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HomeMy WebLinkAbout047 - 08/19/1975 - REGULATING THE CONDUCT OF GOING-OUT-OF-BUSINESS SALES _ ram ORDINANCE NO 47 1975 BEING AN ORDINANCE REGULATING THE CONDUCT OF GOING-OUT-Or-BUSINESS SALES BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS Section 1 Definitions The following words and phrases shall be considered to have the meaning hereinafter indicated A "Going-out-of-business sale is a sale held out in such a manner as to reasonably cause the public to believe that upon the disposal of the stock of goods on hand the business will be discontinued and terminated Going-out-of- business sales include but are not limited to the following sales adjustors adjustment alteration assignees bankrupt benefit of administrators benefit of creditors benefit of trustees building coming down closing creditors committee creditors end executors final days forced out forced out of business insolvent last days lease expires liquidation loss of lease mortgage sales receivers trustees quitting business B "Goods" shall mean and include any goods wares merchandise or other property capable of being the object of a sale regulated hereunder Section 2 License Required A license issued by the Director of Finance shall be obtained by any person before selling or offering to sell any goods at a sale to be advertised or held out by any means to be a going-out-of-business sale Such license shall be obtained by filing an application for a license with the Director of Finance on a form furnished by him The application fee shall be Twenty-Five Dollars ($25 00) Section 3 Eligibility for License A Any person who has not been the owner of a business advertised or described in the application for a license here- under for a period of at least six (6) months prior to the date of the proposed sale shall not be granted a license provided however that upon the death of a person doing business in the City of Fort Collins his or her heirs devisees legatees or personal representatives shall have the right to apply at any time for a license hereunder B Any person who has held a sale regulated hereunder at the location stated in the application within one (1) year prior to the date of application shall not be granted a license for a sale of the same type of goods i C The provisions of this ordinance shall not apply to or affect the following persons 1 Persons acting pursuant to an order or process of a court of competent jurisdiction 2 Persons acting in accordance with their powers and duties as public officials 3 Duly licensed auctioneers selling at auction 4 Persons conducting a sale of the type regulated herein on the effective date of this ordinance unless such sale is continued for a period of more than forty-five (45) days from and after such effective date in which event such person at the lapse of said ninety-day period shall comply with the provisions of this article Section 4 Term of License Any license granted hereunder shall authorize the sale described in the application for the period of time requested by the applicant not to exceed forty- five (45) consecutive days Sundays and legal holidays excluded Any license holder may apply for two extensions of the license not to exceed an additional thirty (30) dayseach An application fee shall be charged by the Director of Finance on an applica- tion for extension in the amount of Fifty Dollars ($50 00) Section 5 Application for License The license applica- tion shall contain such information as required by the City Manager and the Director of Finance including the following A The true name and address of the owner of the goods to be the object of the sale be held B A description of the place where such sale is to C The nature of the occupancy of such place whether by lease sublease or otherwise and the effective date of termination of such occupancy (if applicable) D The date and period of time in which the sale is to be conducted E A full and complete statement of the facts in regard to such sale including the reason for the urgent and expeditious disposal of goods thereby and the manner in which the sale will be conducted F An inventory or statement in such form and in such detail as the City Manager may require setting forth the amount -2- and description and kind of goods to be sold at such sale and when required by the City Manager the date of acquisition of such goods the persons from whom obtained and the place from which said goods were last taken Section 6 Issuance of License Upon the filing of an application the Director of Finance shall refer the same to the City Manager who shall make or cause to be made an investiga- tion examination or audit of the applicant and his affairs in relation to the proposed sale The investigation of the City Manager shall be completed and action talen on the application by the City within seven (7) days after filing of the application If the City Manager finds the statements in the application are true and complete and the proposed method of conducting the sale is not such as to work a fraud on purchasers by misrepresentation or deception then he shall direct the Director of Finance to issue a license otherwise the license shall be denied The City Manager may deny a license on insufficiency of information in the applica- tion statement or inventory but in that event he shall notify the applicant in writing of the specific grounds of insufficiency and shall grant the applicant time within which to file an amended or supplemental application statement or inventory No applica- tion shall be denied unless an opportunity is given to the applicant for a hearing within five (5) days after written notice of Intent to Deny Section 7 Duties of Licensee Any licensee hereunder shall A Refrain from employing any untrue deceptive or misleading advertising B Limit the sale of goods under such special sale to those goods on hand or on order as of the license application date unless and until the applicant has filed a supplemental application and inventory or statement for said additional goods with the City Manager and the City Manager has found that said additions are required or desirable to aid in the conduct of the sale of goods in the original inventory Said supplemental inventory or statement shall be in such form and detail as may be required by the City Manager If said supplemental inventory or statement is found to be insufficient written notice thereof shall be given to the applicant and he shall be granted permission to amend the same The applicant shall not be denied the right to add additional goods unless he is given an opportunity for a hearing within five (5) days after written notice of intent to deny the application C Conduct the licensed sale in strict conformity with any advertising or holding out incident thereto D Cease all advertising or such special sale on the expiration date of the license or any renewal thereof -3- E Post conspicuously in the place of business the license document issued by the Director of Finance F Keep any other goods separate and apart from the goods listed in the filed inventory as being the objects of sale and male such distinction clear to the public by placing tags on all inventoried goods in and about the place of sale advising the public of the status of all such goods Section 8 License Not Transferable No license issued hereunder shall be assignable or transferable Section 9 Power to Suspend or Revoke In addition to any other penalties herein provided the City Manager shall have the power to suspend or revoke at any time any license granted under this ordinance whenever any such sale is conducted in violation of the provisions of this ordinance or the licensee breaches any duty imposed upon him by the terms hereof No license shall be suspended or revoked without granting the licensee an opportunity for a hearing after at least five (5) days written notice of the date set for such hearing and a concise written statement of the alleged violation Section 10 Penalty Each day that a person shall violate any of the provisions of this ordinance shall be deemed and considered to constitute and shall constitute a separate offense and shall be punishable as such Any violation shall be con- sidered a misdemeanor and shall be punishable as any other violation of the Code of the City of Fort Collins Introduced considered favorably on first reading and ordered published this 5th day of August A D 1975 and to be presented for final passage on the 19th day of August A D 1975 ATTEST 1Mayor Ci y C erk Passed and adopted on final reading this 19th day of August A D 1975 ATTEST ayor City Clerk eputy) -4-