HomeMy WebLinkAbout0134ORDINANCE NO. 134 (1959 Series) REPEALED
AN ORDIIam OF TAE CITY OF SAN LUIS OBISPO ADDING
CAAPTER 5 TO ARTICLE VI OF THE SAN LUIS OBISPO
WNICIPAL CODE, PERTAINING TO CLOSING OUT SAILS.
THE CITY OF SAN LUIS OBISPO DOES ORDAIN AS POILOWS:
SECTION 1. That Section 6500 of Outpter 5, Article V1, of the San
Luis Obispo Iiaanicipal Code is hereby added to read as follows
Chapter 5 —Fire and Closing Out Sales
SECTION 6500
Definitions. For the purpose of this chapter only, the follow-
ing words and terms shall be deemed to man and be construed as
follows:
(1) "Sale." Any sale of or any offer to well, to the public,
or any group thereof, goods, hares or merchandiae on order, in transit
or in stock, in connection with a declared purpose as set forth by
advertising that such sale is anticipatory to or to avoid the termi-
nation, liquidation, revision, wtidup, discontinuance, rewva.l, dis-
solution or abandorwent of the business or that portion of the
business conducted at any location; and
All sales( advertised in any manner calculated to convey to the
public the belief that upon the dispo"l of the goods to be placed
on sale, the business or that portion thereof being conducted at
any location will cease, be removed, be Interrupted, discontinued
or changed; end
All sales advertised to be "Adjuster's Sale," "Adjuustmerat Sale,"
"Assignee's Sale," "Bankrupt Sale," "Benefit of Administratar's Sale,"
"Benefit of Creditors" Sale," "Benefit of T'rosteas" Sale," "Building
Coming Down Sale" "Closing Sale," "Closing Out Sale," "Creditors'
Committee Sale," "Creditors' Sale," "Damaged Goods Sale," "Fad Sale,"
tecutors' Sales" "Final Days Sale," "Fire Sale," "Forced Out Sale,"
"Forced Out of Business Sale," "Insolvent Sale," "Insurance Salvage
Sale," "Last Days: Sale," "lease Expires Sale," "lease Expiri -ag Sate,"
"Liquidation Sale," "Lose of Lease Sale," "Mortgage Sale," °'outselling
REPEALED
Sale." "Receiver's Sale," Removal Sale. "'Rao5rvpniaa.tinn 1.3all o °' ►��� �,� f.� �gz M ►
"Selling Coat Sale," "Smoke Sale, " "Smoke and Water Sale," "T'rustee's Sale,"
}
"Quitting Eusine ,__ Sale, " "Wholesale Closing Out : ,e,", "we quit Sale,"
"We Give Up Sale," "Fixtures for Bale," or advertised by any other
expression or characterization closely similar to any of the foregoing
and calculated to convey the same meaning; and
All sales advertised in a manner calculated to indicate that the
goods, wares or merchandise to be sold, or any part thereof, have been
involved in any business failure or have been derived from a business
which has failed, been closed, discontinued or liquidated; and
All sales accompanied by notice or advertising indicating that the
premises are available for purcUse or lease or are otherwise to be va-
cated; and
All sales accompanied by advertising iiadicating a business emer-
gercy or failure affecting the seller or air previous holder of the goods
to be disposed of.
(2) "Advertise," "Advertiament," " Advertising," "Publish,"
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"Publication," shall mean any and all means, whether oral., written,
lettered or printed, used for conveying to the public notice of the con-
duct of a sale as defined herein, or notice of intention to conduct such
sale, including but not limited to oral or written announcements by pro -
clamation or outcry, newspaper advertisement, magazine advertisement,
handbill, written or printed notice, printed display, billboard display,
poster, radio mmouncesmt or television.
(3) "Permit " shall mean a permit issued pursuant to this chapter.
(4) "Permittee " shall mean any person to whom a permit has been
issued pursuant to this chapter.
(5) "Clerk" shall mean the City Clerk.
SECTION 6501
Permit Rem. No person or persons, company or corporation
shall hereafter publish or donduct any sale of the type herein defined
without first obtaining a permit therefor from the Clerk in the manner
hereinafter provided In this chapter.
