HomeMy WebLinkAboutCity of Tamarac Ordinance O-1996-020Temp. Ord. #1771 1
9/25/96
CITY OF TAMARAC, FLORIDA
ORDINANCE NO. 0-96---�X>
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
TAMARAC, FLORIDA, AMENDING CHAPTER 12 OF THE
TAMARAC CODE, ENTITLED "LICENSES AND BUSINESS
REGULATIONS", BY ADDING ARTICLE XV, ENTITLED
"PAWNBROKERS"; PROVIDING FOR CODIFICATION;
PROVIDING FOR CONFLICTS; PROVIDING FOR
SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the Florida Pawnbroking Act (Exhibit A) has been passed by the Florida
Congress and will become effective October 1, 1996 ; and
WHEREAS, the City of Tamarac currently has three (3) pawn shops located within its city
limits; and
WHEREAS, adoption of the Florida Pawnbroking Act and creation of an Ordinance in
compliance with it will provide for effective regulation of pawnbroking activities within the City of
Tamarac; and
WHEREAS, the City Commission of the City of Tamarac has deemed it to be in the best
interest of the citizens and residents of the City of Tamarac that the City of Tamarac adopt an
Ordinance pertaining to pawnbroking establishments within the City of Tamarac.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF
TAMARAC, FLORIDA:
SECTION 1: That the foregoing whereas clauses are hereby ratified and
CODING: Words in Mgr type are deletions from existing law;
Words in underscored type are additions.
1
Temp. Ord. #1771
9/25/96
confirmed as being true and correct and are hereby made a specific part of this Ordinance upon
adoption hereof.
SECTION 2. Chapter 12 of the Tamarac Code entitled, "Licenses and Business
Regulations", is hereby amended by adding Article XV, entitled "Pawnbrokers", as follows:
12.352. Florida Pawnbrokers Act'. State Law Adopted.
The "Florida Pawnbroking_Act" is hereby adopted by the City of
Tamarac and made a part of the Tamarac Code.
12.35 Occupational License Require .
It shall be unlawful for any pawnbroker to engage in any such
business within the corporate limits without first obtaining from the City
a license therefor. A separate license is required for e a c h
pawnshop.
12.354. Hours of Operation.
No pawnshop may operate during the hours between midnight and 6:00
a.m.
SECTION 3: It is the intention of the City Commission and it is hereby ordained
that the provisions of this Ordinance shall become and be made a part of the Code of Ordinances
of the City of Tamarac, Florida, and that the Sections of this Ordinance may be renumbered,
relettered and the word "Ordinance" may be changed to "Section", "Article" or such other word
or phrase in order to accomplish such intention.
SECTION 4. All Ordinances or parts of Ordinances, and all Resolutions and parts
of Resolutions in conflict herewith are hereby repealed to the extent of such conflict.
CODING: Words in � type are deletions from existing law;
Words in underscored type are additions.
1
Temp. Ord. #1771 3
9/25/96
SECTION 5: If any provision of this Ordinance or the application thereof to any
person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications of this Ordinance that can be given affect without the invalid provision or application,
and to this end the provisions of this Ordinance are declared to be severable.
SECTION 6: This Ordinance shall become effective on October 1, 1996.
PASSED, FIRST READING this 7-1 day of loot m b-per , 1996.
PASSED, SECOND READING this II
ATTEST:
6111
CAROL A. EVANS
CITY CLERK
I HEREBY CERTIFY that I
haVo approved this
6RI5VANCE as to fordn.
MITCHELL S
CITY ATTORN
(c:\userdata\wpdata\ord\1771.ms)
day of oex--ern pr , 1996.
4C ->P4--1=
VICE MAYO LARRY MISHKIN
RECOM OF COMMISSION VOTE
MAYOR . �.-. .._..�
DIST 'I: `
DIST 2:
MST 3: cold A. sckg4 j5
DIST 4: 11�2-7�z%ll
CODING: Words in struel( threugh type are deletions from existing law;
Words in underscored type are additions.
d... 0
•
•
C7
Citation
1996 FL S.B.
1996 Florida
STATE NET)
2812 (SN)
Senate Bill No
VERSION: Enrolled
May 2, 1996
Dudley
Rank(R) L -abase Mode
R 2 OF 6 FL -BILLS Page
2812, Florida 1996 Regular Session (FULL TEXT -
FLORIDA BILL TEXT
An act relating to pawnbroking; creating the Florida Pawnbroking Act;
providing definitions; authorizing the Division of Consumer Services of the
Department of Agriculture and Consumer Services to license and regulate
pawnbrokers; providing licensing requirements and eligibility; providing
application procedures; providing for suspension, revocation, and surrender
of licenses; providing for orders to impose penalties; requiring and
prescribing contents of a pawnbroker transaction form; requiring
recordkeeping and reporting; prescribing service charges; prohibiting certain
acts; providing a right to redeem pledged goods; providing a pawnbroker's
lien; providing procedures for obtaining pledged goods alleged to have been
misappropriated; providing for hold orders; prescribing duties of the state
attorney's office; providing criminal penalties; providing for injunctive
relief; providing responsibility of the Department of Law Enforcement to
provide arrest and conviction records; prohibiting conflicting county or
municipal ordinances; providing a transition period for licensing; providing
that ch. 538, F.S., does not apply to pawnbrokers licensed under the Florida
Pawnbroking Act; providing applicability to other provisions of law;
providing an effective date.
