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(125th General Assembly)
(Amended Substitute Senate Bill Number 209)
AN ACT
To amend sections 505.94, 1321.20, 2925.01, 4517.02, 4707.01, 4707.02, 4707.021, 4707.03, 4707.04, 4707.05, 4707.06, 4707.07, 4707.071, 4707.072, 4707.08, 4707.09, 4707.10, 4707.11, 4707.111, 4707.12, 4707.14, 4707.15, 4707.151, 4707.16, 4707.171, 4707.18 to 4707.22, 4707.26, 4707.99, 4727.03, 4727.04, and 4727.06 and to enact sections 4707.022, 4707.023, 4707.024, 4707.073, 4707.074, 4707.091, and 4707.32 of the Revised Code to revise the Auctioneers Law and to modify the Pawnbrokers Law with respect to license renewal and fees.
Be it enacted by the General Assembly of the State of Ohio:
SECTION 1. That sections 505.94, 1321.20, 2925.01, 4517.02, 4707.01, 4707.02, 4707.021, 4707.03, 4707.04, 4707.05, 4707.06, 4707.07, 4707.071, 4707.072, 4707.08, 4707.09, 4707.10, 4707.11, 4707.111, 4707.12, 4707.14, 4707.15, 4707.151, 4707.16, 4707.171, 4707.18, 4707.19, 4707.20, 4707.21, 4707.22, 4707.26, 4707.99, 4727.03, 4727.04, and 4727.06 be amended and sections 4707.022, 4707.023, 4707.024, 4707.073, 4707.074, 4707.091, and 4707.32 of the Revised Code be enacted to read as follows:
Sec. 505.94. (A) A board of township trustees may, by
resolution, require the registration of all transient vendors
within the unincorporated territory of the township and may
regulate the time, place, and manner in which these
vendors may sell, offer for sale, or solicit orders for future
delivery of goods, or the board may, by resolution, prohibit these
activities within that territory. If the board
requires the registration of all transient vendors, it may establish a
reasonable
registration fee, not to exceed seventy-five dollars for a
registration period, and this registration shall be valid for a
period of at least ninety days after the date of registration.
Any board of township trustees that provides for the registration
and regulation, or prohibition, of transient vendors
under this section shall
notify the prosecuting attorney of the
county in which the
township is located of its registration and regulatory
requirements or prohibition. No transient
vendor shall
fail to register or to comply with regulations or prohibitions
established by a board of
township trustees under this division. This division does not authorize a board of township trustees to apply a
resolution it adopts under this division to any person invited by an owner or
tenant to visit the owner's or tenant's premises to sell, offer for sale, or
solicit orders for future delivery of goods. (B) As used in this section: (1) "Goods" means goods, wares, services, merchandise, periodicals, and
other articles or publications. (2) "Transient vendor" means any
person who opens a temporary place of business for the sale of
goods or who, on the streets or while traveling about the
township, either sells or offers for sale goods,
or solicits orders for future
delivery of goods where payment is required prior to the delivery
of the goods. "Transient
vendor"
does not include any
person who represents any entity exempted from taxation under section
5709.04 of the Revised Code, that notifies the board of township
trustees that its representatives are present in the township for
the purpose of either selling or offering for sale
goods, or soliciting orders
for future delivery of goods, and does not include an auction
or an auctioneer
company a person licensed under Chapter 4707. of the Revised Code.
Sec. 1321.20. (A) Every person licensed or registered
under this chapter shall pay to the superintendent of financial
institutions, prior to the last day of June, an
annual license or
certificate of registration fee. On or about the fifteenth day
of April of each year, the superintendent shall determine the
license or certificate fees to be charged, pursuant to sections
1321.03, 1321.05, 1321.53, and 1321.73 of the Revised Code. Such
determination shall be made by dividing the appropriation for the
consumer finance section of the division of financial
institutions for the current fiscal year by the number of licenses and
certificates issued as of the date of the computation. In no event shall the
amount of the fee exceed three
hundred dollars, except that the maximum fee which may be
charged insurance premium finance companies licensed under
section 1321.73 of the Revised Code shall not exceed three
hundred seventy-five dollars. Prior to the first day of June of
each year, the superintendent shall inform each person licensed
or registered under this chapter of the amount of the license or
certificate fee for the succeeding fiscal year as determined by
this section. (B)(1) Each person licensed under Chapter 4727. of the
Revised Code who is subject to annual license renewal under division (E)(1) of section 4727.03 of the Revised Code shall, prior to the last day of June, shall pay to the
superintendent a fee equal to twice the amount of the fee
determined by the superintendent pursuant to division (A) of this
section. However, in no event shall the amount of the fee exceed
three hundred dollars. (2) Each person licensed under Chapter 4727. of the Revised Code who is subject to biennial license renewal under division (E)(2) of section 4727.03 of the Revised Code shall, prior to the date the license expires, pay to the superintendent a fee equal to four times the amount of the fee determined by the superintendent pursuant to division (A) of this section. However, in no event shall the amount of the fee exceed six hundred dollars. (C) The fee for a license or certificate issued pursuant
to Chapter 1321., 4727., or 4728. of the Revised Code after the
first day of January in any fiscal of the year the license or certificate expires shall be equal to
one-half the amount determined according to divisions (A) and (B)
of this section or in accordance with section 4728.03 of the
Revised Code. (D) If the renewal fees billed by the superintendent
pursuant to divisions (A) and (B) of this section are less than
the estimated expenditures of the consumer finance
section of the division of financial institutions, as determined by the
superintendent, for the following fiscal year, the superintendent may assess
each person licensed pursuant to section 1321.04 or registered pursuant to
section 1321.53 of the Revised Code at a
rate sufficient to equal in the aggregate the difference between
the renewal fees billed and the estimated expenditures. Each
person shall pay the assessed amount to the superintendent prior
to the last day of June. In no case shall the assessment exceed
ten cents per each one hundred dollars of interest (excluding
charge-off recoveries), points, loan origination charges, and
credit line charges collected by that person during the previous
calendar year. If an assessment is imposed under this division,
it shall not be less than two hundred fifty dollars per licensee
or registrant and shall not exceed thirty thousand dollars less
the total renewal fees paid pursuant to division (A) of this
section by each licensee or registrant.
Sec. 2925.01. As used in this chapter: (A)
"Administer,"
"controlled substance,"
"dispense,"
"distribute,"
"hypodermic,"
"manufacturer,"
"official written
order,"
"person,"
"pharmacist,"
"pharmacy,"
"sale,"
"schedule I,"
"schedule II,"
"schedule III,"
"schedule IV,"
"schedule V," and
"wholesaler" have the same meanings as in
section 3719.01 of the
Revised Code. (B)
"Drug dependent person" and
"drug of abuse" have the
same
meanings as in section 3719.011 of the Revised Code. (C)
"Drug,"
"dangerous drug,"
"licensed health professional
authorized to
prescribe
drugs," and
"prescription" have the same
meanings as in section
4729.01 of the Revised Code. (D)
"Bulk amount" of a controlled substance means any of
the
following: (1) For any compound, mixture, preparation, or substance
included in schedule I, schedule II, or schedule III,
with the
exception of marihuana, cocaine, L.S.D., heroin, and hashish and
except as provided in division (D)(2) or (5) of this
section,
whichever of the following is applicable: (a) An amount equal to or exceeding ten grams or
twenty-five
unit doses of a compound, mixture, preparation, or
substance that
is or contains any amount of a schedule I opiate
or opium
derivative; (b) An amount equal to or exceeding ten grams
of a
compound,
mixture, preparation, or substance that is or contains
any amount
of raw or gum opium; (c) An amount equal to or exceeding thirty
grams or ten
unit
doses of a compound, mixture, preparation, or substance that
is or
contains any amount of a schedule I hallucinogen other than
tetrahydrocannabinol or
lysergic acid
amide, or a schedule I
stimulant or
depressant; (d) An amount equal to or exceeding twenty
grams or five
times the maximum daily dose in the usual dose range specified in
a standard pharmaceutical reference manual of a compound,
mixture,
preparation, or substance that is or contains any amount
of a
schedule II opiate or opium derivative; (e) An amount equal to or exceeding five grams or ten unit
doses of a compound, mixture, preparation, or substance that is
or
contains any amount of phencyclidine; (f) An amount equal to or exceeding one hundred twenty
grams
or thirty times the maximum daily dose in the usual dose
range
specified in a standard pharmaceutical reference manual of
a
compound, mixture, preparation, or substance that is or
contains
any amount of a schedule II stimulant that is in a final
dosage
form manufactured by a person authorized by the
"Federal
Food,
Drug, and Cosmetic Act," 52 Stat. 1040 (1938), 21
U.S.C.A. 301, as
amended, and the federal drug abuse control
laws, as defined in
section 3719.01 of the Revised Code, that is or contains
any
amount of a schedule II depressant
substance or a schedule II
hallucinogenic substance; (g) An amount equal to or exceeding three
grams of a
compound, mixture, preparation, or substance that is or contains
any amount of a schedule II stimulant, or any of its salts or
isomers, that is not in a final dosage form manufactured by a
person authorized by the Federal Food, Drug, and Cosmetic Act and
the federal drug abuse control laws. (2) An amount equal to or exceeding one
hundred twenty
grams
or thirty times the maximum daily dose in the usual dose
range
specified
in a standard pharmaceutical reference manual of a
compound,
mixture,
preparation, or substance that is or contains
any amount of a
schedule
III or IV substance other than an
anabolic
steroid or a schedule III opiate or opium derivative; (3) An amount equal to or exceeding twenty grams or five
times the maximum
daily dose in the usual dose range specified in
a standard pharmaceutical
reference manual of a compound, mixture,
preparation, or substance that is
or contains any amount of a
schedule III opiate or opium derivative; (4) An amount equal to or exceeding two hundred fifty
milliliters or two hundred fifty grams of a compound, mixture,
preparation, or substance that is or contains any amount of a
schedule V substance; (5) An amount equal to or exceeding two
hundred solid
dosage
units, sixteen grams, or sixteen milliliters of a
compound,
mixture, preparation, or substance that is or contains
any amount
of a schedule III anabolic steroid. (E)
"Unit dose" means an amount or unit of a compound,
mixture, or preparation containing a controlled substance that is
separately identifiable and in a form that
indicates that it is
the amount or unit by which
the controlled substance is separately
administered to or taken by an
individual. (F)
"Cultivate" includes planting, watering, fertilizing,
or
tilling. (G)
"Drug abuse offense" means any of the following: (1) A violation of division (A) of section 2913.02 that
constitutes theft of drugs, or a violation of section 2925.02,
2925.03, 2925.04,
2925.041, 2925.05, 2925.06, 2925.11, 2925.12,
2925.13,
2925.22, 2925.23, 2925.24, 2925.31,
2925.32, 2925.36, or
2925.37 of the Revised Code; (2) A violation of an existing or former law of this or
any
other state or of the United States that is substantially
equivalent to any section listed in division (G)(1) of this
section; (3) An offense under an existing or former law of this or
any other state, or of the United States, of which planting,
cultivating, harvesting, processing, making, manufacturing,
producing, shipping, transporting, delivering, acquiring,
possessing, storing, distributing, dispensing, selling, inducing
another to use, administering to another, using, or otherwise
dealing with a controlled substance is an element; (4) A conspiracy to commit, attempt to commit, or complicity
in
committing or attempting to commit any offense under division
(G)(1), (2), or (3) of this section. (H)
"Felony drug abuse offense" means any drug abuse
offense
that would constitute a felony under the laws of this
state, any
other state, or the United States. (I)
"Harmful intoxicant" does not include beer or
intoxicating liquor but means any
of the following: (1) Any compound, mixture,
preparation,
or substance the gas,
fumes, or vapor of which when
inhaled can
induce intoxication,
excitement, giddiness,
irrational behavior,
depression,
stupefaction, paralysis,
unconsciousness,
asphyxiation, or other
harmful physiological
effects, and
includes, but is not limited
to, any of the
following: (a) Any volatile organic solvent, plastic cement, model
cement, fingernail polish remover, lacquer thinner, cleaning
fluid, gasoline, or other preparation containing a volatile
organic solvent; (b) Any aerosol propellant; (c) Any fluorocarbon refrigerant; (d) Any anesthetic gas.
