AN ACT Relating to private detective services; adding a new chapter to Title 18 RCW; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. As used in this chapter, the following terms have the meanings indicated unless the context clearly requires otherwise.

(1) "Private detective agency" means an agency engaged in the business of or the representation of being engaged in the business of the making of any investigation with reference to:

(a) Detecting, discovering, or revealing crime or criminals, or securing information relating thereto;

(b) The identity, habits, conduct, business, occupation, honesty, integrity, credibility, knowledge, trustworthiness, efficiency, loyalty, activity, movement, whereabouts, affiliations, associations, transactions, acts, reputation, or character of any person, firm, corporation, or thing;

(d) The cause or responsibility for fires, libels, losses, accidents, or damage or injury to persons or to property;

(e) Evidence to be used before any court, board, officer, or investigative committee;

(f) The truth or falsity of any statement or representation.

(2) "Private detective operative" means any person employed by any agency for the purpose of investigation.

(3) "Director" means the director of licensing.

(4) "Board" means the board of registration and control of private detectives.

NEW SECTION. Sec. 2. (1) No person may engage in, advertise, or hold himself or herself out as being a private detective operative or operate a private detective agency without a license under this chapter.

(2) Any person who engages without a license in any business regulated by this chapter, who falsely acts as or represents himself or herself to be a licensee or employed by a licensee under this chapter, or who falsely uses a letterhead or advertises that he or she is a licensee under this chapter, is guilty of a misdemeanor punishable by a fine of one thousand dollars, or by imprisonment in the county jail for not more that one year, or by both such fine and imprisonment.

(3) Any person convicted of a violation of this section shall not be issued a license under this chapter within one year following conviction.

(4) If the director receives evidence of a violation of this chapter and of any rule adopted under this chapter by unlicensed persons, the director shall furnish that evidence to prosecuting officers of the appropriate county or city for the purpose of prosecution.

NEW SECTION. Sec. 3. This chapter does not apply to:

(1) A person employed exclusively and regularly by one employer in connection with the affairs of such employer only and where there exists an employer-employee relationship;

(2) An officer or employee of the United States, or of this state, or a political subdivision thereof, while such officer or employee is engaged in the performance of his or her official duties;

(3) A person engaged exclusively in the business of obtaining and furnishing information as to the financial rating of persons;

(4) An attorney at law in performing his or her duties as an attorney at law;

(5) A licensed collection agency or an employee thereof while acting within the scope of his or her employment, while making an investigation incidental to the business of the agency, including an investigation of the location of a debtor or his or her property where the contract with the assigned creditor is for the collection of claims owed or due or asserted to be owed or due or the equivalent thereof;

(6) Admitted insurers and agents and insurance brokers licensed by the state, performing duties in connection with insurance transacted by them;

(7) Any bank subject to the jurisdiction of the state supervisor of banking or the Comptroller of Currency of the United States, or any savings and loan association subject to the jurisdiction of the state supervisor of savings and loan associations or the Federal Home Loan Bank Board;

(8) A licensed insurance adjuster in performing his or her duties within the scope of his or her license as an insurance adjuster;

(9) Any secured creditor engaged in the repossession of the creditor's collateral and any lessor engaged in the repossession of leased property in which an interest is claimed;

(10) A peace officer of this state or a political subdivision thereof while the police officer is employed by a private employer to engage in off-duty employment approved by the chief law enforcement officer of the jurisdiction where the employment takes place, if the officer is in a uniform of a public law enforcement agency, but not a peace officer who contracts for his or her services or the services of others as a private investigator;

(11) A person solely engaged in the business of securing information about persons or property from public records; and

(12) Private security agencies, patrol services, or guards, who are in the business or occupation of preventing theft or unlawful taking of goods, wares, and merchandise by patrolling one or more premises on foot or by vehicle.

NEW SECTION. Sec. 4. There is established a board of registration and control of private detectives consisting of three members to be appointed by the governor to serve for terms of three years. One member shall be a qualified private detective; one member shall be selected from the general public; and one member shall be selected from professional staff of an institution of higher education in the field of criminal justice. The first appointee shall serve for a period of one year, the second appointee shall serve for a period of two years, and the third appointee shall serve for a period of three years. Thereafter, appointees shall each serve for three years. The governor shall designate the chairman and may remove any member of the board for cause. Any vacancy on the board shall be filled by the governor for the unexpired term. Members of the board shall receive no compensation but shall be reimbursed for travel expenses under RCW 43.03.050 and 43.03.060. The board shall meet in March and September of each year on dates designated by the chairman and at such other times as a majority of the board shall request. Meetings shall be held in Olympia unless the majority of the board shall designate another place. The director may call a special meeting for the initial organization of the board. A majority of the board shall constitute a quorum for the transaction of any business. The board may adopt rules as deemed necessary to facilitate the general purposes of this chapter. The board shall exercise general supervision over the administration of this chapter by the director who shall have administrative responsibilities for its enforcement. The board may adopt codes of ethical conduct for licensees and may publish directories of licensees for which it may impose a charge.