TEXT:
Be It Enacted by the Legislature of the State of Florida:
Section 1. The Florida Pawnbroking Act. --
(1) SHORT TITLE. -- This section may be cited as the "Florida Pawnbroking
Act."
(2) DEFINITIONS. -- As used in this section, the term:
(a) "Agency" means the Division of Consumer Services of the Department of
Agriculture and Consumer Services.
(b) "Appropriate law enforcement official" means the sheriff of the
county in which a pawnshop is located or, in case of a pawnshop located
within 'a municipality, the police chief of the municipality in which the
pawnshop is located; however, any sheriff or police chief may designate as
the appropriate law enforcement official for the county or municipality, as
applicable, any law enforcement officer working for the department headed by
that sheriff or police chief.
-Copyright (C) 1996 Info. for Public Affairs
(c) "Claimant" means a person who claims that his or her property was
misappropriated and delivered into the possession of a pawnbroker.
(d) "Conveying customer" means a person who delivers property into the
custody of a pawnbroker, either by pawn, sale, consignment, or trade, which
property is later claimed to be misappropriated.
(e) "Identification" means a government -issued photographic
identification.
(f) "Misappropriated" means stolen, embezzled, converted, or otherwise
wrongfully appropriated against the will of the rightful owner.
(g) "Net worth" means total assets less total liabilities.
(h) "Pawn" means any advancement of funds on the security of pledged
goods on condition that the pledged goods are left in the possession of the
pawnbroker for the duration of the pawn and may be redeemed by the pledgor on
the terms and conditions contained in this section.
(i) "Pawnbroker" means any person who is engaged in the business of
making pawns; who makes a public display containing the term "pawn."
"Pawnbroker," or "pawnshop" or any derivative thereof; or who publicly
displays a sign or symbol historically identified with pawns.
(j) "Pawnbroker transaction form" means the instrument on which a
pawnbroker records pawns and purchases as provided in subsection (8).
(k) "_Pawn service charge" means a charge for investigating the title,
storage, and insuring of the security; closing the transaction; making daily
reports to appropriate law enforcement officials; expenses and losses; and
all other services.
(1) "Pawnshop" means the location at which a pawnbroker conducts
business.
(m) "Permitted vendor" means a vendor who furnishes a pawnbroker with an
invoice specifying the vendors name and address, the date of the sale, a
description of the items sold, and the sales price, and who has an
established place of business, or, in the case of a secondhand dealer as
defined in section 538.03, Florida Statutes, has represented in writing that
such dealer has complied with all applicable recordkeeping, reporting, and
retention requirements pertaining to goods sold or otherwise delivered to a
pawnbroker.
(n) "Person" means an individual, partnership, corporation, joint
venture, trust, association, or other legal entity.
(o) "Pledged goods" means tangible personal property that is deposited
Copyright (C) 1996 Info. for Public Affairs
r�
u
c . � c1 .
with, or otherwise dt.-�ivei into the possessiot, of a wnbroker in
connection with a pawn. "Pledged goods" does not include titles or any other
form of written security in tangible property in lieu of actual physical
possession, including, but not limited to, choses in action, securities,
printed evidence of indebtedness, or certificates of title and other
instruments evidencing title to separate items of property, including motor
vehicles. For purposes of federal and state bankruptcy laws, a pledgor's
interest in his or her pledged goods during the pendency of a pawn is a right
of redemption only.
(p) "Pledgor" means an individual who delivers pledged goods into the
possession of a pawnbroker in connection with a pawn.
(q) "Purchase" means the transfer and delivery of goods to a pawnbroker
by acquisition for value, consignment, or trade for other goods.
(r) "Amount Financed" is used interchangeably to mean the same as "amount
of money advanced" or "principal amount".
(s) "Default Date" means that date upon which the pledgor's right of
redemption expires and absolute right, title, and interest in and to the
pledged goods shall vest in and shall be deemed conveyed to the pawnbroker by
operation of law.
(3) LICENSE REQUIRED. --
(a) A person may not engage in business as a pawnbroker unless the person
has a valid license issued by the agency. A separate license is required for
each pawnshop. The agency must issue more than one license to a person if
that person complies with the requirements for each license.
(b) A licensee who seeks to move a pawnshop to another location must give
30 days' prior written notice to the agency by certified or registered mail,
return receipt requested, and the agency must then amend the license to
indicate the new location. The licensee must also give such written notice
to the appropriate law enforcement official.
(c) Each license remains 'in effect until it is relinquished, suspended,
revoked, or expires. Each licensee shall annually pay to the agency a license
fee not to exceed $300 for each license held. If the annual license fee
remains unpaid 30 days after written notice of delinquency has been given to
the licensee by the agency, the license shall thereupon expire on the
expiration date specified in the registration certificate.
(d) The agency may issue a temporary pawnbroker's license for the
operation of a pawnshop either upon receipt of an application to transfer an
existing license from one person to another or upon receipt of an application
for a license involving principals and owners that are substantially
identical to those of the existing licensee. The temporary license is
effective until the permanent license is issued or denied by the agency.
