[HISTORY: Adopted by the Village Board of the Village of Salem Lakes at time of adoption of Code (see Ch. 1, General Provisions, Art. II). Amendments noted where applicable.]
GENERAL REFERENCES
Junkyards — See Ch. 318.
As used in this chapter, the following terms shall have the meanings indicated:
ARTICLE
Any of the following articles except jewelry:
A. 
Audiovisual equipment.
B. 
Bicycles.
C. 
China.
D. 
Computers, printers, software and computer supplies.
E. 
Computer toys and games.
F. 
Crystal.
G. 
Electronic equipment.
H. 
Fur coats and other fur clothing.
I. 
Ammunition and knives.
J. 
Microwave ovens.
K. 
Office equipment.
L. 
Pianos, organs, guitars and other musical instruments.
M. 
Silverware and flatware.
N. 
Small electrical appliances.
O. 
Telephones.
P. 
Videotapes or discs, audiotapes or discs, and other optical media.
AUCTIONEER
An individual who is registered as an auctioneer under Ch. 480, Wis. Stats., and who sells secondhand articles or secondhand jewelry at an auction, as defined in § 480.01(1), Wis. Stats.
CHARITABLE ORGANIZATION
A corporation, trust or community chest, fund or foundation, organized and operated exclusively for religious, charitable, scientific, literary or educational purposes or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual.
CUSTOMER
A person with whom a pawnbroker, secondhand article dealer or secondhand jewelry dealer or an agent thereof engages in a transaction of purchase, sale, receipt or exchange of any secondhand article or secondhand jewelry.
JEWELRY
Any tangible personal property ordinarily wearable on the person and consisting in whole or in part of any metal, mineral or gem customarily regarded as precious or semiprecious.
PAWNBROKER
Any person who engages in the business of lending money on the deposit or pledge of any article or jewelry, or purchasing any article or jewelry with an expressed or implied agreement or understanding to sell it back at a subsequent time at a stipulated price.
SECONDHAND
Owned by any person, except a wholesaler, retailer or secondhand article dealer or secondhand jewelry dealer licensed under this section, immediately before the transaction at hand.
SECONDHAND ARTICLE DEALER
Any person, other than an auctioneer, who primarily engages in the business of purchasing or selling secondhand articles, except when engaging in any of the following:
A. 
Any transaction at an occasional garage or yard sale, an estate sale, a gun, knife, gem or antique show or a convention.
B. 
Any transaction entered into by a person while engaged in a business for which the person is licensed under § 398-2 or 398-4 or while engaged in the business of junk collector, junk dealer or scrap processor as described in § 70.995(2)(x), Wis. Stats.
C. 
Any transaction while operating as a charitable organization or conducting a sale the proceeds of which are donated to a charitable organization.
D. 
Any transaction between a buyer of a new article and the person who sold the article when new which involves any of the following:
(1) 
The return of the article.
(2) 
The exchange of the article for a different, new article.
E. 
Any transaction as a purchaser of a secondhand article from a charitable organization if the secondhand article was a gift to the charitable organization.
F. 
Any transaction as a seller of a secondhand article which the person bought from a charitable organization if the secondhand article was a gift to the charitable organization.
SECONDHAND JEWELRY DEALER
Any person, other than an auctioneer, who engages in the business of any transaction consisting of purchasing, selling, receiving or exchanging secondhand jewelry, except for the following:
A. 
Any transaction at an occasional garage or yard sale, an estate sale, a gun, knife, gem or antique show or a convention.
B. 
Any transaction with a licensed secondhand jewelry dealer.
C. 
Any transaction entered into by a person while engaged in a business of smelting, refining, assaying or manufacturing precious metals, gems or valuable articles if the person has no retail operation open to the public.
D. 
Any transaction between a buyer of new jewelry and the person who sold the jewelry when new which involves any of the following:
(1) 
The return of the jewelry.
(2) 
The exchange of the jewelry for different, new jewelry.
