated:
ACCEPTABLE IDENTIFICATION
Acceptable forms of identification include a current valid
New Jersey driver's license or identification card, a current
valid photo driver's license issued by another US state, a valid
United States passport, or other verifiable US government issued identification.
ANTIQUE DEALER
Any person, partnership, firm, association or corporation,
other than a licensed pawnbroker or licensed secondhand dealer, having
a place of business in the Township of Ocean for the purpose of purchasing,
trading or dealing in antiques or primitives and who derives 75% of
his or her gross sales from the sale of antiques or primitives.
ANTIQUE or ANTIQUES
One or more old and valuable art object or item no longer
in production that is at least 50 years old. As used in this chapter,
the terms "antique" or "antiques" shall also mean "primitives."
ARTICLE
Any article of merchandise, including any portion of such
article, whether a distinct part thereof or not, including every part
thereof whether separable or not, and also including material for
manufacture. And as so defined in N.J.S.A. 51:6-1.
BUSINESS ENTITY
Any and all forms of business organization operating pursuant
to law, including but not limited to entities designated and/or operating
as a partnership, limited-liability company, corporation, "S" corporation,
association, or firm. For purposes of this chapter, the term "business
entity" includes a foreign business or business formed under the laws
of another state, which business is authorized by the State of New
Jersey Division of Revenue to conduct business within this state and,
at all times relevant to this chapter, is in good standing with the
New Jersey Division of Revenue. Foreign businesses include all forms
of business entity recognized in the foreign jurisdiction, including
any form of business entity not otherwise recognized by the laws of
the State of New Jersey, such as, without limitation, a limited-liability
partnership.
CHIEF OF POLICE
The Chief of Police of the Township of Ocean or his designee/representative.
DATABASE
A computerized internet capable database with hardware and
software compliant to, accessible by, and acceptable to the Chief
of Police.
DEALER
Any person, partnership, corporation, or other entity, whether
permanent or itinerant, who on one or more occasions (through any
means) buys or sells or otherwise exchanges or trades secondhand gold,
silver, precious metals, gems, or jewelry, and includes anyone advertising
the purchase or sale of any of the aforementioned items.
DESIGNATED VENDOR
A person or entity who is appointed or designated by the
Chief of Police, who is authorized to collect and maintain precious
metal transaction information or other purchase information, as defined
herein, for the Township of Ocean.
GARAGE SALE
Includes all sales entitled "garage sale," "lawn sale," "attic
sale," "rummage sale," "flea market sale," "auction sale" or "yard
sale" or any similar casual sale of used tangible personal property
which is advertised by any means whereby the public at large is or
can be made aware of the sale.
GIFT CARD
A restricted monetary equivalent or scrip that is issued
by retailers or banks to be used as an alternative to a nonmonetary
gift.
LICENSEE
Any person or business entity granted a license pursuant
to this chapter and/or granted a license by the Department of Banking
and Insurance in accordance with the Pawn Broking Law.
MINOR
Any person under the age of 18 years.
PAWNBROKER
Any person, partnership, association or corporation lending
money on deposit or pledge of personal property, other than chooses
in action, securities, or printed evidence of indebtedness; purchasing
personal property on condition of selling it back at a stipulated
price; or doing business as furniture storage warehouseman and lending
money on goods, wares, or merchandise pledged or deposited as collateral
security. For purposes of this chapter, the term "pawnbroker" shall
include any secondhand dealer who also operates as a pawnbroker or
undertakes any action or conduct which includes the business of a
pawnbroker as defined in the Pawnbroker Law.
PAWNBROKING LAW
The New Jersey statute and implementing regulations, N.J.S.A.
45:22-1 et seq., and N.J.A.C. 3:16-1.1 et seq., respectively, and
any and all amendments thereto, which govern and regulate pawn shop
businesses and pawnbrokers operating within the State of New Jersey.
PERSON
Any individual which is not a business entity. For purposes
of this chapter, the term "person" shall also include an individual
operating a business as a sole proprietorship.
PLEDGE
An article or articles deposited with a pawnbroker in the
course of business.
PLEDGOR
A person who delivers the pledge into the possession of a
pawnbroker, unless such person discloses that he is or was acting
for another, and in such an event "pledgor" means the disclosed principal.
PRECIOUS METALS
Comprised of gold, silver, sterling, platinum and/or their
alloys as defined in N.J.S.A. 51:5-1 et seq., N.J.S.A. 51:6-1 et seq.
and/or N.J.S.A. 51:6A-1 et seq.; gems, gemstones, coins and all forms
of jewelry herein contained.
PURCHASE
Not only the exchange of money for precious metals, but the
exchange or trading of any other tangible or intangible property for
precious metals.
PURCHASE
The exchange of money and the exchange, deposit, pledge,
sale, conveyance or trade of any tangible or intangible article.
REPORTABLE TRANSACTION
Every transaction conducted by a dealer in which precious
metals, or other tangible property, are purchased or exchanged from
or with the public.