Copyright (C) 1996 Info. for Public Affairs.
0
7� �U
U / (e) A person must apply to the
temporary license upon any change,
of any pawnshop. An application for
an existing license is not required
beneficially, in the ownership of a
least 90 percent of the outstanding
the change in ownership continue to
•
is
0
agency for a new license or for a
directly or beneficially, in the ownership
a license or an application to transfer
upon any change, directly or
pawnshop if one or more holders of at
equity interest of the pawnshop before
hold at least 90 percent of the
outstanding equity interest after the change in ownership.
(4) ELIGIBILITY FOR LICENSE. --
(a) To be eligible for a pawnbroker's license, an applicant must:
1. Be of good moralcharacter;
2. Have a net worth of at least $50,000 or file with the agency a bond
issued by a surety company qualified to do business in this state in the
amount of $10,000 for each license.. In lieu of the bond required in this
section, the applicant may establish a certificate of deposit or an
irrevocable letter of credit in a Florida banking institution in the amount
of the bond. The original bond, certificate of deposit or letter of credit
shall be filed with the agency, and the agency shall be the beneficiary to
said document. The bond, certificate of deposit or letter of credit shall be
in favor of the agency for the use and benefit of any consumer who is injured
by the fraud, misrepresentation, breach of contract, financial failure, or
violation of any provision of this section by the pawnbroker. Such liability
may be enforced either by proceeding in an administrative action or by filing
a judicial suit at law in a court of competent jurisdiction. However, in
such court suit, the bond, certificate of deposit, or letter of credit posted
with the agency shall not be amenable or subject to any judgment or other
legal process issuing out of or from such court in connection with such
lawsuit, but such bond, certificate of deposit, or letter of credit shall be
amenable to and enforceable only by and through administrative proceedings
before the agency. it is the intent of the Legislature that such bond,
certificate of deposit, or letter of credit shall be applicable and liable
only for the payment of claims duly adjudicated by order of the agency. The
bond, certificate. of deposit', or letter of credit shall be payable on a pro
grata basis as determined by the agency, but the aggregate amount may not
exceed the amount of the bond, certificate of deposit, or letter of credit.
3. Not have been convicted of a felony within the last l0 years and not
be acting as a beneficial owner for someone who has been convicted of a
felony within the last 10 years; and
4. Not have been convicted, and not be acting as a beneficial owner for
someone who has been convicted, of a crime that the agency finds directly
relates to the duties and responsibilities of a pawnbroker within the last 10
years.
Copyright (C) 1996 Info. for Public Affairs
(b) If the agent, can verify that the applicar meets the net -worth
CJ requirement for a license, the agency may require a t_..ding, including the
presentation of a current balance sheet, by an accounting firm or individual
holding a permit to practice public accounting in this state, that the
accountant has reviewed the books and records of the applicant and that the
applicant meets the net -worth requirement.
(c) If an applicant for a pawnbroker's license is not an individual, the
eligibility requirements of this subsection, other than the requirements of
subparagraph (a)2., apply to each operator of the pawnshop and to each direct
or beneficial owner of at least 10 percent of the outstanding equity interest
of the pawnshop and, if the applicant is a corporation, to each officer and
director of the corporation.
(5) APPLICATION FOR LICENSE. --
(a) An application for a pawnbroker's license, for the transfer of an
existing pawnbroker's license, or for the approval of a change in the
ownership of a licensee's pawnshop must be under oath and must state the full
name and place of residence of the applicant, the place where the business is
to be conducted, and other relevant information required by the agency.
(b)1. If the applicant is not an individual, the applicant must state
the full name and address of each direct or beneficial owner of at least a
10-percent equity interest in such person. If the applicant is a
corporation, the application must also state the full name and address of
each officer and director.
2. Notwithstanding the provisions of subparagraph 1., the application
need not, state the full name and address of each officer, director, and
shareholder if the applicant is owned directly or beneficially by a person
that as an issuer has a class of securities registered under section 12 of
the Securities Exchange Act of 1934, or under section 15(d) thereof, and is
an issuer of registered securities required to file reports with the
Securities and Exchange Commission and if the person files with the agency
the information, documents, and reports required to be filed with the
Securities and Exchange Commission.
(c) Each application for a license must be accompanied by an application
fee set by the agency not to exceed $300, which shall include the license fee
for the first year's operation, plus the actual cost for fingerprint analysis
for each owner application, to cover the costs of investigating the
applicant. These fees are not refundable.
(d) When the application and the required fees are received, the agency
shall investigate the facts, approve the application, and issue a license to
the applicant if the agency finds that the eligibility requirements for the
license are satisfied. The license must be prominently displayed at the front
desk or counter at each pawnshop.
Copyright '(C) 1996 Info. for Public Affairs
LJ
' d (e) Fees and fines cc, icted under this section ► the agency shall be
C✓ deposited into the Genera. Inspection Trust Fund.