E. 
Any transaction as a purchaser of secondhand jewelry from a charitable organization if the secondhand jewelry was a gift to the charitable organization.
F. 
Any transaction as a seller of secondhand jewelry which the person bought from a charitable organization if the secondhand jewelry was a gift to the charitable organization.
No person may operate as a pawnbroker in the Village of Salem Lakes unless the person first obtains a pawnbroker's license under this chapter.
A. 
No person may operate as a secondhand article dealer unless the person first obtains a secondhand article dealer's license under this chapter. A person who operates as a secondhand article dealer only on premises or land owned by a person having a secondhand dealer mall or flea market license under Subsection B need not obtain a secondhand article dealer's license.
B. 
No person may operate a secondhand dealer mall or flea market unless the person first obtains a secondhand dealer mall or flea market license under this chapter.
No person may operate as a secondhand jewelry dealer unless the person first obtains a secondhand jewelry dealer's license under this chapter.
A. 
A person wishing to operate a business regulated under this chapter shall apply for a license to the Village Clerk.
B. 
The Clerk shall furnish application forms that shall require all of the following:
(1) 
The applicant's name, place and date of birth, residence address, and all states where the applicant has previously resided.
(2) 
The names and addresses of the business and of the owner of the business premises.
(3) 
A statement as to whether the applicant has been convicted within the preceding 10 years of a felony or within the preceding 10 years of a misdemeanor, statutory violation punishable by forfeiture or county or municipal ordinance violation in which the circumstances of the felony, misdemeanor or other offense substantially relate to the circumstances of the licensed activity and, if so, the nature and date of the offense and the penalty assessed.
(4) 
Whether the applicant is a natural person, corporation, limited liability company or partnership, and:
(a) 
If the applicant is a corporation, the state where incorporated and the names and addresses of all officers and directors.
(b) 
If the applicant is a partnership, the names and addresses of all partners.
(c) 
If the applicant is a limited liability company, the names and addresses of all members.
(d) 
The name of the manager or proprietor of the business.
(e) 
Any other information that the Village Clerk may reasonably require.
A. 
The County Sheriff's Department or such other law enforcement agency as the Village shall designate shall investigate each applicant for a pawnbroker's, secondhand article dealer's or secondhand jewelry dealer's license to determine whether the applicant has been convicted within the preceding 10 years of a felony or within the preceding 10 years of a misdemeanor, statutory violation punishable by forfeiture or county or municipal ordinance violation described under § 134.71(5)(c), Wis. Stats., and, if so, the nature and date of the offense and the penalty assessed.
B. 
The County Sheriff's Department or other designated law enforcement agency shall furnish the information derived from that investigation in writing to the Village Clerk.
A. 
The Village Board shall grant the license if all of the following apply:
(1) 
The applicant, including an individual, a partner, a member of a limited liability company or an officer, director or agent of any corporate applicant, has not been convicted within the preceding 10 years of a felony or within the preceding 10 years of a misdemeanor, statutory violation punishable by forfeiture or county or municipal ordinance violation in which the circumstances of the felony, misdemeanor or other offense substantially relate to the circumstances of being a pawnbroker, secondhand jewelry dealer, secondhand article dealer or secondhand article dealer mall or flea market owner.
(2) 
With respect to an applicant for a pawnbroker's license, the applicant provides to the governing body a bond of $500, with not less than two sureties, for the observation of all municipal ordinances relating to pawnbrokers.
B. 
No license issued under this section may be transferred.
C. 
Each license for a pawnbroker, secondhand article dealer or secondhand jewelry dealer is valid from January 1 until the following December 31.
D. 
Each license for a secondhand article dealer mall or flea market is valid for two years, from May 1 of an odd-numbered year until April 30 of the next odd-numbered year.
A. 