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SF, CTM.,1 6502
Application For and Granting of Permit. No permit to conduct a
sale as defined herein shall be granted except upon written application
to tle Clerk at least fifteen (15) days before the sale is to comence,
signed and verified before a person authorised to administer oaths, by
the person who intends to conduct sale, or, in the case of a corporation,
by an officer and'the manager of the store, and each application shall.
set forth and contain the following:
held
(1) Street address sand type of building where such sale is Lo be
(2) The nature of the occupancy, whether., by ownership, lease or
sublease, acid if. by 'lease or. 'sublease, the effective date of the te ha-
tion of such tenancy and the name of the owner;
:(3) A copy of all advertisements proposed to be used in connection
with such sale, and a statement of the means-or methods of advertisir�g
to be used in'advertising such sale;
(4) The facts in regard to the insurance, bankruptcy, insolvency,
assignment, mortgage foreclosure, administration, receivership, trustc� --
ship, removal, executorship removal, or other cause advertised to be the
reason for the proposed sale;
(5) An inventory or statement, in such.' form and in such detail as
the Clerk may require, .settSng forth the amount and description of goods,
warep, and merchandise to be sold at.such scale, and, when required by the
Clerk, date of " Acquisition of such godde, wares or merchandisy, and the
persons from whom obtained and the place from which said goods were last
takers.
(6) if the sale implies that the business is closing, a statement
thmt the applicaaat intends to close and remove from the premises and the
tims when he intends so to do.
T'he Clem may require that all goods, wares and merchandise listed
upon the inventory or statement shall be so described In detail by the
marmufacturew: a name and pot number, the individual number of articles:
so ns. bered, colors, si-yes and otheralse, that dare identity of such goods
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with the goods listed on such Lwentory can be readily determined. Me
Clark my require 11--hat c-AM"h item listed on the itr,7emtory shall be tagged
with a labe'l or tag ss�-.urely attached thereto, on which thare is witton
or printed a nu=Jer correLpending with that item on the inventory.,
Upon the filing of the application, the Clerk may make or caui-sc, tc
he made an e=m1-=tLon,, audit or inveatigation of the applicant mad his
affairs, In relation to the: proposed sale.
No permit shall be lissuad if any one or more of the follmAng Fasts
or --ircumma Laces are found to exist:
(a) That applicaot either alone, or in assocta•ion with others wan
granted a. license hereunder for a "close-out" type of sale within one
(1) year preceding the date of the fall of the application..
(b) That the inventory includes goads, varies and merch�andiaa pur-
chased by the applicant or added to his stock In contemplation of such
sale and for the purpose of selling the saw at such sale.. For the v_-
pose of this sub-paragraph-, any unusual addition to the stocks of ouch
goods wares and warchandise made within sixty (60) d-Ajm priar to thc-:
filing of such application ahall be prima facie evidence that ouch addi-
lt,lon was r—ade in contemplation of such sale and for the purpose of oell-
ing the Sarx- at ouch Sale.
(c) The acquisition by applicant of a bankrupt stock of goads
or sirAlar mrchandise lot from another area Trithin six (6) nths of
application..
(d) That any representation maAe In the: application it false.
(e) That the applicant has not operated as a retail wxchanut at
that location for at leapt one year prior to date of sale.
(f) That the inventory Is Incomplete.
(g) That the advertising set forth is false, fraudulent, deceptive
or wisleading In any respect.
(h) That the methods tobbe. used by the applicant in conducting the
aale are such as, in the opinion of the Clerk, will work a fraud upon
the purchasera.
Vi i) 'Me, applicant or other par�ona connected with the gale
=rally unfit or have been convicted of a crim involving mc-al turpitude.
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TV Clerk ray reMsse a permit because of the insufficiency of
the information set forth in the application, but in such event the
Clerk shall grant the applicant permiscioa to file an amanded applica-
tion.
loo application, hover, shall be denied unless an opportunity for
a hearing before the City Council has been givens the applicant. Ebtice
of the hearing shall be effected by personal delivery of the notice to
the applicant or by depositing in the United States mail such notice,
addressed to the applicant at MY address given in the application.