(2) Gamma Butyrolactone; (3) 1,4 Butanediol. (J)
"Manufacture" means to plant, cultivate, harvest,
process, make, prepare, or otherwise engage in any part of the
production of a drug, by propagation, extraction, chemical
synthesis, or compounding, or any combination of the same, and
includes packaging, repackaging, labeling, and other activities
incident to production. (K)
"Possess" or
"possession" means having control over a
thing or substance, but may not be inferred solely from mere
access to the thing or substance through ownership or occupation
of the premises upon which the thing or substance is found. (L)
"Sample drug" means a drug or pharmaceutical
preparation
that would be hazardous to health or safety if used
without the
supervision of a licensed health
professional authorized to
prescribe drugs, or a drug of abuse,
and that, at one time, had
been placed in a container plainly
marked as a sample by a
manufacturer. (M)
"Standard pharmaceutical reference manual" means the
current edition, with cumulative changes if any, of any of the
following reference works: (1)
"The National Formulary"; (2)
"The United States Pharmacopeia," prepared by
authority
of the United States Pharmacopeial Convention, Inc.; (3) Other standard references that are approved by the
state
board of pharmacy. (N)
"Juvenile" means a person under eighteen years of age. (O)
"Counterfeit controlled substance" means any of the
following: (1) Any drug that bears, or whose container or label
bears,
a trademark, trade name, or other identifying mark used
without
authorization of the owner of rights to that trademark,
trade
name, or identifying mark; (2) Any unmarked or unlabeled substance that is
represented
to be a controlled substance manufactured, processed,
packed, or
distributed by a person other than the person that
manufactured,
processed, packed, or distributed it; (3) Any substance that is represented to be a controlled
substance but is not a controlled substance or is a different
controlled substance; (4) Any substance other than a controlled substance that a
reasonable person would believe to be a controlled substance
because of its similarity in shape, size, and color, or its
markings, labeling, packaging, distribution, or the price for
which it is sold or offered for sale. (P) An offense is
"committed in the vicinity of a school" if
the
offender commits the offense on school premises, in a school
building, or
within one thousand feet of the boundaries of any
school premises, regardless of whether the offender knows the offense is being committed on school premises, in a school building, or within one thousand feet of the boundaries of any school premises. (Q)
"School" means any school operated by a board of
education, any community school established under Chapter 3314. of the Revised Code, or any nonpublic school for which the state board of education
prescribes minimum standards under section 3301.07 of the Revised
Code, whether or not any instruction, extracurricular activities,
or training provided by the school is being conducted at the time
a criminal offense is committed. (R)
"School premises" means either of the following: (1) The parcel of real property on which any school is
situated, whether or not any instruction, extracurricular
activities, or training provided by the school is being conducted
on the premises at the time a criminal offense is committed; (2) Any other parcel of real property that is owned or
leased by a board of education of a school, the governing authority of a community school established under Chapter 3314. of the Revised Code, or the governing body
of a nonpublic school for which the state board of education prescribes
minimum standards under section 3301.07 of the Revised Code and
on
which some of the instruction, extracurricular activities, or
training of the school is conducted, whether or not any
instruction, extracurricular activities, or training provided by
the school is being conducted on the parcel of real property at
the time a criminal offense is committed. (S)
"School building" means any building in which any of
the
instruction, extracurricular activities, or training provided
by a
school is conducted, whether or not any instruction,
extracurricular activities, or training provided by the school is
being conducted in the school building at the time a criminal
offense is committed. (T)
"Disciplinary counsel" means the disciplinary counsel
appointed by the board of commissioners on grievances and
discipline of the supreme court under the Rules for the
Government
of the Bar of Ohio. (U)
"Certified grievance committee" means a duly
constituted
and organized committee of the Ohio state bar
association or of
one or more local bar associations of the state
of Ohio that
complies with the criteria set forth in Rule V,
section 6 of the
Rules for the Government of the Bar of Ohio. (V)
"Professional license" means any license, permit,
certificate, registration, qualification, admission, temporary
license, temporary permit, temporary certificate, or temporary
registration that is described in divisions (W)(1) to (36) of
this
section and that qualifies a person as a professionally
licensed
person. (W)
"Professionally licensed person" means any of the
following: (1) A person who has obtained a license as a manufacturer
of
controlled substances or a wholesaler of controlled substances
under Chapter 3719. of the Revised Code; (2) A person who has received a certificate or temporary
certificate as a certified public accountant or who has
registered
as a public accountant under Chapter 4701. of the
Revised Code and
who holds an Ohio permit issued under that
chapter; (3) A person who holds a certificate of qualification to
practice architecture issued or renewed and registered under
Chapter 4703. of the Revised Code; (4) A person who is registered as a landscape architect
under Chapter 4703. of the Revised Code or who holds a permit as
a
landscape architect issued under that chapter; (5) A person licensed as an auctioneer or apprentice
auctioneer or licensed to operate an auction company under
Chapter
4707. of the Revised Code; (6) A person who has been issued a certificate of
registration as a registered barber under Chapter 4709. of the
Revised Code; (7) A person licensed and regulated to engage in the
business of a debt pooling company by a legislative authority,
under authority of Chapter 4710. of the Revised Code; (8) A person who has been issued a cosmetologist's
license,
hair designer's license,
manicurist's license, esthetician's
license,
natural hair stylist's license, managing
cosmetologist's
license,
managing hair designer's license, managing manicurist's
license, managing
esthetician's
license,
managing natural hair
stylist's license, cosmetology
instructor's license,
hair design
instructor's license,
manicurist
instructor's license,
esthetics instructor's
license,
natural hair style instructor's
license, independent contractor's
license,
or tanning facility
permit under Chapter 4713. of the
Revised
Code; (9) A person who has been issued a license to practice
dentistry, a general anesthesia permit, a conscious intravenous
sedation permit, a limited resident's license, a limited teaching
license, a dental hygienist's license, or a dental hygienist's
teacher's certificate under Chapter 4715. of the Revised Code; (10) A person who has been issued an embalmer's license, a
funeral director's license, a funeral home license, or a crematory
license, or
who has been registered for an embalmer's or funeral
director's apprenticeship
under Chapter 4717. of the Revised Code; (11) A person who has been licensed as a registered nurse
or
practical nurse, or who has been issued a certificate for the
practice of nurse-midwifery under Chapter 4723. of the Revised
Code; (12) A person who has been licensed to practice optometry
or
to engage in optical dispensing under Chapter 4725. of the
Revised
Code; (13) A person licensed to act as a pawnbroker under
Chapter
4727. of the Revised Code; (14) A person licensed to act as a precious metals dealer
under Chapter 4728. of the Revised Code; (15) A person licensed as a pharmacist, a pharmacy
intern, a
wholesale distributor of dangerous drugs, or a terminal
distributor of dangerous drugs under Chapter 4729. of the Revised
Code; (16) A person who is authorized to practice as a physician
assistant under
Chapter 4730. of the Revised Code; (17) A person who has been issued a certificate to
practice
medicine and surgery, osteopathic medicine and surgery,
a limited
branch of medicine, or podiatry under
Chapter 4731. of the Revised
Code; (18) A person licensed as a psychologist or school
psychologist under Chapter 4732. of the Revised Code; (19) A person registered to practice the profession of
engineering or surveying under Chapter 4733. of the Revised Code; (20) A person who has been issued a license to
practice
chiropractic under Chapter 4734. of the Revised Code; (21) A person licensed to act as a real estate broker or
real estate salesperson under Chapter 4735. of the Revised Code; (22) A person registered as a registered sanitarian under
Chapter 4736. of the Revised Code; (23) A person licensed to operate or maintain a junkyard
under Chapter 4737. of the Revised Code; (24) A person who has been issued a motor vehicle salvage
dealer's license under Chapter 4738. of the Revised Code; (25) A person who has been licensed to act as a steam
engineer under Chapter 4739. of the Revised Code; (26) A person who has been issued a license or temporary
permit to practice veterinary medicine or any of its branches, or
who is registered as a graduate animal technician under Chapter
4741. of the Revised Code; (27) A person who has been issued a hearing aid dealer's
or
fitter's license or trainee permit under Chapter 4747. of the
Revised Code; (28) A person who has been issued a class A, class B, or
class C license or who has been registered as an investigator or
security guard employee under Chapter 4749. of the Revised Code; (29) A person licensed and registered to practice as a
nursing home administrator under Chapter 4751. of the Revised
Code; (30) A person licensed to practice as a speech-language
pathologist
or audiologist under Chapter 4753. of the Revised
Code; (31) A person issued a license as an occupational
therapist
or physical therapist under Chapter 4755. of the
Revised Code; (32) A person who is licensed as a professional clinical
counselor or
professional counselor, licensed as a social worker
or independent social
worker, or registered as a social work
assistant under Chapter 4757. of the Revised Code; (33) A person issued a license to practice dietetics under
Chapter 4759. of the Revised Code; (34) A person who has been issued a license or
limited
permit to practice respiratory therapy under Chapter 4761. of
the
Revised Code; (35) A person who has been issued a real estate appraiser
certificate under Chapter 4763. of the Revised Code;
(36) A person who has been admitted to the bar by order of the supreme court in compliance with its prescribed and published rules. (X)
"Cocaine" means any of the following: (1) A cocaine salt, isomer, or derivative, a salt of a
cocaine isomer or derivative, or the base form of cocaine; (2) Coca leaves or a salt, compound, derivative, or
preparation of coca leaves, including ecgonine, a salt, isomer,
or
derivative of ecgonine, or a salt of an isomer or derivative
of
ecgonine; (3) A salt, compound, derivative, or preparation of a
substance identified in division
(X)(1) or (2) of this section
that is chemically equivalent to or identical with any of those
substances, except that the substances shall not include
decocainized coca leaves or extraction of coca leaves if the
extractions do not contain cocaine or ecgonine. (Y)
"L.S.D." means
lysergic acid diethylamide. (Z)
"Hashish" means the resin or a preparation of the resin
contained in marihuana, whether in solid form or in a liquid
concentrate,
liquid extract, or liquid distillate form. (AA)
"Marihuana" has the same meaning as in section
3719.01
of the Revised Code,
except that it does not include hashish. (BB) An offense is
"committed in the vicinity of a
juvenile"
if
the offender commits the offense within one hundred feet of a
juvenile or
within the view of a juvenile, regardless of whether
the
offender knows the age of the juvenile, whether the offender
knows the offense
is being committed within one hundred feet of or
within view of the juvenile,
or whether the juvenile actually
views the commission of the offense. (CC)
"Presumption for a prison term" or
"presumption that a
prison term shall be imposed" means a presumption, as described in
division
(D) of section 2929.13 of the Revised Code, that a prison
term is a necessary
sanction for a felony in order to comply with
the purposes and principles of
sentencing under section 2929.11 of
the Revised Code. (DD)
"Major drug offender" has the same meaning as in
section
2929.01 of the Revised Code. (EE)
"Minor drug possession offense" means either of the
following: (1) A violation of section 2925.11 of the Revised Code as
it
existed prior to July 1, 1996; (2) A violation of section 2925.11 of the Revised Code as it
exists on and
after July 1, 1996, that is a misdemeanor or a
felony of the fifth
degree. (FF)
"Mandatory prison term" has the same meaning as
in
section 2929.01 of the Revised Code. (GG)
"Crack cocaine" means a compound, mixture, preparation,
or
substance that is or contains any amount of cocaine that is
analytically
identified as the base form of cocaine or that is in
a form that resembles
rocks or pebbles generally intended for
individual use. (HH)
"Adulterate" means to cause a drug to be adulterated as
described in section 3715.63 of the Revised Code.
(II)
"Public premises" means any hotel, restaurant, tavern,
store, arena, hall, or other place of public accommodation,
business, amusement, or resort.
Sec. 4517.02. (A) Except as otherwise provided in this
section, no person shall do any of the following: (1) Engage in the business of displaying or selling at
retail new motor vehicles or assume to engage in such that business,
unless the person is licensed as a new motor vehicle dealer under
sections 4517.01 to 4517.45 of the Revised Code, or is a
salesperson licensed under those sections and employed by a
licensed new motor vehicle dealer; (2) Engage in the business of offering for sale,
displaying
for sale, or selling at retail or wholesale used motor
vehicles or
assume to engage in that business, unless the person is
licensed
as a dealer
under sections 4517.01 to 4517.45 of the Revised Code,
or is a
salesperson licensed under those sections and employed by
a
licensed used motor vehicle dealer or licensed new motor vehicle
dealer; (3) Engage in the business of regularly making available,
offering to make available, or arranging for another person to
use
a motor vehicle, in the manner described in division (M) of
section 4517.01 of the Revised Code, unless the person is licensed
as a
motor vehicle leasing dealer under sections 4517.01 to
4517.45 of
the Revised Code; (4) Engage in the business of motor vehicle auctioning or
assume to engage in such that business, unless the person is licensed
as
a
motor vehicle auction owner under sections 4517.01 to 4517.45
and
4707.01 to 4707.99 of the Revised Code and the person uses an auctioneer who is licensed under Chapter 4707. of the Revised Code to conduct the motor vehicle auctions; (5) Engage in the business of distributing motor vehicles
or
assume to engage in such that business, unless the person is licensed
as a
distributor under sections 4517.01 to 4517.45 of the Revised
Code; (6) Make more than five casual sales of motor vehicles in
a
twelve-month period, commencing with the day of the month in
which
the first such sale is made, nor provide a location or
space for
the sale of motor vehicles at a flea market, without
obtaining a
license as a dealer under sections 4517.01 to 4517.45
of the
Revised Code;, provided however that nothing in this
section shall
be construed to prohibit the disposition without a
license of a
motor vehicle originally acquired and held for
purposes other than
sale, rental, or lease to an employee,
retiree, officer, or
director of the person making the
disposition, to a corporation
affiliated with the person making
the disposition, or to a person
licensed under sections 4517.01
to 4517.45 of the Revised Code; (7) Engage in the business of brokering manufactured homes
unless that
person is licensed as a manufactured home broker under
sections 4517.01 to
4517.45 of the Revised Code. (B) Nothing in this section shall be construed to require
an
auctioneer licensed under sections 4707.01 to 4707.19 of the
Revised Code, to obtain a motor vehicle salesperson's license
under sections 4517.01 to 4517.45 of the Revised Code when
conducting an auction sale for a licensed motor vehicle dealer on
the dealer's premises, or when conducting an auction sale for a
licensed motor vehicle auction owner; nor shall such an auctioneer
be required to obtain a motor vehicle auction owner's license
under sections 4517.01 to 4517.45 of the Revised Code when
engaged
in auctioning for a licensed motor vehicle auction owner. (C) Sections 4517.01 to 4517.45 of the Revised Code do not
apply to any of the following: (1) Persons engaging in the business of selling commercial
tractors, trailers, or semitrailers incidentally to engaging
primarily in business other than the selling or leasing of motor
vehicles; (2) Mortgagees selling at retail only those motor vehicles
that have come into their possession by a default in the terms of
a mortgage contract; (3) The leasing, rental, and interchange of motor vehicles
used directly in the rendition of a public utility service by
regulated motor carriers. (D) When a partnership licensed under sections 4517.01 to
4517.45 of the Revised Code is dissolved by death, the surviving
partners may operate under the license for a period of sixty
days,
and the heirs or representatives of deceased persons and
receivers
or trustees in bankruptcy appointed by any competent
authority may
operate under the license of the person succeeded
in possession by
such that heir, representative, receiver, or trustee
in bankruptcy. (E) No remanufacturer shall engage in the business
of
selling at retail any new motor vehicle without having written
authority
from the manufacturer or distributor of the vehicle to
sell new motor vehicles
and to perform repairs under the terms of
the manufacturer's or distributor's
new motor vehicle warranty,
unless, at the time of the sale of the vehicle,
each customer is
furnished with a binding agreement ensuring that the customer
has
the right to have the vehicle serviced or repaired by a new motor
vehicle
dealer who is franchised to sell and service vehicles of
the same line-make as
the chassis of the remanufactured vehicle
purchased by the customer and whose
service or repair facility is
located within either twenty miles of the
remanufacturer's
location and place of business
or twenty miles of the
customer's
residence or place of business. If there is no such new motor
vehicle dealer located within twenty miles of the remanufacturer's
location
and
place of business or the customer's residence or
place of business, the
binding
agreement furnished to the customer
may be with the new motor vehicle dealer
who is franchised to sell
and service vehicles of the same line-make as the
chassis of the
remanufactured vehicle purchased by the customer and whose
service
or repair facility is located nearest to the remanufacturer's
location
and place of business or the customer's residence or
place of business.
