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HomeMy WebLinkAboutOrdinance-1994-0952 INTRODUCED BY COUNCIL MEMBER Council Bill No. 38 ORDINANCE Seriesof 1994 VANCE EDWARDS NO. ..9.5.L AN ORDINANCE AMENDING THE CODE OF LAWS OF THE CITY OF WHEAT RIDGE, COLORADO, ADOPTING AN ARTICLE CONCERNING THE LICENSING AND REGULATING OF PAWNBROKERS. TITLE: WHEREAS, to protect the health, safety and welfare of the citizens of the City of Wheat Ridge, and in conjunction with regulation by the State of Colorado, it is necessary for the City to regulate pawnbrokers; and, WHEREAS, the City Council has determined that Chapter 11, Article VII of the Wheat Ridge Municipal Code should be enacted for the efficient and just administration of pawnbrokers. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WHEAT RIDGE, COLORADO, THAT: Section 1. Wheat Ridge Code of Laws, Chapter 11 is hereby amended by the addition of Article VII, "Pawnbrokers," and adopted as follows: Section 11-170 Section 11-171 Section 11-172 Section 11-173 Section 11-174 Section 11-175 section 11-176 Section 11-177 Section 11-178 Section 11-179 Section 11-180 Section 11-181 section 11-182 section 11-183 Section 11-184 Section 11-185 Section 11-186 Section 11-187 section 11-188 Section 11-189 Section 11-190 Section 11-191 Section 11-192 Section 11-193 Table of Contents Definitions. Compliance; license required. Licensing application fee. License fee. Non-transferability of license. License renewal. Bond required. Insurance required. Letter from Zoning Administrator required. Investigation and approval of applicants required; non-transferability. Denial of license. Revocation of license. Managers; change of any applicant. Required acts of pawnbrokers. Identification acceptable. Accepting lost or stolen articles. Prohibited acts of pawnbroker in the course of doing business. Intermediate payment; receipts. Sale of tangible personal property; notice to customer. Hold orders and surrender of property. Hours establishments closed. Liability of pawnbroker. Procedure of moving business. Violations and penalties. - Article VII. Pawnbrokers. Section 11-170. Definitions. As used in this Chapter, the following terms shall have the meanings indicated. A. CITY - The City of Wheat Ridge, Colorado. B. POLICE DEPARTMENT - The Police Department or designee for the City of Wheat Ridge. C. POLICE CHIEF - The Police Chief or designee for the City of Wheat Ridge. D. CONTRACT FOR PURCHASE - A contract entered into between a pawnbroker and a customer pursuant to which money is advanced to the customer by the pawnbroker on the delivery of tangible personal property by the customer to the pawnbroker on the condition that the customer, for a fixed price and within a fixed period of time, not to exceed ninety days, has the option to cancel the contract and recover from the pawnbroker the tangible personal property. E. FIXED PRICE - The amount agreed upon to for purchase during the option period. shall not exceed: cancel a contract Said fixed price (1) One-tenth (1/10) of the original price for each month, plus the original purchase price, on amounts of fifty dollars ($50.00) or over; or (2) One-fifth (1/5) of the original purchase price for each month, plus the original purchase price, on amounts under fifty dollars ($50.00). F. FIXED TIME - That period of time, not to exceed ninety days, as set forth in a contract for purchase, within which the customer may exercise an option to cancel the contract for purchase. G. LOCAL LAW ENFORCEMENT AGENCY - Any marshal's office, police department, or sheriff's office with jurisdiction in the locality in which the customer enters into a contract for purchase or a purchase transaction. H. OPTION - The fixed time and the fixed price agreed upon by the customer and the pawnbroker in which a contract for purchase may be but does not have to be canceled by the customer. 2 -- I. PAWNBROKER - A person regularly engaged in the business of making contracts for purchase or purchase transactions in the course of his business. J. PAWNBROKING The business of making transactions in the act of a person engaging in the contracts for purchase or purchase course of a pawnbroker's business. K. PERSON - Any individual, firm, partnership, association, corporation, company, organization, group or entity of any kind. L. PURCHASE TRANSACTION - The purchase by a pawnbroker in the course of business of tangible personal property for resale, other than newly manufactured tangible personal property which has not previously been sold at retail, when such purchase does not constitute a contract for purchase. M. TANGIBLE PERSONAL PROPERTY - All 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 business in connection with a contract for purchase or purchase transaction. Section 11-171. Compliance; license required. It is unlawful for any person to engage ln the business of pawnbroking except as provided in and authorized by this Article and without first having obtained an annually renewable and non- transferable Pawnbrokers License issued by the City. Section 11-172. Licensinq application; fee. The Police Department shall issue a license according to the requirements of this Article. All applicants for a Pawnbrokers License shall file an application for such license with the Police Department on forms to be provided by the Police Department. The application for a license shall contain the information required in this Article and any other pertinent information required by the Police Department. Each individual applicant, partner of a partnership, officer, director and holder of ten percent or more of the corporate