[HISTORY: Adopted by the City Council of
the City of Paterson 12-18-1979 by Ord. No. 79-111 as Ch. 9, Art. 6, of
the 1979 Revised General Ordinances of Paterson. Amendments noted
where applicable.]
As used in this chapter, the following terms
shall have the meanings indicated:
Includes any and all means of conveying to the public notice
of a sale or notice of intention to conduct a sale, and specifically,
although not exclusively, includes advertising by outside or inside
signs, including billboards, neon or other electrical signs, advertising
by radio, television, telephone, newspaper, magazine, book, notice,
circular, pamphlet, letter, handbill, poster, placard, card and any
and all other means, including oral, written or printed.
Includes the sale or an offer to sell to the public goods
on hand and in stock, in connection with a declared purpose as set
forth by advertising that such sale is anticipatory to the termination,
closing, liquidation, division, windup, dissolution, conclusion or
abandonment of the business in connection with such sale. "Close-out
sale" shall also include any sale advertised to be a fire sale, smoke
sale, water damage sale or any and all sales advertised in such manner
as reasonably to convey to the public that damaged or soiled goods
are offered for sale. "Close-out sale" shall also include any sale
advertised to be a removal sale, going-out-of-business sale, loss
of lease sale or any type of sale so advertised as reasonably to convey
to the public that upon the disposal of the stock of goods on hand
the person conducting the sale will cease and discontinue business
at the place of sale.
Includes any goods regulated under this chapter.
The following persons shall be exempt from the
provisions of this chapter:
No person shall advertise or conduct any close-out
sale without first obtaining a close-out sale license, as hereinafter
provided in this chapter.
A.
Any person who desires to conduct a sale regulated
by this chapter shall make a written application, under oath, addressed
to the Council and filed with the Licensing Division on forms approved
by the Council.
B.
The application shall set forth and contain the following
information:
(1)
The name and address of the owner of the goods to
be sold.
(2)
The applicant's business name and address and the
nature of the applicant's interest in said business.
(3)
A description of the place where such sale is to be
held.
(4)
The nature of the occupancy, whether by lease or sublease,
and the effective date of termination of such occupancy.
(5)
The dates during which the sale is to be conducted.
(6)
The means to be employed in advertising such sale,
together with the proposed content of any advertisement.
(7)
A full and complete statement of the facts in regard
to the sale, including the reason for the urgent and expeditious disposal
of goods and the manner in which the sale will be conducted.
A.
The inventory shall contain:
(1)
A description of each article of goods (e.g., by serial
number, distinctive markings, size, weight or other description) in
such a manner as to be readily identifiable.
(2)
The quantities thereof.
(3)
The names and addresses of the person or persons from
whom the applicant purchased or otherwise acquired articles of goods
within six months prior to the filing of the application.
B.
All goods included in such inventory shall have been
purchased or acquired by the owner thereof for resale on bona fide
orders without cancellation privileges and shall not comprise goods
purchased or acquired on consignment. Such inventory shall not include
goods ordered in contemplation of conducting a sale regulated hereunder
and for the purpose of selling said goods at such sale. Any unusual
purchase or additions to the stock of goods and of the business within
60 days before the filing of an application shall be deemed to be
goods ordered in contemplation of such sale and for the purpose of
selling said goods at such sale.
Upon receipt of an application for a license
with the required fee, the Licensing Division shall set forth a date
on which the Council will hold a public hearing on the application
and shall so notify the applicant, in writing, of the date, time and
place of such hearing.
A.
Following the notice of hearing, the applicant shall
forthwith cause to be published a notice of his application to obtain
a license for a closing-out sale. Said notice shall be published for
two consecutive weeks, once a week, prior to the hearing in a daily
newspaper published and circulated in the City.
B.
The notice shall contain the name and address of the
owner of the goods to be sold; the object of the sale; the type of
sale to be conducted; the general nature of the goods to be sold;
and the date, time and place of the public hearing.
C.
An affidavit of the proof of such publication shall
be filed with the Licensing Division prior to consideration of the
application by the Council at the public hearing.
As a condition precedent to the granting of
a license under this chapter, the applicant shall enter into and deliver
to the Licensing Division a bond in favor of the City in the sum of
$500 with two responsible freeholders as sureties or, in lieu thereof,
a bond of a surety company, authorized to do business under the laws
of the State of New Jersey, which bond shall first be approved by
the Corporation Counsel as to form and sufficiency. The bond shall
be forfeited upon a showing that the applicant has willfully misrepresented
any material fact required in the application.
[Amended 10-9-2018 by Ord. No. 18-045]
A.
The applicant for a license under this chapter shall
submit to the Licensing Division a license fee of $250 with his or
her application.
[Amended 12-2-2003 by Ord. No. 03-079; 11-9-2010 by Ord. No.
10-058]
B.
An applicant for a renewal license shall submit to
the Licensing Division a renewal license fee of $250 with his renewal
application.
