No license shall be issued for a distress merchandise sale unless there is filed with the City Auditor a bond conditioned upon the faithful observance of all the provisions of this chapter and the indemnifying of any purchaser at such sale who suffers any loss by reason of any misrepresentation made in connection with the sale, and authorizing actions thereunder by the City for the violation of any provision of this chapter, and by any purchaser at such sale for damage or loss suffered by him by reason of any misrepresentation made in connection with the sale. The amount of the bond shall be determined as follows:
Ten percent (10%) of the first one hundred thousand dollars ($100,000) of the inventory cost of all of the goods, wares and merchandise to be offered at the sale; five percent (5%) on the next four hundred thousand dollars ($400,000) and two percent (2%) on the balance. The bond shall be approved as to form by the Law Director and as to sufficiency by the Auditor.
(Ord. 45-1962. Passed 8-28-62.)