stock of a corporate applicant, and all managers, shall be named in each application form, and each of them shall be photographed and fingerprinted by the Police Department. Each of them shall furnish three letters of character reference from residents of the city or the surrounding metropolitan area. Each individual applicant, partnership and corporate applicant shall, in addition, furnish as an attachment to and part of such application evidence that the proposed establishment meets the requirements of the zoning ordinance, proof of applicant's right to possession of 3 the premises wherein the business of pawnbroking will be conducted, a Financial Questionnaire, Consent to Release of Financial Information, and a current personal financial statement or a balance sheet and income account statement for the preceding twelve-month period prior to the date of the application. Each corporate applicant shall furnish evidence that it is in good standing under the statutes of the State of Colorado, or in the case of a foreign corporation, evidence that it is currently authorized to do business in the State of Colorado. The license issued under this Article shall be applicable only for the location identified in the license application, and only for the owner/applicant making the license application. Each applicant shall pay nonrefundable application fees at the time of filing an application and at the time an amendment is made to the application. Such fees shall be determined by the City and set by resolution. Section 11-173. License fee. The City finds, determines and declares that considering the nature of the business of pawnbroking and the relationship of such business to the municipal welfare, as well as the relationship thereto to the expenditures required of the City, and a proper, just and suitable distribution of the tax burdens within the City and all other matters properly to be considered in relation thereto, the classification of such business as a separate type of business or occupation requiring a separate license fee is reasonable, proper, uniform, nondiscriminating and necessary for a just and proper distribution of the tax burdens within the City. The City hereby levies and assesses for each year an annual City pawnbroker license fee. The annual license fee for carrying on the business of pawnbroking shall be determined by the City and set by resolution. Such fee shall be payable prior to the issuance of the license. Any license issued pursuant to this Article shall expire on the 31st day of December of each year. Such license fee shall be prorated for the calendar year in which the Pawnbrokers License is first issued. Section 11-174 Non-transferabilitv of license. Any license issued pursuant to this Article shall not be transferable. Any such license may not be transferred to either another person or a location other than that listed in the license application. Any change in the partners of a partnership or in officers, directors, or holders of ten percent or more of the stock of a corporate licensee holding a Pawnbrokers License shall result in termination of the license of the partnership or corporation, unless a written amendment to the original application is made as required by Section 11-182. 4 - Section 11-175. License renewal. Annual renewal requests must be filed with the Police Department no later than the first day of December of each calendar year and shall be made under oath, stating that no events have occurred which would result in a different response than that contained in the original application or any renewal thereof. If circumstances have changed, the applicant must state with particularity the change, and respond appropriately to all questions in the application form. The request for renewal must include evidence of insurance coverage per the requirements of Section 11-177 herein. Section 11-176. Bond required. As part of the licensing process, the applicant shall furnish a good and sufficient bond in a sum to be determined by the City and set by resolution. Such bond shall be conditioned upon the faithful observance of the requirements of this Article and conditioned upon the safekeeping or return of all articles in pledge by such pawnbroker. The City Attorney must approve the surety, and form or surety agreement, before a pawnbrokers License will be issued. Section 11-177. Insurance required. As a part of the licensing process, the applicant shall provide fire and property damage insurance for all property the pawnbroker holds by contract, in the minimum amount of one-half of such property's contracted value in case of damage or destruction. The applicant must provide the Police Department proof of such insurance coverage before a Pawnbrokers License is issued. The City Attorney must approve the nature and extent of insurance coverage before a Pawnbrokers License will be issued. Proof of this insurance coverage must be provided each time a request for renewal is filed with the Police Department. Section 11-178. Letter from Zoning Administrator required. As a part of the licensing process, and prior to the issuance of any Pawnbrokers License, the applicant shall obtain and submit to the Police Department, a letter from the zoning Administrator stating that the zoning of the property permits a pawnbroking establishment, and that the pawnbroker has obtained, is in the process of obtaining, or will obtain, a special use permit. Section 11-179. Investiqation and approval of applicants required: non-transferability. Upon receipt of a properly completed application, as determined by the Police Department, together with all