Identification. No pawnbroker, secondhand article dealer or secondhand jewelry dealer may engage in a transaction of purchase, receipt or exchange of any secondhand article or secondhand jewelry from a customer without first securing adequate identification from the customer. At the time of the transaction, the pawnbroker, secondhand article dealer or secondhand jewelry dealer shall require the customer to present one of the following types of identification:
(1) 
A county identification card.
(2) 
A state identification card.
(3) 
A valid Wisconsin motor vehicle operator's license.
(4) 
A valid motor vehicle operator's license, containing a picture, issued by another state.
(5) 
A military identification card.
(6) 
A valid passport.
(7) 
An alien registration card.
(8) 
A senior citizen's identification card containing a photograph.
(9) 
Any identification document issued by a state or federal government, whether or not containing a picture, if the pawnbroker, secondhand article dealer or secondhand jewelry dealer obtains a clear imprint of the customer's right index finger.
(10) 
A tribal identification card, as defined in § 134.695(1)(cm), Wis. Stats.
B. 
Transactions with minors.
(1) 
Except as provided in Subsection B(2), no pawnbroker, secondhand article dealer or secondhand jewelry dealer may engage in a transaction of purchase, receipt or exchange of any secondhand article or secondhand jewelry from any minor.
(2) 
A pawnbroker, secondhand article dealer or secondhand jewelry dealer may engage in a transaction described under Subsection B(1) if the minor is accompanied by his or her parent or guardian at the time of the transaction or if the minor provides the pawnbroker, secondhand article dealer or secondhand jewelry dealer with the parent's or guardian's written consent to engage in the particular transaction.
C. 
Records.
(1) 
Required form and photograph.
(a) 
Required form.
[1] 
Except as provided in Subsection C(2), for each transaction of purchase, receipt or exchange of any secondhand article or secondhand jewelry from a customer, a pawnbroker, secondhand article dealer or secondhand jewelry dealer shall require the customer to legibly complete and sign, in ink, the appropriate form provided by the Wisconsin Department of Agriculture, Trade and Consumer Protection.
[2] 
No entry on such a form may be erased, mutilated or changed.
[3] 
The license holder shall retain an original and a duplicate of each form for not less than one year after the date of the transaction, except as provided in Subsection E, and, during that period, shall make the duplicate available to any law enforcement officer for inspection at any time that the license holder's principal place of business is open to the public or at any other reasonable time.
(b) 
Photograph.
[1] 
For each transaction of purchase, receipt or exchange of any secondhand article or secondhand jewelry from a customer, a pawnbroker, secondhand article dealer or secondhand jewelry dealer shall take a color photograph, a digital image or a video recording of:
[a] 
Each customer involved in a billable transaction or a current government-issued picture ID of each customer involved in a billable transaction.
[b] 
Every item pawned or sold.
[2] 
Each photograph, digital image or video photograph must be available to the Kenosha County Sheriff's Department or such other law enforcement agency as the Village shall designate, upon request. Each photograph, digital image or video photograph must be maintained in a manner which allows such photograph, image or video photograph to be readily matched and correlated with all other records of the transaction to which it relates. Each photograph, digital image or video photograph of a customer must include an identifiable facial image of the person who pawned or sold the item. Each photograph, digital image or video photograph of an item pawned or sold must accurately depict such item.
[3] 
Photographs, digital images and video recordings shall be retained by the pawnbroker, secondhand article dealer or secondhand jewelry dealer for not less than one year after the date of the transaction. The requirement under this section to retain photographs for a period of one year is satisfied if the pawnbroker, secondhand article dealer or secondhand jewelry dealer transmits such photographs to the County Sheriff's Department or its designee pursuant to the provisions of § 398-8E(2).
