[HISTORY: Adopted by the County Commissioners of Kent County 7-7-2015 by Bill No. 3-2015. Amendments
noted where applicable.]
It is the intent of this chapter to regulate the purchase, sale, recordkeeping, and reporting of certain transactions involving used items of value within Kent County Maryland; to prevent the transfer of lost, stolen or other illegally obtained items not regulated under Article 12, Business Regulation Article, Annotated Code of Maryland; and to enhance the traceability and recovery of lost, stolen or illegally obtained items. Title 12 of the Business Regulation Article of the Annotated Code of Maryland generally regulates all transactions dealing with secondhand precious metal objects, coins, or numismatic items and this Chapter 120 is not intended to supersede same.
As used in this chapter, the following terms shall be defined
as follows:
A person whose primary retail trade is buying and selling
objects made in, or typical of, an earlier period of time, that either
have special value because of their age or are examples of works of
art or handicrafts.
Any piece or thing of tangible personal property, including,
but not limited to, a household appliance, personal computer, compact
disc player, digital video disc player, power tool, camera, firearm,
radio, television set, video game system, video game accessory or
component, stereo equipment, documents, drawings, paintings, or works
of art, or any costume jewelry.
A person who engages in pawnbroker transactions.
A place of business where pawnbroker transactions or secondhand
dealer transactions occur. The terms "pawnbroker" or "secondhand dealer
establishment" include either or both the individuals or persons operating
the business and its fixed place of business, as applicable.
An act of, or engaging in the act of, lending money on the
deposit or pledge of tangible personal property other than secondhand
precious metal objects, coins, or numismatic items; or purchasing
tangible personal property, other than secondhand precious metal objects,
coins, or numismatic items, on the condition of reselling the property
to the seller at a stipulated price.
An individual, corporation, partnership of any kind, business
trust, limited liability company, or any other type of business entity
legally recognized under the laws of the State of Maryland.
A pawnbroker, secondhand dealer, or other person engaging in any business, or conducting any business or transaction, described in this § 120-2.
Regulated business does not include:
A charitable, religious, or nonprofit organization, if the exchange
of items for consideration is incidental to the organization's
primary activity;
An antique show, trade show, convention, or auction. In order
to qualify under this exemption, the activity must be of no more than
seven days in duration at any individual location within Kent County
within any twelve-month period;
An antique dealer;
A scrap metal dealer;
Automobile dealerships dealing in new or used automobiles, trucks,
and other vehicles, and auto parts;
A used clothing mart or store;
The acquisition or disposition of an item for consideration,
whether cash, trade, other item, or anything of value.
A person meeting the definition of a "junk dealer" or "scrap
metal processor" under § 17-1001 (f) 1 through 2 of the
Business Regulation Article of the Annotated Code of Maryland.
A person that engages in secondhand dealer transactions.
An act of, or engaging in the act of, purchasing items other
than secondhand precious metal objects, coins, or numismatic items,
and offering the tangible personal property to the public for sale,
trade, barter, or other consideration.
All regulated businesses must obtain all business and professional
licenses as required by state and County regulations.
All regulated businesses are required to register with the Kent
County Sheriff's office in a manner specified by the Sheriff's
office prior to engaging in pawnbroker or secondhand dealer transactions.
The requirements of this chapter are in addition to the requirements
for pawnbrokers and secondhand dealers regulated under Article 12,
Business Regulation Article, Annotated Code of Maryland. Businesses
not regulated under that section, but fitting the definition of a
regulated business above, must fulfill the requirements of, and are
subject to regulation under, this chapter.
The Kent County Sheriff's office shall be the primary law
enforcement agency for enforcement of this chapter.
A.
Trade with minors prohibited. A regulated business shall not engage
in pawnbroker, or secondhand dealer transactions, or any other transaction
otherwise permitted by this chapter with an individual who is under
the age of 18.
B.
Trade with intoxicated persons prohibited. A regulated business shall
not engage in pawnbroker or secondhand dealer transactions, or any
other transaction otherwise permitted by this chapter, with an individual
who they know or suspect to be under the influence of alcohol or drugs.
[Amended 3-15-2016 by Bill No. 2-2016]
A.
Recordkeeping requirements.
(1)
For all such items having a retail value of $25 or more, a regulated
business shall maintain a record of each item purchased, bartered,
exchanged, or received in the course of business, including a record
of the disposition of the item.
(2)
The record shall be signed by the seller and the regulated business,
or an agent or employee of such business, and shall include:
(a)
The date, time, and place of the transaction.
(b)
The name and address of the principal, if the transaction is
conducted by an agent.