SECONDHAND DEALER or DEALER IN SECONDHAND GOODS
As used in this chapter, any person, partnership, corporation,
association, joint venture, trustee, court-appointed representative
or agent thereof which operates a business for profit which buys,
sells, possesses on consignment for sale or trades jewelry, stamps,
coins or any precious metals which may have been previously owned
by a consumer or which derives more than 35% of its gross receipts
from the sale, consignment for sale, pledge or trade of any goods,
wares or merchandise which have previously been owned by a consumer,
including but not limited to furniture, appliances, consumer electronic
goods, clothing, automobile accessories, books, magazines, athletic
cards and memorabilia or precious metals, whether in bulk or manufactured
state. The term "secondhand dealer" shall include businesses commonly
known as "pawnbrokers," "trading posts," "swap shop operators," "stamp
dealers," "coin dealers," "jewelers" and "auction houses" that purchase
and resell items from persons other than dealers and suppliers. The
fact that any business does any of the following acts shall be prima
facie proof that said business is a secondhand dealership:
A.
Advertises in any fashion that it buys or sells secondhand or
used items. Such advertisements shall include, but are not limited
to, media advertisements, telephone listings, and signs, whether on
the exterior or interior of the business.
B.
Devotes a significant segment or section of the business premises
to the purchase or sale of secondhand or used items.
C.
Secondhand goods. Goods which have been previously owned, worn
or used by a consumer and/or that are not new. For the purposes of
this chapter, the term "secondhand goods" shall include "secondhand
watches", except where the context clearly indicates to the contrary.
D.
Secondhand watches. A watch shall be deemed to be secondhand
if:
(1)
It as a whole or the case thereof or the movement thereof has
been previously sold to or acquired by any person who bought or acquired
the same for his use or the use of another, but not for resale; provided,
however, that a watch which has been so sold or acquired and is thereafter
returned either through an exchange or for credit to the original
individual, firm, partnership, association or corporation who sold
or passed title to such watch shall not be deemed to be a secondhand
watch for the purposes of this chapter if such vendor shall keep a
written or printed record setting forth the name of the purchaser
thereof, the date of the sale or transfer thereof, and the serial
number (if any) on the case and the movement, and any other distinguishing
numbers or identification marks, which said record shall be kept for
at least five years from the date of such sale or transfer and shall
be open for inspection during all business hours by the Ocean County
Prosecutor or the Prosecutor's duly appointed representative;
(2)
Its case, serial numbers or movement numbers or other distinguishing
numbers or identification marks shall be erased, defaced, removed,
altered or covered; or
(3)
If its movement is more than five years old and has been repaired
by any person or persons, including the vendor, notwithstanding that
it may have been returned either through an exchange or for credit
to said original vendor. Cleaning and oiling a watch movement or recasting
the movement in a new case shall not be deemed watch repair for the
purposes of this chapter.
TRANSIENT BUYER
A dealer who has not been in any retail business continuously
for at least six months at that address in the municipality where
the dealer is required to register or who intends to close out or
discontinue all retail business in the Township of Ocean within six
months. Or as so defined in N.J.S.A. 51:6A-5 and N.J.A.C. 13:47C-1.1.
No person, either as owner, manager, lessee, officer or agent,
or in any other business, within the Township of Ocean, shall operate
or permit to operate as a pawnbroker/secondhand dealership without
first having obtained a license from the Township of Ocean to do so.
If an individual is deemed a pawnbroker or business deemed a pawn
shop, then a license from the Commissioner of Banking and Insurance
is required (N.J.S.A. 45:22-2).
A. Exemptions. The following are exempt from the requirements of this
chapter.
(1) Garage sales. As used in this section, a "garage sale" is defined in the above definitions pursuant to Ocean Township Code Ch.
190.
(2) Sales conducted by governmental, civic, patriotic, fraternal, educational,
religious or benevolent organizations which have been in active and
continuous existence for at least one year prior to the holding of
the sale or which are incorporated as a not-for-profit corporation
by the state.
(3) Sales or purchases which are regulated by the licensing laws of the
state, including automobile dealers, used parts dealers and automotive
parts recyclers.
(4) Antique dealers. As used in this section, an antique dealer is defined
as one who derives 75% of his gross sales each year from the sale
of antiques and/or primitives. As used in this section, an "antique"
or "primitive" is defined as an old and valuable art object or article
no longer in production that is at least 50 years old. As used in
this section, the term "sale" does not include an exchange, trade,
or swap of items
B. Application. An application for a license required shall be made,
in writing, to the Township of Ocean Clerk, which shall minimally
set forth the following:
(1) The name of the individual, partnership, corporation or association
applying for a license;
(2) The residence, phone number, date of birth, driver's license
number, and social security number or federal tax identification number
of the applicant or partners or, if a corporation or association,
the residence, phone number and driver's license number of the
officers and all shareholders owning more than 5% of the outstanding
shares of stock;
(3) The location for which the license is requested;
(4) Whether the applicant, its partners, officers or listed shareholders
have been convicted of any criminal offense or ordinance violation
(other than traffic or parking offenses) in any jurisdiction and,
if so, a list of such convictions with date and prosecuting jurisdiction;
and
(5) Whether the applicant, its partners, officers or listed shareholders
have held a license or had an interest in a license issued by this
or any other jurisdiction regulating the purchase or sale of secondhand
property revoked for cause and, if so, list the date of revocation
and jurisdiction.