Additionally, at the time of
sale of any
vehicle, each customer of the remanufacturer shall be furnished
with a warranty issued by the remanufacturer for a term of at
least one year. (F)
Except as otherwise provided in this division, whoever
violates this section is guilty of a minor misdemeanor and shall
be subject to
a mandatory fine of one hundred
dollars. If the
offender previously has been convicted of or
pleaded guilty to a
violation of this section, whoever violates
this section is guilty
of a misdemeanor of the first degree and
shall be subject to a
mandatory fine of one thousand dollars.
Sec. 4707.01. As used in sections 4707.01 to 4707.22 and
4707.99 of the Revised Code this chapter: (A) "Auction" means a method of sale of real or personal property,
goods, or chattels, at a predetermined date and time, by means of a verbal exchange, regular mail, telecommunications, the internet, an electronic transmission, or a physical
gesture
between an auctioneer or apprentice auctioneer and
members of
the
audience or prospective purchasers, the exchanges and gestures
consisting of
a series of
invitations for offers made by the auctioneer and
offers by
members of the audience or prospective purchasers, with the right to acceptance
of offers
with the auctioneer or apprentice auctioneer. "Auction" includes a sale of real or personal property, goods, or chattels in which there has been a solicitation or invitation by advertisement to the public for an advance in bidding using sealed bidding, provided that the bids are opened and there is a call for an advancement of the bids. (B) "Auctioneer" means any person who engages, or who by
advertising or otherwise holds
self the person out as being able to
engage,
in the calling for, recognition of, and the acceptance
of,
offers
for the purchase of real or personal property, goods,
or
chattels
at auction either directly or through the use of
other
licensed
auctioneers or apprentice auctioneers. (C) "Apprentice auctioneer" means any individual who is
sponsored by an auctioneer to deal or engage in any activities
mentioned in division (A) of this section. (D) "Auction company" means any person, excluding licensed
auctioneers, who does business solely in
the auctioneer's
individual name, who
sells, either directly or through agents,
real or personal
property, goods, or chattels at auction, or who
arranges,
sponsors, manages, conducts, or advertises auctions and
who was
licensed as an auction company by the department of
agriculture as
of May 1, 1991. An auction company does
not mean
either of the
following: (1) A sale barn or livestock auction market that is used
exclusively for the auctioneering of livestock and is licensed by
the department of agriculture under Chapter 943. of the Revised
Code;
(2) A business that is licensed by the bureau of motor
vehicles under Chapter 4517. of the Revised Code and is
exclusively engaged in the auction sale of motor vehicles to
dealers licensed by either the bureau of motor vehicles or a
bureau of motor vehicles of another jurisdiction or its
equivalent.
(E) "Special auctioneer" means any person who is licensed
as
an auction company by the department of
agriculture as of
May 1,
1991, and currently is subject to section 4707.071 of the
Revised
Code.
(E) "Absolute auction" means an auction of real or personal property to which all of the following apply:
(1) The property is sold to the highest bidder without reserve.
(2) The auction does not require a minimum bid.
(3) The auction does not require competing bids of any type by the seller or an agent of the seller.
(4) The seller of the property cannot withdraw the property from auction after the auction is opened and there is public solicitation or calling for bids.
(F) "Reserve auction" means an auction in which the seller or an agent of the seller reserves the right to establish a stated minimum bid, the right to reject or accept any or all bids, or the right to withdraw the real or personal property at any time prior to the completion of the auction by the auctioneer.
(G) "Auction mediation company" means a company that provides a forum through the internet for a person to sell the person's real or personal property that was not originally acquired for the purpose of resale via the submission of silent bids using a computer or other electronic device.
(H) "Public authority" means any board or commission of the state or any officer of such a board or commission, or any political subdivision of the state.
(I) "Estate auction" means the auction of real or personal property of a deceased person.
(J) "Absentee bidding" means a method by which a potential purchaser authorizes a proxy to place on behalf of the potential purchaser a written or oral bid to an auctioneer or auction firm or an agent of an auctioneer or auction firm.
(K) "Person" means an individual, sole proprietor, corporation, limited liability company, association, or partnership.
(L) "Auction firm" means a person who provides auction services.
(M) "Auction services" means arranging, managing, and sponsoring a personal property auction. "Auction services" includes the taking and advertising of personal property on consignment to be sold at auction by a licensed auctioneer.
(N) "Consignee" means a person or auction firm that takes personal property on consignment to be sold at auction by a licensed auctioneer.
(O) "Firm manager" means the individual designated by an auction firm who is responsible for ensuring that the auction firm complies with this chapter.
(P) "Sealed bidding" means a method of submitting a bid in writing by one or more persons following which the bids are opened at an advertised, predetermined time and place, and, after a review of all the bids received, the real or personal property is awarded to the highest and most responsive bidder.
Sec. 4707.02. No person shall act as an auction firm, auctioneer,
apprentice auctioneer, or special auctioneer within this state
without a license issued by the department of
agriculture. No
auction shall be conducted in this state except
by an auctioneer
licensed by the department. The department shall not issue or renew a license if the
applicant or licensee has been convicted of a felony or crime
involving fraud or theft in this or another state at any time during the
ten years immediately preceding application or renewal. This section does not apply to: (A) Sales at auction conducted by or under the direction
of
any public authority, or sales that either are required by law to be at
auction,
other than sales pursuant to a judicial order or decree, or that are conducted by or under the direction of a public authority; (B) The owner of any real or personal property desiring to
sell the property at auction, provided that the property was not
acquired for the purpose of resale; (C) An auction mediation company;
(D) An auction that is conducted in a course of study for auctioneers that is approved by the state auctioneers commission created under section 4707.03 of the Revised Code for purposes of student training and is supervised by a licensed auctioneer;
(E) An auction that is sponsored by a nonprofit or charitable organization that is registered in this state under Chapter 1702. or Chapter 1716. of the Revised Code, respectively, if the auction only involves the property of the members of the organization and the auction is part of a fair that is organized by an agricultural society under Chapter 1711. of the Revised Code or by the Ohio expositions commission under Chapter 991. of the Revised Code at which an auctioneer who is licensed under this chapter physically conducts the auction;
(F) A person licensed as a livestock dealer under Chapter 943. of the Revised Code who exclusively sells livestock and uses an auctioneer who is licensed under this chapter to conduct the auction; (G) A person licensed as a motor vehicle auction owner under Chapter 4517. of the Revised Code who exclusively sells motor vehicles and who uses an auctioneer who is licensed under this chapter to conduct the auction.
Sec. 4707.021. Only an auctioneer who is licensed under this chapter and who is licensed as a real state estate broker who is licensed or a real estate salesperson under Chapter 4735.
of
the Revised Code and who is licensed as an auctioneer under this chapter may shall sign an auction
contract for the sale of real property at auction. A real estate broker who
is
licensed under Chapter 4735. of the Revised Code, but who is not licensed as an
auctioneer under this chapter shall not sign an auction contract or conduct an auction, but may contract for the sale of real property at auction only
if either of the following applies: (A) The auctioneer who signs the auction contract and who conducts the auction is a salesperson licensed under
Chapter 4735. of the Revised Code and is associated with the real estate broker
who contracts for the sale of real property. (B) The real estate broker enters into a cooperative agreement with another
real estate broker licensed under Chapter 4735. of the Revised Code with whom
an auctioneer licensed under this chapter is associated and the auctioneer
conducts is solely responsible for signing the auction contract and conducting the auction. An apprentice auctioneer who is licensed as a real estate broker or real estate salesperson under Chapter 4735. of the Revised Code may act as a bid caller in the sale of real property at auction if the sponsoring auctioneer is licensed under this chapter and is licensed as a real estate broker or real estate salesperson under Chapter 4735. of the Revised Code.
Nothing in this section shall be construed to permit a business to contract for the sale of real property at auction through an individual who is not licensed under this chapter and Chapter 4735. of the Revised Code.
Sec. 4707.022. (A) An auction shall be a reserve auction unless explicitly stated otherwise in the contract for the auction and in the terms and conditions governing the auction. For purposes of a reserve auction, there need not be an announcement or indication that the reserve is attained.
(B) A person licensed under this chapter shall not use absentee bidding unless the owner of the real or personal property being sold provides prior written permission to use absentee bidding.
(C) A person licensed under this chapter shall be an agent of the owner or consignee of the real or personal property for purposes of all aspects of the auction. Sec. 4707.023. (A) No person licensed under this chapter shall advertise, offer for sale, or sell real or personal property by absolute auction unless all of the following apply:
(1) One of the following applies:
(a) Except for current tax obligations, easements, or restrictions of record of the seller, there are no liens or encumbrances on the property in favor of any other person.
(b) Every holder of a lien or encumbrance, by execution of the auction contract or other written agreement provided to the auctioneer, agrees to the absolute auction without regard to the amount of the highest bid or to the identity of the highest bidder.
(c) A financially sound person, firm, trust, or estate, by execution of the auction contract or other written agreement provided to the auctioneer, guarantees the complete discharge and satisfaction of all liens and encumbrances, as applicable, immediately after the absolute auction or at the closing without regard to the amount of the highest bid or to the identity of the highest bidder.
(2) The seller of the real or personal property at the time of advertising and at the time of the absolute auction has a bona fide intention to transfer ownership of the property to the highest bidder regardless of the amount of the highest bid and without reliance on any agreement that a particular bid or bid level be attained in order to transfer the property.
(3) The auction contract requires that the auction be conducted as an absolute auction, specifies that the auction is not a reserve auction, and prohibits the seller or anyone acting on behalf of the seller to bid or participate in the bidding process of the auction.
(B) Division (A) of this section does not prohibit any of the following:
(1) The bidding of a secured party or lien holder, other than the seller, at an absolute auction, provided that the bids are bona fide offers, that the bidding does not constitute bid rigging or a reserve for the seller, and that the bidding is not for the purpose of aiding or assisting or on behalf of the seller or the auctioneer;
(2) The bidding by an individual or a party to a dissolution of marriage, partnership, or corporation on real or personal property being sold at auction pursuant to the dissolution;
(3) The advertising of real or personal property to be sold by absolute auction and by reserve auction within the same advertisement or for auction on the same date and at the same place, provided that the advertisement is not misleading and clearly identifies the property that is to be sold by absolute auction and the property that is to be sold by reserve auction.
(C) A person licensed under this chapter may make a bona fide bid on the licensee's own behalf at an absolute auction and at a reserve auction, provided that the licensee provides full disclosure that the licensee may make a bona fide bid to the seller and at the auction.
(D) A seller or a person on behalf of a seller may make a bid if the auction is a reserve auction and the auctioneer provides full disclosure before bidding begins that the seller retains the right to bid. No person licensed under this chapter knowingly shall receive such a bid in the absence of full disclosure.
(E) Except in the case of a dissolution as provided in division (B)(2) of this section, a person licensed under this chapter shall not knowingly receive a bid by a seller or a person on the seller's behalf at an absolute auction. Sec. 4707.024. (A) Not later than seventy-two hours after the end of an auction, a person licensed under this chapter shall deposit in one or more trust or escrow accounts all money received from the sale of an owner's or consignee's personal property at auction unless the licensee pays the money to the owner or consignee immediately after the end of the auction.
(B) For purposes of this section, a person licensed under this chapter shall designate a trust or escrow account that contains an owner's or consignee's money as "client trust account" or with words of similar meaning. In addition, a trust or escrow account only shall contain money received from the sale of personal property at auction that has not been disbursed and money for expenses regarding the auction, including commission and advertisement fees, that are specifically delineated in the auction contract.
(C) Except for the payment of money to the owner or consignee immediately after the end of the auction, a person licensed under this chapter shall pay the owner or consignee with money from the client's trust or escrow account. In addition, the licensee may pay expenses, including commission and advertisement fees, that are specifically delineated in the auction contract with money from the trust or escrow account. Money in the trust or escrow account shall not be disbursed for any purpose that is inconsistent with this section. In addition, the money shall not be commingled with the licensee's personal or business money. In administering the trust or escrow account, the licensee shall keep detailed records that show deposits, withdrawals, and interest accrued, if applicable.
Unless otherwise agreed to by the parties in the auction contract or by the direction of a court of law, all money deposited into a trust or escrow account shall be disbursed to the seller not later than fifteen days after the auction.
(D) Money from the sale of personal property at auction may be deposited in an interest bearing account if the parties to the auction contract specifically agree to such a deposit. Interest earned in the account shall be credited to the seller unless otherwise agreed to by the parties in the auction listing contract. The interest credited to the account may remain in the account for a period of sixty days after the seller receives the money from the account. The interest money then shall be disbursed according to the terms of the auction contract.
(E) All money received in connection with the sale of real property at auction shall be deposited in a broker's special or trust bank account in a depository located in this state that is described in division (A)(26) of section 4735.18 of the Revised Code.
Sec. 4707.03. A state auctioneers commission shall be
created within the department of
agriculture as follows: (A) The governor, with the advice and consent of the
senate,
shall appoint a commission consisting of three five members,
each of
whom immediately prior to the date of
appointment has
been a
resident of this state for at least five years, and whose vocation. Four members shall have been an auctioneer
for a
period of at least five years has been that of an
auctioneer prior to appointment. One member shall be a member of the public who represents the interests of consumers, is not licensed under this chapter, does not have any management responsibility in the auctioneering industry, does not formulate any policy of the auctioneering industry, does not have a financial interest in the auctioneering industry, and does not have any other connection with the auctioneering profession.
