H-1457.1 _______________________________________________
HOUSE BILL 1815
_______________________________________________
State of Washington 52nd Legislature 1991 Regular Session
By Representatives Heavey, Ballard, Haugen, Lisk, Cantwell, Edmondson, Rasmussen, Belcher, Spanel, Fuhrman, Winsley, Morris, Silver, Cole, May, Prentice, Grant, D. Sommers, Paris, Forner, Horn, Chandler, Casada and Moyer.
Read first time February 11, 1991. Referred to Committee on Commerce & Labor.
AN ACT Relating to pawnbrokers and second-hand dealers; amending RCW 19.60.010, 19.60.020, 19.60.040, 19.60.045, 19.60.050, 19.60.055, 19.60.060, 19.60.061, 19.60.062, and 19.60.066; adding a new section to chapter 19.60 RCW; and adding a new section to chapter 10.19 RCW.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1. RCW 19.60.010 and 1985 c 70 s 1 are each amended to read as follows:
Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
(1) Melted metals means metals derived from metal junk or precious metals that have been reduced to a melted state from other than ore or ingots which are produced from ore that has not previously been processed.
(2) Metal junk means any metal that has previously been milled, shaped, stamped, or forged and that is no longer useful in its original form, except precious metals.
(3) Nonmetal junk means any nonmetal, commonly discarded item that is worn out, or has outlasted its usefulness as intended in its original form except nonmetal junk does not include an item made in a former period which has enhanced value because of its age.
(4)
Pawnbroker means every person engaged, in whole or in part, in the business of
loaning money on the security of ((pledges,)) pledged personal
property, or deposits or conditional sales, or the purchase of personal
property or sales of personal property.
(5) Precious metals means gold, silver, and platinum.
(6) Second-hand dealer means every person engaged in whole or in part in the business of purchasing, selling, trading, consignment selling, or otherwise transferring for value, second-hand property including metal junk, melted metals, precious metals, whether or not the person maintains a fixed place of business within the state. Second-hand dealer also means persons or entities conducting business at flea markets or swap meets, more than three times per year.
(7) Second-hand property means any item of personal property offered for sale which is not new, including metals in any form, except postage stamps, coins that are legal tender, bullion in the form of fabricated hallmarked bars, used books, and clothing of a resale value of seventy-five dollars or less, except furs.
(8) Transaction means a pledge, or the purchase of, or consignment of, or the trade of any item of personal property by a pawnbroker or a second-hand dealer from a member of the general public.
(9) "Term of the loan" means a period of thirty days, including the date of the loan.
(10) "Negotiable written instruments" include, but not limited to, stocks, bonds, notes, or promissory notes, and checks of any kind, and shall not be accepted nor shall they constitute personal property for the purpose of a loan transaction.
Sec. 2. RCW 19.60.020 and 1984 c 10 s 3 are each amended to read as follows:
(1) Every pawnbroker and second-hand dealer doing business in this state shall maintain wherever that business is conducted a record in which shall be legibly written in the English language, at the time of each transaction the following information:
(a) The signature of the person with whom the transaction is made;
(b) The date of the transaction;
(c) The name of the person or employee or the identification number of the person or employee conducting the transaction;
(d) The name, date of birth, sex, height, weight, race, and address and telephone number of the person with whom the transaction is made;
(e) A complete description of the property pledged, bought, or consigned, including the brand name, serial number, model number, any initials, engravings, size, patterns, and color of the stone or stones, and in the case of firearms, the caliber, barrel length, type of action, and whether it is a pistol, rifle, or shotgun;
(f) The price paid or the amount loaned;
(g) The type and identifying number of identification used by the person with whom the transaction is made, which shall consist of a valid drivers license or identification card issued by any state or two pieces of identification issued by a governmental agency, one of which shall be descriptive of the person identified. At all times, one piece of government issued picture identification is required, as long as that identification meets the requirements as set forth in this section; and
(h) The nature of the transaction, a number identifying the transaction, the store identification number and the employee identification number, that may be used by the applicable law enforcement agency, or the name and address of the business and the name of the person or employee, conducting the transaction, and the location of the property.
