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(a) No auctioneer's license shall be granted to any minor or to any person not of good reputation and moral character. Any person desiring to be licensed as an auctioneer shall file with the City Clerk an application therefor. On such application, three residents of the City shall certify to the good reputation and moral character of the applicant, provided that a certificate of membership in the Michigan Association of Auctioneers may be filed in lieu of the references. Before granting any such application, Council may require such further information as it deems necessary in order to pass upon the reputation of the applicant.
(1974 Code Sec. 7.53)
(b) The fee for an auctioneer's license shall be as specified in the Business License Fee Schedule.
(Ord. 797. Passed 10-6-04.)
No person shall sell, dispose of, advertise for sale or offer for sale at public auction in the City, any property of any kind, without being licensed as provided in this chapter, and without first obtaining a permit to conduct such sale as hereinafter specified.
(1974 Code Sec. 7.54)
Auction sales may be conducted in the City by regularly licensed auctioneers, wherever a permit has been issued therefor by the City Clerk, and upon filing a bond as hereinafter provided where the merchandise to be auctioned consists of items of jewelry, gold, silver, plated ware, precious or semiprecious stones or watches. No permit shall be issued unless all taxes on the property sought to be sold have been paid, or unless security satisfactory to the City Treasurer has been given for such payment, and unless the property sought to be sold has been within the City for one year or is part (or all) of the stock of goods of a merchant who has regularly done business in the City for one year prior to the date of the application, and no stock has been added thereto in anticipation of such sale within 120 days prior to the date of application. However, the limitations set forth in this section shall not apply to public auctions of household effects and personal belongings at the residence of the owner or under the direction of an administrator of an estate, provided that an affidavit shall be filed showing such to be the case. No permit shall be issued where merchandise to be auctioned consists of items of jewelry, gold, silver, plated ware, precious or semiprecious stones or watches, unless the owner of such merchandise files with the City Clerk a bond in the penal sum of two thousand dollars ($2,000), running to the people of the State, and conditioned upon the faithful performance by the owner of all of the provisions of this chapter, and upon the payment of all judgments recovered against the owner for fraud, misrepresentation or deceit, practiced by the owner's agent or auctioneer in the sale of such merchandise.
(1974 Code Sec. 7.55)
The application for a permit for an auction sale shall be filed with the City Clerk, under oath, where it may be examined by the public at any time before or during the sale. Not less than five full days after the proper application has been filed, the City Clerk shall issue a permit to the auctioneer named in the application, which permit shall authorize the auctioneer to conduct an auction sale of the property listed in the application at the place named therein, for the number of days for which an inspector's fee has been paid as hereinafter provided. Such permit, with the number of days plainly stated on its face, shall be posted by the auctioneer in a conspicuous place on the premises where the auction sale is being conducted and shall remain posted throughout such sale. However, if the application is for an auction sale where the principal merchandise auctioned is platinum, gold, silver, plated ware, precious or semiprecious stones, watches or other jewelry, all persons interested may examine the same thirty full days prior to the issuance of a permit. A permit shall not be required for a public auction of household effects and personal belongings to be auctioned at the bona fide residence of the owner or under the direction of a court administrator, provided that the sworn application filed with the City Clerk shows such to be the case.
(1974 Code Sec. 7.56)
The application for a permit to conduct an auction sale in the City shall be made by the owner of the property to be auctioned on blanks to be furnished by the City Clerk. The application shall be sworn to by the owner or by someone on the owner's behalf who knows the facts. It shall state the name of the auctioneer who is to conduct the sale, the location of the property; the place where the sale is to be held; that the property has been in the City for one year, or that it is a part or all of the stock of a merchant who had regularly done business in the City for one year; that all taxes which have become a lien on such property have been paid; that no property other than that listed will be sold or offered for sale at such auction sale; the number of days the sale is to continue and the hours of sale each day; and a completely itemized statement of the property, in duplicate, including, if it is personal property, an identifying number from each and every article, a brief description of its quality and character and its cost price to the owner. A permit fee as specified in the Business License Fee Schedule shall accompany such application. In addition to such permit fee, the auctioneer or owner shall cause to be paid to the City Treasurer, before a permit is issued, an inspector's fee as specified in the Business License Fee Schedule for each calendar day during which an auction sale is to be held for the sale of jewelry, watches and similar items, and the permit shall be operative only on the days for which such fee has been paid. However, new permits may be issued by the City Clerk from time to time upon the payment of additional inspector's fees.
(Ord. 797. Passed 10-6-04.)
The Chief of Police may appoint an inspector, who, at all times, shall be on the premises where jewelry, watches and similar items are to be auctioned. He or she shall be given one copy of the inventory by the City Clerk upon which he or she shall keep a record of each article that is offered for sale and whether or not such article is struck off to the highest bidder. If any article is offered for sale by the auctioneer, which article does not appear on the inspector's inventory, or if an article is offered for sale which had been previously struck off to a bidder at such sale, the inspector may forbid the sale of such article and take such other steps as appear to be necessary to protect the interests of the public.
(1974 Code Sec. 7.58)
The following acts, omissions and practices in connection with auction sales are hereby prohibited:
(a) The use of deceit, fraud or misrepresentation in the sale of any property;
(b) The substitution of another article for that bid upon by the prospective purchaser;
(c) The use of false bidders, cappers or puffers;
(d) The use of bells, buzzers, ballyhoo, loudspeakers or any variety of mechanical or excessive vocal sound to attract attention;
(e) The use of any false or misleading advertising matter;
(f) A sale by a person other than the licensed auctioneer named in the application;
(g) Failure to exhibit an auctioneer's license to a police officer on demand at the place where the auction is being conducted;
(h) Failure to completely post the auction sale permit;
(i) Sale of property not listed on the inventory filed with the City Clerk;
(j) Adding property to the stock sought to be sold after the inventory is filed or within 120 days prior thereto in anticipation of such sale;
(k) Offering property for sale which has once been struck off to the highest bidder; and
(l) The carrying on of auction sales without obtaining a license as provided in this chapter.
(1974 Code Sec. 7.59)
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