Terms (B) Terms of office shall be for three years, commencing
on the tenth
day of October and ending on the ninth day of
October. Each Of the two additional appointments made after the effective date of this amendment, one shall be for a term ending on the ninth day of October in the first year following the appointment, and one shall be for a term ending on the ninth day of October in the second year following the appointment. Thereafter, each term of office shall be for three years, commencing on the tenth day of October. Each
member shall hold office from the date of
appointment until
the
end of the term for which
appointed.
Any member
appointed to fill
a vacancy occurring prior to the
expiration of
the term for which
the member's predecessor
was appointed
shall hold office for the
remainder of such term. Any member
shall continue in office
subsequent to the expiration date of
the member's
term until
the
member's successor takes office,
or until a
period of sixty
days
has elapsed, whichever occurs
first. A member appointed for a term commencing on or after October 10, 2005, shall not serve more than three consecutive terms. (B)(C) At no time shall there be more than two three members of the
same political party serving on the commission.
Sec. 4707.04. (A) The state auctioneers commission shall,
upon
qualification
of the member or members appointed in each year, select
from its members a
chairperson, and
shall serve in an
advisory
capacity to the department of
agriculture
for
the
purpose of
carrying out sections 4707.01 to 4707.22 of the
Revised Code this chapter. The
commission shall meet not less than four times
annually. (B) The commission shall establish requirements and standards for courses of study in auctioneering. The commission triennially shall review courses of study in auctioneering that are offered at institutions in order to determine whether the courses comply with those requirements and standards. The commission shall approve institutions that offer courses that comply with the requirements and standards. If an institution is not approved, the institution may reapply for approval within a year of the disapproval. If at that time the commission approves the institution, the institution shall be approved for the remainder of the triennial period. The commission, prior to the triennial review, may place on probationary status or revoke the approval of any institution that provides a course of study in auctioneering if the institution fails to comply with the requirements and standards established under this division.
(C) Members of the commission who are licensed auctioneers under this chapter shall administer the oral licensing examination required under section 4707.08 of the Revised Code. (D) Each commissioner shall receive
the commissioner's
actual and necessary
expenses
incurred
in the discharge of such the commissioner's
duties. Each commissioner also shall receive a per diem salary from the auctioneers fund created in section 4707.05 of the Revised Code for each meeting attended. The director of agriculture shall adopt rules in accordance with Chapter 119. of the Revised Code establishing the per diem salary. (E) The commission may form subcommittees for purposes of research, education, and promotion of the auctioneering profession. If a majority of the members of the commission approves, the members of a subcommittee may be reimbursed from the auction education fund created in section 4707.171 of the Revised Code for the actual and necessary expenses incurred in the discharge of their duties.
(F) Serving as a member of the commission does not constitute holding a public office or position of employment under the laws of this state and does not constitute grounds for removal of public officers or employees from their offices or positions of employment. (G) The commission may advise the director on actions of the director as required under this chapter.
Sec. 4707.05.
Except as otherwise provided in section
4707.25 of the Revised Code, all fees and charges collected by the
department of
agriculture pursuant to this chapter shall
be paid
into the
state treasury
to the credit of the auctioneers
fund,
which is hereby
created. All expenses incurred by the
department
in
administering this
chapter shall be paid out of the
fund. The
total expenses incurred by
the department in the
administration of
this chapter shall not exceed the
total
fees,
charges, fines, and
penalties imposed under sections 4707.08,
4707.10, and 4707.99 of
the Revised Code and paid to the
treasurer
of state. The
department may conduct education
programs for the
enlightenment
and benefit of all auctioneers who
have paid fees
pursuant to
sections 4707.08 and 4707.10 of the
Revised Code. Out of the moneys credited pursuant to this section, the fund
shall
be assessed a proportionate share of the administrative
costs of
the department in accordance with procedures prescribed
by the
director of
agriculture and approved by the
director of
budget and
management. The assessment shall be paid
from the
auctioneers fund to
the division of administration fund.
At the end of each fiscal year, if the balance of the fund is
greater than three hundred thousand dollars, the director of
agriculture shall request the director of budget and management
to, and the director of budget and management shall, transfer
twenty-five per cent of the balance that is in excess of three hundred thousand dollars to the auction recovery fund
created in section 4707.25 of the Revised Code.
Sec. 4707.06. The department of
agriculture shall
maintain
a record of the names
and addresses of all auction firms, auctioneers
and,
apprentice auctioneers, and special
auctioneers licensed by
the
department. This record shall also include a list
of all
persons
whose licenses have been suspended or revoked, as well as
any
other information relative to the enforcement of sections
4707.01
to 4707.22
of
the Revised Code, as this chapter that the department may deem considers
of
interest to the public.
Sec. 4707.07. (A) The department of
agriculture
may grant
auctioneers' licenses to those persons deemed individuals who are determined to be qualified
by the
department. Each person individual who applies for an auctioneer's
license
shall furnish to the department, on forms provided by the
department, satisfactory proof that the applicant: (1) Has a good reputation; (2) Is of trustworthy character; (3) Has attained the age of at least eighteen years; (4) Has done one of the following: (a) Met the apprenticeship requirements set forth in
section
4707.09 of the Revised Code; (b) Met the requirements of section 4707.12 of the Revised
Code. (5) Has a general knowledge of the following: (a) The requirements of the Revised Code relative to
auctioneers; (b) The auction profession; (c) The principles involved in conducting an auction; (d) Any local and federal laws regarding the profession of auctioneering.
(6) Has satisfied the financial responsibility requirements
established under section 4707.11 of the Revised Code if
applicable. (B) Auctioneers who served apprenticeships and who hold
licenses issued before May 1, 1991, and who seek renewal of their
licenses, are not subject to the additional apprenticeship
requirements imposed by section 4707.08 4707.09 of the Revised Code. (C) The department may issue an auctioneer's license to a
partnership, association, or corporation if all the partners,
members, or officers thereof who are authorized to perform the
functions of an auctioneer as agents of the applicant are
themselves licensed as auctioneers under this chapter. An application for an auctioneer's license filed by a
partnership or association shall contain a listing of the names
of
all of the licensed partners, members, or other persons who
are
authorized to perform the functions of an auctioneer as
agents of
the applicant. An application filed by a corporation
shall
contain the names of its president and of each of its
licensed
officers and any other person who is authorized to
perform the
functions of an auctioneer as an agent of the
applicant.
(D) A licensee may do business under more than one
registered name if, but not to exceed three registered names, provided that the names have been approved by the
department.
The department may reject the application of any
person seeking
licensure under this chapter if the name or names
to be used by
the applicant are likely to mislead the public, or
if the name or
names do not distinguish the applicant from the
name or names of
any existing person licensed under this chapter.
If an applicant
applies to the department to do business under
more than two three
names, the department may charge a fee of ten
dollars for the
third name and each additional name.
(D) The department, in its discretion, may waive the schooling and apprenticeship requirements for a resident of this state, provided that the resident holds a valid auctioneer license that was issued by a state with which the department has entered into a reciprocal licensing agreement and the resident is in good standing with that state. The applicant shall provide proof that is satisfactory to the department that the applicant has had two years of experience as an auctioneer immediately preceding the date of application that includes at a minimum twelve auctions in which the applicant was a bid caller in the reciprocal state.
Sec. 4707.071. (A) On May 1, 1991, all persons licensed
as
auction companies under former section 4707.071 of the Revised
Code shall comply with all provisions of this chapter that are
applicable to auctioneers except as provided in divisions (B) and
(C) of this section. Such persons, however, do not have to serve
an apprenticeship or attend a course of study under section
4707.09 of the Revised Code or submit to an examination under
section 4707.08 of the Revised Code as long as they do not engage
in the calling for, recognition of, and the acceptance of, offers
for the purchase of personal property at auction and do not
conduct auctions at any location other than the definite place of
business required in section 4707.14 of the Revised Code. (B) The principal owner of each auction company that is
licensed as of May 1, 1991, who pays the annual renewal fee
specified in division (B) of section 4707.10 of the Revised Code
during the first renewal period following May 1, 1991, shall be
issued a special auctioneer's license, for the sale auction of personal
property subject to division (A) of this section. Each principal
owner shall apply for an annual license. In applying for an
annual license, each person licensed as an auction company on May
1, 1991, shall designate an individual as principal owner by
submitting documentation substantiating that the individual is in
fact the principal owner and shall identify a definite place of
business as required in section 4707.14 of the Revised Code. A
person licensed as an auctioneer shall not be entitled to a
special auctioneer's license. (C) A special auctioneer's license issued under this
section
to the principal owner of a former auction company does
not
entitle the principal owner or former auction company to
conduct
auctions at any location other than the definite place of
business
required in section 4707.14 of the Revised Code.
Notwithstanding
section 4707.10 of the Revised Code, the
department
of agriculture
shall not issue a new special auctioneer's license if
the definite
place of business identified by the licensee in the
licensee's
initial application for a special auctioneer license
has changed
or if the name under which the licensee is doing
business has
changed. No person other than an owner, officer,
member, or agent
of the former auction company who
personally has
passed
the
examination prescribed in section 4707.08 of the
Revised Code
and
been licensed as an auctioneer shall engage in
the calling
for,
recognition of, and the acceptance of, offers
for the
purchase of
real or personal property, goods, or chattels
at
auction in
connection with a former auction company that has
been
issued a
special auctioneer's license. (D) A person licensed as a special auctioneer shall not
engage in the sale of real property at auction.
(E) As used in this section, "auction company" means "auction company" as defined in section 4707.01 of the Revised Code prior to its amendment by Sub. S.B. 209 of the 125th general assembly.
Sec. 4707.072. (A) For purposes of this section, the department of agriculture shall adopt rules in accordance with section 4707.19 of the Revised Code prescribing the fee that a license applicant must pay. Until those rules are adopted, a license applicant shall pay the fee established in this section. (B) The department may
grant
one-auction licenses to any nonresident person deemed individual who is determined to be
qualified
by
the department. Any person individual who applies for a
one-auction
license
shall attest, on forms provided by the
department, and
furnish to
the department, satisfactory proof that
the license
applicant or
any auctioneer affiliated with the
applicant meets
the following
requirements:
(1)(A) Has a good reputation;
(2)(B) Is of trustworthy character;
(3)(C) Has attained the age of at least eighteen years;
(4)(D) Has a general knowledge of the requirements of the
Revised Code relative to auctioneers, the auction profession, and
the principles involved in conducting an auction;
(5)(E) Has two years of professional auctioneering experience
immediately preceding the date of application and the experience
that includes the personal conduct by the applicant of at least twelve
auction sales in any state, or has met the requirements of
section
4707.12 of the Revised Code;
(6)(F) Has paid a fee of one five hundred dollars;
(7)(G) Has not applied for or previously obtained a license under this section;
(H) Has provided proof of
financial responsibility
in the
form of either an irrevocable letter of credit or a cash bond or a
surety bond in the amount of
fifty
thousand dollars. If the
applicant gives a surety
bond, the bond
shall be executed by a
surety company authorized to
do business in
this state. A bond shall be made to the department and
shall be conditioned that the applicant shall comply with this
chapter and rules adopted under it, including refraining from
conduct described in section 4707.15 of the Revised Code. All
bonds shall be on a form approved by the director of agriculture.
Sec. 4707.073. (A) No corporation, general or limited partnership, or unincorporated association shall act or hold itself out as an auctioneer without a valid auctioneer's license issued under this section. This section does not apply to a person who is issued a license under section 4707.071 of the Revised Code.
(B) The department of agriculture may grant an auctioneer's license to a corporation, general or limited partnership, or unincorporated association that is determined to be qualified by the department. Every applicant for a license under this section shall furnish to the department, on forms provided by the department, satisfactory proof that the applicant:
(1) Is in good standing with the secretary of state if the applicant is a corporation;
(2) Is of trustworthy character;
(3) Has provided proof of financial responsibility as required in section 4707.11 of the Revised Code;
(4) Is registered with the secretary of state or a local authority, as applicable, to do business in this state;
(5) Has complied with any other requirement that the director establishes in rules adopted under section 4707.19 of the Revised Code.
(C) An application submitted under this section shall list the names of all of the owners, directors, partners, or members of the applicant, as applicable, and shall indicate those that have an auctioneer's license issued under section 4707.07 of the Revised Code.
(D)(1) The department shall not issue a license under this section unless one of the following applies, as applicable: (a) If the applicant is a general or limited partnership, not less than fifty per cent of the general partners have a current license issued under section 4707.07 of the Revised Code. (b) If the applicant is a corporation, not less than fifty per cent of the directors and the president or chief executive have a current license issued under section 4707.07 of the Revised Code. (c) If the applicant is an unincorporated association, not less than fifty per cent of the members have a current license issued under section 4707.07 of the Revised Code. Failure of a corporation, partnership, or unincorporated association to maintain the applicable requirements of this division after the issuance of a license under this section may be sufficient cause for the revocation of the license under section 4707.15 of the Revised Code.
(2) Not later than two years after the effective date of this section, a corporation, partnership, or unincorporated association that was issued a license under section 4707.07 of the Revised Code on or before the effective date of this section shall comply with the requirements established in division (D)(1) of this section. If such a corporation, partnership, or unincorporated association fails to comply with those requirements, the license of the corporation, partnership, or unincorporated association immediately shall terminate.
(E) Upon the issuance of a license under this section, a corporation, partnership, or unincorporated association shall designate an individual from among its directors, partners, or members who is licensed under section 4707.07 of the Revised Code as its agent for purposes of communication with the department. If that individual ceases to be the agent, the corporation, partnership, or unincorporated association shall notify the department not later than ten days after the day on which the individual ceases to be the agent. Upon notification to the department, the license of the corporation, partnership, or unincorporated association, as applicable, immediately shall terminate. If the corporation, partnership, or unincorporated association notifies the department of the designation of a new agent in accordance with the requirements of this division and pays a fee in the amount of ten dollars, the department shall issue the corporation, partnership, or unincorporated association a new license.
(F) This section does not preclude a corporation, partnership, or unincorporated association from selling real property at auction, provided that the requirements of this section and section 4707.021 and Chapter 4735. of the Revised Code are satisfied.