(2) This record shall at all times during the ordinary hours of business, or at reasonable times if ordinary hours of business are not kept, be open to the inspection of any commissioned law enforcement officer of the state or any of its political subdivisions, and shall be maintained wherever that business is conducted for three years following the date of the transaction.
Sec. 3. RCW 19.60.040 and 1984 c 10 s 6 are each amended to read as follows:
(1)
Upon request every pawnbroker and second-hand dealer doing business in the
state shall furnish or mail within ((twenty-four hours to)) the time
period required by the chief of police of the city or to the county's chief
law enforcement officer, and such a period of time shall not be less than
twenty-four hours on such forms ((as are)) or in a format
required or that may be provided by the chief of police or the county's
chief law enforcement officer, to include, a full, true, and correct
transcript of the record of all transactions conducted on the preceding day
within the jurisdiction of the chief of police or the county's chief law
enforcement officer. This information may be transmitted to the applicable
law enforcement agency electronically, by facsimile transmission, or by the use
of a modem, or similar device, or by delivery of a computer disc, subject to
the requirements of such methods of transmission of information, as may be
required and approved by the chief law enforcement agency.
(2) If a pawnbroker or second-hand dealer has good cause to believe that any property in his or her possession has been previously lost or stolen, the pawnbroker or second-hand dealer shall promptly report that fact to the applicable chief of police or the county's chief law enforcement officer, together with the name of the owner, if known, and the date when, and the name of the person from whom it was received.
Sec. 4. RCW 19.60.045 and 1984 c 10 s 5 are each amended to read as follows:
Following
notification from a law enforcement agency that an item of property has been
reported as stolen, the pawnbroker or second-hand dealer shall hold that
property intact and safe from alteration, damage, or commingling. The
pawnbroker or second-hand dealer shall place an identifying tag or other
suitable identification upon the property so held. Property held shall not be
released for one hundred twenty days from the date of police notification
unless released by written consent of the applicable law enforcement agency or
by order of a court of competent jurisdiction. In cases where the
applicable law enforcement agency has placed a verbal hold on a item, that
agency must then give written notice within ten business days, if such written
notice is not received within that period of time, then the hold order will
cease. The pawnbroker or second-hand dealer shall give ((ten days))
a twenty-day written notice before the expiration of the one hundred
twenty-day holding period to the applicable law enforcement agency about the
stolen property. If notice is not given within ((the required ten-day
period)) twenty days, then the hold on the property shall continue
for an additional one hundred twenty days. The applicable law enforcement
agency may renew the holding period for additional one hundred twenty-day
periods as necessary. If after the receipt of notification, from a
pawnbroker or second-hand dealer, and an additional holding period is required,
the applicable law enforcement agency shall give the pawnbroker or second-hand
dealer written notice, prior to the expiration of the existing hold order. At
no time shall any law enforcement agency place on hold any item of personal
property, unless that agency reasonably suspects that the item of personal
property is stolen. Any hold that is placed on an item will be removed as soon
as it has been determined that the item in question was not stolen. Then the
pawnbroker or second-hand dealer may continue with their normal course of
business.
Sec. 5. RCW 19.60.050 and 1984 c 10 s 8 are each amended to read as follows:
Property
bought or received in pledge by any pawnbroker shall not be removed from that
place of business, except when redeemed by, or returned to the owner,
within ((fifteen)) thirty days after the receipt of the
property. Property shall at all times during the ordinary hours of business be
open to inspection to any commissioned law enforcement officer of the state or
any of its political subdivisions.
Sec. 6. RCW 19.60.055 and 1984 c 10 s 7 are each amended to read as follows:
(1)
Property bought or received on consignment by ((a)) any
second-hand dealer with a permanent place of business in the state shall not be
removed from that place of business, except consigned property returned to the
owner, within ((fifteen)) thirty days after the receipt of the
property. Property shall at all times during the ordinary hours of business be
open to inspection to any commissioned law enforcement officer of the state or
any of its political subdivisions.