(c)
A comprehensive description of the item, including any visible
identification marks such as initials, name of manufacturer, model
and serial number, owner applied identification numbers, and whether
the item appears to be new or in its original box or packaging; and
photographs of all costume jewelry or any other item of unique design,
or without serial number or owner applied number, including those
regulated under Article 12, Business Regulation Article, Annotated
Code of Maryland.
(d)
The consideration received.
(3)
For each individual from or to whom the regulated business acquires
or transfers an item (a "transferor") the following shall be recorded:
(a)
The name, address, telephone number, date of birth, and driver's
license number of the transferor; or
(b)
Identification information about the transferor that identifies
the transferor from at least one form of identification, which may
include a state identification card, military identification, or passport,
and provides a physical description of the transferor, including the
gender, race, any distinguishing features, and approximate age, height,
weight, hair, and eye color of the transferor; and
(c)
The name, address, and telephone number of each person to whom
the regulated business sells or transfers the item.
(4)
The regulated business shall:
(a)
Maintain the record for at least three years from the date of
the transaction;
(b)
Retain the record in an electronic data storage medium specified
or accepted by the Sheriff's Office; and
(c)
Submit a copy of the record to the Sheriff's Office by
electronically transmitting the record by 10:00 a.m. on the next business
day after the transaction.
(5)
Photographs may be transmitted with the record but must also be retained
in the dealer's records, either in hard copy or electronically.
(6)
It shall be a violation of this chapter to misstate or under-value
any item received in order to evade or circumvent the provisions thereof.
(7)
If a regulated business is required by law to report transactions
via the Regional Pawn Data Sharing System (RPDSS) into the Regional
Automated Property Information Database (RAPID), such reporting shall
satisfy the reporting requirements of this chapter, so long as such
reporting includes all the information required in the chapter, and
includes all items that this chapter requires to be reported.
B.
Retention of property.
(1)
For all such items for which records are required to be kept in pursuant
to this chapter, a regulated business shall hold each item purchased
or received in the course of business for 18 days after submitting
a copy of the record of the transaction or until the item is inspected
by the Sheriff's Office, whichever occurs first.
(2)
During the holding period for an item, the regulated business:
(a)
Shall tag the item in a manner that identifies it as the property
recorded in the dealer's records, including date and transaction
number or receipt number;
(b)
Shall store the item in a secure location on the premises that
is separate from items for sale or at an off-site storage location
listed in the license application; and
(c)
Shall not remove the item from the dealer's licensed location
of business or off-site storage location.
(3)
The holding period required by this section does not apply to a pawned
item that is redeemed with the original pawn ticket.
A.
Release of stolen property to Sheriff's office. A regulated
business is subject to the same provisions as required in § 12-401
of the Business Regulation Article, Annotated Code of Maryland for
items regulated under that title in regard to the releasing of stolen
property regulated under this chapter to the Sheriff's office.
B.
Inspections and right of entry.
(1)
A regulated business shall allow an authorized member of the Sheriff's
office, or other law enforcement agency designated by the Sheriff's
office, to enter the dealer's establishment or storage premises
at any reasonable time for the purpose of enforcing this chapter.
(2)
If a regulated business refuses to allow entry, the Sheriff's
office may seek a court order allowing entry.
(3)
This section does not prohibit the Sheriff's office from seeking
a search warrant for the investigation of any criminal violation,
including a violation of this chapter.
A.
Notice of violation.
(1)
Except as provided in Subsection A(3) of this section, if a violation of this chapter is found, the Sheriff's office shall provide to the licensee a written notice that describes the violation, specifies the action necessary to correct the violation, and sets forth the time to correct the violation.
(2)
The Sheriff's office shall serve a notice of violation by certified
mail, or by personal service.
(3)
If, within 12 months after receiving a notice of a violation, the regulated business commits another violation of the same section of this chapter, no further notice under § 120-10A(1) is required, and the business shall be subject to penalties as set forth in § 120-10B.
B.
Penalties.
(2)
For a continuing course of conduct, and after the requirements of § 120-10A have been satisfied, each and every day during which the violation continues will constitute a separate violation.
(3)
Nothing in this chapter supersedes the authority of the state or
local government to enact administrative sanctions regarding the business
or other licenses of the regulated business.
(4)
The sanctions imposed under this chapter are in addition to, and
separate from, any violations and penalties that may be imposed under
state law for violations thereof.
This chapter is intended to apply in all areas of Kent County,
including the municipalities located therein, subject to § 4-111
of the Local Government Article of the Annotated Code of Maryland.