(G) A person licensed as a real estate broker under Chapter 4735. of the Revised Code shall not be required to obtain a license under this section if the person complies with sections 4707.021 and 4707.22 of the Revised Code. Sec. 4707.074. (A) A person who is not otherwise licensed under this chapter and who only provides auction services or holds the person's self out as providing auction services shall do so only with a valid auction firm license issued under this section. This section does not apply to either of the following: (1) A person licensed as a motor vehicle auction owner under Chapter 4517. of the Revised Code who exclusively sells motor vehicles and who uses an auctioneer who is licensed under this chapter to conduct the auction; (2) A person licensed as a livestock dealer under Chapter 943. of the Revised Code who exclusively sells livestock and uses an auctioneer who is licensed under this chapter to conduct the auction.
(B) The department of agriculture may grant an auction firm license to an auction firm that is determined to be qualified by the department. Every applicant for an auction firm license shall furnish to the department, on forms provided by the department, satisfactory proof that the applicant:
(1) Is in good standing with the secretary of state if the applicant is a corporation;
(2) Is of trustworthy character;
(3) Is registered with the secretary of state or a local authority, as applicable, to do business in this state;
(4) Has complied with any other requirement that the director establishes in rules adopted under section 4707.19 of the Revised Code;
(5) Has a general knowledge of the requirements of the Revised Code and the general principles regarding auctions, auctioneering, and auction management;
(6) Has provided proof of financial responsibility in the amount of fifty thousand dollars in the form of a surety bond, an irrevocable letter of credit, or cashbond; (7) Employs a firm manager as required under division (D) of this section.
(C) An application submitted under this section for an auction firm license shall list the names of all of the owners, directors, partners, or members of the applicant, as applicable.
(D) An auction firm shall designate a firm manager. The firm manager shall have sufficient authority in the operation of the auction firm to ensure compliance with this chapter and rules adopted under it. If the firm manager does not have a current license issued under section 4707.07 of the Revised Code, the firm manager shall pass the written examination held under section 4707.08 of the Revised Code before the department may issue a license under this section to the auction firm.
(E)(1) An auction firm license issued under this section immediately shall terminate if any of the following occurs:
(a) The auction firm incorporates.
(b) The auction firm ceases to operate as a corporation.
(c) The auction firm changes ownership.
(d) If the auction firm is a partnership, the firm changes the number of partners in the partnership or changes the partners comprising the partnership.
(e) The auction firm changes the firm manager.
(f) The auction firm changes the name under which the firm conducts business.
(g) The auction firm changes its permanent business location.
If a license terminates under this division, the licensee immediately shall cease auction services, notify the department of the termination, and return the terminated license to the department.
(2) Not later than ten days prior to the date on which an auction firm license will terminate pursuant to division (E)(1)(a), (b), (c), or (d) of this section, the auction firm may submit an application for a new auction firm license in accordance with division (B) of this section. If the auction firm submits the application, returns the terminated license, and pays a fee in the amount of one hundred dollars, the department may issue a new license under this section.
(3) If a license terminates pursuant to division (E)(1)(e), (f), or (g) of this section and the formerly licensed auction firm notifies the department, returns the terminated license, and pays a fee in the amount of ten dollars, the department shall issue a new license under this division.
(F) For purposes of the financial responsibility that is required under division (B) of this section, if a person provides a surety bond, the bond shall be executed by a surety company that is authorized to do business in this state. The bond shall be made payable to the department and shall include a condition that requires the applicant to comply with this chapter and rules adopted under it, including a requirement that the person refrain from conduct described in section 4707.15 of the Revised Code. A bond shall be on a form that is approved by the director. A person who is issued a license under this section shall maintain the financial responsibility that is required under division (B) of this section for as long as the person is licensed.
(G) An auction firm licensed under this section shall not conduct the bid calling for the sale of real or personal property at auction.
Sec. 4707.08. (A) The department of
agriculture
shall hold
written examinations four times each year for the
purpose of
testing the qualifications required for obtaining a
license under
section 4707.07 of the Revised Code and twelve times
each year
for
obtaining a license under section 4707.09 of the
Revised
Code and for unlicensed auction firm managers as required under division (D) of section 4707.074 of the Revised Code. The written examination shall be held at the department or at an alternative location determined by the department. In
addition to the written examination, auctioneer
license
applicants
shall pass an oral examination administered by
the
state
auctioneers commission on the same date and at the same
location
as the written examination. An examination shall not be
required
for the renewal of any license unless such the license has
been
revoked, suspended, or allowed to expire without renewal, in
which
case the applicant shall take and pass the appropriate
examinations offered by the department. An examination fee of twenty-five dollars shall be
collected
from each person taking the auctioneer examination and
fifteen
dollars from each person taking either the apprentice auctioneer
examination or the auction firm manager examination to defray expenses of holding such the examinations. (B) All applications and proofs must shall be filed by each
applicant before the scheduled date of examination, and must shall be
accompanied by a bond proof of financial responsibility and a license fee. In order to be seated for an examination held under this section, an applicant shall have a complete application on file with the department not later than fourteen days prior to the examination date.
(C) If a court of competent jurisdiction or the department, at an administrative hearing, has found that an applicant conducted an auction, provided auction services, or acted as an auctioneer without a license issued under this chapter, the department may refuse to allow the applicant to take an examination under this section or may deny the issuance of a license to the applicant for a period of two years.
(D)(1) If an applicant for a license fails to pass the examination, the applicant may take the examination on the next scheduled date for the examination. If an applicant fails to pass the examination on the second consecutive attempt, the applicant shall not take the examination on the next scheduled date for the examination.
(2) If an applicant for a license fails to pass the examination on the third attempt, the applicant shall attend auction school a second time before the applicant may take the examination. If an applicant for a license fails to pass the examination on the fourth attempt, the applicant shall not take the examination for at least one year from the date of the last failed attempt.
(3) If an individual who is taking the examination for an auction firm manager fails to pass the examination on the third attempt, the individual shall not take the examination for one year from the date of the last failed attempt.
Sec. 4707.09. The department of
agriculture may
grant
apprentice auctioneers' licenses to those persons deemed that are determined to be
qualified
by the department. Every applicant for an apprentice
auctioneer's
license
shall pass an examination relating to the
skills,
knowledge, and statutes and
rules governing
auctioneers.
Every applicant for an apprentice auctioneer's
license shall
furnish to the department, on forms provided by the
department,
satisfactory proof that the applicant: (A) Has a good reputation; (B) Is of trustworthy character; (C) Has attained the age of at least eighteen years; (D) Has obtained a written promise of a licensed
auctioneer
to sponsor the applicant during
the applicant's
apprenticeship; (E) Has satisfied the financial responsibility requirements
established under section 4707.11 of the Revised Code if
applicable;
(F) Has successfully completed a course of study in auctioneering at an institution that is approved by the state auctioneers commission. Before an apprentice may take the auctioneer's license
examination,
the apprentice shall serve an apprenticeship of
at
least twelve
months, successfully complete a course of study in
auctioneering
at an institution that is approved every three years
by the state
auctioneers commission, and conduct, participate as a bid caller, in
at least
twelve auction sales under the direct supervision of the
sponsoring licensed auctioneer, which sales auctions shall be certified by
the licensed auctioneer on the apprentice's application for an
auctioneer's license. No apprentice auctioneer shall be under the sponsorship of more than one licensed auctioneer at one time. If an auctioneer intends to terminate
sponsorship of an
apprentice auctioneer, the sponsoring auctioneer shall notify the
apprentice auctioneer of
the sponsoring auctioneer's
intention
by
certified mail, return
receipt requested, at least ten days
prior
to the effective date
of termination and, at the same time,
shall
deliver or mail by
certified mail to the department of
agriculture a copy of the
termination notice and the
license of
the apprentice auctioneer.
No apprentice auctioneer
shall perform
any acts under authority
of
the apprentice's
license after the
effective date of the
termination until
the
apprentice receives a
new license bearing the name and
address of
the apprentice's new
sponsor. No more than one license shall
be issued to any
apprentice auctioneer for the same period of
time. No licensed auctioneer shall have under
the licensed
auctioneer's sponsorship
more than two apprentice auctioneers at
one time. No auctioneer shall sponsor an apprentice auctioneer if the auctioneer has not been licensed and in good standing for a period of at least two years immediately before sponsoring the apprentice auctioneer. A sponsoring auctioneer whose license is suspended or revoked shall send to the department the apprentice auctioneer's license not later than fourteen days after the suspension or revocation. If a sponsoring auctioneer's license is suspended or revoked, the apprentice auctioneer shall obtain a written promise of sponsorship from another licensed auctioneer before performing any acts under the authority of an apprentice auctioneer's license. The apprentice auctioneer shall send a copy of the written promise of sponsorship of another auctioneer to the department. If the department receives a copy of such a written promise of sponsorship and the apprentice pays the fee established by the department, the department shall issue a new license to the apprentice. An apprentice auctioneer may terminate
the apprentice's
sponsorship with
an auctioneer by notifying the auctioneer of
the
apprentice's intention by
certified mail, return receipt
requested, at least ten days prior
to the effective date of
termination. At the same time,
the
apprentice shall
deliver or
mail by certified mail to the department of
agriculture a
copy of
the termination notice. Upon receiving the termination
notice,
the sponsoring auctioneer shall promptly deliver or mail
by
certified mail to the department the license of the apprentice
auctioneer. The termination of a sponsorship, regardless of who
initiates
the termination, shall not be cause for an apprentice
auctioneer
to lose credit for any certified sales
the
apprentice conducted auctions in which the apprentice participated as a bid caller
or
apprenticeship time
the apprentice served under the direct
supervision of the
former sponsor. Sec. 4707.091. (A) Prior to the expiration of an auctioneer's or apprentice auctioneer's license, an auctioneer or apprentice auctioneer may submit an application to the department of agriculture, on forms provided by the department, to place the license on deposit with the department for a period not to exceed two years. Not later than fourteen days after receipt of an application under this section, the department shall accept or deny the application.
(B) If the department accepts the application, an auctioneer or apprentice auctioneer who has a license on deposit with the department under this section shall not act as an auctioneer or apprentice auctioneer while the license is on deposit. In addition, such an auctioneer shall not be required to pay an assessment under section 4707.25 of the Revised Code.
(C) An auctioneer or apprentice auctioneer may reacquire a license on deposit from the department if the auctioneer or apprentice auctioneer does all of the following prior to reacquisition:
(1) Submits a written request to the department that contains the business address and telephone number of the auctioneer or apprentice auctioneer, as applicable;
(2) Pays a reactivation fee for the license in the following amount, as applicable:
(a) In the case of an apprentice auctioneer, one hundred dollars;
(b) In the case of an auctioneer whose license is reacquired during the first half of the biennium according to the biennial schedule established in division (B) of section 4707.10 of the Revised Code, two hundred dollars;
(c) In the case of an auctioneer whose license is reacquired during the second half of the biennium according to that biennial schedule, one hundred dollars.
(3) Pays the assessment that is levied under section 4707.25 of the Revised Code for the current year, if applicable;
(4) Provides proof of financial responsibility as required in section 4707.11 of the Revised Code, if applicable; (5) Complies with any other requirement established in rules adopted by the director under section 4707.19 of the Revised Code. (D) If an auctioneer or apprentice auctioneer, at the time of placing the auctioneer's or apprentice auctioneer's license on deposit, as applicable, has not maintained proof of financial responsibility for the entire period of time required under section 4707.11 of the Revised Code, the auctioneer or apprentice auctioneer, beginning at the time of reacquisition, shall maintain proof of financial responsibility for the remainder of the time required under that section.
Sec. 4707.10. (A) For purposes of this section, the department of agriculture shall adopt rules in accordance with section 4707.19 of the Revised Code prescribing fees that licensees must pay and license renewal deadlines and procedures with which licensees must comply. Until those rules are adopted, licensees shall pay the fees and comply with the license renewal deadlines and procedures established in this section. (B) The fee for each auctioneer's,
apprentice
auctioneer's, or special auctioneer's or auction firm license issued
by the
department is one hundred dollars, and the
annual
renewal fee for any such license is one hundred dollars.
All
licenses expire annually on the last day of June of each year
and
shall be renewed according to the standard renewal procedures
of
Chapter 4745. of the Revised Code, or the procedures of this
section. Any licensee under this chapter who wishes to renew
the
licensee's
license, but fails to do so before the first day of
July
shall
reapply for licensure in the same manner and pursuant
to the
same
requirements as for initial licensure, unless before
the
first
day of September of the year of expiration, the former
licensee
pays to the department, in addition to the regular
renewal fee, a
late renewal penalty of one hundred dollars.
(B)(1) Each person to whom the department issues an auctioneer's license or special auctioneer's license shall pay a licensure fee. Those licenses are biennial and expire in accordance with the schedule established in division (B)(2) of this section. If such a license is issued during the first year of a biennium, the licensee shall pay a fee in the amount of two hundred dollars. If the license is issued during the second year of a biennium, the licensee shall pay a fee in the amount of one hundred dollars. With respect to an auctioneer's license, the fees apply regardless of whether the license is issued to an individual under section 4707.07 of the Revised Code or to a corporation, partnership, or association under section 4707.073 of the Revised Code.
All auctioneer's licenses and special auctioneer's licenses expire on the last day of June of the biennium. The licenses shall be renewed in accordance with the standard renewal procedures of Chapter 4745. of the Revised Code or the procedures in this section and upon the licensee's payment to the department of a renewal fee of two hundred dollars. A licensee who wishes to renew the licensee's license, but who fails to do so before the first day of July following the license's expiration, shall reapply for licensure in the same manner and pursuant to the same requirements as for the initial licensure unless before the first day of September following the expiration, the former licensee pays to the department, in addition to the regular renewal fee, a late renewal penalty of one hundred dollars.
(2) The biennial expiration of an auctioneer's license or special auctioneer's license shall occur in accordance with the following schedule:
(a) The license shall expire in odd-numbered years if the business name or last name, as applicable, of the licensee begins with the letters "A" through "J" or with the letters "X" through "Z."