(2)
Property bought or received on consignment by ((a)) any
second-hand dealer without a permanent place of business in the state, shall be
held within the city or county in which the property was received, except
consigned property returned to the owner, ((for fifteen)) within
thirty days after receipt of the property. The property shall be available
within the appropriate jurisdiction for inspection at reasonable times by any
commissioned law enforcement officer of the state or any of its political
subdivisions.
Sec. 7. RCW 19.60.060 and 1984 c 10 s 9 are each amended to read as follows:
All pawnbrokers are authorized to charge and receive interest and other fees at the following rates for money loaned on the security of personal property actually received in pledge:
(1) The interest shall not exceed:
(a)
For an amount loaned up to $((19.99)) 9.99 - interest at $1.00 ((per
month;)) for each thirty-day period to include the loan date.
(b)
For an amount loaned from (($20.00 to $39.99)) $10.00 to $19.99 -
interest at the rate of (($1.50 per month;)) $1.25 for each
thirty-day period to include the loan date.
(c)
For an amount loaned from (($40.00 to $75.99)) $20.00 to $24.99 -
interest at the rate of (($2.00 per month;)) $1.50 for each
thirty-day period to include the loan date.
(d)
For an amount loaned from (($76.00 to $100.99)) $25.00 to $34.99
- interest at the rate of (($2.50 per month;)) $1.75 for each
thirty-day period to include the loan date.
(e)
For an amount loaned from (($101.00 to $125.99)) $35.00 to $39.99
- interest at the rate of (($3.00 per month;)) $2.00 for each
thirty-day period to include the loan date.
(f)
For an amount loaned from (($126.00 or more)) $40.00 to $49.99 -
interest at the rate of ((three percent a month;)) $2.25 for each
thirty-day period to include the loan date.
(g) For the amount loaned from $50.00 to $59.99 - interest at the rate of $2.50 for each thirty-day period to include the loan date.
(h) For the amount loaned from $60.00 to $69.99 - interest at the rate of $2.75 for each thirty-day period to include the loan date.
(i) For the amount loaned from $70.00 to $79.99 - interest at the rate of $3.00 for each thirty-day period to include the loan date.
(j) For the amount loaned from $80.00 to $89.99 - interest at the rate of $3.25 for each thirty-day period to include the loan date.
(k) For the amount loaned from $90.00 to $99.99 - interest at the rate of $3.50 for each thirty-day period to include the loan date.
(l) For the amount loaned from $100.00 or more - interest at the rate of four percent for each thirty-day period to include the loan date.
(2) The fee for the preparation of documents, pledges, or reports required under the laws of the United States of America, the state of Washington, or the counties, cities, towns, or other political subdivisions thereof, shall not exceed:
(a) For the amount loaned up to $4.99 - the sum of $.50;
(b) For the amount loaned from $5.00 to $9.99 - the sum of $2.00;
(c)
For the amount loaned from $10.00 to (($19.99)) $14.99 - the sum
of $3.00;
(d)
For the amount loaned from (($20.00 to $29.99)) $15.00 to $19.99
- the sum of (($4.00;)) $3.50.
(e)
For the amount loaned from (($30.00 to $39.99)) $20.00 to $24.99
- the sum of (($5.00;)) $4.00.
(f)
For the amount loaned from (($40.00 to $49.99)) $25.00 to $29.99
- the sum of (($6.00;)) $4.50.
(g)
For the amount loaned from (($50.00 to $59.99)) $30.00 to $34.99
- the sum of (($7.00;)) $5.00.
(h)
For the amount loaned from (($60.00 to $69.99)) $35.00 to $39.99
- the sum of (($8.00;)) $5.50.
(i)
For the amount loaned from (($70.00 to $79.99)) $40.00 to $44.99
- the sum of (($9.00;)) $6.00.
(j)
For the amount loaned from (($80.00 to $89.99)) $45.00 to $49.99
- the sum of (($10.00;)) $6.50.