SECTION 6503
F'Oc. Vb Wlication for any suth permit aball be accepted by the
Clerk for filing awnless aea ompanied by a filing fee in the amount of
Two Hundred nifty Dollars ($250.00). The applicant shall be urged
Mr the it mestigati.on of the application, and any investigation during
the sale at the actual cost of such Investigation. Such costs shall
be deducted from the filing fee of the applicant and any amount re irn
ing shall be refunded to the applicant. if-the filing fee is In uffi.clent
to pay the cots, the Clerk tahall satifp the applicant in writing of
that fact and absll set forth the estimated additional necessary e=pcnass,
and the applicant shall then deposit with the Clark such additional
amount. If such additional amount is not deposited within five (5) days,
the application shall lapse and any further proceedings for a permit must
be pursuant to a rev application.
SECTION 6504
Statement. Fah peralt issued under the provisions of gels section
shall have printed, written or stamped on the face thereof the following:
"We permit is granted Q the City Clark and accepted by the per-
mittee, its officers, agents, and employees, upon the condition that such
permi.ttee comply with and abide by all the provisions of Chapter 5,
Article VI of the San. Lis Obispo Knicipal Codd' with a line thereunder for
signature by the pew tree and a witness.
At the time of the delivery of ,aawi.d permit such statement mast be
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signed by the permittea, or are officer or manager, in the presence Of
the Mark or one of his deputies.
SEMON 6503
Covditions ofd. Any permit Lacued under the provisions of
this charter shall authorize the one tM at sale named in the appl.i=
cation' at the place named therein, for a period of not mw a than thirty
(30) calendar days, and shall permit the sale of goods only which Ord
set out in said application, all of which goods throughout the duration
of the sale must be definitely separated from any other goods displayed
at, or within the stare or place of business, and all advertising, signs
or notices referring to, or caliiuS atttgtiou to the sale, mot be cot -
fined to the display, or displays of goods involved in the sale.
Provided, however, that the Clerk may, upon a verified application
therefor, read said permit for a period of not to. exceed 30 days upon
the paywnt of a renewal fee in the scan of Two Mmdred Nifty Dollars
(V250.00,, Which sum shall be used in tha cam manner as hbretofore pre-
scribed for the filing fee. Such verified petition for renewal shall
set forth & coWlete list of goods, listed In the original application
and remaiaing unsold, and shall not contain any goods, wares or mer-
chandise not nmed in sueh original application. Upon receipt of such
application for re al the Clerk doll eviae an investigation to be
made at once, axkA if satisfied of the truth of the statejn�ntc therein
coittai ned, the Clerk shall mat reach reamal., which shall be endorsed
acid signed as provided for the original permit
SECTION 6506
Rules and P_- lations. Such pesrmtEt shall be valid only for the
advertising, rrepreis mtatiorn and sale of the particular goods, wares
or werchandiss described in the original application therefor, and at
the particular tier, and particular place stated thew, and by the
particulars applfeant, and any rcera*y4, rropl.enishment of substitution
of such goods, wares or merehandise, or change of such time or place
for such sale, or change of person cooducting the sale, shall be Un-
l nmful and shall render such permit void, go person In comtempla.tion
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of conducting any such sale or special sale, or during the continuance
of such a sake, shall order sir goods, wares or asssirrchandise -for the
purpose of selling them at such sale.
Each sale of goods, wares or wercluaaaditsse as verse not inventoried
and described In said original application shall constitute a separate
offense under this section.
'Me Clerk its further empowered to mako such rules and regtialations
for the conduct and advertisement of such €also or special sale as in hit.;
opinions witll, serve to prevent deception and to protect the public.
SECTION 6507
LoMr to fevoka. The Clark. 0411 bme the power to revoke at any
tuna any permit granted in accordance with this section whenever any
loch sale Or spicfaal sale in being conducted in violation of any of the
provisions of this section or in such maa3npr as to deceive or defraud
tho public, or if:
(1) The holder of any such permit has made any material misstate-
mart in the application iaor such permit;
(2) lie has been guilty of any fraudulent practice, or practices.,
In the conduct of the sale authorized by such p3rcadt;
(3) He has failed to lnclude In the inventory required by the pro-
vielon s of this chapter t&e goodps wares or merchmdi ve required to be
contained in such inventory;
(fir) He has added., caused to be added, oe permitted to be added ray
goods, %varea or ssra<rchnudi ce not described in the original inventory;
(5) He has violated any of the provisions of this chapter or of
the laws pertaining to advertising.