(b) The license shall expire in even-numbered years if the business name or last name, as applicable, of the licensee begins with the letters "K" through "W." (C) Any person who fails to renew
the person's license
before the
first day of July is prohibited from engaging in any
activity
specified or comprehended in section 4707.01 of the
Revised Code
until such time as
the person's license is
renewed
or a new
license is
issued. Renewal of a license between
the
first day of July and
the first day of September does not
relieve
any person from
complying with this division. The
department may
refuse to renew
the license of or issue a new
license to any
person who violates
this division. (D) The department shall prepare and deliver to each
licensee a permanent license certificate and an
identification card, the appropriate portion of which shall be carried on the
person of the licensee at all times when engaged in any type of
auction activity, and part of which shall be posted with the
permanent certificate in a conspicuous location at the licensee's
place of business. (E) Notice in writing shall be given to the department by
each auctioneer or apprentice auctioneer licensee of any change
of
principal business location or any change or addition to the
name
or names under which business is conducted, whereupon the
department shall issue a new license for the unexpired period.
Any
change of business location or change or addition of names
without
notification to the department shall automatically cancel
any
license previously issued. For each new auctioneer or
apprentice
auctioneer license issued upon the occasion of a
change in
business location or a change in or an addition of
names under
which business is conducted, the department may
collect a fee of
ten dollars for each change in location, or name
or each added
name unless the notification of the change occurs
concurrently
with the renewal application or unless otherwise provided in section 4707.07 of the Revised Code.
Sec. 4707.11. (A) Except as provided in division (B) of this
section, each application for a license issued under
this chapter
shall be accompanied by proof of financial
responsibility in the
form of either an irrevocable letter of credit or a cash bond or a
surety bond in the amount of
twenty-five
thousand dollars. If the
applicant gives a surety
bond, the bond
shall be executed by a
surety company authorized to
do business in
this state. A bond shall be made payable to the department of agriculture and
shall be conditioned include a condition that requires the applicant shall to comply with this
chapter and rules adopted under it, including refraining a requirement that the person refrain from
conduct described in section 4707.15 of the Revised Code. All
bonds shall be on a form approved by the director of agriculture. A licensee shall maintain proof of financial responsibility
for three years following the date of initial licensure. After
the
three-year period, a licensee who has not engaged
in conduct
described in section 4707.15 of the Revised Code and
has not
otherwise violated this chapter or rules adopted under it
during
that period shall no longer be required to maintain proof
of
financial responsibility except as otherwise provided in this
section.
A licensee whose license expires without being renewed under
section 4707.10 of the Revised Code or is suspended under section
4707.30 of the Revised Code shall give proof of financial
responsibility in accordance with this section in order to obtain
reinstatement or reactivation of the license. (B) Division (A) of this section does not apply to either any of
the following: (1) A licensee whose license was issued prior to July 1,
2003, provided that the license continues to be renewed under
section 4707.10 of the Revised Code and is not suspended under
section 4707.15 or 4707.30 of the Revised Code; (2) An apprentice auctioneer licensee whose license was
issued under section 4707.09 of the Revised Code prior to July 1,
2003, and who applies for an auctioneer's license under section
4707.07 of the Revised Code on or after July 1, 2003, provided
that the apprentice auctioneer's license is not suspended under
section 4707.15 or 4707.30 of the Revised Code, and, if necessary,
continues to be renewed under section 4707.10 of the Revised Code,
prior to the issuance of the auctioneer's license to the
applicant; (3) An auction firm license that is issued under section 4707.074 of the Revised Code.
Sec. 4707.111. The state, through the department of
agriculture and in
accordance
with this chapter, shall solely
regulate auctioneers, auction firms, and the conduct of
auction
sales. By enactment of this chapter, it is the intent of the general
assembly to
preempt municipal corporations and other political
subdivisions from the
regulation and licensing of auctioneers, auction firms, and
auction sales. At least twenty-four hours prior to an auction, the person
licensed under this
chapter to conduct the auction shall notify, via telephone, mail, or personal delivery,
the chief of police of the
municipal corporation in which the
auction site is located, or, if the site is
in the unincorporated
area of a county, the county sheriff as to the location
and time
of the auction and give to that officer a general description of
the
items offered for sale. A licensee who conducts regular auction sales on a fixed day at the same location is required to provide such notice to the chief of police or county sheriff only once. However, the licensee shall notify the chief of police or county sheriff if the auctions subsequently are discontinued or are conducted on a different day or at a different location.
Sec. 4707.12. A nonresident may operate as an auctioneer,
apprentice auctioneer, or special auctioneer within the state by
conforming to this chapter. The department of
agriculture may, within its
discretion,
waive the testing and schooling requirements for a
nonresident,
provided
that the nonresident holds a valid auctioneer
or
apprentice
auctioneer
license issued by a state with which the
department has
entered
into a reciprocal licensing agreement.
Nonresidents
wishing to
so operate in this state shall make
application in
writing to the
department and furnish the
department with proof of
their ability
to conduct an auction,
proof of license and bond if
they reside
in a state with these
requirements financial responsibility, as well as other
information
which that the department
may request. If a state with which the department has entered into a reciprocal licensing agreement does not require an apprenticeship, the applicant shall provide proof of license for a period of at least one year prior to receipt of the application. This section does not apply to nonresident auctioneers who
reside in states under the laws of which similar recognition and
courtesies are do not extended to licensed auctioneers of this have a license from a
state with which the department has entered into a reciprocal licensing agreement.
Sec. 4707.14. (A) Each person licensed under sections 4707.07 to 4707.22 of
the Revised Code this chapter shall have a definite place of business in this state. (B) Except as provided in division (C) of this section, if the licensee is a
nonresident, it is not necessary for him the licensee to
maintain an active place of
business within this state if he the licensee maintains such a
place of business in the
state where he the licensee is a resident. (C) A nonresident former auction company licensee who is licensed as a
special
auctioneer under section 4707.071 of the Revised Code shall have a definite
place of business within the state and shall not conduct auctions anywhere
else
in the state other than his the licensee's place of business.
Sec. 4707.15. The department of
agriculture may deny, refuse to renew,
suspend, or
revoke the license of any auction firm, auctioneer, apprentice
auctioneer, or
special auctioneer for any of the following causes: (A) Obtaining a license through false or fraudulent
representation; (B) Making any substantial misrepresentation in an
application for an auctioneer's, apprentice auctioneer's, or
special auctioneer's a license; (C) A continued course of misrepresentation or for making
false promises through agents, advertising, or otherwise; (D) Specifying that an auction is a reserve auction, absolute auction, or estate auction, but not conducting the auction as specified; (E) Failing to account for or remit, within a reasonable
time, any money or property belonging to others that comes into
the
licensee's
possession, and for commingling funds of others with
the
licensee's own, or
failing to keep such funds of others in
an
escrow or trustee trust
account, except that in the case of a
transaction involving real
estate, such funds shall be maintained
in accordance with
division (A)(26) of section 4735.18 of the
Revised Code; (E)(F) Paying valuable consideration to any person who has
violated this chapter;
(F)(G) Conviction in a court of competent jurisdiction of
this
state or any other state of a criminal offense involving
fraud, forgery, embezzlement, false pretenses, extortion, conspiracy to defraud, or another similar offense or
a felony;
(G)(H) Violation of this chapter or rules adopted under it;
(H)(I) Failure to furnish voluntarily at the time of
execution,
copies of all written instruments prepared by the
auctioneer or auction firm;
(I)(J) Any conduct of an auctioneer which a person that is licensed under this chapter that demonstrates bad
faith, dishonesty, incompetency, or untruthfulness;
(J)(K) Any other conduct that constitutes improper,
fraudulent,
or dishonest dealings;
(K)(L) Failing prior to the sale at public auction to enter
into a written contract with the owner or consignee of any
property to be sold, containing the terms and conditions upon
which such the licensee received the property for sale auction;
(L)(M) The use of any power of attorney to circumvent this
chapter;
(M)(N) Failure to display the sign required under section 4707.22 of the Revised Code and a notice conspicuously at the
clerk's
desk or on a bid card that clearly states the terms and
conditions
of the sale, the name of the auctioneer or special
auctioneer
conducting the sale, and that the auctioneer or
special auctioneer
is licensed by the department of
agriculture and
has
filed a
bond auction;
(N)(O) Failure to notify the department of any conviction of
a
felony or crime involving fraud within fifteen days of
conviction;
(O) Acting in the capacity of an auctioneer, whether for
valuable consideration or not, for any special auctioneer that is
not licensed under this chapter (P) Aiding an unlicensed person in the performance of services or acts that require a license under this chapter;
(Q) The suspension or revocation of a license to engage in auctioneering or other disciplinary action by the licensing authority of another state;
(R) The refusal or disapproval by the licensing authority of another state of an application for a license to engage in auctioneering;
(S) Failure of a licensee to notify the department of agriculture within fifteen days of a disciplinary action against the licensee by another state's applicable governing authority;
(T) Engaging in auctioneering or providing auction services without a license or during the suspension of a license;
(U) Attempting to cheat or cheating on an auctioneer examination or aiding another to cheat on an examination.
Sec. 4707.151. (A) No person shall engage in bid rigging. (B) As used in this section, "bid rigging" means a conspiracy between
auctioneers, apprentice auctioneers, special auctioneers, any participants in
an auction, or any other persons who agree not to bid against each other at an
auction or who otherwise conspire to decrease or increase the number or amounts of bids
offered at auction.
Sec. 4707.16. (A) The department of
agriculture
may, upon
its own motion, and shall, upon the verified written
complaint of
any person, investigate the actions of any auction firm,
auctioneer, apprentice
auctioneer, or special auctioneer, any
applicant for an auction firm's,
auctioneer's, apprentice auctioneer's, or special
auctioneer's
license, or any person who assumes to act in that
capacity, if
the
complaint, together with other evidence presented
in
connection
with it, makes out a prima-facie case. If the department determines that any such applicant is not
entitled to receive a license, a license shall not be granted to
such the applicant, and if the department determines that any
licensee
is guilty of a violation of section 4707.14 or 4707.15
of the
Revised Code, the department may suspend or revoke the
license.
Any auction firm, auctioneer, apprentice auctioneer, or special
auctioneer who
has had
the auction firm's, auctioneer's, apprentice
auctioneer's, or special
auctioneer's license revoked shall not be issued
another such
license for a period of two years from the date of
revocation. (B) The department
may investigate
complaints
concerning
the violation of sections 4707.02 and
4707.15 of the
Revised Code
and may subpoena witnesses in
connection with such
investigations
as provided in this section.
The department may
make application
to the court of common pleas
for an order
enjoining the violation
of sections 4707.02 and
4707.15 of the
Revised Code, and upon a
showing by the department
that any
licensed auction firm, auctioneer, apprentice
auctioneer, or special
auctioneer
has violated or is about to
violate section 4707.15 of
the
Revised
Code, or any person has
violated or is about to
violate
section
4707.02 of the Revised
Code, an injunction,
restraining
order, or
other order as may be
appropriate shall be
granted by
the court. (C) The department
may compel by subpoena the
attendance of
witnesses to testify in relation to any matter over
which it has
jurisdiction and which that is the subject of inquiry and
investigation
by it, and require the production of any book,
paper, or document
pertaining to such that matter. In case any person
fails to file any
statement or report, obey any subpoena, give
testimony, or produce
any books, records, or papers as required
by
such a subpoena, the
court of common pleas of any county in
the
state, upon application
made to it by the department, shall
compel
obedience by attachment
proceedings for contempt, as in
the case
of disobedience of the
requirements of a subpoena issued
from such that
court, or a refusal to
testify therein. (D) When the department determines that a person not
licensed under this chapter is engaged in or is believed to be
engaged in activities for which a license is required under this
chapter, the department may issue an order to that person
requiring
the person to show cause as to why
the person
should
not be subject to
licensing under this chapter. If the
department, after a
hearing, determines that the activities in
which the person is
engaged are subject to licensing under this
chapter, the
department may issue a cease-and-desist order which that
shall
describe the person and activities which that are subject to the
order. A cease-and-desist order issued under this section shall
be enforceable in and may be appealed to the common pleas courts
of this state under Chapter 119. of the Revised Code.
(E) In addition to the remedies provided under this section and irrespective of whether an adequate remedy at law exists, the department may apply to a court of common pleas for a temporary or permanent injunction or other appropriate relief for continued violations of this chapter. For purposes of this division, the court of common pleas shall be the court of common pleas of Licking county or the court of common pleas of the county where the violation occurs.
(F) For purposes of this section, investigative costs incurred by the department are recoverable either by the issuance of an administrative order of the department or by an order of a court of competent jurisdiction.
Sec. 4707.171. There is hereby created in the state
treasury the auction education fund. Seven dollars and fifty
cents of each fee collected for an initial or renewed auctioneer's auction firm's
or apprentice auctioneer's license shall be credited to the auction education
fund. In addition, seven dollars and fifty cents out of each one hundred dollars that is collected as a fee for an initial or renewed auctioneer's license or for a renewed special auctioneer's license shall be credited to the fund. All interest earned on moneys deposited in the state treasury to the credit of the auction
education fund shall be credited to the fund. The Ohio state auctioneers commission shall use any moneys from
the auction education fund to advance and underwrite education
and research in the auction field for the benefit of those
licensed under this chapter and the auctioneering public and to
cooperate with associations of auctioneers and other groups for
the education of auctioneers and the advancement of the auction
profession in this state.
Sec. 4707.18. No person engaged in the business of, or acting in the capacity
of, an auction firm, auctioneer, or special auctioneer shall bring or maintain any action in
the courts of this state for the collection of compensation for any services
performed as an auction firm or auctioneer without first alleging and proving that the person
was a duly licensed auction firm, auctioneer, or special auctioneer at the time the alleged
cause of action arose.
Sec. 4707.19. (A) The
director of
agriculture may
adopt reasonable rules necessary
for the implementation of
this chapter
in accordance with
Chapter
119. of the Revised
Code.
In addition, the director shall
adopt rules in accordance with Chapter 119. of the Revised Code
that establish the portion of license fees collected under this
chapter that are to be deposited into the auction recovery fund
under section 4707.25 of the Revised Code. The No person shall fail to comply with a rule adopted under this chapter. (B) The director shall adopt rules that establish a schedule of civil penalties for violations of this chapter, rules adopted under it, or orders issued under it. The rules shall provide that the civil penalty for the first violation of this chapter, rule, or order shall not exceed five thousand dollars and the civil penalty for each subsequent offense shall not exceed ten thousand dollars. In addition, the director, in establishing the schedule of civil penalties in the rules, shall consider past violations of this chapter and rules adopted under it, the severity of a violation, and the amount of actual or potential damage to the public or the auction profession.