(6) SUSPENSION, REVOCATION, AND SURRENDER OF LICENSE; NET -WORTH
REQUIREMENT. --
(a) The agency may, after notice and a hearing, suspend or revoke any
license upon a finding that:
1. The licensee, either knowingly or without the exercise of due care,
has violated this section or has aided or conspired with another person to
violate this section;
2. A condition exists that, had it existed when the original license was
issued, would have justified the agency's refusal to issue a license; or
3. The licensee has through gross negligence or willful noncompliance
failed to comply with a written hold order.
(b) The agency may conditionally license or place on probation a person
whose license has been suspended or may reprimand a licensee for a violation
of this section.
(c) The manner of giving notice and conducting a hearing, as required by
paragraph (a), must conform to chapter 120, Ylorida Statutes.
(d) Any licensee may surrender a license by delivering it, by certified
or registered mail, return receipt requested, to the agency with written
notice of its surrender. The surrender of a license does not affect the civil
or criminal liability of the licensee for acts committed before the surrender
of the license.
(e) The revocation, suspension, or surrender of a license does not impair
or affect the obligation of any preexisting lawful contract between the
licensee and any pledgor. Any pawn transaction made by a person without
benefit of a license is voidable, in which case the person forfeits the right
to collect any moneys, including principal and any charges, from the pledgor
in connection with such transaction and is obligated to return to the pledgor
the pledged goods in connection with such transaction.
(f) The agency may reinstate a suspended license or issue a new license
to a person whose license has been revoked, if after a hearing it determines
that no fact or condition then exists that would have justified the agency in
originally refusing to issue a license.
(g) Each licensee must maintain a net worth of $50,000 or the bond
specified in subsection (4).
(7) ORDERS IMPOSING PENALTIES. --
Copyright (C) 1996 Info. for Public Affairs
�J
0-1 6,')C) (a) The agency may er : an order imposing one o ore of the penalties
set forth in paragraph (Li if the agency finds that a pawnbroker:
1. Violated or is operating in violation of any of the provisions of
this section or of the rules adopted or orders issued thereunder;
2. Made a material false statement in any application, document, or
record required to be submitted or retained under this section;
3. Refused or failed, or any of its principal officers has refused or
failed, after notice, to produce any document or records or disclose any
information required to be produced or disclosed under this section or the
rules of the agency;
4. Made a material false statement in response to any request or
investigation by the agency, the Department of Legal Affairs, or the state
attorney; or
5. Has intentionally defrauded the public through dishonest or deceptive
means.
(b) Upon a finding as set forth in paragraph (a), the agency may enter an
order doing one or more of the following:
1. Imposing an administrative fine not.to exceed $5,000 for each act
which constitutes a violation of this section or a rule or an order.
2. Directing that the pawnbroker cease and desist specified activities.
3. Refusing to license or revoking or suspending a license.
4. Placing the licensee on probation for a period of time, subject to
such conditions as the agency may specify.
5. Issuing a letter of concern.
(c) The administrative proceedings which could result in the entry of an
order imposing any of the penalties specified in paragraph (b) are governed
by chapter 120, Florida Statutes.
(d)1. When the agency, if a violation of this section occurs, has
reasonable cause to believe that a person is operating in violation of this
section, the agency may bring a civil action in the appropriate court for
temporary or permanent injunctive relief and may seek other appropriate civil
relief, including a civil penalty not to exceed $5,000 for each violation,
restitution and damages for injured customers, court costs, and reasonable
attorney's fees.
2. The agency may terminate any investigation or action upon agreement
by the offender to pay a stipulated.civil penalty, to make restitution or pay
Copyright (C) 1996 Info. for Public Affairs
r�
u
0 !6 gdamages to customers, or satisfy any other relief thorized herein and
requested by the agency.
•
•
E
(e) The remedies provided for in this subsection shall be in addition to
any other remedy provided by law.
(8) PAWNBROKER TRANSACTION FORM. --
(a) At the time the pawnbroker enters into any pawn or purchase
transaction, the pawnbroker shall complete a pawnbroker transaction form for
such transaction, including an indication of whether the transaction is a
pawn or a purchase, and the pledgor or seller shall sign such completed form.
The agency must approve the design and format of the pawnbroker transaction
form, which must elicit the information required under this section. In
completing the pawnbroker transaction form, the pawnbroker shall record the
following information, which must be typed or written indelibly and legibly
in English.
(b) A pawnbroker transaction form must include:
1. The name and address of the pawnshop.
2. A complete and accurate description of the pledged goods or purchased
goods, including the following information, if applicable:
a. Brand name.
b. Model number.
c. Manufacturer's serial number.
d. Size.
e. Color, as apparent to the untrained eye.
f. Precious -metal type, weight, and content, if known.
g. Gemstone description, including the number of stones.
h. In the case of firearms, the type of action, caliber or gauge, number
of barrels, barrel length, and finish.
i. Any other unique identifying marks, numbers, names, or letters.
Notwithstanding sub -subparagraphs a.-i., in the case of multiple items of a
similar nature delivered together in one transaction which do not bear serial
or model numbers and which do not include precious metal or gemstones, such
as musical or video recordings, books, and hand tools, the description of the
items is adequate if it contains the quantity of items and a description of
the type of items delivered.