No permit aahaall be revoked for any cause above ensmiarated, until a
written complaint has first been filed with the Clerk setting forth
ordlaaaryr, concise language the charge =do against the permittee. Such
complaint shall be verified by the oath of the person mmking tba charges
such verification to be in the form prescribed by the Cosa` of Civ: l
"'r 0cedure for ver ified pleadangs3 in civ11 acticn3. service of such cossi
pl4int and notice of hw inge shall be dorm by depositing the s =-e In
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the United States mail, addressed to the applicant at his address
given in the application. Such notice and copy of the complaint
shall be served or given to the permittee at least five (5) day,
and not more than ten (10) days prior to the date set for said hear-
ing. At any such hearing t1w pesmnittee shall be given an opportunity
to be heard and defend himself, and he may call witnesses in his be-
half. After conducting such hearing, the Clerk may suspend or revoke
the permit. The permittee shall file written notice of appeal with
the City Council within five (5)`days thereafter if permittee desires
to appeal the decision of the Clerk. If the violationis t7hich form the
basis of such complaint continue after notification to the permittee,
the Clerk may suspend the permit until the hearing to consider the re-
vocation of the permit. Such suspension shall be effective immediately
upon giving notice thereof to the person in charge at the location of
the sale. During such suspension, no person shall conduct aay sale of
the type herein defined.
SECTION 6508
Loss of Tdentitq. Any removal of gray goods, wanes or merchandise
inventoried and described in the original application form from the
place of sale mentioned in such application shall cause such goods to
lose their identity an the stock of any of the sales defined herein, and
no permits thereafter will be issued for the conducting of a sale of any
such goods, wares or merchandise In such manner as to i ddutify therm with
the store, store store owner or location referred to in the origi-dal
application.
SECTION 6509
Worcem nt. Upon co+mnaemeat and throughout the duration of any
sale, as herein defined, the permit issued by the Clerk shall be promi-
nently displayed near the entrance to the premrlsee. A duplicate original
of the application and stock list pursuant to which such permit was
issued, shall at all time be available to said Clerk, or to his inspector
and •tnvaotigators, and the perwittee shall pe-=At vac h inspector and
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and investigators to exodus all werchandise in the premises for
comparison with such stock list.
SECTION 6510
Records to be Rot. Suitable books and records shall be kept
by the puttee and shall. at all tiros be available: to the inspector
and investigators. At the close of business each clay the stock list
attached to the application shall be revised and th(s a items disposed
of during such day shall be so marked therm.
SE OR 6511
Ere t;ions. The provisions of this chapter shall not apply to
or affect any publisher of a armpaper., magazine or other publication,
who publishes any such advertisamsnt in good faith, without knowledge
of its false, deceptive or mb leading character, or without knowledge
that the provisions of this cbaapter have not been toMlied with,
S=ICN 6512
Business With Multivle Locations. If the applicant operates a.
similar business, at more than one location, any sale as definers herein
shall include only such goodt, warsaa and msrchandi.as as are actc:ally
cried in stock at the location of the sale.
SECTION 6515
Taking Orders. Dmri ng the course of any type closing ou.t sale,
no orders shall be taken for purchase of items not listed in the invert -
tort' submitted with the application."
SBCTION 2. This ordimnee, together with the ayes and noes, shall be
published once in fall, at Least three days before its final passage in the
Telegram-Tribune, a newspaper published and circulated in said City, and the same
shall go into effect at the eXpIntion of thirty das after its final passage.
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1
INMODi?CED AND PASSED TO PRINT this 17th day of August, 1959, by
the, follming roll call vote:
AYES: Kenneth W. Jones, Donald Q. HIlLer, Gerald W.Shipsey, ar
J. Hay Smith, Fred H. Waters
MOSS: None
AASENT - Norte
ATTEST:
FIMUY PASSED this 8 � clay of Se to be r 1959v by
the followt sg roll call vote:
AYES: Kenneth W. Jones, Donald Q. Miller, Gerald W. Shipsey,
J. Barry Smith, Fred M. Waters
NOES: None
�g None
ATTEST:
C