(6) In the case of a pawnbroker, the applicant's name, address,
fingerprints and written consent for a criminal history record must
be forwarded to the Commissioner.
C. Fees.
(1) Any pawnbroker or secondhand dealer shall, before engaging in business
within the Township of Ocean, apply for and secure a license to engage
in, conduct, and transact such a business, the fee for which license
shall be the sum of $200 in addition to the standard business license
fee. The license shall be renewed each year. Application for renewal
of a license shall be made to the Township Clerk on or before January
31 of each year and shall be submitted to the Township Committee for
approval. The annual renewal fee shall be $50. Should the license
be denied, the license fee shall be refunded to the applicant.
(2) Following the issuance of a license, the licensee shall secure the
acceptable database software system. Any software licensing fee shall
be paid by the licensee direct to the software provider and shall
not be part of, and is in addition to, the license fee required by
the Township of Ocean.
D. Issuance. The Township Clerk shall issue the license requested unless
the Township of Ocean Clerk shall find:
(1) The applicant is under the age of 18;
(2) The location requested is not in a permanent structure;
(3) The applicant, its partners, officers or listed shareholders have
been convicted of or have pleaded guilty to any offense related to
theft, burglary, or purchasing or receiving stolen items under the
laws of this state, Township of Ocean or any other jurisdiction within
the past 10 years, or have forfeited a bond to appear in court to
answer for charges for such offenses during said time;
(4) That the location requested and structure to be used would not comply
with all applicable laws, including the Zoning Code of the Township
of Ocean.
(5) That the applicant, its partners, officers or listed shareholders
have held a license or had an interest in a license issued by the
Township of Ocean or any other jurisdiction regulating the purchase
or sale of secondhand property which was revoked for cause; or
(6) That the applicant, its partners, officers or listed shareholders
have knowingly furnished false or misleading information or withheld
relevant information on any application for a license required by
this chapter or any investigation into any application.
E. Posting. Every license issued under the provisions of this chapter
shall, at all times during the period for which it is effective, be
posted in a conspicuous place at or near the principal entrance to
the premises for which the license is issued.
F. Revocation. Any license issued for a secondhand dealer may be revoked
or suspended for a period not to exceed 30 days by the Mayor and Committee
if they shall find after hearing:
(1) That the licensee, its officers, agents or employees have violated
any of the provisions of this chapter, the laws of the state or ordinances
of the Township of Ocean in the operation of the business; or
(2) That the licensee, its partners, officers or shareholders have been
convicted of any offense set forth in this chapter; or
(3) That the licensee, partners, officers or shareholders have knowingly
furnished false or misleading information or withheld relevant information
on any application for a license required by this chapter or any investigation
into any application. The licensee shall be responsible for the acts
of its agents, servants and employees in the operation of the business.
Prior to holding a hearing concerning the question of whether a license
shall be, revoked or suspended, the Mayor shall give at least 10 days
written notice to the licensee setting forth the alleged violation.
The licensee may present evidence and cross-examine witnesses at such
hearing.
G. False or misleading application. In addition to being subject to
penalty as hereinafter set forth, any person who obtains a license
as herein provided by furnishing the Township of Ocean with a false
or misleading application shall, upon the discovery thereof, suffer
an immediate revocation of such license and forfeiture of all fees
paid.
H. Transfer. No license issued under this chapter may be transferred
to any other person, partnership, corporation or association.
I. Change of location. No licensee shall carry on any business required
to be licensed under this chapter except at the location designated
on the license. Should the licensee wish to change the location, application
shall be made to the Township of Ocean Clerk for such change in writing.
Violation of any provision of this chapter shall, upon conviction
thereof, be punished by a minimum fine of $100 or a maximum of $1,000,
or by imprisonment for a term not exceeding 90 days, or by a period
of community service not exceeding 90 days. Each and every violation
shall be considered a separate violation. Every day that a violation
continues shall be a separate violation. Each violation shall result
in an additional ten-day suspension. Any person who is convicted of
violating the provisions of this chapter within one year of the date
of a previous violation and who was fined for the previous violation
may be sentenced by the court to an additional fee as a repeat offender.
The additional fine imposed as a repeat offender shall not be less
than the minimum or exceed the maximum fine provided herein and same
shall be calculated separately from the fine imposed for the violation
of this chapter. For a third or subsequent violation under this chapter,
the mercantile license of said business may be revoked upon notification
by Mayor and Committee.