§ 121.02 JEWELRY SALES.
   (A)   License required. No person shall sell or offer for sale at public auction any gold ware or silver ware, gold or silver plated ware, any plated ware of any kind, or precious stones, watches, clocks, jewelry, toilet articles, fountain pens, pencils or any merchandise usually carried in stock by wholesale or retail jewelers, unless the person shall first procure a license so to do, and pay the license tax as provided by law.
   (B)   Application.
      (1)   Any person desiring to hold an auction sale of jewelry-type merchandise described in this section shall file with the Recorder a statement verified by the person or officers of the corporation proposing to conduct the sale, setting forth the following:
         (a)   The name and address of the applicant or applicants;
         (b)   The place where the sale is to be conducted;
         (c)   The name and address of the person proposing to conduct the sale or if the person is a corporation, the state in which it was incorporated and the name of the person on whom process may be served as shown by statement filed in the office of Secretary of State at Frankfort, Kentucky, the amount of the capital stock of the corporation actually paid up, the value of the assets of the corporation and where located, and whether the assets are personal or real, property and the value of the real and personal property separately. If the sale is to be conducted by individuals or partnership, the names of all persons connected therewith; kind and value of assets owned by each of the parties, whether personal or real and where located; and
         (d)   The name of the auctioneer who is to conduct the sale.
      (2)   The Recorder shall provide a blank setting forth the questions to be answered by the applicant disclosing the information provided for herein, all of which shall be answered in writing and subscribed and sworn to by the applicant and, if the applicant is a corporation, by the principal officers thereof.
   (C)   Tagging of sales items; contents.
      (1)   Any person conducting an auction as provided in this section shall attach to each article exposed or offered for sale at the auction, a tag.
      (2)   The tag shall contain, in written or printed English a true statement:
         (a)   Of the character and quality of the articles offered or exposed for sale;
         (b)   If a diamond the exact weight and quality of the stone;
         (c)   If any other precious stone, its true weight and description;
         (d)   If the article is of metallic substance, whether the article is pure and of what degree of fineness;
         (e)   If plated, the nature of the plating and the true nature of the metal covered by the plating; and
         (f)   If the article offered for sale is an imitation of a precious stone, a gold or silver article, the tag must plainly show that fact.
      (3)   The purpose of the statement is that each purchaser at such a sale of any article exposed for sale shall have full and correct information of the nature and quality of the article being sold.
      (4)   When watches or clocks are offered for sale at an auction, the tags shall show:
         (a)   The quality of the case, whether solid or plated and the kind of case;
         (b)   The true name of the manufacturer of the watch or clock; and
         (c)   The parts, movements or mechanism thereof.
      (5)   When sold, no parts, movements or mechanism of other watches or clocks shall be secretly substituted for those originally contained in the watch or clock when offered for sale. No false or misleading names or trademarks shall be used or substituted in connection therewith for the movements thereof. No secondhand works shall be placed in any watch or clock cases, and sold or offered for sale for new. All such substitutions shall be shown on the tag and the fact plainly stated by the auctioneer in offering the article for sale.
      (6)   If any secondhand goods or articles are offered for sale at such an auction that facts shall appear on the tag and so stated by the auctioneer conducting the sale at the time the secondhand article is offered or exposed for sale.
      (7)   The tags giving the information as required by this section shall be signed by the person conducting the sale. The tag shall remain firmly attached to the article sold at public sale and shall be delivered with the article sold to the purchaser.
      (8)   The facts stated on the tags shall constitute a warranty of the kind, character and quality of the article so sold. The statement shall begin with the words: “The undersigned represents that the (describe or name the article) to which this statement is attached is (then shall follow in detail representations as to the quality, kind and character of the article, together with a description in detail provided above) .”
   (D)   Hours of sales. All auction sales of jewelry, gold or silver ware, plated ware, precious stones, watches, clocks or jewelry of every kind and character, shall be conducted between the hours of 7:30 a.m. and 6:00 p.m.
   (E)   Prohibited sales items; gifts.
      (1)   No person shall offer for sale or sell at public auction, vendue or outcry, any watch, ring, stickpin, charm, watch chain, earring, lavaliere, precious stone, cuff button or other article of jewelry of any kind, nature, character or description.
      (2)   No person shall offer for sale or sell at public auction, vendue or outcry, any goods, wares or merchandise with the understanding that the purchaser thereof shall receive gratis or as part consideration, any watch, ring, stickpin, charm, watch chain, earring, lavaliere, precious stone, cuff button or other article of jewelry of any kind, nature, character or description.
(1984 Code, § 111.051) Penalty, see § 121.99