information required in connection therewith, fingerprints and photographs, and payment of the application fee, the Police Department shall conduct 5 - an investigation of the background, experience, character and financial responsibility of each individual applicant, the partners of a partnership, officers, directors and holders of ten percent or more of the corporate stock of a corporate applicant, and all managers of a proposed pawnbroker's establishment. If the Police Department background investigation confirms that the requirements of this Article have been met and that the financial responsibility, experience, character and general fitness of the individual applicant and of the partners, officers, directors and/or holders of ten percent or more of the stock of a corporate applicant and all managers, are such as to command the confidence of the public and to warrant the belief that the business will be lawfully, honestly, and fairly operated pursuant to this Article, the Police Department may issue a Pawnbrokers License. If the investigation reveals that any applicant, partner, officer, director and/or holder of ten percent or more of the corporate stock of a corporate applicant, or any of the managers, does not meet these criteria, the Police Department will deny the applicant's request for a Pawnbrokers License. Upon concluding an investigation which reveals that the applicant's request for a Pawnbrokers License may be approved, and once the Police Department receives verification that the applicant has met the bond and insurance requirements, and has received a compliance letter from the Zoning Administrator, the Police Department shall issue and deliver to the applicant a Pawnbrokers License for use only at the premises specified in the application and only by the owner/applicant making the application. If any requirements of this Section have not been met, the Police Department shall deny the applicant's request for issuance of a Pawnbrokers License in accordance with Section 11-180. Section 11-180. Denial of license. A. The application for, or renewal of, a Pawnbrokers License may be denied by the Police Department on grounds including, but not limited to, the following: (1) A finding that an individual applicant, partner, officer or director of a corporation, and/or holder of ten percent or more of the stock of a corporate applicant or manager of a pawnbroker's establishment, is not of such moral character as to assure that the operations of the pawnbroker' s establishment will be conducted lawfully or in a manner which will not be detrimental to the public interest or well-being as determined by the Police Department's investigation. 6 (2) A finding that an applicant 1.S not financially responsible, is not in good standing, or is not authorized to do business in Colorado. As used herein, "financially responsible" means having sufficient income and assets to defray expenses and provide for liabilities of the business as they become due. (3) A finding that an individual applicant has been adjudged in any civil or criminal proceeding to have engaged in business or trade practices prohibited by law, or convicted of any felony or other offense involving moral turpitude shall be considered in determining whether the individual applicant, manager, partner, director and/or holder of ten percent or more of the applicant's stock is a person of good moral character. (4 ) Failure to comply with any relating to the conduct pawnbroker's business. law, rule or regulation or operation of any (5) The suspension or revocation of any pawnbroker license ever issued to the applicant. B. The Police Department shall make a decision to accept or deny the applicant's license or renewal thereof no later than thirty (30) days after the Police Department has received all forms, documents and items required of the applicant by this Article and the results of the Police Department's investigation required by Section 11-179. C. The Police Department shall not deny an applicant. s request for a license without notice to the applicant of the reasons for such denial, and without the applicant being given an opportunity for an appeal of the Police Department's decision, as set forth in section 11-181. Section 11-181. Revocation of license. A. A Pawnbrokers License may be revoked under this Article if: (1 ) The licensee fails, at qualifications requires Article; any time, to meet the of an applicant by this ( 2 ) The license violates or other ordinance activities permitted any provision of this Article of the City governing the by the license; 7 - (3) The licensee obtained the license by fraud or misrepresentation; or (4) The licensee has final conviction of any offense involving moral turpitude including but not limited to, theft, fraud, robbery, burglary, larceny, or deceit; and such conviction, as determined by the Police Department, would create a danger to the public health, safety, or welfare if the licensee were to continue to engage in such conduct. B. For the purpose of investigating violations of this Article, any authorized agent of the Police Department may, at any reasonable time, investigate the business and examine the books, accounts, papers, and records of any licensed pawnbroker or any person, partnership, or corporation which engages in the business of pawnbroking within the City. Application for or acceptance of a license by a pawnbroker under the terms and provisions of this Article shall constitute a continuing consent to entry by any authorized agent of the Police Department upon the pawnbroker's premises for the purpose of investigating the business and