[HISTORY: Adopted by the City Council of the City of Vineland 5-8-1990 by Ord. No. 90-39 (Ch. 388 of the 1990 Code); amended in its entirety 12-10-2013 by Ord. No. 2013-64. Subsequent amendments noted where applicable.]
GENERAL REFERENCES
Deceptive advertising — See Ch. 200.
Auctions and auctioneers — See Ch. 230.
Firearms — See Ch. 358.
Peddling and soliciting — See Ch. 516.
Transient merchants — See Ch. 676.
Purpose and intent: The purpose and intent of this chapter to assist law enforcement officials and victims of crime in recovering stolen precious materials, gems, gemstones and/or other articles by requiring minimum reporting, maintenance and distribution criteria for secondhand dealers. This section is to take effect on January 1, 2014. This chapter shall also pertain to and include scrap yards or scrap metal businesses and shall not lessen the mandatory requirements under New Jersey laws but shall establish additional requirements for the operation of scrap yards and scrap metal business in the City of Vineland to operate. This section shall take effect immediately upon adoption. [Amended 6-10-2014 by Ord. No. 2014-21]
As used in this chapter, the following terms shall have the meanings indicated:
CHIEF OF POLICE
In reference to this chapter, "Chief of Police" will be understood as the Chief of Police or his designee.
INDIVIDUAL, FIRM or CORPORATION
Any individual, partnership, association, corporation or legal entity of any kind.
LICENSED COIN DEALERS
A person, firm or corporation primarily engaged in the sale and transfer of coins or precious metals who is a member of a numismatic association representative of professional coin dealers on a national basis, including but not limited to the American Numismatic Association, the Professional Numismatic Guild, Coin and Bullion Dealers Accrediting Commission or the Industry Council for Tangible Assets.
PLACE OF BUSINESS
Address specified on the dealer's license.
PRECIOUS METALS
As defined in N.J.S.A. 51:6A-5, gold, silver, platinum, palladium and alloys thereof.
SECONDHAND DEALERS
Any person, firm or corporation, coin dealer, scrap yard, or other entity, whether permanent or itinerant, that buys or sells or otherwise exchanges or trades in any secondhand goods whatsoever, said dealers to be designated in the following classes, as set forth below:
CLASS A DEALER — A person, firm or corporation engaged in business practices of buying, selling, trading, exchanging or dealing in secondhand property of any description, or as a result of having received that secondhand goods in trade, or by repossession or as part payment for new merchandise. This license excludes motor vehicles.
A.
Exemptions for Class A license:
(1)
The provisions of this chapter shall not apply to licensed coin dealers who deal strictly in their respective specialty. Any of the aforesaid dealers who deal in any secondhand items which are not their specialty are required to obtain a license pursuant to this chapter and to abide by the same.
(2)
The provisions of this chapter shall not apply to flea market vendors except cash-for-gold merchants. The provisions of this chapter also shall not apply to any pawnbroker as defined in N.J.S.A. 45:22-1. However, any pawnbroker who deals in any secondhand items not for the purpose of pawning or making loans thereon is required to obtain a license, pursuant to this chapter, and to abide by the same.
CLASS B DEALER — A charitable organization, as defined in Chapter 501(c)(3) of the Internal Revenue Code of 1954 and 1986, as amended, which has donated to it, or receives on consignment, secondhand personal property, other than motor vehicles, for the purpose of resale.
SECONDHAND GOODS
Any article previously sold, acquired, exchanged, conveyed, traded or otherwise formerly owned, including but not limited to scrap metal, scrap gold, old gold, silver, jewelry, home electronics/audio and visual equipment, telephones and mobile devices/equipment, scales, computers, computer hardware and software, video game consoles and games, coins, electronic tablets, cameras, scanners, sporting goods of all kinds, household goods, antiques, platinum, all other precious and nonprecious metals, tools of all kinds, television, DVRs, GPS, camcorders, car stereos, gift cards, furniture, clothing or other valuable articles.
[Amended 6-10-2014 by Ord. No. 2014-21]
It shall be unlawful for any person, firm or corporation to engage in the business of being a secondhand dealer as defined in this chapter without first obtaining a license therefor from the City of Vineland Police Department, as hereinafter provided. A separate license shall be required for each location, place or premises used for the conduct of the business of being a secondhand dealer. Each location, place or premises shall be limited to a single secondhand license.
