Chapter 5.20 - CLOSE-OUT SALES

Sections:


5.20.010 - Purpose.

The purpose of this chapter is to safeguard the public and encourage competition by prohibiting unfair, dishonest, deceptive, destructive, fraudulent, and discriminatory practices by which fair and honest competition is destroyed or prevented and by which members of the public are injured.

(Prior code § 5-18.00)

5.20.020 - Liberal construction.

This chapter shall be liberally construed so that its beneficial purposes may be served.

(Prior code § 5-18.01)

5.20.030 - Definitions.

Whenever used in this chapter, the following terms shall mean:

"Publish," "publishing," "advertisement," and "advertising" mean any and all means of conveying to the public notice of sale or notice of intention to conduct a sale, whether by word of mouth, by newspaper advertisement, by magazine advertisement, by handbill, by written notice, by printed notice, by printed display, by billboard display, by poster, by radio, or television announcement and any and all means including oral, written or printed.

"Sale" means the sale or an offer to sell to the public, goods, wares and merchandise of any and all kinds and descriptions on hand and in stock in connection with a declared purpose, as set forth by advertising on the part of the seller that such sale is anticipatory to the termination, closing, liquidation, revision, wind-up, discontinuance, conclusion or abandonment of the business at its existing site in connection with such sale. It shall also include any sale advertised to be a "fire-sale," "adjustment sale," creditor's sale," "trustee's sale," "liquidation sale," "reorganization sale," "alteration sale," "executor's sale," "administrator's sale," "insolvent sale," "insurance salvage sale," "mortgage sale," "assignee's sale," "adjustor's sale," "receiver's sale," "loss-of-lease sale," "wholesaler's closing-out sale," "creditor's committee sale," "forced-out-of-business sale," "removal sale," "emergency sale" and any and all sales advertised in such manner as to reasonably convey to the public that upon the disposal of the stock of goods on hand, the business will cease and be discontinued at the place of sale.

(Prior code § 5-18.02)

5.20.040 - Regulation of sales.

The Chief of Police is authorized to supervise and regulate sales as defined in Section 5.20.030.

(Prior code § 5-18.03)

5.20.050 - Licenses.

It is unlawful for any person to publish or conduct any sale of the type defined in this chapter without a license therefor.

(Prior code § 5-18.04)

5.20.060 - Application for license.

A.

Every application for a license required by this chapter shall be in writing and shall be verified under oath.

B.

Such application must contain:

1.

A description of the place where such sale is to be held;

2.

The nature of the occupancy, whether by lease or sublease, and the effective date of termination of such occupancy;

3.

The means to be employed in publishing such sale, together with the proposed content of any advertisement;

4.

An itemized list of the goods, wares, and merchandise to be offered for sale, together with the cost at which the goods, wares and merchandise were obtained by the owner thereof, or person conducting such sale;

5.

The place where such stock was purchased or acquired, and if not purchased, the manner of such acquisition; and in the case of stock placed upon the premises within ninety (90) days prior to such sale, the time of acquisition of such stock;

6.

The name of the owner of the goods, wares and merchandise to be offered for sale; and if the sale is to be conducted by a person not the owner of the goods, then the name of the person conducting such sale;

7.

Any additional information as the Chief of Police may require.

(Prior code § 5-18.05)

5.20.070 - Term of license.

Upon the filing of such application, the Chief of Police, after investigation thereof and determining that the provisions of this chapter have been complied with, shall issue such license for a period not to exceed thirty (30) days. If the Chief of Police determines that the provisions of this chapter have not been complied with, the application must be denied.

(Prior code § 5-18.06)

5.20.080 - Term of renewals.

A.

Upon satisfactory proof by the licensee that the stock itemized in the original application has not been disposed of, the Chief of Police may renew such license for an additional thirty (30) day period.

B.

Such proof shall be furnished on a form supplied by the Chief of Police. It shall contain an itemized list of stock on hand and shall be verified under oath.

C.

The Chief of Police shall cause the same to be examined and investigated and, if satisfied as to the truth of the statements therein contained, the Chief of Police may issue a renewal license for a period of not to exceed thirty (30) days; provided, however, that a maximum of three such renewals may be granted for any such sale for the same location within one year from the issuance of the original license.

(Prior code § 5-18.07)

5.20.090 - Rules and regulations.

The Chief of Police may make such rules and regulations for the conduct and advertisement of such sales as, in his or her opinion, will serve to prevent deception and to protect the public.

(Prior code § 5-18.08)

5.20.100 - Display of license.

Upon commencement of any such sale, the license therefor shall be conspicuously displayed near the entrance to the premises.

(Prior code § 5-18.10)

5.20.110 - Stock records.

A.

A duplicate original of the application and stock list pursuant to which such license was granted shall be available at all times to the Chief of Police or to his or her inspectors, and the licensee shall permit such inspectors to examine all merchandise on the premises for comparison with such stock list.

B.

At the close of business each day the stock list attached to such application shall be revised, and items on such list disposed of during such day shall be noted thereon.

C.

Suitable books and records as prescribed by the Chief of Police shall be kept by the licensee and shall be available at all times to the inspectors of the Police Department.

(Prior code § 5-18.11)

5.20.120 - No additional goods.

No goods, wares or merchandise shall be permitted to be offered for sale at the place of business where such sale is to be conducted other than those items listed in the inventory filed with the application for the license.

(Prior code § 5-18.12)

5.20.130 - Advertising.

A.

All advertising shall be descriptive of the nature of such sale as stated in the application therefor. The language in such advertising shall be identical with the advertising content as indicated in the application.

B.

It is unlawful to indicate in such advertising, either directly or indirectly, that such sale is held with the approval of the Chief of Police.

C.

Such advertising shall contain a statement in the following words and no others: "Sale held pursuant to License No.;#rule; of the City of Oakland, granted the ;yrrule; day of ____________," and in such blank spaces the license number and the requisite dates shall be indicated.

(Prior code § 5-18.13)

5.20.140 - Exemptions.

The following persons shall be exempt from the provisions of this chapter:

A.

Persons acting pursuant to an order of the process of a court of competent jurisdiction;

B.

Sheriffs and marshals acting in accordance with their powers and duties as public officers;

C.

Duly licensed auctioneers, selling at auction.

(Prior code § 5-18.14)