examining the books, accounts, papers, and records used therein, at any time during the term of the license, during regular business hours or whenever the pawnbroker, his employee, or agent is upon the premises, without compliance with the provision of any other provision in this Code. willful failure or refusal by the pawnbroker, his agent, or employee to permit entry upon the premises by any authorized agent of the Police Department as provided herein, after presentation of credentials and demand for entry, is a violation of this provision and shall be grounds for revocation of the Pawnbrokers License. C. If the Police Department is made aware of the grounds in Subsection (A) of this section, the Police Department shall have the authority to revoke the license for the remainder of its term. D. Except for such emergency suspension authorized by Section (D) of this Section, no such suspension or revocation is final until the licensee has been given the opportunity for a hearing to contest the suspension or revocation. Such hearing shall be held within twenty (20) days of a written request for the hearing filed with the Police Department by the licensee affected. Appeal of the denial of a request for issuance of a Pawnbroker's License, or renewal thereof, shall be conducted according to this Subsection (E). The hearing shall be conducted as follows: 8 (1) Upon receipt of a request for hearing, the City Administrator shall designate a hearing officer to decided the matter, and will notify the applicant or licensee of the hearing date by mail. (2) The hearing officer is hereby granted the authority to sustain, reverse or modify the Police Department's decision, and/or upon a showing by the applicant or licensee of mitigating factors, may suspend the license for a period of time and/or impose on the applicant or licensee, reasonable conditions on the license or any renewal thereof to secure compliance with this Article's standards. ( 3) Any hearing presented pursuant to this Article shall be conducted in conformance with standards of procedural due process applicable to administrative hearings, including the right to present testimony and to confront witnesses. (4) The hearing officer shall apply the following standards for review: (1) whether the City, through the order of revocation, suspension, or denial, abused its discretion, (2) acted arbitrarily or (3) acted in excess of its authority hereunder. Additionally, the licensee or applicant shall have the burden to show by a preponderance of the evidence why the revocation, suspension, or denial of license, or renewal thereof, was improper under the above standards. It shall also be the burden of the licensee to establish the mitigation in contesting any order of revocation or suspension. (5) The hearing officer shall conduct the hearing within twenty (20) business days of the filing of the request for hearing and shall enter written finding of fact and conclusions of law, which shall be mailed to the Licensee or applicant at the address shown on the License application. The hearing officer's decision shall be effective within three (3) business days of the date of the written finding required by this subsection. 9 - - E. If, after a hearing, the suspension or revocation 1S upheld, the Police Department may include reasonable orders or conditions with which the person whose license has been suspended or revoked shall comply to protect any work in progress and the public health, safety, and welfare. F. No person whose license is revoked under this Article is entitled to receive a refund of any part of the license fee paid for the license. G. No person who has had a license suspended or revoked under this Article is entitled to obtain the same or any similar license under this Article during the period of suspension or revocation, either in the person's own name or as a principal in another business that applies for a license. Section 11-182. Manaqers: Chanqe of owner, shareholder, partner, officer, director or manager. A. A pawnbroker may employ a manager to operate a pawnbrokering business, provided the pawnbroker retains complete control of all aspects of the pawnbroking business, including but not limited to, the pawnbroker's right to possession of the premises, his responsibility for all debts, and the pawnbroker must bear all risk of loss or opportunity for profit from the business. B. In the event of a change of owner, officer, director, or holder of more than ten percent of the shares of stock of a corporate license holder, partner of a partnership, or manager, disclosure in writing by amendment of the original application for issuance of a Pawnbroker's License thereof shall be made to the Police Department. Notwithstanding the provisions of this Section, neither a new license nor an amendment to an existing license shall be required upon any change, directly or beneficially, in the ownership of any licensed pawnshop, which is owned directly or beneficially by a person that as an issuer has a class of securities registered pursuant to Section 12 of the Securities Exchange Act of 1934 (the "Act") or is an issuer of securities which is required to file reports with the Securities and Exchange Commission pursuant to Section 15(d) of the Act, provided that such person files with the commissioner such information, documents and reports as are required by the provisions of the Act to be filed by such issuer with the Securities and Exchange Commission. Such issuer shall 10 file with the Police Department information on managers, officers and directors of such issuer or any licensed or intermediate subsidiary