A. 
The Chief of Police or his/her designee shall, on application, issue an appropriate license to any secondhand dealer who complies with the application and licensing requirements set forth in this chapter or subsequent to any investigations deemed necessary by said Chief of Police or his/her designee. All applicants shall pay to the City of Vineland a nonrefundable application fee as follows:[1]
(1) 
Class A: $750.
(2) 
Class B: $50.
[1]
Editor's Note: Ordinance No. 2020-47, adopted 10-13-2020, waived Class A and Class B licensing fees for the licensing year beginning 1-1-2021 and ending 12-31-2021.
B. 
All secondhand dealer licenses shall expire on December 31 of each year.
The license issued pursuant to this chapter shall state the name of the person to whom issued, the place of business and the street number where such business is located. Such license shall entitle the person receiving it to conduct business at the location designated in the license and such business shall not be carried on or conducted in any other location than that designated in or by the license. No secondhand dealer shall be permitted to solicit upon any street or public highway of the City of Vineland for the purpose of secondhand good purchases, and no person, firm or corporation shall conduct a house-to-house canvass for the purchase or sale of secondhand or used watches, jewelry, precious stones, gold, silver, platinum, wrought gold or any other precious metals and/or semiprecious stones within the City.
A. 
Each applicant for a secondhand dealer's license and his employees shall have their fingerprints taken in a manner prescribed by the Vineland Police Department. Fingerprints so furnished shall become a part of the application. In the event of a partnership or association, all partners or members and, in the event of a corporation, all officers shall be required to have their fingerprints taken by the Vineland Police Department. Fingerprints so taken shall be submitted to the Federal Bureau of Investigation and to such further authorities as the Chief of Police may deem advisable for comparison and record. Employees of businesses that primarily deal in new merchandise will only be required to submit fingerprints if they will be participating in transactions of secondhand goods. Exclusions to this chapter, if granted, shall be by the Chief of Police or his designee on a case-by-case determination.
B. 
Proof the Class A applicant has obtained computer equipment, access to any and all web-based applications, and software required in § 574-6B of this chapter, for purposes of reporting all transaction data in electronic format to the Vineland Police Department. The applicant shall agree to all user terms, conditions, rules, and additional service or transaction fees of the Vineland Police Department and their syndicated partners. All applicants will be made aware of any and all additional fees prior to the approval of a license. Fees and services shall not increase during the course of a license, unless the possibility of an increase or increases is specified prior to the approval of a license.
C. 
Police-Department-approved secured storage for all secondhand goods.
Every dealer within the City of Vineland shall, upon the purchase of any precious metals, or secondhand goods from the public, be required to do as follows:
A. 
Record on a numbered receipt the name of the purchaser; the name, address, date of birth and valid telephone number of the seller or sellers; the time and date of the transaction; the net weight in terms of pounds Troy, pennyweight (Troy) or kilograms/grams of the precious metals; fineness in terms of karats for gold, and sterling or coin for silver, in accordance with N.J.S.A. 51:5-1 et seq., and N.J.S.A. 51:6-1 et seq. This information is to be documented through use of an electronic database software system as designated by the Chief of Police. These records shall be subject to the inspection of any authorized police officer.
B. 
Through the use of applicably required computer equipment, camera, software, internet capabilities and using the electronic format approved by the Chief of Police, enter all transaction into the electronic database within 24 hours from the date of purchase. The information entered will contain the information in § 574-6A above, plus the following:
(1) 
A physical description of the seller.
(2) 
The receipt number.
(3) 
A full description of the item or items purchased, including but not limited to, marks, numbers, dates, sizes, shapes, initials, values of gift cards, monograms and serial/model numbers.
(4) 
The price paid for the item.
(5) 
The form must be signed by the buyer making the transaction and seller.
(6) 
A color photograph or color image of the seller's presented identification. ("Acceptable identification" shall mean acceptable forms of identification which include: a current valid New Jersey driver's license or photo identification card, a current valid photo driver's license issued by another United States state, a valid United States passport, or other verifiable US government-issued identification with a photo.)
(7) 
An onsite facial photograph taken within a five foot range of the seller, during the time of the purchase.
(8) 
A color photograph or color image of all items sold. When photographing or imaging all items must be positioned in a manner that makes them readily and easily identifiable.