(k) For
the amount loaned from (($90.00 to $99.99)) $50.00 to $54.99 -
the sum of (($11.00;)) $7.00.
(l)
For the amount loaned from (($100.00 to $124.99)) $55.00 to $59.99
- the sum of (($12.00;)) $7.50.
(m)
For the amount loaned from (($125.00 to $149.99)) $60.00 to $64.99
- the sum of (($13.00;)) $8.00.
(n)
For the amount loaned from (($150.00 to $174.99)) $65.00 to 69.99
- the sum of (($14.00;)) $8.50.
(o)
For the amount loaned from (($175.00 to $199.99)) $70.00 to $74.99
- the sum of (($15.00;)) $9.00.
(p)
For the amount loaned from (($200.00 to $249.99)) $75.00 to $79.99
- the sum of (($16.00;)) $9.50.
(q)
For the amount loaned from (($250.00 to $299.99)) $80.00 to $84.99
- the sum of (($17.00;)) $10.00.
(r)
For the amount loaned from (($300.00 to $399.99)) $85.00 to $89.99
- the sum of (($18.00;)) $10.50.
(s)
For the amount loaned from (($400.00 to $499.99 - the sum of $19.00;
(t)
For the amount loaned from $500.00 or more)) $90.00
to $94.99 - the sum of (($20.00;)) $11.00.
(t) For the amount loaned from $95.00 to $99.99 - the sum of $11.50.
(u) For the amount loaned from $100.00 to $104.99 - the sum of $12.00.
(v) For the amount loaned from $105.00 to $109.99 - the sum of $12.25.
(w) For the amount loaned from $110.00 to $114.99 - the sum of $12.75.
(x) For the amount loaned from $115.00 to $119.99 - the sum of $13.25.
(y) For the amount loaned from $120.00 to $124.99 - the sum of $13.50.
(z) For the amount loaned from $125.00 to $129.99 - the sum of $13.75.
(aa) For the amount loaned from $130.00 to $149.99 - the sum of $14.50.
(bb) For the amount loaned from $150.00 to $174.99 - the sum of $14.75.
(cc) For the amount loaned from $175.00 to $199.99 - the sum of $15.00.
(dd) For the amount loaned from $200.00 to $224.99 - the sum of $16.00.
(ee) For the amount loaned from $225.00 to $249.99 - the sum of $17.00.
(ff) For the amount loaned from $250.00 to $274.99 - the sum of $18.00.
(gg) For the amount loaned from $275.00 to $299.99 - the sum of $19.00.
(hh) For the amount loaned from $300.00 to $324.99 - the sum of $20.00.
(ii) For the amount loaned from $325.00 to $349.99 - the sum of $21.00.
(jj) For the amount loaned from $350.00 to $374.99 - the sum of $22.00.
(kk) For the amount loaned from $375.00 to $399.99 - the sum of $23.00.
(ll) For the amount loaned from $400.00 to $424.99 - the sum of $24.00.
(mm) For the amount loaned from $425.00 to $449.99 - the sum of $25.00.
(nn) For the amount loaned from $450.00 to $474.99 - the sum of $26.00.
(oo) For the amount loaned from $475.00 to $499.99 - the sum of $27.00.
(pp) For the amount loaned from $500.00 to $524.99 - the sum of $28.00.
(qq) For the amount loaned from $525.00 to $549.99 - the sum of $29.00.
(rr) For the amount loaned from $550.00 to $599.99 - the sum of $30.00.
(ss) For the amount loaned from $600.00 to $699.99 - the sum of $35.00.
(tt) For the amount loaned from $700.00 to $799.99 - the sum of $40.00.
(uu) For the amount loaned from $800.00 to $899.99 - the sum of $45.00.
(vv) For the amount loaned from $900.00 to $999.99 - the sum of $50.00.
(ww) For the amount loaned from $1000.00 to $1499.99 - the sum of $55.00.
(xx) For the amount loaned from $1500.00 to $1999.99 - the sum of $60.00.