NEW SECTION. Sec. 5. Every application for a detective agency or private detective operative license shall be made upon blanks furnished by the director in such form as the board shall require. The original application shall include the following information:

(1) The full name and business address of the applicant;

(2) The name under which the applicant intends to do business;

(3) A statement as to the classification or classifications under which the applicant desires to be qualified;

(4) A verified statement of his or her experience qualifications;

(5) If the applicant is an individual, partner of a partnership, or officer of a corporation, on a personal identification form provided by the board, a photograph taken within one year immediately preceding the date of the filing of the application together with two legible sets of fingerprints, and a personal description of each person. The form shall include residential addresses and employment history for the previous five years and be signed under penalty of perjury;

(6) If the applicant for license is an individual, the application shall list all other names the person is known as or has used during the past ten years and shall state that the applicant is to be personally and actively in charge of the business for which the license is sought. If any other person is to be actively in charge of the business, the application shall also be subscribed, verified, and signed by that person under penalty of perjury;

(7) If the applicants for license are copartners, the application shall state the true names and addresses of all partners and the name of the partner to be actively in charge of the business for which the license is sought and list all other names the partners are known as or have used during the past ten years. If a person other than a partner is to be actively in charge of the business, then the application shall be subscribed, verified, and signed by all of the partners under penalty of perjury and by that person, under penalty of perjury;

(8) If the applicant for a license is a corporation, the application shall state the true names and complete residential addresses of the chief executive officer, chief operating officer, and chief financial officer of the corporation. The application shall also state the name and address of the designated person to be actively in charge of the business for which the license is sought. The application shall be subscribed, verified, and signed by a duly authorized officer of the applicant and by the designated person, under penalty of perjury; and

(9) Such other information, evidence, statements, or documents as may be required by the director.

NEW SECTION. Sec. 6. (1) Before a license is granted for a private detective agency, the applicant or his or her manager, shall meet all of the following:

(a) Be at least twenty-one years of age;

(b) Have not been convicted of any felony;

(c) Have had at least three years experience in investigative work or the equivalent thereof as determined by the board. A year's experience shall consist of not less than two thousand hours of actual compensated work performed by each applicant preceding the filing of an application. An applicant who has completed a four-year course in police science or criminal justice, or the equivalent thereof, shall have two years' experience in investigation work or the equivalent thereof, as determined by the board. An applicant shall substantiate the claimed years of qualifying experience and the exact details as to the character and nature thereof by written certifications from the employer, subject to independent verification by the board as it may determine. In the event of inability of an applicant to supply the written certifications from the employer in whole or in part, applicants may offer other written certifications from other than employers substantiating employment for consideration by the board.

(2) Before a license is granted for a private detective operative, the applicant shall meet all of the following:

(a) Be at least twenty-one years of age;

(b) Have not been convicted of any felony;

NEW SECTION. Sec. 7. (1) Each application for private detective agency license shall be accompanied by the original application, an application fee, and the annual license fee. The application fee and the annual license fee shall be set by the director under RCW 43.24.086. Each trade name used shall be registered and a fee of ten dollars for each additional trade name shall be charged.

(2) Each application for private detective operative license shall be accompanied by the original application, an application fee, and the annual license fee. The application fee and the annual license fee shall be set by the director under RCW 43.24.086.

NEW SECTION. Sec. 8. Every application shall be forwarded in writing to the director who shall thereafter notify each member of the board of the application. The board may thereafter request of the applicant such additional information as it may deem necessary to adjudicate the applicant's eligibility for a license. Upon receipt of the application from the director, the board shall investigate the applicant's character and background and a majority of the board shall personally interview each applicant for the purpose of evaluating his or her skill, ability, experience, and integrity as a prospective licensee. The board shall advise any applicant within sixty days of receipt of an application of its approval or disapproval. If the application is accepted, the board shall notify the director of the acceptance and the director upon receipt of the proper fee shall issue a detective license as indicated by the board. The director shall, upon receipt of proper fees, automatically without review issue yearly renewals of the license unless so notified by the board that the license has been denied, suspended, or revoked by the board.