(2) 
For every secondhand article purchased, received or exchanged by a secondhand article dealer from a customer off the secondhand article dealer's premises or consigned to the secondhand article dealer for sale on the secondhand article dealer's premises, the secondhand article dealer shall keep a written inventory. In this inventory the secondhand article dealer shall record the name and address of each customer, the date, time and place of the transaction and a detailed description of the article which is the subject of the transaction, including the article's serial number and model number, if any. The customer shall sign his or her name on a declaration of ownership of the secondhand article identified in the inventory and shall state that he or she owns the secondhand article. The secondhand article dealer shall retain an original and a duplicate of each entry and declaration of ownership relating to the purchase, receipt or exchange of any secondhand article for not less than one year after the date of the transaction, and shall make duplicates of the inventory and declarations of ownership available to any law enforcement officer for inspection at any time that the secondhand article dealer's principal place of business is open to the public or at any other reasonable time.
(3) 
Every secondhand article dealer shall on a weekly basis prepare a list that contains the name and address of each customer of the secondhand article dealer during the week for which the list was prepared, the date, time, and place of each transaction with each of those customers, and a detailed description of the secondhand article, including the secondhand article's serial number and model number, if any. The secondhand article dealer shall retain the list for not less than one year after the date on which the list was prepared. The secondhand article dealer shall make the list available to any law enforcement officer for inspection at any time that the secondhand article dealer's principal place of business is open to the public or at any other reasonable time.
D. 
Holding period.
(1) 
Except as provided in Subsection D(5), any secondhand article or secondhand jewelry purchased or received by a pawnbroker shall be kept on the pawnbroker's premises or other place for safekeeping for not less than 30 days after the date of purchase or receipt, unless the person known by the pawnbroker to be the lawful owner of the secondhand article or secondhand jewelry recovers it.
(2) 
Except as provided in Subsection D(5), any secondhand article purchased or received by a secondhand article dealer shall be kept on the secondhand article dealer's premises or other place for safekeeping for not less than 21 days after the date of purchase or receipt.
(3) 
Except as provided in Subsection D(5), any secondhand jewelry purchased or received by a secondhand jewelry dealer shall be kept on the secondhand jewelry dealer's premises or other place for safekeeping for not less than 21 days after the date of purchase or receipt.
(4) 
During the period set forth in Subsection D(1), (2) or (3), the secondhand article or secondhand jewelry shall be held separate and apart and may not be altered in any manner. The pawnbroker, secondhand article dealer or secondhand jewelry dealer shall permit any law enforcement officer to inspect the secondhand article or secondhand jewelry during this period. Within 24 hours after a written request of a law enforcement officer during this period, a pawnbroker, secondhand article dealer or secondhand jewelry dealer shall make available for inspection any secondhand article or secondhand jewelry which is kept off the premises for safekeeping. Any law enforcement officer who has reason to believe any secondhand article or secondhand jewelry was not sold or exchanged by the lawful owner may direct a pawnbroker, secondhand article dealer or secondhand jewelry dealer to hold that secondhand article or secondhand jewelry for a reasonable length of time which the law enforcement officer considers necessary to identify it.
(5) 
Subsection D(1) to (4) do not apply to any of the following:
(a) 
A coin of the United States, any gold or silver coin or gold or silver bullion.
(b) 
A secondhand article or secondhand jewelry consigned to a pawnbroker, secondhand article dealer or secondhand jewelry dealer.
(6) 
The holding periods set forth in Subsection D(2) or (3) shall be reduced to 10 days for any item or transaction electronically reported using the NEWPRS system, pursuant to the provisions of § 398-8E(2).
E. 
Report to law enforcement agency.
(1) 
Within 24 hours after purchasing or receiving a secondhand article or secondhand jewelry, a pawnbroker, secondhand article dealer or secondhand jewelry dealer ("reporting entity") shall make available, for inspection by a law enforcement officer, the original form completed under Subsection C(1) or the inventory under Subsection C(2), whichever is appropriate.
(2) 
The reporting entity shall, after the close of business each day, submit a complete and accurate record of every reportable transaction to the County Sheriff's Department or such other law enforcement agency as the Village shall designate by transferring it electronically in the manner and format designated by the Village. Transmission of such records shall constitute compliance with the requirement under this chapter to retain transaction records and make the same available to law enforcement officials.