(9) 
Items should not be grouped together when photographing or imaging; each item will have its own color photograph or color image.
C. 
In the event a database failure or dealer's computer equipment malfunction, all transaction information is required to be submitted on paper forms approved by the Chief of Police within 48 hours. All photo and image requirements must also be submitted and there will be no transactions made without required photo/image documentation; there will be no exception to these requirements. In the event that paper forms are used, the dealer is responsible to enter all transaction information into the database as soon as possible but no later than 24 hours upon the dealer's equipment being repaired or replaced, or the database coming back into service. Failure by the dealer to properly maintain computer equipment in a reasonable fashion, or failure by the dealer in replace faulty computer equipment, may result in the dealer being cited for a violation of this chapter each business day and subsequently be subject to penalties for doing so.
D. 
Inspection/retention/seizure/detention of precious metals, secondhand goods, and records. Property held pursuant to this section shall be kept in the dealer's place of business and shall be kept separate and distinct from all other property or merchandise in the dealer's place of business. Length of time requirements, in this section and beyond, regarding all inspection/retention/seizure detention of precious metals, secondhand goods, and records, will not begin until a valid record of the transaction is submitted to the police department. No secondhand dealer shall make use of any property, private or public, not included within the licensed premises for the storage, handling or displaying of any secondhand article. All goods are to be kept without concealment for 15 business days.
(1) 
Every secondhand dealer, other than scrap yards, must keep on the premises, for a period of 15 business days, subject to inspection by any police officer, all secondhand goods, wares and merchandise purchased or received in trade or repossession, unless the Chief of Police or his designee gives written approval for such selling prior to the 15 days. The precious metals shall remain in the same condition as when purchased and shall not be changed, modified, melted or disposed of by the purchaser until the fifteen-day period has expired. Precious metals must be stored in the approved storage area. (See § 574-5C.)
(2) 
It shall be the requisite duty of every dealer, and of every person in the dealer's employ, in admit to the premises during business hours any member of the Vineland Police Department to examine any database, book, ledger, scales, inspection records, or any other record on the premises relating to the purchase of precious metals and secondhand goods from the public, as well as the articles purchased or received, and to take possession of any article known by the police officer or official to be missing or to have been stolen, or where the officer or official has probable cause to believe the article is missing or stolen. This access is to be granted upon immediate request of the law enforcement officers. During all hours of business, there will be an employee on site who has access to all secondhand items whether secured or unsecured.
(3) 
Each Class A license dealer shall keep at his or her place of business a record of each transaction involving used personal property, recorded on a form approved by the Vineland Police Department, setting forth the following:
(a) 
An accurate and complete description of the goods, articles or things received in trade or part payment for other merchandise.
(b) 
The date of receipt and transaction number.
(c) 
The name, sex, race, valid telephone number, and address of the person from whom acquired.
(d) 
The name and address of the person, corporation or firm which ultimately purchases or receives the property from the dealer.
(e) 
All records shall be maintained by the dealer at the dealer's place of business for a period of not less than five years after the date the property is sold or disposed of in any manner.
(4) 
It shall be a violation for any licensed secondhand dealer or any agent, clerk or employee of any such dealer to molest, hinder or in any manner prevent any official lawfully authorized or any member of the Police Department from making an inspection of the premises and taking into possession any articles known or believed to have been unlawfully taken from the rightful owner or possessor of said article or articles.
E. 
Prohibitions as to melted or altered goods; purchases for minors; hours of operation.
(1) 
No dealer in secondhand goods shall purchase any piece or mass of melted precious metal, ingot of amateur manufacture or any article with serial number or jeweler's marks intentionally obliterated unless payment for the article is withheld for a period of 24 hours and the Chief of Police is notified.
(2) 
Purchases from minors. No dealer in secondhand goods shall purchase or receive any article of secondhand personal property from a minor unless the minor's parent or legal guardian is physically present during the transaction and presents the identification required by this chapter.