(yy) For the amount loaned from $2000.00 to $2499.99 - the sum of $65.00.
(zz) For the amount loaned from $2500.00 to $2999.99 - the sum of $70.00.
(aaa) For the amount loaned from $3000.00 to $3499.99 - the sum of $75.00.
(bbb) For the amount loaned from $3500.00 to $3999.99 - the sum of $80.00.
(ccc) For the amount loaned from $4000.00 to $4499.99 - the sum of $85.00.
(ddd) For the amount loaned from $4500.00 or more - the sum of $90.00.
(3)
Fees under subsection (2) of this section may be charged one time only during
the term of ((a pledge)) the loan.
A copy of this section, set in twelve point type or larger, shall be posted prominently in each premises subject to this chapter.
Sec. 8. RCW 19.60.061 and 1984 c 10 s 10 are each amended to read as follows:
(1) A
pawnbroker shall not sell any property received in pledge ((within ninety
days after the term of the loan expires)), until both the term of the
loan, and a grace period of a minimum of sixty days has expired. However,
if a pledged article is not redeemed within the ((ninety-day)) period of
both the term of the loan and the grace period, the pawnbroker ((has))
shall have all rights, title, and interest of the ((pledgor or the
pledgor's assigns)) that item of personal property. The pawnbroker
shall not be required to account to the person from whom the pawnbroker made
the loan, for the proceeds received from the disposition of that item. Any
provision of law relating to the foreclosure and sale of forfeited loans, shall
not be applicable to any pledge as defined under this chapter, the title to
which is transferred in accordance with this section.
(2)
Every transaction entered into by a pawnbroker shall ((be evidenced by a
written document, a copy of which shall be furnished to the pledgor. The
document shall)) set forth the ((loan period)) term of the loan,
the date on which the loan is due and payable, and shall inform the pledgor of
the pledgor's right to redeem the pledge within ((ninety days)) the
minimum sixty-day grace period after the expiration of the loan term.
Sec. 9. RCW 19.60.062 and 1984 c 10 s 11 are each amended to read as follows:
In an action brought by an owner to recover goods in the possession of a pawnbroker or second-hand dealer, or an action brought by a pawnbroker or second-hand dealer, against an owner, to determine title or ownership of any item, the prevailing party is entitled to reasonable attorney's fees and costs.
Sec. 10. RCW 19.60.066 and 1984 c 10 s 12 are each amended to read as follows:
It is a gross misdemeanor under chapter 9A.20 RCW for:
(1) Any person to remove, alter, or obliterate any manufacturer's make, model, or serial number, personal identification number, or identifying marks engraved or etched upon an item of personal property that was purchased, consigned, or received in pledge. In addition an item shall not be accepted for pledge or a second-hand purchase when the manufacturer's make, model, or serial number, personal identification number, or identifying marks engraved or etched upon an item of personal property has been removed, altered, or obliterated;
(2) Any person to knowingly make, cause, or allow to be made any false entry or misstatement of any material matter in any book, record, or writing required to be kept under this chapter;
(3) Any pawnbroker or second-hand dealer to receive any property from any person under the age of eighteen years, any person under the influence of intoxicating liquor or drugs, or any person known to the pawnbroker or second-hand dealer as having been convicted of burglary, robbery, theft, or possession of or receiving stolen property within the past ten years whether the person is acting in his or her own behalf or as the agent of another; or
(4) Any person to violate knowingly any other provision of this chapter.
NEW SECTION. Sec. 11. A new section is added to chapter 19.60 RCW to read as follows:
A purchase of personal property shall not be made on the condition of selling it back at a stipulated time and price greater than the purchase price, for the purpose of avoiding the interest and fee restrictions of this chapter.
NEW SECTION. Sec. 12. A new section is added to chapter 10.19 RCW to read as follows:
A bail bond business, licensed by any county or municipality, shall comply with the restrictions under chapter 19.60 RCW to the extent personal property is received and held as security for any bail undertaking.