as is otherwise required of managers, officers and directors of corporate pawnbrokers. The applicant or license holder shall pay a fee for amendment of the application, which fee shall be determined by the City and set by resolution. The new manager shall be photographed, fingerprinted and investigated as required in section 11-179. Failure of an applicant to request an amendment of the application or failure to meet the prescribed standards and qualif ications of Section 11-179 shall constitute grounds for revocation, suspension, or nonrenewal of the license. Section 11-183. Required acts of pawnbrokers. A. Every pawnbroker shall keep a numerical register in which shall be recorded the following information: the name, address, and date of birth of the customer; the customer's driver's license number or other identification which is allowed for sale of valuable articles pursuant to Section 18-16-103, C.R.S., or for the sale of secondhand property pursuant to Section 18- 13-114 C.R.S.; the date, time and place of the contract for purchase or purchase transaction; and an accurate and detailed account and description of each item of tangible personal property, including, but not limited to, any and all trademarks, identification numbers, serial numbers, model numbers, brand names, owner's identification numbers, and other identifying marks on such property. The pawnbroker shall also obtain a written declaration of the customer's ownership which shall state whether the tangible personal property is totally owned by the customer, or shall have attached to such declaration a power of sale from the partial owner to the customer, how long the customer has owned the property, whether the customer or someone else found the property, and, if the property was found, the details of the finding. B. If the contract for purchase or the purchase involves more than one item each item shall on the pawnbroker's register and on the declaration of ownership. transaction be recorded customer's C. The customer shall sign his or her name in such register and on the declaration of ownership and receive a copy of the contract of purchase or a receipt of the purchase transaction. 11 D. The register shall be made available to any local law enforcement agency for inspection upon request at any reasonable time. E. Every pawnbroker shall keep each register for at least three (3) years after the date of the last transaction entered in the register. F. Every pawnbroker shall hold all goods obtained pursuant to a contract for purchase within his or her jurisdiction for a period of ten (10) days following the maturity date of the contract for purchase, during which time such goods shall be held separate and apart from any other tangible personal property, shall not be displayed to the public, and shall not be changed in form or altered in any way. G. Every pawnbroker shall hold all property purchased by him or her through a purchase transaction for thirty (30) days following the date of purchase, during which time such property shall be held separate and apart from any other tangible personal property, shall not be displayed to the public, and shall not be changed in form or altered in any way. H. Every pawnbroker shall provide the local law enforcement agency, on a weekly basis, with two (2) copies of the records, on a form to be provided or approved by the local law enforcement agency, of all tangible personal property accepted during the preceding week and one copy of the customer' s declaration of ownership. The form shall contain the same information required to be recorded in the pawnbroker's register pursuant to Subsection (A) of this Section. The local law enforcement agency shall designate the day of the week on which the records and declarations shall be submitted. I. Every pawnbroker shall provide a safe place for keeping the tangible personal property of the customers. J. Every pawnbroker shall clear, through the Police Department, prior to release, all firearms, other than those which are newly manufactured and which have not been previously sold at retail. K. Every pawnbroker shall videotape all transactions, including those which do not result in a contract for purchase or purchase transaction. Any such videotapes shall be kept by the pawnbroker for a minimum of sixty (60) days and shall be subject to police review. L. Every pawnbroker shall pay to the City a fee for every transaction form. This fee shall be determined by the City and set by resolution. 12 - M. Every pawnbroker shall, at his or her expense, keep records or provide reports in such manner and by such methods as may be determined from time to time by the Police Department. Section 11-184. Identification acceptable. No license nor any principal, employee, agent or servant of such licensee shall engage in a purchase transaction or shall enter into a contract for purchase transaction with any customer without securing one of the following kinds of then current and valid identification: A. A Colorado's driver's license; B. Identification card issued in accordance with Section 42- 2-402, C.R.S., which is an identification card issued by the State of Colorado; C. A valid driver's license containing a picture, issued by another state; D. A military identification card; E. A valid passport; F. An alien registration card; or G. A non-picture identification document issued by a state or federal government entity, if the pawnbroker also obtains a clear imprint of the customer's right index finger. Section 11-185. Acceptinq lost or stolen articles. A pawnbroker who accepts in pledge any tangible personal property as security for a contract for purchase from one who is not the owner thereof, obtains no title in the property either by reason of a pledgor's failure to cancel the contract for purchase or by transference of the pawn ticket to the pawnbroker by the pledgor thereof. Ignorance of the fact that the pledged property was lost or stolen shall not be construed to affect the question of title: and if the pawnbroker shall sell such article to a third person, he shall remain liable to the original owner in any appropriate legal action. The lawful owner may, upon proving his ownership of the lost or stolen property claim the same from the pawnbroker or recover the same by means of any appropriate legal action. 