(3) 
Melting, wrecking and remodeling. No secondhand dealer shall take apart or melt down any jewelry, watch, watch case or article composed or manufactured, in all or in part, of gold, silver or platinum until he shall have made a record of this intention to do so, along with all other data recorded on the prescribed form, and shall have reported the same to the Chief of Police in the same manner as reports of purchase. The articles proposed to be taken apart, melted down, wrecked or remodeled must be kept for a period of 15 business days before such action is taken, unless the articles have been inspected by the Chief of Police or his designee and written permission has been given for such melting, wrecking or remodeling prior to completion of the aforesaid period.[1]
[1]
Editor's Note: Former Subsection E(4), regarding permitted hours for secondhand transactions, which immediately followed this subsection, was repealed 7-8-2014 by Ord. No. 2014-27.
F. 
Procedure for seizures.
(1) 
Upon taking possession of an article or articles, the authorized official or police officer shall furnish the dealer with a physical or digital receipt, which shall include the date, name of the officer taking the article, his rank and a description of the article or articles taken.
[Amended 6-10-2014 by Ord. No. 2014-21]
(2) 
Any article taken by an authorized official or police officer from a dealer shall, as soon as possible, be delivered to the ID Section of the Vineland Police Department, where it shall remain until such time as ownership or the right to possession, or both, has been determined according to law.
(3) 
In lieu of taking possession of secondhand goods pursuant to this chapter, a member of the Vineland Police Department may place a temporary detainer on the property for a period not to exceed 60 days.
(4) 
During the period of detention, the property shall remain in the custody of the dealer and shall be prohibited from selling, disposing of in any manner or changing the identity of the property. The police also have the authority to detain an item(s) by taking possession for a period not to exceed 60 days. A sixty-day detention is not relevant to items believed to be stolen.
(5) 
If the property is left in the custody of the dealer, he shall keep the detained property separate and distinct from all other property in the dealer's place of business where the transaction was made.
(6) 
It is the responsibility of the dealer, for items taken by the police for the purpose of detention only, to contact the Police Department once the sixty-day detention date approaches.
G. 
Class A Dealer payment.
(1) 
Dealer payments to the sellers in cash/coin shall be limited to two transactions during a seven-day period for the same seller. The seven-day period will commence on the day of the first transaction and end seven days after the transaction, i.e., if transaction number one occurs on Monday, the seven-day period ends on Sunday. Furthermore, no cash payments shall be made to the same sellers who make more than five transactions in any given thirty-day period. Sellers making transactions over the number of prescribed weekly and monthly periods will be paid by the dealer by means of a bank check drawn from the dealer's business account.
(2) 
Exemptions far payment methods will be when the item is used as store credit. This credit will be documented on a transaction receipt and be stored in the same manner as all records referenced in this chapter; also for scraps yards where the customer is a certified business in the state of New Jersey.
A. 
The Chief of Police or his/her designee may deny, suspend or revoke any secondhand dealer's license pursuant to N.J.S.A. 40:52-2 for sufficient cause, after notice and hearing sufficient cause to include but not be limited to:
[Amended 6-10-2014 by Ord. No. 2014-21]
(1) 
Violation of any provisions of the within chapter or other ordinances of the City of Vineland by the dealer or an employee.
(2) 
Advertising of any kind by a dealer to purchase secondhand goods without being licensed pursuant to the within chapter.
(3) 
Failure of any person to state fully on his or her application for a license an official place of business within the City of Vineland or any material false representation.
(4) 
Dealer and/or employee who has been convicted of an offense or crime in connection with Chapter 15, Robbery; Chapter 17, Arson, Criminal Mischief and Other Property Destruction; Chapter 18, Burglary and Other Criminal Intrusion; Chapter 20, Theft and Related Offenses; and Chapter 21, Forgery and Fraudulent Practices, of Title 2C, the New Jersey Code of Criminal Justice or conviction of any crime or disorderly persons offense involving moral turpitude.
(5) 
Utilization of the business for the disposal of stolen goods. A business is to be held highly liable if they violated any provision of this ordinance in the purchase of stolen goods, whether they knew the items to be stolen or not at the time of purchase. A business that knowingly purchases a stolen item, or an item they believe was stolen, is also in violation of this section.
(6) 
Conduction of the business in such way as to make it a menace to the health and welfare of the residents of the City of Vineland.
B. 
The secondhand dealer shall be liable and responsible for any of the acts or omissions of the licensee's agents, clerks or employees.
Any person, firm or corporation violating any provision of this chapter shall, upon conviction in the Municipal Court of the City of Vineland, be punishable as provided in Chapter 1, General Provisions, Article II, General Penalties.