Town of Derry, NH Chapter 118 Secondhand Dealers/Pawn Dealers

[HISTORY: Adopted by the Town of Derry 11-16-2010.[1] Amendments noted where applicable.]

[1] Editor's Note: This legislation also superseded former Ch. 118, Secondhand Dealers/Pawn Dealers, adopted 4-20-2010.

§ 118-1 License required.

No person, firm or corporation shall conduct business of a secondhand dealer or pawn dealer as herein defined within the Town of Derry without first being licensed pursuant to this chapter as adopted by the Town Council. This chapter supersedes and cancels all previous ordinances on the same subject.

§ 118-2 Definitions; applicability.

A. As used in this chapter, the following terms shall have the meanings indicated:

SECONDHAND DEALER/PAWN DEALER

A person, firm or corporation, or employee of the same, engaged in the business of buying secondhand articles or pawning articles, including but not limited to jewelry, watches, diamonds or other precious stones or gems, gold, silver, platinum, other precious metals, compact disc players, electronic music-playing devices, cell phones, televisions, DVD/VCRs, radios, video equipment, camera equipment, computer equipment and computer system components, video game consoles and accessories, video games, power tools, construction equipment, collectibles and firearms. A person, firm or corporation, or employee of the same, engaged in the business of buying articles as set forth above who sets up to buy merchandise in any Derry flea market not more often than 12 days in any calendar year shall not be considered a secondhand dealer under this chapter.

B. This chapter shall be of no applicability to transactions which take place at yard or garage sales or otherwise on residential property (but not more frequently than 12 days a year), and any person engaging in any such transaction shall not be deemed to be a secondhand dealer.

§ 118-3 Application for license; fee; terms of license.

A. No person, firm or corporation shall engage in the business of secondhand dealer or pawn dealer as herein defined unless licensed to do so by the Town Council or its designee.

B. Applications for said licenses shall be made to the Town Council upon forms provided by the Police Department for that purpose and shall be submitted to the Chief of Police, who shall cause an investigation to be made to determine if the applicant has a criminal record. Upon conclusion of said investigation, the Chief of Police shall report his findings to the Town Council or its designee to determine whether or not to issue the license.

C. Effective upon passage of this revision, and annually on January 1 thereafter, an application fee of $250 shall accompany each license application. Said license shall expire on December 31, unless sooner revoked, and may not be assigned or transferred. Said license may be revoked any time by the Town Council or its designee after notice and hearing for just cause. No such license shall be issued to any person, firm or corporation who or which has been previously convicted of receiving stolen property in this state or any state or territory of the United States.

§ 118-4 Purchase from minors or intoxicated persons prohibited.

No secondhand dealer/pawn dealer, nor any person employed by him, shall directly or indirectly purchase, or receive by way of barter or exchange, any aforementioned article from a minor (or person in a visible state of intoxication), knowing or having reason to believe said person to be such, except when said minor is accompanied by a parent or legal guardian who shall sign the transaction record in person before said dealer.

§ 118-5 Transaction records; minimum retention period of articles.

A. Every secondhand dealer/pawn dealer, upon the acquisition of any aforementioned article, either by purchase or exchange or pawn or other method, except jewelry and video games traded in, auto parts other than audio equipment, coins, currency and stamps, shall provide a photograph or image scan of the item and prepare a transaction record, on a form which shall be furnished by the Derry Police Department or electronically as allowed by the Derry Police Department, stating the full name, date of birth and address of the seller or pawner, the time, day, month and year of the transaction and a full, accurate, and detailed description, including distinctive markings of each article so purchased, pawned or exchanged along with the price paid therefor, and cause said record to be legibly signed by the seller or pawner, and the type of identification used shall be noted on the record. This shall not apply when the transaction is between secondhand dealers as herein defined.

(1) Articles bearing a serial number as well as video games, video game accessories, DVDs, and CDs shall be exempt from the photograph or scanning requirement.

B. A copy of said record shall be delivered to the Police Department within 24 hours of said transaction. Such delivery may be delivered in hand or electronically as allowed by the Police Department. Delivery by facsimile shall not be allowed. Said dealer shall retain a copy of said record in his/her possession which, together with any article listed therein, may be inspected at any time by any duly authorized police officer during regular business hours.

C. No article so purchased or pawned shall be sold or otherwise disposed of or changed or altered in its appearance or otherwise within 21 days of purchase, except with the permission of the Chief of Police or his designee, but in no case within five days after said purchase or pawn.[1]

[1] Note: The Chief of Police reduced the minimum hold time for video games to five days.

D. Records shall be kept by said dealer for a minimum of one year.

§ 118-6 Violations and penalties.

Whoever violates any provision of this chapter shall be punished by a fine of not more than $500 for the first occurrence, $1,000 for a second occurrence and each subsequent occurrence. Violations of any provision of this chapter shall be deemed just cause for revocation of the license.