(C) The department
of
agriculture may hear testimony in matters
relating to
the duties
imposed on it, and any person authorized by the
director
may administer oaths. The
department may
require
other proof of
the honesty, truthfulness,
and good
reputation of
any person named in the
application for an auction firm's,
auctioneer's,
apprentice auctioneer's, or special
auctioneer's
license before
admitting the applicant to an examination or
issuing a license.
Sec. 4707.20. (A) No person shall act as an auction firm, auctioneer, or
special auctioneer on a sale at auction until the person has
first
entered into a written contract or agreement in duplicate with
the
owner or consignee of any property to be sold, containing the
terms and conditions upon which the licensee receives or accepts
the property for sale at auction. The contracts or agreements
shall, for a period of two years, be kept on file in the office
of
every person so licensed. No apprentice auctioneer shall be
authorized to enter into such a contract or agreement without the
written consent of the apprentice auctioneer's sponsoring
auctioneer, and all contracts or
agreements shall be made in the
name of and on behalf of the
sponsoring auctioneer. In addition, an apprentice auctioneer shall not enter into an auction contract for the sale of real property in the name of the sponsoring auctioneer regardless of whether the apprentice auctioneer is licensed as a real estate broker or salesperson. (B) On all contracts or agreements between an auction firm, auctioneer,
or
special auctioneer and the owner or consignee, there shall
appear
a prominent statement indicating that the auction firm, auctioneer, or
special
auctioneer is licensed by the
department of
agriculture,
and either that the licensee is
bonded in favor of the state or that an aggrieved person may initiate a claim against the auction recovery fund created in section 4707.25 of the Revised Code as a result of the licensee's actions, whichever is applicable. (C) The auction firm, auctioneer, or special auctioneer who contracts
with
the owner is liable for the settlement of all money
received,
including the payment of all expenses incurred only by
the
licensee and the distribution of all funds, in connection
with an
auction. (D) For purposes of this section, a contract or agreement shall specify all of the following:
(1) The owner of the property to be sold or the owner's agent or the consignee;
(2) The date of the auction or a termination date of the contract or agreement;
(3) The location of the auction;
(4) The terms and conditions of the auction;
(5) All of the fees to be charged by the auctioneer or the auction firm, which shall include commissions, rentals, advertising, and labor;
(6) An explanation of the settlement of the auction that includes the disbursement of interest money, if applicable;
(7) A statement establishing the responsibility for bad checks, debts, and unpaid auction items;
(8) A statement indicating whether the auction is a reserve auction or an absolute auction. In addition, the statement shall include the definition of reserve auction or absolute auction from section 4707.01 of the Revised Code, as applicable.
(9) A statement of the auctioneer's or auction firm's policy regarding absentee bidding;
(10) A brief description of the real or personal property to be sold; (11) If the sale is of real or personal property at absolute auction, a statement affirming that the seller of the real or personal property has a bona fide intention to transfer ownership of the property to the highest bidder.
Sec. 4707.21. No auction firm, auctioneer, apprentice auctioneer, or
special
auctioneer
shall willfully neglect or refuse to furnish
the department of
agriculture
statistics or other
information in
the auction firm's, auctioneer's, apprentice
auctioneer's, or
special auctioneer's
possession or under
the auction firm's, auctioneer's,
apprentice auctioneer's, or
special auctioneer's
control, which that
the auction firm, auctioneer, apprentice
auctioneer, or special auctioneer
is
authorized to collect; nor
shall
the auction firm, auctioneer, apprentice
auctioneer, or special
auctioneer neglect or refuse, for
more than
thirty days, to answer
questions submitted on circulars; nor
shall
the auction firm, auctioneer,
apprentice auctioneer, or special
auctioneer
knowingly
answer any
such questions falsely; nor shall
the
auction firm, auctioneer,
apprentice
auctioneer, or special auctioneer refuse to
obey
subpoenas and
give testimony. Licensees shall keep records
relative to any
auction sale for
at least two years from the date
of sale auction. These
records shall
include
settlement sheets, written
contracts, and
copies of any advertising that lists
the items for
sale auction, as applicable.
Sec. 4707.22. (A) Any auctioneer, apprentice auctioneer, or special auctioneer person
licensed under this chapter who advertises, by linear advertisements or
otherwise, to hold or conduct an auction shall indicate in such the advertisement
his the licensee's name or the name registered with the department of agriculture and that he the licensee
is an auctioneer or apprentice auctioneer. Any
apprentice
auctioneer who advertises, as provided in this section, must also shall indicate in
his the apprentice's advertisement the name of the auctioneer
under whom he the apprentice is licensed. The
name of the auctioneer shall be displayed in equal prominence with the name of
the apprentice auctioneer in such the advertisement. Any such licensee who
advertises in a manner other than as provided in this section is guilty of
violating division (C) of section 4707.15 of the Revised Code. (B) An auction firm licensed under this chapter that advertises, by linear advertisements or otherwise, to solicit or receive consignments or to provide auction services shall indicate in the advertisement the name of the auction firm. In addition, an advertisement of an auction of consignments or an advertisement by an auction firm of an auction for which the auction firm will provide auction services shall comply with divisions (A) and (D) of this section.
(C) If an auction to be advertised is an absolute auction, all advertisements for the auction shall unequivocally state that the auction is an absolute auction.
(D) If an advertisement for an auction contains the words "estate auction," or words to that effect, the person licensed under this chapter who advertises shall do both of the following:
(1) Enter into an agreement directly with the executor, administrator, or court appointed designee of the estate property;
(2) List prominently in the advertisement the county in which the estate is located and the probate court case number of the estate.
(E) All persons licensed under this chapter that conduct or are involved in an auction jointly are responsible for the posting of a sign at the auction. The sign shall contain all of the following:
(1) The name of all licensed persons involved in the auction;
(2) A statement that the persons are licensed by the department of agriculture;
(3) The address of the department of agriculture.
The sign shall be posted at the main entrance of the auction, at the place of registration for the auction, or by the cashier for the auction. The sign shall be of a size not smaller than eight and one-half inches by eleven inches. The letters and numbers on the sign shall be of adequate size to be readily seen by an individual with normal vision when viewing it. (F) An advertisement for the sale of real property at auction shall contain the name of the licensed auctioneer who is entering into the auction contract and the name of the real estate broker licensed under Chapter 4735. of the Revised Code who is involved in the sale. Compliance with this section shall not require a real estate broker licensed under Chapter 4735. of the Revised Code to obtain a license under section 4707.073 of the Revised Code.
Sec. 4707.26. (A)(1) A person who asserts that they have the person has
been aggrieved by the actions of a person licensed under this
chapter that resulted in actual and direct losses to the aggrieved
person may initiate a claim against the auction recovery fund
either under this section or section 4707.261 of the Revised Code.
If an aggrieved person who wishes to seek recovery from the
auction recovery fund has obtained a final judgment in a court of
competent jurisdiction against the licensee, the aggrieved person
shall initiate the claim in accordance with section 4707.261 of
the Revised Code. If an aggrieved person who wishes to seek
recovery from the auction recovery fund has not obtained a final
judgment in a court of competent jurisdiction against the
licensee, the aggrieved person shall initiate the claim in
accordance with this section. (2) An aggrieved person may initiate a claim against the
auction recovery fund under this section
if both all of the following
apply: (a) The loss was associated with an act or transaction that
only a person licensed under this chapter lawfully may perform. (b) The licensee's actions are described in section 4707.15
of the Revised Code or otherwise violate this chapter or rules
adopted under it. (c) The licensee is not an auction firm. To initiate a claim against the fund, an aggrieved person
shall file a verified complaint with the department of agriculture
in accordance with section 4707.16 of the Revised Code. The
verified complaint shall include an application to the department
that requests recovery of the applicant's actual and direct losses
and that is made on forms that the department provides. The
application for recovery shall specify the nature of the act or
transaction on which the applicant's claim is based, the actual
and direct losses sustained by the applicant, and any activities
that the applicant has pursued as a remedy for the losses. (B) Upon receipt of a verified compliant complaint and application,
the department shall conduct an investigation in accordance with
section 4707.16 of the Revised Code. After the investigation, if
the department determines that the licensee has engaged in conduct
described in section 4707.15 of the Revised Code or otherwise has
violated this chapter or rules adopted under it, the department
shall propose to take action to suspend or revoke the licensee's
license under section 4707.15 of the Revised Code or to initiate a
criminal action against the licensee under section 4707.99 of the
Revised Code, or both. The department shall issue a letter to the
applicant indicating the department's proposed action and the date
of any hearing that the department has scheduled regarding the
matter. (C) Upon exhaustion of administrative remedies or
criminal proceedings that results in a finding that the licensee
has engaged in conduct described in section 4707.15 of the Revised
Code or otherwise has violated this chapter or rules adopted under
it, the department shall issue a notice in accordance with Chapter
119. of the Revised Code via certified mail to the applicant
indicating that the applicant may request a hearing for relief
from the auction recovery fund. An applicant who seeks recovery
from the fund of any actual and direct losses suffered as a result
of a licensee's conduct shall submit, not later than thirty days
following receipt of the notice, a request for a hearing to the
department. Upon the timely receipt of a request for a hearing, the
department shall provide the applicant with the opportunity to
appear at an adjudication hearing to offer proof and evidence of
the actual and direct losses. Whenever possible, the department
shall require all applicants whose claims to the fund arose from
an underlying transaction involving the same licensee to be joined
in one adjudication under this section so that the rights of all
applicants may be equitably adjudicated and settled. On behalf of
the fund, the department may defend claims against the fund and
shall have recourse to all appropriate means of defense and
review, including examination of witnesses, and verification of
actual losses. (D) Upon the conclusion of the adjudication hearing, the
hearing officer shall issue a report and recommendation in favor
of making payment to an applicant from the fund if, during the
course of the adjudication hearing, all of the following have been
shown: (1) The licensee has engaged in conduct described in section
4707.15 of the Revised Code or otherwise has violated this chapter
or rules adopted under it. (2) The licensee's conduct or violation is associated with
an act that only a person licensed under this chapter lawfully may
perform and the act resulted in direct and actual losses to the
applicant. (3) The applicant filed a verified complaint and application
with the department as required by this section. (4) The applicant is not the spouse of the licensee nor the
personal representative of the licensee's spouse. (5) If the licensee either provided an irrevocable letter
of credit or gave bond in accordance with section 4707.11 of the
Revised Code, the applicant first sought recovery under the
irrevocable letter of credit or bond before applying for payment
from the fund. The amount of any payment from the fund to the applicant
shall consist of an amount that is equal to the portion of the
actual and direct losses incurred by the applicant that remain
unpaid. The amount of the payment is subject to the dollar
limitation established in section 4707.29 of the Revised Code. If the hearing officer determines that not all of the items
described in divisions (D)(1) to (5) of this section have been
shown during the course of the adjudication hearing, the hearing
officer shall issue a report and recommendation against making
payment from the fund to the applicant. (E) Pursuant to section 119.09 of the Revised Code, a
hearing officer or the hearing officer's representative shall
forward by certified mail a copy of the hearing officer's written
report and recommendation to the applicant or the applicant's
attorney or other representative not later than five days after
the date on which the report and recommendation are filed. Not later than ten days after receiving such a copy, the
applicant may file with the department written objections to the
report and recommendation. The department may grant extensions of
time to the applicant within which to file objections. The objections shall be considered by the department
before it approves, modifies, or disapproves the recommendation.
The department may order additional testimony to be taken or
permit the introduction of further documentary evidence. The recommendation of the hearing officer may be approved,
modified, or disapproved by order of the director of agriculture.
The order shall not be issued until more than ten days have
elapsed following the applicant's receipt of the report and
recommendation as provided by this section. The director's
approval, modification, or disapproval of the hearing officer's
recommendation shall have the same effect as if the hearing had
been conducted by the director. No recommendation shall be final until approved, modified,
or disapproved by the director as indicated by the order entered
on the record of proceedings of the department. If the director
modifies or disapproves the recommendations of the hearing
officer, the director shall include in the record of the
proceedings the reasons for the modification or disapproval. After an order is entered on its journal, the department
shall make payment, if applicable, to the applicant from the
auction recovery fund in accordance with the order and shall
provide to the applicant by certified mail, return receipt
requested, a copy of the order and a statement of the time and
method by which an appeal may be perfected. In addition, the
department shall mail a copy of the order to the attorney or other
representative of the applicant. (F) An order of the director issued under this section
constitutes a final determination of the director for purposes of
appeal. An applicant who is denied compensation from the auction
recovery fund or who receives an award less than the award
requested may appeal the order of the director. Notices of appeal
shall be filed in the manner provided in section 119.12 of the
Revised Code.
Sec. 4707.32. (A) A person who asserts that the person has been aggrieved solely by the actions of an auction firm that resulted in actual and direct losses to the aggrieved person may seek recovery under the auction firm's financial responsibility that is required under section 4707.074 of the Revised Code. The director of agriculture shall adopt rules under section 4707.19 of the Revised Code that do all of the following:
(1) Establish procedures for filing a claim against an auction firm's financial responsibility;
(2) Establish procedures that provide for the equitable disbursement of money for multiple claims against the auction firm that resulted from the same circumstances;
(3) Establish procedures for providing notice to the department of agriculture from a person seeking recovery under this division;
(4) Limit an aggrieved person's recovery to the actual and direct losses caused by the auction firm.
(B) A person who asserts that the person has been aggrieved by the actions of both an auction firm and a licensed auctioneer related to an auction that resulted in actual and direct losses to the aggrieved person may file a cause of action with a court of competent jurisdiction claiming that a violation of this chapter or rules adopted under it resulted in the actual and direct losses. The court shall determine if there was a violation of this chapter or rules adopted under it that resulted in those losses. If the court determines that the auction firm, the licensed auctioneer, or both violated this chapter or rules adopted under it and that the violation resulted in the aggrieved person's actual and direct losses, the court shall determine the percentage of culpability, in relation to one hundred per cent, that is attributable to each party to the action from whom the complainant seeks recovery.
