November 9, 2006, Introduced by Rep. Waters and referred to the Committee on Regulatory Reform.
A bill to amend 1917 PA 350, entitled
"An act to regulate and license second hand dealers and junk
dealers; and to prescribe penalties for the violation of the
provisions of this act,"
by amending sections 1, 2, 3, 4, 5, and 8 (MCL 445.401, 445.402,
445.403, 445.404, 445.405, and 445.408), sections 1 and 3 as
amended by 2006 PA 294; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. (1) A person, corporation, copartnership, or firm
shall not carry on the business of dealer in second hand goods or
junk dealer in any of the counties, cities, or villages of this
state having
a population of 1,000 located in counties of 25,000
or
over without having first obtained, from the mayor of the
city
or
the president chief executive officer of
the county or village
where such
the business is to be carried on, a license under this
act authorizing that person, corporation, copartnership, or firm to
carry on that business.
(2) This subsection does not require an internet drop-off
store complying with subsection (3), or a person engaged in the
sale, purchase, consignment, or trade of personal property or other
valuable thing for himself or herself, to obtain a license under
this act.
(3) An internet drop-off store in compliance with the
following conditions is exempt from licensure as a second hand
dealer or junk dealer under this act:
(a) Has a fixed place of business within this state except
that he or she exclusively transacts all purchases or sales by
means of the internet and the purchases and sales are not
physically transacted on the premises of that fixed place of
business.
(b) Has the personal property or other valuable thing
available on a website for viewing by photograph, if available, by
the general public at no charge, which website shall be searchable
by zip code or state, or both. The website viewing shall include,
as applicable, serial number, make, model, and other unique
identifying marks, numbers, names, or letters appearing on the
personal property or other valuable thing.
(c) Maintains records of the sale, purchase, consignment, or
trade of the personal property or other valuable thing for at least
2 years, which records shall contain a description, including a
photograph, if available, and, if applicable, serial number, make,
model, and other unique identifying marks, numbers, names, or
letters appearing on the personal property or other valuable thing.
(d) Provide the local law enforcement agency with any name
under which it conducts business on the website and access to the
business premises at any time during normal business hours for
purposes of inspection.
(e) Within 24 hours after a request from a local law
enforcement agency, provide an electronic copy of the seller's or
consignor's name, address, telephone number, driver license number
and issuing state, the buyer's name and address if applicable, and
a description of the personal property or other valuable thing as
described in subdivision (c). The provision of information shall be
in a format acceptable to the local law enforcement agency but
shall at least be in a legible format and in the English language.
(f) Provide that payment for the personal property or other
valuable thing is executed by means of check or other electronic
payment system, so long as the payment is not made in cash. No
payment shall be provided to the seller until the item is sold.
(g) Immediately remove the personal property or other valuable
thing from the website if the local law enforcement agency
determines that the personal property or other valuable thing is
stolen.
Sec.
2. (1) The mayor of
any such a city ,
or president
chief
executive officer of any
such a county or village
, may
from
time to time grant under his hand and the official seal of
his
office to any
suitable person,
corporation, copartnership,
or
firm, a license authorizing such that
person, corporation,
copartnership, or firm to carry on the business of a second hand
dealer
or junk dealer subject to the provisions of this act. Said
(2)
The license shall designate the
particular place in said
city
or village where such that
person, corporation,
copartnership, or
firm shall carry on said that
business. , and
no
person, corporation, copartnership or firm receiving said
license
shall carry on said The business
in any shall be
conducted
only in the place other
than as designated in said
the
license. It shall be unlawful
for the issuing officer to grant
a
(3) A license shall not be issued to any person, firm, or
corporation doing,
or desiring to
do conduct a
junk business in
any
residential community , where 65 per cent 65% or more of
the
property owners within a radius of 1 city block of such
junk
business,
or the contemplated junk business ,
petition the
issuing
officer not to do so. : Provided, however, That in case
any
person shall have no regular place of business, a license shall
be
issued to such person to carry on the business of second hand
dealer
or junk dealer either by horse and wagon, cart, automobile
or
by pack.
(4)
The said license
shall be for the period of 1 year from
date
of issuance unless sooner revoked for cause , and shall
is
not be
transferable. It shall be within the
power of the The
legislative
body of any city, or the trustees and
president chief
executive
officer of any county or village, to shall
fix the
amount to be paid as an annual license fee at any amount not more
than 50
dollars $50.00.
(5) The city, village, or county may inspect the premises of a
licensed second hand or junk dealer during normal business hours.
Sec. 3. As used in this act:
(a) "Automotive recycler" means a person who engages in
business primarily for the purpose of selling retail salvage
vehicle parts and secondarily for the purpose of selling retail
salvage motor vehicles or manufacturing or selling a product of
gradable scrap metal or a person employed as a salvage vehicle
agent as that term is defined in section 56c of the Michigan
vehicle code, 1949 PA 300, MCL 257.56c.