[Amended 12-2-2003 by Ord. No. 03-079; 11-9-2010 by Ord. No.
10-058]
C.
If the application for a license is disapproved by
the Council, 50% of the license fee or renewal license fee paid shall
be retained by the Licensing Division to defray the cost of investigating
the statements in the application, and the balance of the fee shall
be returned to the applicant.
No license shall be issued to:
A.
Any person who, either directly or indirectly and
within one year prior to the date of the application, has conducted
a sale licensed under this chapter.
B.
Conduct a sale under this chapter where a similar
sale has been held at the same premises within a period of one year
from the date of the expiration of the previous license.
C.
Any person who has not owned the business advertised
or described in the application for a period of at least six months
prior to the date of the filing of the application, except where:
A.
After investigation of the application and the public
hearing, the Council shall determine whether or not such license shall
be granted. If approved, the license shall be issued by the Licensing
Division.
B.
The license granted by the Council shall authorize
the sale described in the application for a period of not more than
30 days following the issuance thereof.
A.
The Council may renew a license for one period of time only, such period not to exceed 30 days, provided that the goods described in the original inventory have not been disposed of and that the provisions of Subsection B hereof have been complied with.
B.
No less than seven days prior to the expiration of
the initial license, the licensee shall submit an application for
renewal, in writing and under oath, and attach thereto as a part thereof
a revised inventory showing items listed on the original inventory
remaining unsold. No goods not shown on the original inventory shall
be included.
A.
The license granted shall authorize the licensee to
conduct the sale only on the premises specified in the license.
B.
If the licensee operates more than one place of business:
(1)
The license issued shall apply to the one store or
branch specified in the application.
(2)
Such store or branch conducting the licensed sale
shall not advertise or represent that any other store or branch is
cooperating with it or participating in any way in the licensed sale;
nor shall such other store or branch advertise or represent that it
is cooperating or participating in any way in the licensed sale.
(3)
No goods shall be brought from any other store or
branch and placed on sale at the store or branch authorized to conduct
the licensed sale.
A.
All advertising shall be descriptive of the nature
of the sale as stated in the application therefor. The language in
such advertising shall be identical with the advertising content as
set forth in the application.
B.
It shall be unlawful to indicate in any advertising,
either directly or indirectly, that the sale is held with the approval
of the Council. It shall be lawful, however, for such advertising
to contain a statement in the following words and no others:
|
"Sale held pursuant to License No. ____ of the
City Council granted the ____ day of ________________, 19___" and
in such blank spaces the license number and applicable date shall
be indicated.
|
C.
No advertising shall contain any assertion, representation
or statement of fact which is untrue, deceptive or misleading.
A.
A duplicate copy of the filed application, together
with a duplicate copy of the filed inventory of the goods, shall be
kept at the premises where the sale is being held and shall be available
at all times to inspection by the inspectors of the Licensing Division
and any person who shall be duly authorized, in writing, for that
purpose by the Council. The licensee shall also permit such inspector,
investigator or person duly authorized in writing to examine all of
the goods on the premises for comparison with said inventory.
B.
At the close of business each day during the sale,
the licensee shall revise the inventory of the goods by indicating
thereon the items which have been disposed of during that day.
A.
The Council may make such rules and regulations, not
in conflict with the provisions of this chapter, for the administration
and enforcement of this chapter as, in its opinion, will serve to
prevent deception and to protect the public.
B.
The Council may, at any time during the sale, suspend the license and stop said sale upon a prima facie showing that said sale is being conducted in violation of any of the provisions of this chapter. Thereafter, and upon the giving of written notice of suspension, said sale shall not continue unless permission so to do is authorized by the Council following a hearing, upon due notice, as provided in § 395-19.
The licensee shall:
A.
Make no additions, during the period of the licensed
sale, to the stock of goods set forth in the inventory attached to
the license application.
B.
Conduct the licensed sale in strict conformity with
any advertising or representation incident thereto.
C.
Not sell or offer for sale any goods not in the stock
listed as a part of the inventory submitted with the application.
D.
Be limited to the sale of goods described in the inventory
submitted with the application.
In addition to the penalty provided in § 395-20, any license may be revoked by the Council, after due notice and hearing, for violation of any of the provisions of this chapter or if the licensee has made any material misstatement in his application. A license may be suspended pending such hearing, as provided in § 395-17B, provided that, within 15 days of written notice of suspension given to the licensee, the licensee shall be granted a hearing before the Council, after which the Council shall determine whether to set aside the suspension or revoke the license. The notice of suspension shall fix the date and time and place of hearing.
[Amended 12-19-1995 by Ord. No. 95-068]
Any person who violates any provision of this
chapter shall, upon conviction thereof, be subject to a fine not exceeding
$1,000, by imprisonment not exceeding 90 days or by a period of community
service for not more than 90 days, or any combination thereof. A separate
offense shall be deemed committed on each day during or on which a
violation occurs or continues.