Copyright (C) 1996 Info. for Public Affairs
3. The name, aduress late of birth, physical do ription, and right
thumbprint of the pledgor ur seller.
4. The date and time of the transaction.
5. The type of identification accepted from the pledgor or seller,
ISincluding the issuing agency and the identification number.
6. In the case of a pawn:
a. The amount of money advanced, which must be designated as the amount
financed;
b. The maturity date of the pawn, which must be 30 days after the date
of the pawn;
C. The total pawn service charge payable on the maturity date, which
must be designated as the finance charge;
d. The amount financed plus the finance charge that must be paid to
redeem the pledged goods on the maturity date, which must be designated as
the total of payments;
e. The annual percentage rate, computed according to the regulations
adopted by the Federal Reserve Board under the federal Truth in Lending Act;
and
f. A statement that:
(I) Any personal property pledged to a pawnbroker within this state which
is not redeemed within 30 days following the maturity date of the pawn, if
the. 30th day is not a business day, then the following business day, is
automatically forfeited to the pawnbroker, and absolute right, title, and
interest in and to the property vests in and is deemed conveyed to the
pawnbroker by operation of law, and no further notice is necessary;
(II) The pledgor is not obligated to redeem the pledged goods; and
(III) If the pawnbroker transaction form is lost, destroyed, or stolen,
the pledgor must immediately advise the issuing pawnbroker in writing by
certified or registered mail, return receipt requested, or in person
evidenced by a signed receipt.
(IV) A pawn may be extended upon mutual agreement of the parties.
7. In the case of a purchase, the amount of money paid for the goods or
the monetary value assigned to the goods in connection with the transaction.
8.. A statement that the pledgor or seller of the item represents and
warrants that it is not stolen, thatit has no liens or encumbrances against
Copyright (C) 1996 Info. for Public Affairs
•
it, and that the pledgor i seller has the right to a ar into the
transaction.
9. Immediately above the signature of the pledgor or seller, a statement
that the pledgor or seller of the item declares: "Under penalty of perjury, I
have read the foregoing document, and the facts stated in it are true."
• provide a s
(c) A pawnbroker transaction form must p rovPace for the imprint of
the right thumbprint of the pledgor or seller and a blank line for the
signature of the pledgor or seller.
(d) At the time of the pawn or purchase transaction, the pawnbroker shall
deliver to the pledgor or seller an exact copy of the completed pawnbroker
transaction form.
(9) RECORDKEEPING; REPORTING; HOLD PERIOD. ---
(a) A pawnbroker must maintain the original copy of each completed
pawnbroker transaction form on the pawnshop premises for at least 180 days
after the date of the transaction. On or before the end of each business day,
the pawnbroker must deliver to the appropriate law enforcement official a
copy of pawnbroker transaction forms for each of the transactions occurring
during the previous business day, unless other arrangements have been agreed
upon between the pawnbroker and the appropriate law enforcement official. If
the appropriate law enforcement agency supplies the appropriate software and
the pawnbroker presently has the computer ability, pawn transactions shall be
electronically transferred.
(b) All goods delivered to a pawnbroker in a pawn or purchase transaction
must be securely stored and maintained within the jurisdiction of the
appropriate law enforcement official for a period of 15 calendar days after
the transaction. Those goods delivered to a pawnbroker in a purchase
. transaction may not be sold or otherwise disposed of before the expiration of
such period. The pawnbroker shall make all pledged and purchased goods
available for inspection by the appropriate law enforcement official during
normal business hours throughout such period. The pawnbroker must store and
maintain pledged goods for the period prescribed in subsection (10) unless
the pledged goods are redeemed earlier; provided, however, that within the
first 15 days after the original pawn, the pledged goods may be redeemed only
by the pledgor or the pledgor's attorney -in -fact.
(10) PLEDGED GOODS NOT REDEEMED. -- Pledged goods not redeemed by the
pledgor on or before the maturity date of a pawn must be held by the
pawnbroker for at least 30 days following such date or until the next
business day, if the 30th day is not a business day. Pledged goods not
redeemed within the 30-day period following the maturity date of a pawn are
automatically forfeited to the pawnbroker; absolute right, title, and
interest in and to the goods shall vest in and shall be deemed conveyed to
the pawnbroker by operation of law; and no further notice is necessary. A
pledgor has no obligation to redeem -pledged goods or make any payment on a
Copyright (C) 1996 Info. for Public Affairs
pawn.
--
(11) PAWN SERVICE CHARGSS.
(a) In a pawn transaction, a pawnbroker may contract for and receive a
pawn service charge. The interest component of the pawn service charge shall
be deemed to be 2 percent of the amount financed for each 30-day period in a
pawn transaction. The pawnbroker may charge any amount of pawn service
eic
charge, so long as the total amount, inclusive of the interscomponent,
does not exceed 25 percent of the amount financed for each 30-day period in a
pawn transaction, except that the pawnbroker is entitled to receive a minimum
pawn service charge of $5 for each such 30-day period.