(b) "Internet drop-off store" means a person, corporation, or
firm that contracts with other persons, corporations, or firms to
offer its personal property or other valuable thing for sale,
purchase, consignment, or trade through means of an internet
website and meets the conditions described in section 1(3).
(c) "Local law enforcement agency" means the police agency of
the city, village, or township, or if none, the county sheriff of
the county in which the internet drop-off store conducts business.
(d) "Scrap processor" means a person, utilizing machinery and
equipment and operating from a fixed location, whose principal
business is the processing and manufacturing of iron, steel,
nonferrous metals, paper, plastic, or glass, into prepared grades
of products suitable for consumption by recycling mills and
foundries.
(e) "Second hand dealer" or "junk dealer" means any person,
corporation, or member or members of a copartnership or firm whose
principal business is that of purchasing, selling, exchanging,
storing, or receiving second hand articles of any kind, scrap
metals, cast iron, old iron, old steel, tool steel, aluminum,
copper, brass, lead pipe or tools, or lighting and plumbing
fixtures.
Second hand dealer or junk dealer does not include a
scrap
processor or an automotive recycler.
Sec.
4. (1) Such A
second hand dealer or junk dealer as
defined
in the preceding section shall post in a conspicuous place
in
or upon his shop, store, wagon, boat or other its place
of
business ,
a sign having his its name
and occupation. legibly
inscribed
thereon, and
(2) A second hand or junk dealer shall keep a separate book or
other
record open to inspection by a member
of a police force,
city
marshal, constable or other person, local law enforcement
agency, in which shall be written or entered in the English
language
at the time of the purchase or exchange of such articles,
any
article a description thereof
of the article, the name,
description, fingerprint, and residence address of the person
from
whom the same article
was purchased and received, and the
day
and hour when such the
purchase or exchange was made as well
as the location from which the item was obtained, if applicable.
Each
entry shall be numbered consecutively.
, commencing with
number
1.
Sec.
5. (1) Such The
articles , purchased
or exchanged
shall
be retained by the purchaser thereof, for at least 15 days
before disposing of them, in an accessible place in the building
where such
the articles are purchased and received. A tag shall
be
attached to such the
articles in some visible and convenient
place, with the number written thereupon, to correspond with the
entry
number in such the
book or other record. Such
(2) The purchaser shall prepare and deliver on Monday of each
week
to the chief of police or chief police law
enforcement
officer
of the city local
unit of government in which such
business is carried on, before 12 o'clock noon, a legible and
correct
copy written in the English language from such the book
or other record, containing a description of each article purchased
or received during the preceding week, the hour and day when the
purchase was made, and the description of the person from whom it
was
purchased. Such The
statement shall be verified by the
affidavit
of the person subscribing his or her name
thereto.
(3) This section shall does not
apply to old rags, waste
paper, and household goods except radios, televisions, record
players, and
electrical appliances . Nothing herein contained
shall
make it necessary for and
does not require the purchaser to
retain articles purchased from individuals, firms, or corporations
having
a fixed place of business after said those
articles shall
have been reported.
Sec.
8. (1) Every person violating any of the provisions of
this
act shall be punished by a fine not exceeding 100 dollars, nor
less
than 10 dollars, or by imprisonment in the county jail not
exceeding
6 months, or by both such imprisonment and fine. In case
any
Except as otherwise provided
for in this section, a person who
violates this act is guilty of a misdemeanor and shall be
imprisoned for not more than 6 months and shall be fined not less
than $10.00 or more than $100.00.
(2) A second hand or junk dealer who buys or sells scrap
metal, knowing that it is stolen, is guilty of a felony punishable
by imprisonment for not more than 3 years or a fine of not more
than $2,000.00, or both.
(3) A second hand or junk dealer who buys or sells stolen
scrap metal that he or she has reason to believe was removed from a
municipal utility building or jobsite is guilty of a felony
punishable by imprisonment for not more than 5 years or a fine of
not more than $10,000.00, or both.
(4) The license of a person, corporation, copartnership, or
firm shall
be that is found guilty of violating any of the
provisions
of this act , the license issued to such person,
corporation,
copartnership or firm shall be
deemed considered to
have
been be revoked
ipso facto, upon entry of a conviction and
such person, corporation, copartnership, or firm shall not be
permitted
to carry on such the
business of being a second hand or
junk
dealer within this state for a period
of 1 year after such
that conviction.
(5) The remedies under this act are independent and
cumulative. The use of 1 remedy by a person does not bar the use of
other lawful remedies by that person or the use of a lawful remedy
by another person.
Enacting section 1. 1945 PA 231, MCL 445.471 to 445.476, is
repealed.