13 .... Section 11-186. Prohibited acts of pawnbroker in the course of doinq business. A. No pawnbroker, employee, or agent of the pawnbroker shall enter into a contract for purchase or purchase transaction with any person under the age of eighteen (18) years or with any person under the influence of alcoholic beverages or drugs. B. No pawnbroker, employee, or agent of the pawnbroker shall enteL into a contract for the purchase or purchase transaction with any person known to that employee or agent to be a thief or to have been convicted of larceny or burglary, without first notifying the police Department. Such notice shall not be deemed as authorization by the City for the pawnbroker to enter into any contract with such person. C. With respect to a contract for purchase, no pawnbroker, employee or agent of a pawnbroker may permit any customer to become obligated on the same day in any way under more than one contract for purchase agreement with the pawnbroker which would result in the pawnbroker obtaining a greater amount of money than would be permitted if pawnbroker and customer had entered into only one contract for purchase covering the same tangible personal property. D. No pawnbroker, employee or agent of a pawnbroker shall violate the terms of the contract for purchase. E. No pawnbroker, employee or agent of a pawnbroker shall enter into a contract for purchase or purchase transaction for any tangible personal property wherein the identification number, serial number, model number, brand name, owner's identification number or other identifying marks on such property have been totally or partially obscured. F. No pawnbroker, employee or agent of a pawnbroker shall enter into a contract for purchase or a purchase transaction when the property which is the subject of the contract for purchase or purchase transaction is other than tangible property. G. No pawnbroker, employee or agent of a pawnbroker shall ask, demand or receive any greater rate of interest, commission and compensation than the total rate of one- tenth of the original purchase price for each month, plus the original purchase price, on amounts of fifty dollars or over, or one-fifth of the original purchase price for each month, plus the original purchase price, on amounts under fifty dollars. No other charges shall be made by the pawnbroker upon renewal of any contract for purchase 14 - or at any other time. In the event any such charges are made, the contract shall be void. Any contract for the payment of commissions by the customer for making a contract for purchase on tangible personal property shall be null and void. The violation of this Section by an agent or employee of a pawnbroker shall be deemed to be a violation of this Section by the pawnbroker. Section 11- 1 87 . Intermediate payment: receipts. Pawnbrokers shall accept intermediate payments, without penalty, upon contracts for purchase which have not yet matured when presented with the pawn ticket, and shall treat the amount tendered as a payment upon the existing contract for purchase. A receipt showing the date of the payment and the amount shall be given to the customer for all monies received on account of or in payment of loans made under a contract for purchase. The total amount of money presented shall be applied against the amount of indebtedness. In no event shall late charges, collection fees or other such service charges be deducted from the amount of the payment tendered to the pawnbroker. Sale of tanqible personal property: notice to customer. Section 11-188. If the customer fails or neglects to redeem such property upon the maturity of the contract for purchase by repayment of the balance of the principal and payment of all accrued interest charges, the pawnbroker shall immediately, upon the maturity of the contract for purchase, mail with sufficient postage a notice of the impending sale of the property delivered under the contract. Such notice shall be mailed to the customer at the address shown on the contract for purchase pertaining to the transaction. Ten (10) days shall be allowed from the date of mailing of the notification for the customer to appear and reclaim the property or make satisfactory payments upon it. The pawnbroker shall not sell or otherwise dispose of the property prior to the expiration of the ten-day period. Section 11-189. Hold orders and surrender of property. A. Any police officer may order a pawnbroker to hold any tangible personal property deposited with or in custody of any pawnbroker for purposes of further investigation. A hold order shall be effective upon verbal notification to the pawnbroker by an authorized agent of the Police Department. No sale or other disposition may be made of such property held by any pawnbroker while the hold order remains outstanding. A hold order shall supersede all other provisions of this Article, and any sale or other 15 disposition of the property after