"Auction"
means the sale of real or personal property or merchandise of any description, whether new or used, at either private or public sale, upon oral or written bids, to the highest bidder, and shall include all such sales although denominated as "auction" sales or by any similar words. An auction shall not include judicial sales or government sales, or sales by any executor, administrator, guardian, receiver or trustee in bankruptcy so authorized by any court of competent jurisdiction.
(Ord. 1127 § 1, 1987)
It shall be unlawful to sell, offer for sale or attempt to sell at auction any real or personal property or merchandise of any description whatsoever unless a license has been obtained from the city clerk-treasurer as hereinafter provided.
(Ord. 1127 § 2, 1987)
Applications for auction licenses, and renewals thereof, shall be filed on forms prescribed and furnished by the city clerk-treasurer. The application shall contain current information relating to the name and address of the business, the names and residence addresses of the owners and employees thereof, and the felony records of any said owners or employees. The applicant shall be required to post a cash bond or a bond with the sureties sufficient in the judgment of the city clerk-treasurer in the amount of $350.00, said bond to run to the benefit of the city of South Bend and to any purchasers at the auction to assure compliance with this chapter and to secure any claims of said purchasers for a period of not less than 30 days from the date of the proposed auction. The city clerk-treasurer shall review the applications and shall issue the licenses upon receipt of the required fees, and approval by the city police chief.
(Ord. 1127 § 3, 1987)
The license fee for an auction license shall be $75.00 per a 24-hour period. Payments shall be made to the city clerk-treasurer of the city of South Bend.
(Ord. 1127 § 4, 1987)
Auctioneers are hereby required in all cases where property is offered them to be sold at auction, and when there is doubt or uncertainty on the part of the auctioneer as to the rightful ownership of such property, to keep in a book provided for the same, a record or inventory of the property so offered for sale, together with any marks or brands found on such property, a record of the person or persons offering such property for sale, and a record of the person or persons purchasing such property. All such records shall be open to inspection by the chief of police or his designee during ordinary hours of business.
(Ord. 1127 § 6, 1987)
At all auctions the applicant, and his employees and agents, shall represent to the public the true manufacture, quality and kind of said articles. No article shall be sold at any auction which has been falsely described, or concerning which any false statement has been made by the applicant or his employees or agents.
(Ord. 1127 § 7, 1987)
At all auctions, noisemaking devices or proceedings including bells, horns, buzzers, and similar devices shall be prohibited. The use of by bidders, boosters, cappers, or shales is prohibited. No prize or mystery packages shall be offered for sale at any auction. No property shall be distributed at any auction by chance or lot.
(Ord. 1127 § 8, 1987)
Any violation of this chapter is punishable, upon conviction, by a fine not exceeding $500.00, or by imprisonment in jail for not more than six months, or both such fine and imprisonment. Each day in which a violation continues shall constitute a separate offense. Further, any violation of this chapter shall be cause for the city of South Bend to determine that any violator shall not be entitled to an auction license in the future.
(Ord. 1127 § 10, 1987)