(b) The default date of any pawn may be extended to a subsequent dace ray
mutual agreement, between the pledgor and the pawnbroker except the
pawnbroker may not impose a minimum duration of more than 30 days, evidenced
by a written memorandum, a copy of which must be supplied to the pledgor,
which must clearly specify the new default date, the pawn service charges
paid for the extension, and the pawn service charges owed on the new default
date. In this event, the daily pawn service charge for the extension shall be
equal to the pawn service charge for the original 30-day period divided by 30
days (i.e., one -thirtieth of the original total pawn service charge). There
is no limit on the number of extensions that the parties may agree to.
(c) The total amount of pawn service charges that a pawnbroker may
collect in the case of pledged goods redeemed at any time within 30 days
after the date of the pawn is the amount provided in paragraph (a). The total
amount of pawn service charges that a pawnbroker may collect in the case of
redemptions occurring at any time more than 30 days after the date of the
pawn is twice the amount provided in paragraph (a), except that,
for
redemptions occurring more than 60 days after the date of the pawn, pawn
service charges continue to accrue from and after the 60th day at the daily
rate determined as provided in paragraph (b). Any unused pawn service charge
paid in advance by the pledgor shall be refunded by the pawnbroker.
(d) Pledged goods may be redeemed by mail by agreement between all theeys due
pledgor and the pawnbroker. The pledgor must pay
in and a reasonable charge assessed by the pawnbroker to recover its cost and
expenses involved in the packaging, insuring, and shipping of the pledged
goods. If the pawnbroker insures the pledged goods in an amount not less than
the amount advanced to the pledgor in the pawn transaction, the pawnbroker's
liability for loss or damage in connection with the shipment of such pledged
goods is limited to the amount of the insurance coverage obtained.
(e) Any interest, charge, or fees contracted for or received, directly or
indirectly, in excess of the amounts authorized under this section are
prohibited, may not be collected, and render the pawn transaction voidable,
iti which case the pawnbroker shall forfeit the right to collect twice the
amount of the pawn service charge contracted for in the pawn and, up
on the
pledgor's written request received by the pawnbroker within 30 days after the
Copyright'(C) 1996 Info. for Public Affairs
0
or
q u maturity date, shall .�e of gated Co returwi�h the pa�._Tuponthe,
pledged
paymenofthe
delivered to the pawnbroke- in connection goods
-/�
balance remaining due, provided that there shall be no penalty for a
violation resulting from an accidental and bona fide error that is corrected
upon discovery. Any action to circumvent the limitation on pawn service
charges collectable under this section is voidable. In the event a pledgor
makes a partial payment on a pawn that reduces the amount financed, any
• additional pawn service charges shall be calculated on the remaining balance
of the original amount financed.
(12) PROHIBITED ACTS. -- A pawnbroker, or an employee or agent of a
pawnbroker, may not:
(a) Falsify or intentionally fail to make an entry of any material matter
in a pawnbroker transaction form.
(b) Refuse to allow the agency, the appropriate law enforcement official.
or the state attorney, or any of their designated representatives having
appropriate jurisdiction, to inspect completed pawnbroker transaction forms
or pledged or purchased goods during the ordinary hours of the pawnbroker's
business or other time acceptable to both parties.
(c) Obliterate, discard, or destroy a completed pawnbroker transaction
form sooner than 2 years after the date of the transaction.
(d) Accept a pledge or purchase property from a person under the age of
18 years.
(e) Make any agemo�nanreo ithagpzovisionsnofthe thisersonal sectionliability of a
pledgor or the waiverY
(f) Knowingly enter into a pawn or purchase transaction with any person
led
who is under the influencrentoreof wiithaanyhol or personcusinglthe nametofces when c
another or the
condition is apparent, PPa ,
registered name of another's business.
(g) Conduct any pawn or purchase transaction at a drive -through window or
similar device in which the customer remains in a vehicle while conducting
the transaction.
(h) Fail to return or replace goods to a pledgor upon payment of
the full amount due the pawnbroker, unless the pledged good Nava bourtporced
pledged
under a hold order under subsection (16), taken into custody by
otherwise disposed of by court order, or lost or damaged.
(i) Sell or otherwise charge
transaction, except in connection
by mail as provided in subsection
loan transactions at a licensed pawnshop location.
Copyright (C) 1996 Info. for Public Affairs
(j) Engage in title
C7
for insurance in connection with a pawn
with the shipment of pledged goods redeemed
(11) .
-3 (k) Lease pledged goods to the pledgor or any other party.
(13) RIGHT TO,REDEEM; LOST PAWNBROKER TRANSACTION FORM. --
(a) Any person presenting the pledgor's copy of the pawnbroker
transaction form to the pawnbroker is presumed to be entitled to redeem the
pledged goods described in the pawnbroker transaction form; however, if the
pawnbroker determines that the person is not the original pledgor, the
pawnbroker is not required to allow the redemption of the pledged goods by
such person. The person redeeming the pledged goods must sign the pledgor's
copy of the pawnbroker transaction form, which the pawnbroker may retain as
evidence of the person's receipt of the pledged goods. If the person
redeeming the pledged goods is not the original pledgor, that person must
show identification to the pawn broker and the pawnbroker shall record that
person's name and address on the pawnbroker transaction form retained by the
pawnshop. The pawnbroker is not liable to the original pledgor for allowing
the redemption of the pledged goods by another person under this paragraph.