NEW SECTION. Sec. 9. Examinations for private detective agency licenses shall be conducted by the board on dates and at locations to be designated by the board at least thirty days in advance. Applications for examinations must be on file at least fifteen days prior to the examination date and shall be accompanied by an application fee prescribed by the director under RCW 43.24.086. The examination may be either written or oral, or a combination of both, and shall be practical in nature. Examinations shall be devised to determine that the applicant is reasonably knowledgeable in subjects related to the satisfactory conduct of the private detective business.

NEW SECTION. Sec. 10. The board shall not examine or interview a private detective operative licensee except by prior request.

NEW SECTION. Sec. 11. The fee for all licenses shall be the same for the entire year or a fraction thereof and no other license or fee may be required of a licensee by any city, county, town, or political subdivision.

NEW SECTION. Sec. 12. No license issued under this chapter is assignable.

NEW SECTION. Sec. 13. Licenses once issued may be renewed upon payment of the required annual license fee, except that whenever any license is not renewed for two successive years, the board may require the applicant to pass an examination before renewal.

NEW SECTION. Sec. 14. The director or the board may, upon their own motion, and shall upon the complaint of any person, investigate the actions of any licensee claimed to be in violation of any provision of this chapter. No complaint is a sufficient basis for the denial, revocation, or suspension of a license unless the charge against the licensee is specified in detail. If the director or the board determines that there has been a wilful violation of this chapter, the attorney general may, at the request of the director or board, institute injunction proceedings to prevent the licensee from continuing to operate.

NEW SECTION. Sec. 15. The board shall not suspend, revoke, or refuse to renew or grant any license except after a hearing.

NEW SECTION. Sec. 16. It is unlawful for any person who is or has been an employee of any detective agency to divulge to any person other than his or her employer, except as his or her employer may direct or as required by law, any information acquired by him or her during such employment with respect to any work to which he or she or any of the other employees of the agency are assigned or with respect to any of the work, business, or affairs of the agency.

NEW SECTION. Sec. 17. The board may deny, suspend, or revoke any license for a person who:

(1) Knowingly makes a false statement relating to evidence or information obtained in the course of employment or knowingly slanders or libels in the course of business;

(2) Uses illegal means in the collection or attempted collection of a debt or obligation;

(3) Manufactures evidence;

(4) Accepts employment adverse to a client or former client relating to the matter with respect to which a licensee has obtained confidential information by reason of or in the course of his or her employment by the client or former client;

(5) Materially misstates a fact in the application for license or on the application for license renewal;

(6) Is convicted of a felony or a misdemeanor involving moral turpitude;

(7) Wilfully misrepresents or causes to be printed any false or misleading advertisement for the purpose of directly or indirectly obtaining business;

(8) Allows one's license to be used by an unlicensed person; or

(9) Violates any provision of this chapter.

NEW SECTION. Sec. 18. (1) No private detective operative may solicit business for the purpose of investigation.

(2) A private detective agency employing a private detective operative shall be responsible for the operative's actions while actively employed by the agency.

NEW SECTION. Sec. 19. Every advertisement by a private detective agency soliciting or advertising business shall contain the agency's name, address, and license number as if appears in the records of the bureau. The director may adopt rules defining the term "advertisement" for purposes of this section.

NEW SECTION. Sec. 20. Every licensee and qualified manager who, in the course of his or her employment or business, carries a deadly weapon shall complete a course of training in the carrying and use of firearms with a firearms instructor who meets the minimum qualifications set by the Washington state criminal justice training commission.

NEW SECTION. Sec. 21. Holders of a license as a private detective agency shall maintain on file proof of an insurance policy, issued by a company authorized to transact business in this state, which provides minimum limits of liability of three hundred thousand dollars for any one loss due to bodily injury or death and one hundred thousand dollars due to injury or destruction of property.

NEW SECTION. Sec. 22. The director shall maintain lists of all licensed detectives. The lists shall be made available to law enforcement agencies and shall be considered confidential, except as to duly authorized law enforcement agencies. The director shall annually compile a list of the names of all licensees and of all persons whose licenses have been suspended or revoked within the year. The director shall submit this list to the sheriff of each county within the state, which shall be confidential and not available to others.

NEW SECTION. Sec. 23. Any private detective or private detective operative who, upon proof within thirty days of the effective date of this section, has actually engaged in the occupation, business, or profession as an agency or private detective for a period of at least twelve consecutive months shall, upon application and payment of the required license fee, be issued a license under this chapter without completion of the formal requirements set forth in this chapter.

NEW SECTION. Sec. 24. Sections 1 through 23 of this act shall constitute a new chapter in Title 18 RCW.