January 26, 2017, Introduced by Rep. LaFave 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, and 6 (MCL 445.401, 445.402, 445.403,
and 445.406), sections 1 and 2 as amended by 2008 PA 432 and
section 3 as amended by 2006 PA 675.
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, or
townships of this state without having first obtained, from the
mayor
of the city or the chief executive officer of the county, or
village, or township where 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 section does not require an internet drop-off store
complying
that complies with subsection (3), or a person an
individual who is 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 that meets
all of 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 the person 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 and the website shall be is
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 and those 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 Provides 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 provides 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 provided in a format that is acceptable to the
local law enforcement agency but shall at least be in a legible
format and in the English language.
(f)
Provide Provides that payment for the personal property or
other valuable thing is executed by means of check or other
electronic
payment system; , so long as that the payment is not
made
in cash; . No and
that payment shall be provided is not made
to the seller until the item is sold.
(g)
Immediately remove removes
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.
(4) This section does not exempt a person that is purchasing
or selling articles of nonferrous metals from compliance with the
nonferrous
metal regulatory act.scrap metal
regulatory act, 2008 PA
429, MCL 445.421 to 445.443.
Sec. 2. (1) The mayor of a city or chief executive officer of
a
county, or village, or township may grant to
any person ,
corporation,
copartnership, or firm, a license authorizing
that
authorizes
that person ,
corporation, copartnership, or firm to
carry on the business of a second hand dealer or junk dealer in
that city, county, village, or township, subject to the provisions
of this act.
(2)
The A license granted
under this section shall designate
the
particular place where that the
person , corporation,
copartnership,
or firm shall carry on that the business of a second
hand dealer or junk dealer. The dealer shall only conduct that
business
shall be conducted only in at
the place designated in the
license.
(3)
The term of a license shall be for the period of granted
under
this section expires 1 year from after the date of issuance,
unless sooner revoked for cause, and is not transferable. The
legislative body of any city or township, or the trustees and chief
executive officer of any county or village, shall establish the fee
for the processing and issuance of the license in accordance with
its
charter or local ordinance, based upon on the cost of issuance
and administration of that license.
(4)
The A city, village, township, 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 that 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) "Industrial scrap" means materials that are a direct
product or by-product of any form of manufacturing, shaping, or
cutting
process from a person , company, corporation,
copartnership,
or firm whose principal business is
the
manufacturing, shaping, or cutting of materials at a fixed place of
business.
(c)
"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).
(d) "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.
(e) "Person" means an individual, corporation, limited
liability company, partnership, association, or other legal entity.
(f) (e)
"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, foundries,
and other scrap processors.
(g) (f)
"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, an automotive recycler, or a junkyard that deals
principally in industrial scrap and is licensed by a city, village,
township, or county.
Sec. 6. If the purchaser or receiver, by exchange or
otherwise,
as of an article described in section 3 , is a peddler
or goes about with a wagon to purchase or obtain by exchange or
otherwise,
any of such those articles, and does not have a place of
business
in a building, he or she need not retain such those
articles
for 15 days before selling them, provided if on Monday of
each week he or she files with the chief of police or chief police
officer
of the city, or village, or township in which he or she is
located a report showing the place of business of the person to
whom
such which the sale was made; and a copy of the record
required
by such section to be under
section 3 is kept in a
separate book of the articles purchased or received during the
preceding
week, including a description of such the articles sold,
to
whom sold and his the person
to which they were sold, and that
person's place of business.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.