(b) If a pledgor's copy of the pawnbroker transaction form is lost,
destroyed, or stolen, the pledgor must notify the pawnbroker in writing by
certified or registered mail, return receipt requested, or in person
evidenced by a signed receipt, and receipt of this notice invalidates the
pawnbroker transaction form if the pledged goods have not previously been
redeemed. Before delivering the pledged goods or issuing a new pawnbroker
transaction form, the pawnbroker must require the pledgor to make a�ritten
statement of the loss, destruction, or theft of the pledgor's copy o
the
pawnbroker transaction form. The pawnbroker must record on the written
statement the type of identification and the identification number accepted
from the-pledgor, the date the statement is given, and the number of the
pawnbroker transaction form that was lost, destroyed, or stolen. The
statement must be signed by the pawnbroker or the pawnshop employee who
accepts the statement from the pledgor. A pawnbroker is entitled to a fee not
to exceed $2 in connection with each lost, destroyed, or stolen pawnbroker
transaction form and the taking of a properly prepared written statement.
(c) Sales tax is not due or collectible in connection with the redemption
of pledged goods..
(d) If pledged goods are lost or damaged while in the possession of the
pawnbroker, the pawnbroker may satisfy the pledgor's claim by replacing the
lost or damaged goods with like kinds of merchandise of equal value, with
which the pledgor can reasonably replace the goods. Such an offer of
replacement is a defense to any prosecution based upon the loss or damage of
the goods.
(14) PAWNBROKER'S LIEN. -- A pawnbroker has a possessory lien on the
pledged goods pawned as security for the funds advanced, the pawn service
charge awed, and the other charges authorized under this section, but not for
other debts due to the pawnbroker. A pawnbroker has no recourse against a
Copyright (C) 1996 Info. for Public Affairs
r�
pledgor for payment u.4 a in transaction except for a pledged goods
themselves. Except as otht ise provided in this sect i, the pawnbroker must
retain possession of the pledged goods until the lien is satisfied or until
the default date. The pawnbroker may be compelled to relinquish possession of
the pledged goods only after receipt of the applicable funds advanced plus
the accrued service charge and other authorized charges, upon court order, or
as otherwise provided by law.
(15) CLAIMS AGAINST PURCHASED GOODS OR PLEDGED GOODS HELD By PAWNBROKERS.
(a) To obtain possession of purchased or pledged goods held by a
pawnbroker which a claimant claims to be misappropriated, the claimant must
notify the pawnbroker by certified mail, return receipt requested, or in
person evidenced by signed receipt, of the claimant's claim to the purchased
or pledged goods. The notice must contain a complete and accurate description
of the purchased or pledged goods and must be accompanied by a legible copy
of the applicable law enforcement agency's report on the misappropriation of
such property. If the claimant and the pawnbroker do not resolve the matter
within 20 days after the pawnbroker's receipt of the notice, and if the
pledged goods are not under a hold order under subsection (16), the claimant
may petition the court to order the return of the property, naming the
pawnbroker and the conveying customer as a defendant, and must serve the
pawnbroker and the conveying customer with a copy of the petition. The
pawnbroker shall hold the property described in the petition until the right
to possession is resolved by the parties or by a court of competent
jurisdiction. The filing of a petition to recover allegedly misappropriated
property must be accepted as a criminal complaint by the state attorney or
claim nt's swornttestimony andamustibenacceptedoasrevidenceyincanyicriminale
cla�ma
prosecution.
( If,
after
andnotice
ordersand
the returnhearing,
ofthe
thecourt
propertyfinds
tothat
the claimant: was
misappropriated
1. The claimant may recover from the conveying customer the cost of the
action, including the claimant's reasonable attorney's fees;
2. The conveying
customer
must
therepay
pawnbrokepawnbroker
prnpertyl plusamount
allthe
conveying customer received from
applicable pawn service charges; and
3. The conveying customer must pay the pawnbroker's costs incurred in
the proceeding, including the pawnbroker's reasonable attorney's fees.
(c) If the court finds that the claimant failed to comply with the
requirements in paragraph (a) or otherwise finds against the claimant, the
claimant is liable for the defendants' costs, including reasonable attorney's
fees.
Copyright -(C) 1996 Info. for Public Affairs
(d) The sale, pledge,
/) ��_.� pawnbroker by any person
delivery of tangibly pei
this state is considered
nal property to a
be:
�J
1. An agreement by the person who sells,
tangible personal property that the person is
the court in all civil actions and proceedings
sale transaction filed by either a resident or
pledges, or delivers the
subject to the jurisdiction of
arising out of the pledge or
nonresident plaintiff;
2. An appointment of the Secretary of State by any nonresident of this
state as that person's lawful attorney and agent upon whom may be served all
process in suits pertaining to the actions and proceedings arising out of the
sale, pledge, or delivery; and
3. An agreement by any nonresident that any process in any suit so
served has the same legal force and validity as if personally served in this
state.
(16) HOLD ORDERS; ISSUANCE; REQUIRED INFORMATION; PROCEDURES. --
(a) When an appropriate law enforcement official has probable cause to
believe that property in the possession of a pawnbroker is misappropriated,
the official may place a written hold order on the property. The written
hold order may impose a holding period not to exceed 90 days unless extended
by court order. An appropriate law enforcement official may place only one
hold order on property.