If the court finds that the percentage of culpability that is attributable to the licensed auctioneer is greater than zero, the aggrieved person may initiate a claim against the auction recovery fund in accordance with sections 4707.26 to 4707.31 of the Revised Code to recover that percentage of the actual and direct losses sustained by the person. If the court finds that the percentage of culpability that is attributable to the auction firm is greater than zero, the aggrieved person may recover that percentage of the actual and direct losses sustained by the person under the auction firm's financial responsibility that is required under section 4707.074 of the Revised Code.
The total aggregate amount that is paid to the aggrieved person from the auction recovery fund and the auction firm's financial responsibility shall not exceed the actual and direct losses sustained by the person. In addition, the total aggregate amount that is paid from the auction recovery fund shall not exceed the dollar limitations established in section 4707.29 of the Revised Code, and the total aggregate amount that is paid from the auction firm's financial responsibility shall not exceed the dollar limitations established in section 4707.074 of the Revised Code.
(C) If a person files a cause of action under division (B) of this section, the person immediately shall send written notice to the department of agriculture.
Sec. 4707.99. (A) Whoever acts as an auctioneer,
apprentice
auctioneer, or special auctioneer as defined in violates
section 4707.01 4707.02 of
the Revised Code, without first obtaining a
license, upon
conviction thereof, shall be fined not less than
one hundred nor
more than one thousand dollars, or imprisoned not
more than ninety
days, or both is guilty of a misdemeanor of the first degree on the first offense and a felony of the fifth degree on each subsequent offense. (B) Whoever violates this chapter or any rule promulgated adopted
by
the department of agriculture in the administration of this
chapter,
for the violation of which no penalty is provided, shall
be fined
not less than fifty nor more than two hundred dollars is guilty of a misdemeanor of the first degree. (C) Whoever violates section 4707.151 of the Revised Code
shall be fined not more than fifty thousand dollars, or
imprisoned
not more than one year, or both is guilty of a felony of the fifth degree on the first offense and a felony of the fourth degree on each subsequent offense.
(D) Notwithstanding section 1901.31, 1907.20, or 2335.37 of the Revised Code, the clerk of the court shall transmit to the treasurer of state for deposit into the state treasury to the credit of the auction education fund created in section 4707.171 of the Revised Code fifty per cent of any fine imposed under this section. Sec. 4727.03. (A) As used in this section, "experience
and
fitness in the capacity involved" means that the applicant
for a
pawnbroker's license demonstrates sufficient financial
responsibility, reputation, and experience in the pawnbroker
business, or in a related business, to act as a pawnbroker in
compliance with this
chapter.
"Experience and fitness in the
capacity involved" shall be
determined by: (1) Prior or current ownership or management of, or
employment in, a pawnshop; (2) Demonstration to the satisfaction of the
superintendent
of financial institutions of a
thorough working knowledge of all
pawnbroker laws and rules as they relate to
the actual operation
of a pawnshop. A demonstration shall include a demonstration of an ability
to properly
complete forms, knowledge of how to properly calculate
interest and storage
charges, and knowledge of legal notice and
forfeiture procedures. The final
determination of whether an
applicant's demonstration is adequate rests with
the
superintendent of financial institutions. (3) A submission by the applicant and any stockholders,
owners, managers, directors, or officers of the pawnshop, and
employees of the
applicant to a police record check; and (4) Liquid assets in a minimum amount of one
hundred
thousand dollars at the time of applying for initial licensure
and
demonstration of the ability to maintain the liquid assets at
a
minimum amount of fifty thousand dollars for the duration
of
holding a valid pawnbroker's license. (B) The superintendent may
grant a license to act as a
pawnbroker to any person of good character and
having
experience
and fitness in the capacity involved to engage in the
business of
pawnbroking upon the payment to the
superintendent of a license
fee determined by the superintendent
pursuant to section 1321.20
of the Revised Code. A license is not
transferable or assignable. (C) The superintendent may consider
an application withdrawn
and may retain the investigation fee required under division (D) of this section if both of
the following are
true: (1) An application for a license does not contain all of the
information required under division (B) of this section. (2) The information is not submitted to the superintendent
within
ninety days after the superintendent requests the
information from the
applicant in writing. (D) The superintendent shall require an
applicant for a
pawnbroker's
license to pay to the superintendent a nonrefundable
initial
investigation fee of
two hundred dollars, which is for the
exclusive use of the state.
The (E)(1) Except as otherwise provided in division (E)(2) of this section, a pawnbroker's license shall be issued by the
superintendent and
shall expire expires on
the thirtieth day of June next
following the date of its
issuance, and may be renewed annually by the thirtieth day of June in accordance with the standard renewal procedure set forth in Chapter 4745. of the Revised Code. Fifty per cent of the annual
license fee shall be for
the use of the state, and fifty per cent
shall be paid by the
state to the municipal corporation, or if
outside the limits of
any municipal corporation, to the county, in
which the office of
the licensee is located. All such fees
payable to municipal
corporations or counties shall be paid
annually. (E) Every (2) A pawnbroker's license shall be issued or renewed
annually by
the
thirtieth day of June according to superintendent on or after January 1, 2006, expires on the thirtieth day of June in the even-numbered year next following the date of its issuance or renewal, as applicable, and may be renewed biennially by the thirtieth day of June in accordance with the standard renewal
procedure
of set forth in Chapter 4745. of the Revised Code. Fifty per cent of the biennial license fee shall be for the use of the state, and fifty per cent shall be paid by the state to the municipal corporation, or if outside the limits of any municipal corporation, to the county, in which the office of the licensee is located. All such fees payable to municipal corporations or counties shall be paid biennially.
(F) The fee for
renewal of a
license shall be equivalent to the fee for an initial
license
established by the superintendent pursuant to
section
1321.20 of the Revised Code. Any licensee who wishes to
renew the
pawnbroker's license but who fails to do so
on or
before the
thirtieth day of June date the license expires shall reapply for licensure in the same
manner and pursuant to the same requirements as for initial
licensure, unless the licensee pays to the
superintendent on or
before the
thirty-first day of August of the year the license
expires,
a late renewal penalty of one hundred dollars in addition
to the
regular renewal fee. Any licensee who fails to renew the
license on or before the thirtieth day of June date the license expires is prohibited
from
acting as a pawnbroker until the license is renewed
or a new
license is
issued under this section. Any licensee who renews a
license
between the first day of July and the thirty-first day of
August of the year the license expires
is not relieved from complying with this division. The
superintendent
may refuse to issue to or renew the license
of any
licensee who violates this division. (F)(G) No license shall be granted to any person not a resident
of
or the principal office of which is not located in the
municipal
corporation or county designated in such license unless
that
applicant, in writing and in due form approved by and filed
with
the superintendent, first appoints an agent, a resident
of
the state,
and city or county where the office is to be located,
upon whom
all judicial and other process, or legal notice,
directed to
the applicant may be served. In case of the death,
removal from the
state, or any legal disability or any
disqualification of any
such agent, service of such process or
notice may be made upon
the superintendent.
The superintendent may, upon notice to the licensee and
reasonable opportunity to be heard, suspend or revoke any license
or assess a penalty against the licensee if the licensee, or the
licensee's officers, agents, or employees, has violated
this
chapter.
Any penalty shall be
appropriate to the violation but in
no case shall the penalty be
less than two hundred nor more than
two thousand dollars.
Whenever, for any cause, a license is
suspended or revoked, the
superintendent shall not issue another
license to the
licensee nor to
the legal spouse of the licensee,
nor to any business entity of which the licensee is an officer
or
member or partner, nor to any
person employed by the licensee,
until the expiration of at least two years
from
the date of
revocation or suspension of the license. The
superintendent
shall deposit all penalties allocated
pursuant to this
section
into the state treasury to the credit of the consumer
finance
fund. Any proceedings for the revocation or suspension of a
license
or to assess a penalty against a licensee are subject to
Chapter
119. of the Revised Code. (G)(H) If a licensee surrenders or chooses not to renew the
pawnbroker's license, the licensee shall notify the
superintendent
thirty days prior to the date on which the
licensee intends to
close the licensee's business as a
pawnbroker. Prior to the date,
the licensee shall do either of the following
with respect to all
active loans:
(1) Dispose of an active loan by selling the loan to
another
person holding a valid pawnbroker's license issued under
this
section; (2) Reduce the rate of interest on pledged articles held
as
security for a loan to eight per cent per annum or less
effective
on the date that the pawnbroker's license is no longer
valid. Sec. 4727.04. (A) An application for a
pawnbroker's
license
shall state fully the name and address of the applicant
and of every member, partner,
stockholder, or owner of an
applicant, and the
location of the office or place of business in
which the business
is conducted; and in the case of a corporation,
shall also state
the date and place of its incorporation, the name
and address of
its manager, the names and addresses of its
directors, the name
and address of the agent as provided in
section 4727.03 of the
Revised Code, and any other information
required by the
superintendent
of financial institutions. The license shall be kept posted in a conspicuous place in
the office where the business is transacted. No person so
licensed shall transact or solicit business under any other name
or at any location other than at the address stated in the
person's license. No licensee may move the licensee's
business
location without
prior notification to the superintendent of
at
least thirty days. If the licensee moves out of the municipal
corporation
or county
in which the licensee was originally
licensed,
the licensee shall pay an additional
annual license fee equivalent to the fee for an initial license
to be distributed in accordance with section
4727.03 of the
Revised Code. (B) The superintendent
may issue to a pawnbroker licensed
under this chapter a temporary
exhibition permit pursuant to
division (C)(1) of section 4728.04
of the Revised Code. (1) A licensee who wishes to be issued a temporary permit
pursuant to division (C)(1) of section 4728.04 of the Revised Code
shall make
request for such issuance by letter addressed to the
superintendent. The
letter of request shall contain the
licensee's name, permanent business
address, and license number. (2) Upon receipt of a temporary exhibition permit, the
permit holder shall
conspicuously display the permit at the place
where the permit holder
transacts
business at any auction,
convention, exhibition, fair, or show. (3) Every permit holder who wishes to participate in an
auction,
convention, exhibition, fair, or show, at least two weeks
prior to its
opening, shall notify the superintendent and the
chief of police of the
municipal corporation in which the event is
to take place, or if the event is
to take
place outside of any
municipal corporation, then the sheriff of the county in
which the
event is to take place. Such notification shall be by letter and
shall
include the permit holder's name, permanent business
address, and permit
number, and the place where the event is
scheduled to be held. (C) Every licensee shall post at the main door of the
licensee's
place of business the hours or times when the
establishment is open for
business. No licensee shall collect
interest and storage on any loan for any
regular business day that
the establishment is not open for business as
posted, unless prior
notice of a closing is posted on the door or the closing
is
occasioned by an act of God, unforeseen emergency, or other event
beyond the control of the licensee. A licensee shall notify the
superintendent of any change in the posted hours of operation. (D) No licensee shall fail to observe the posted hours of
operation pursuant to division (C) of this section except as
authorized by that division. Sec. 4727.06. (A) No pawnbroker shall charge, receive, or
demand interest for any loan in excess of five per cent per month
or fraction of a month on the unpaid principal. Interest shall be
computed
on a monthly basis on the amount of the principal
remaining unpaid on
the first day of the month and shall not be
compounded. (B) In addition to
the rate of interest limitation imposed
pursuant to division (A) of this section, the licensee may
charge
no more than: (1) Three Four dollars per month or fraction of a month
for all
pledged articles held as security or stored for a loan, to be
agreed to in writing at the time the loan is made;
(2) Four dollars plus the actual cost of shipping, when the
licensee is to deliver or forward the pledged article by express
or
parcel
post to the
pledgor; (3) Two dollars for the loss
of the original statement
issued to the pledgor by the licensee
pursuant to section 4727.07
of the Revised Code upon redemption
of the pledged articles; (4) Two dollars for the cost of notifying a pledgor by
mail
that the pledged articles may be forfeited to the licensee
pursuant to
section 4727.11 of the Revised Code.
(C) A licensee who complies with the requirements or
procedures of this state pursuant to the application of the
"Brady
Handgun Violence Protection Act," 107
Stat. 1536 (1993), 18
U.S.C.A. 922, as amended,
may charge any fee the licensee is
required by
law to pay in order to comply with such requirements
or
procedures. The licensee may charge no more
than two dollars
for providing services in compliance with such
requirements or
procedures. (D) A pledgor may pay a portion of the outstanding principal
loan
balance at any time. A pledgor may redeem a pawn loan at any
time after
seventy-two hours have passed since the pledge was
made. A pledgor may not
prepay
interest or storage charges,
except when the pledgor redeems the pledged
property.
SECTION 2. That existing sections 505.94, 1321.20, 2925.01, 4517.02, 4707.01, 4707.02, 4707.021, 4707.03, 4707.04, 4707.05, 4707.06, 4707.07, 4707.071, 4707.072, 4707.08, 4707.09, 4707.10, 4707.11, 4707.111, 4707.12, 4707.14, 4707.15, 4707.151, 4707.16, 4707.171, 4707.18, 4707.19, 4707.20, 4707.21, 4707.22, 4707.26, 4707.99, 4727.03, 4727.04, and 4727.06 of the Revised Code are hereby repealed.
SECTION 3. To facilitate implementation of the schedule for the biennial expiration of auctioneer's licenses and special auctioneer's licenses that is established in division (B)(2) of section 4707.10 of the Revised Code, as amended by this act, both of the following apply with respect to such licenses that are issued during the time period beginning July 1, 2005, and ending June 30, 2006:
(A) Upon payment of a licensure fee in the amount of two hundred dollars, an applicant for an initial license or license renewal whose last name or business name, as applicable, begins with the letters "A" through "J" or with the letters "X" through "Z" shall be issued a license that expires on June 30, 2007.
(B) Upon payment of a licensure fee in the amount of one hundred dollars, an applicant for an initial license or license renewal whose last name or business name, as applicable, begins with the letters "K" through "W" shall be issued a license that expires on June 30, 2006.
The provisions concerning license renewal that are established in section 4707.10 of the Revised Code, as amended by this act, apply to all licenses that expire after the effective date of this act.
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