(3) 
If, due to technical problems beyond the control of the reporting entity, the reporting entity is unable to successfully electronically transmit any required transaction information, the reporting entity must provide to the County Sheriff's Department printed copy of all reportable transactions by 12:00 noon of the following business day.
(4) 
Regardless of the cause or origin of the technical problem which may have prevented the reporting entity from electronically reporting transactions, upon correction of the problem the reporting entity shall electronically report every transaction from each business day that the problem existed preventing electronic reporting.
(5) 
The reporting entity shall display at the business premises a sign not less than 8.5 inches by 11 inches in size in a conspicuous location on the premises which informs all patrons that all transactions are reported daily to the County Sheriff's Department.
(6) 
Notwithstanding § 19.35(1), Wis. Stats., a law enforcement agency receiving the original form or inventory or a declaration of ownership or the equivalent electronic information may disclose it only to another law enforcement agency.
F. 
Exception for customer return or exchange. Nothing in this section applies to the return or exchange, from a customer to a secondhand article dealer or secondhand jewelry dealer, of any secondhand article or secondhand jewelry purchased from the secondhand article dealer or secondhand jewelry dealer.
G. 
Altered serial number. No pawnbroker, secondhand article dealer or secondhand jewelry dealer may receive any item of property that possesses an altered or obliterated serial number or operation identification number or any item of property that has had its serial number removed.
H. 
Business at only one place. A license under this chapter authorizes the licensee to carry on its business only at the permanent place of business designated in the license. However, upon written request, the County Sheriff's Department may approve an off-site locked and secured storage facility. Upon approval, the County Sheriff's Department shall include written notice of the approved location in the licensee's file and shall provide written notice to the members of the Village Board. The licensee shall permit an inspection of the facility in accordance with this chapter. All provisions of this chapter regarding recordkeeping and reporting apply to the facility and its contents. Property shall be stored in compliance with all provisions of the Village Code. The licensee must either own the building in which the business is conducted, and any approved off-site storage facility, or have a lease on the business premises that extends for more than six months. Any licensee conducting any other retail business other than a pawnbroker, secondhand article dealer or secondhand jewelry dealer at the permanent place of business designated in the license shall provide the County Sheriff's Department with a list of the class or type of item sold at retail at such permanent place of business and shall maintain appropriate records relating to the operation of such business.
I. 
Payment. All payments made by a pawnbroker who lends money on the deposit or pledge of any article or jewelry or who purchases any article or jewelry, and all payments made by a secondhand article dealer for the purchase of any secondhand article, and all payments made by a secondhand jewelry dealer for the purchase of any jewelry, which payments exceed $250, shall be made by check or automated clearinghouse.
A. 
The owner of any premises or land upon which two or more persons operate as secondhand article dealers may obtain a secondhand article dealer mall or flea market license for the premises or land if the following conditions are met:
(1) 
Each secondhand article dealer occupies a separate sales location and identifies himself or herself to the public as a separate secondhand article dealer.
(2) 
The secondhand article dealer mall or flea market is operated under one name and at one address, and is under the control of the secondhand article dealer mall or flea market license holder.
(3) 
Each secondhand article dealer delivers to the secondhand article dealer mall or flea market license holder, at the close of business on each day that the secondhand article dealer conducts business, a record of his or her sales that includes the location at which each sale was made.
B. 
The secondhand article dealer license holder and each secondhand article dealer operating upon the premises or land shall comply with § 398-8.
The Village Board may revoke any license issued by it under this chapter for fraud, misrepresentation or false statement contained in the application for a license or for any violation of this chapter or § 943.34, 948.62 or 948.63, Wis. Stats.
The license fees shall be as provided in Chapter 272, Fees, § 272-1.
Any person convicted of violating the provisions of this chapter shall be subject to the penalties provided in § 1-4 of this Code.