(b) Upon the expiration of the holding period, the pawnbroker may notify,
in writing, the appropriate law enforcement official by certified mail,
return receipt requested, that the holding period has expired. If, on the
loth day after the written notice has been received by the appropriate law
enforcement official, the pawnbroker has not received from a court an
extension of the hold order on the property, title to the property shall vest
in and be deemed conveyed by operation of law in the pawnbroker, free of any
liability for claims but subject to any restrictions contained in the pawn
transaction contract and subject to the provisions of this section.
(c) A hold order must specify:
1. The name and address of the pawnbroker.
2. The name, title, and identification number of the representative of
the appropriate law enforcement official or the court placing the hold order.
3. If applicable, the name and address of the appropriate law
enforcement official or court to which such representative is attached and
the number, if any, assigned to the claim regarding the property.
4. A complete description of the property to be held, including model
number and serial number if applicable.
Copyright (C) 1996 Info, for Public Affairs
S. The name of the pt on reporting the property i be misappropriated.
6. The mailing address of the pawnbroker where the property is held.
7. The expiration date of the holding period.
(d) The pawnbroker or the pawnbroker's representative must sign and date
a copy of the hold order as evidence of receipt of the hold order and the
beginning of the 90-day holding period.
(e)1. Except as provided in subparagraph 2., a pawnbroker may not
release or dispose of property subject to a hold order except pursuant to a
court order, a written release from the appropriate law enforcement official,
or the expiration of the holding period of the hold order.
2. While a hold order is in effect, the pawnbroker may release the
property subject to the hold order to the custody of the appropriate law
enforcement official for use in a criminal investigation. The release of the
property to the custody of the appropriate law enforcement official is not
considered a waiver or release of the pawnbroker's property rights or
interest in the property. Upon completion of the criminal investigation, the
property must be returned to the pawnbroker unless the court orders other
disposition. When such other disposition is ordered, the court shall
additionally order the conveying customer to pay restitution to the
pawnbroker in the amount received by the conveying customer for the property
together with reasonable attorney's fees and costs.
(f) If property is the subject of a lease or rental transaction between a
claimant and a conveying customer at the time it is delivered to the
pawnbroker, the property may not be considered misappropriated unless the
property has a conspicuous permanent label or mark identifying it as the
claimant's property. Property subject to a lease or rental transaction which
. is not marked as provided in this paragraph may be recovered by the claimant
upon payment to the pawnbroker of all moneys paid or advanced by the
pawnbroker in the pawn or purchase transaction and upon producing evidence
identifying the property as the claimant's property that was leased or rented
at the time the property was placed in the pawnbroker's possession. The
pawnbroker is not liable for. the recovery of -leased or rental property under
this paragraph.
(17) CRIMINAL PENALTIES. --
(a) Any person who engages in business as a pawnbroker without first
securing a license commits a felony of the third degree, punishable as
provided in section 775.082, section 775.083, or section 775.084, Florida
Statutes.
(b) In addition to any other penalty, a licensee who willfully violates
this. section or who willfully makes a false entry in any record specifically
required by this section Cop right (C)d1996nInfo. for Public Affairs
1 7 7 0 r L 0. D. ( V-- A .
'1
punishable as provided in action 775.082, section 71 383, or section
775.084, Florida Statutes.
(c) Any conveying customer who fraudulently pledges or sells
misappropriated property to a pawnbroker commits a felony of the third
degree, punishable as provided in section 775.082, section 775.083, or
section 775.084, Florida Statutes.
•
(18) INJUNCTIONS. -- When the agency has reasonable cause to believe that
a person is violating this section, the agency may enter an order requiring
the person to stop the violation. The agency may petition the court to enjoin
the person from engaging in the violation, continuing the violation, or doing
any act in furtherance of the violation. The court may order a preliminary
or permanent injunction.
(19) RECORDS OF THE FLORIDA DEPARTMENT OF LAW ENFORCEMENT.ag- The
anY
Department of Law Enforcement, on request, must supply for
arrest and conviction records in its possession of an individual applying
or holding a license under this section.
(20) CONFLICTING ORDINANCES. -- Any county or municipality may enact
ordinances that are in compliance with, but not more restrictive than this
section, except that local ordinances may not restrict hours of operations
other than between} midnight and 6 a.m. Any ordinance that conflicts with this.
subsection is void. Nothing in this section shall affect the authority of a
county or municipality to establish land use controls or require a pawnbroker
to obtain a local occupational license.
(21) TRANSITION PERIOD FOR LICENSING. -- Each pawnbroker operating a
pawnshop in business on the effective date of this section shall have 6
months from the effective date of this section to comply with the
registration and security provisions before the agency may initiate any
administrative or civil action.
Section 2. Chapter 538, Florida Statutes, does not apply to pawnbrokers
licensed under the Florida Pawnbroking Act. This act does not abrogate any
provision of chapters 671-680, Florida Statutes.
Section 3. This act shall take effect October 1, 1996.
1996 FL S.B. 2812 (SN)
END OF DOCUMENT
Copyright (C) 1996 Info. for Public Affairs