The purpose of this chapter is to set forth regulations and
procedures for permitting the operation of consignment stores in order
to protect the public from fraud, theft, or other unlawful conduct.
(Ord. 837 § 2, 2003)
The following definitions shall apply in the interpretation
and enforcement of this chapter:
"Applicant"
means person, partnership, corporation, firm, trust or limited
liability company who has submitted an application for consignment
store permit as well as the partners, members, stockholders, trustees,
or beneficiaries who own five percent or more, in the aggregate, directly
or indirectly, in the entity applying for the permit.
"Consignee"
means a person, to whom something such as tangible personal
property, goods, products and merchandise is consigned. "Consignee"
shall not include any person making any sale or any sale made by virtue
of or pursuant to provisions of any law of the United States or the
state of California pursuant to the provisions of any order made by
any court of the United States or the state of California or by virtue
of any mortgage or a deed of trust or other lien.
"Consignment"
means an agreement, arrangement, transaction or promise of
a person, (the consignee) entrusted to receive for sale of tangible
personal property, goods, products or merchandise of another person
(the consignor) with the provision that payment is expected only on
sale and that unsold items shall be returned.
"Consignment store"
means a retail establishment conducting consignment transactions
within the city.
"Consignor"
means a person who gives over or entrusts to another person,
merchandise, tangible personal property, goods, products and merchandise
for sale with the provision that payment is expected only upon sale
and that unsold items shall be returned.
"Direct or indirect ownership"
means the aggregate of all interests owned by the applicant,
officers, investors, partners, stockholders, beneficiaries, as well
as interests owned by the spouses, siblings, beneficiaries, ancestors,
and lineal descendants of the person.
"Person"
includes an individual and shall also include "corporation,"
"limited liability company," "partnership," "joint venture," or other
legal entity.
"Sale"
includes the rental, lease, and loan for money, and/or bailment
of tangible personal property, goods, products or merchandise.
"Tangible personal property"
means, but is not limited to, new or used products, including
books, clothing, furniture, household goods, art, antiques, collectibles,
cars, mobile homes, motor vehicles and other new or used vehicles,
and jewelry. Tangible personal property does not include any new goods
or merchandise purchased from a bona fide manufacturer or distributor
or wholesaler of such new goods or merchandise by a secondhand dealer.
(Ord. 837 § 2, 2003)
Consignment stores may be located as a stand alone use or accessory
use to a retail establishment in any land use zone which retail establishments
are permitted, provided that the necessary permits are obtained pursuant
to this chapter and any other applicable laws or regulations.
(Ord. 837 § 2, 2003)
By applying for a permit under this chapter, the applicant shall
be deemed to have consented to the provisions of this chapter and
to the exercise by the city's officials, representatives and employees
charged with implementing and/or enforcing the provisions set forth
in this chapter.
(Ord. 837 § 2, 2003)
No business license shall be issued to any person for any consignment
store unless such person has first obtained a validly issued consignment
store permit pursuant to this chapter.
(Ord. 837 § 2, 2003)
The city manager or his or her designee shall be responsible
for granting or denying all consignment store permits, and such permits
shall only be granted or denied pursuant to the provisions described
herein or any other applicable law.
(Ord. 837 § 2, 2003)
The city manager or his or her designee shall make his or her
determination within 60 days from the receipt of a complete application.
(Ord. 837 § 2, 2003)
The city manager or his or her designee shall issue the permit if there are no grounds to deny same as set forth in Section
5.26.110, and provided that the requisite security is furnished pursuant to Section
5.26.130.
(Ord. 837 § 2, 2003)
All permittees shall post the permit issued pursuant to this
chapter in a conspicuous location within the business.
(Ord. 837 § 2, 2003)
Any person engaged in or doing business in or carrying on any
business of consignment transactions which is regulated, licensed
or permitted by the state of California shall make presentation of
a valid unexpired state license or permit as prima facie evidence
that such person is so licensed or permitted by the state.
(Ord. 837 § 2, 2003)
Prior to taking possession of any consigned item consignee shall
enter into a written consignment agreement which shall include references
to all provisions, terms and/or conditions as may be required by this
chapter.
(Ord. 837 § 2, 2003)
The retail price to be charged for any consigned item shall
be set forth in the consignment agreement and the retail price shall
not be changed unless set forth in writing.
(Ord. 837 § 2, 2003)
The amount of commission consignee shall receive upon the sale
of the consigned item shall be set forth in the consignment agreement.
(Ord. 837 § 2, 2003)
The current address and phone number of both the consignor and
of a relative or next of kin not residing with consignor shall be
set forth in the consignment agreement.
(Ord. 837 § 2, 2003)
The location of the retail establishment where the consigned
item is to be displayed for sale shall be set forth in the consignment
agreement. The location of the consigned item shall not be moved to
another location without the written consent of consignor.
(Ord. 837 § 2, 2003)
Consignee shall notify consignor within 10 days of discovery
whenever his or her consignment item has been damaged and the effect
of the damage and any loss of value caused thereby.
(Ord. 837 § 2, 2003)
Following the receipt of written notification of consignors
death or legal incapacitation during the term of any pending consignment
agreement, consignee shall provide within 30 days consignors estate
or legal representative with a copy of said consignment agreement.
(Ord. 837 § 2, 2003)
Any permittee, upon relocation to another business location
within the city, shall be required to submit an amended application
and furnish the necessary security interest, as determined by the
city manager or his or her designee, prior to operating his or her
business at the new location.
(Ord. 837 § 2, 2003)
Any violation of this chapter by any person responsible for committing, causing or maintaining such violation shall constitute a public nuisance which shall be subject to the provisions of Title
14 of the Municipal Code.
(Ord. 837 § 2, 2003; Ord. 916 § 3, 2006)
Any violation of this chapter by any person responsible for committing, causing or maintaining such violation shall constitute an infraction violation and the violator shall be subject to the provisions set forth in Title
14 of the municipal code, including, but not limited to, the imposition of any and all criminal penalties set forth therein.
(Ord. 837 § 2, 2003; Ord. 928 § 2, 2006)
A. In lieu
of issuing an infraction or misdemeanor citation, the city may issue
an administrative citation, pursuant to Title 14 of the municipal
code, to any person responsible for committing, causing or maintaining
the subject violation.
B. Nothing
in this section shall preclude the city from also issuing an infraction
or misdemeanor citation upon the occurrence of the same subject offense
on a separate day.
(Ord. 837 § 2, 2003; Ord. 920 § 2, 2006)
Any person issued an administrative citation under this chapter, for each separate violation shall be subject to fine as set forth in municipal code Section
14.100.090.
(Ord. 837 § 2, 2003; Ord. 920 § 3, 2006)