the pawnbroker has been notified by the Police Department of a hold order shall be unlawful and a violation of this Article. B. If any police officer determines that any article of personal property held by a pawnbroker is stolen or illegally obtained property, such officer may immediately confiscate such property and must provide the pawnbroker with a receipt, case report number and the police report cover sheet setting forth the basis for the confiscation. Section 11-190. Hours establishments closed. It is unlawful for any pawnbroker to be open for business or to operate the establishment wherein the business of pawnbroking is carried on during the following hours and on the following days: A. After 9:00 p.m. and before 8:00 a.m. on any day the business is open. B. On Sunday. C. On January 1, commonly called New Year's Day; on the last Monday of May, commonly called Memorial Day; on July 4, commonly called Independence Day; on the first Monday of September, commonly called Labor Day; on Thanksgiving Day; and on December 25, Christmas Day. Section 11-191. Liabilitv of ~awnbroker. A. A pawnbroker who accepts any article in a purchase or contract of purchase transaction from a customer who is not the owner thereof obtains no title in the article either by reason of the expiration of the contract or by transfer of the receipt to the pawnbroker by the customer or holder thereof. Ignorance of the fact that the article was lost or stolen shall not be construed to effect the question of the title. If the pawnbroker shall sell such article to a third person, the pawnbroker shall remain liable to the original owner in an action to recover the article. The lawful owner may, upon proof of his or her ownership of the article lost or stolen, claim the same from the pawnbroker or recover the same by appropriate legal means including, without limitation, forfeiture of the fair market value of such article out of the bond required by Section 11-176. B. A pawnbroker shall be liable for the loss of tangible personal property or part thereof or for damages thereto, whether caused by fire, theft, burglary or otherwise, resulting from his or her failure to exercise reasonable care in regard to it. 16 Section 11-192. Procedure for movinq business. A pawnbrokers License issued under this Article is specific to the location of the pawnbroker's business at the time the license is issued. Any change in location of a licensed pawnbroker under this Article shall be treated as a new license application, with the exception that the Bond Required by Section 11-176, which may be used for an approved new location upon notification of change of address to the surety issuing the bond. A copy of the change of location notice to the surety shall be included in the new application. Section 11-193. Violations and penalties. 1. Any person, firm, or corporation, violating any of the provisions of this Article shall be liable for a fine or penalty of not more than one thousand dollars ($1,000.00). Each day a violation of the provisions of this Article exists shall be considered a separate punishable offense. Section 2. Safety Clause. The City Council hereby finds, determines, and declares that this Ordinance is promulgated under the general police power of the City of Wheat Ridge, that it is promulgated for the health, safety, and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The City Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 3. Severability. If any clause, sentence, paragraph, or part of this Ordinance or the application thereof to any person of circumstances shall for any reason be adjudged by a court of competent jurisdiction invalid, such judgment shall not affect, impair or invalidate the remainder of this Ordinance or its application to other persons or circumstances. Section 4. Inconsistent ordinances. All other ordinances or portions thereof inconsistent or conflicting with this ordinance or any portion hereof are hereby repealed to the extent of such inconsistency or conflict. Section 5. Effect of repeal or modification. The repeal or modification of any provision of the Code of the City of Wheat Ridge by this ordinance shall not release, extinguish, alter, modify, or change in whole or in part any penalty, forfeiture, or liability, either civil or criminal, which shall have been incurred under such provision, and each provision shall be treated and held as still remaining in force for the purposes of sustaining any and all proper actions, suits, proceedings, and prosecutions for the 17 - enforcement of the penalty, forfeiture, or liability, as well as for the purpose of sustaining any judgement, decree, or order which can or may be rendered, entered, or made in such actions, suits, proceedings, or prosecutions. Section 6. Effective date. This Ordinance shall take effect upon passage. INTRODUCED, READ, AND ADOPTED on first reading by a vote of 7 to 1 on this 24th day of January , 1994, ordered published in full in a newspaper of general circulation in the City of Wheat Ridge and Public Hearing and consideration on final passage set for Monday , February 14 , 1994, at 7:00 o'clock p.m., in the Council Chambers, 7500 West 29th Avenue, Wheat Ridge, Colorado. READ, ADOPTED AND ORDERED PUBLISHED on second and final reading by a vote of 8 to 0, this 14th day of Februarv 1994. Signed by the Mayor on this 15th day of February , 1994. -; f ' {' I ~JJJ~ DAN WILDE, MAYOR erk APPROVED AS TO FORM BY CITY ATTORNEY ~~~~ ~~dd~ RYN L. -SCHR EDER, CITY ATTORNEY 1st Publication: February 1, 1994 2nd Publication: February 22, 1994 Wheat Ridge Sentinel Effective Date: February 14, 1994 18