Code-Co's Internet Access to Utah Law: http://www.code-co.com
[Utah Code Table of Contents]
[TITLE 13. Table of Contents]
13-32a-101 Title.
This chapter is known as the "Pawnshop Transaction Information
Act."
2004
13-32a-102 Definitions.
As used in this chapter:
(1) "Account" means the Pawnbroker Operations Restricted Account created in Section 13-32a-113 .
(2) "Board" means the Pawnshop Advisory Board created by this chapter.
(3) "Central database" or "database" means the electronic database created and operated under Section 13-32a-105 .
(4) "Division" means the Division of Consumer Protection in Title 13, Chapter 1, Department of Commerce.
(5) "Identification" means a form of positive identification issued by a governmental entity that:
(a) contains a numerical identifier and a photograph of the person identified; and
(b) may include a state identification card, a state drivers license, a United States military identification card, or a United States passport.
(6) "Local law enforcement agency" means the law enforcement agency that has direct responsibility for ensuring compliance with central database reporting requirements for the jurisdiction where the pawnshop is located.
(7) "Misappropriated" means stolen, embezzled, converted, obtained by theft, or otherwise appropriated without authority of the lawful owner.
(8) "Original victim" means a victim who is not a party to the pawn transaction.
(9) "Pawnbroker" means a person whose business engages in the following activities:
(a) loans money on one or more deposits of personal property;
(b) deals in the purchase, exchange, or possession of personal property on condition of selling the same property back again to the pledgor or depositor;
(c) loans or advances money on personal property by taking chattel mortgage security on the property and takes or receives the personal property into his possession, and who sells the unredeemed pledges; or
(d) engages in a licensed business enterprise as a pawnshop.
(10) "Pawn ticket" means a document upon which information regarding a pawn transaction is entered when the pawn transaction is made.
(11) "Pawn transaction" means an extension of credit in which an individual delivers property to a pawnbroker for an advance of money and retains the right to redeem the property for the redemption price within a fixed period of time.
(12) "Pawnshop" means the physical location or premises where a pawnbroker conducts business.
(13) "Pledgor" means a person who conducts a pawn transaction with a pawnshop.
(14) "Property" means any tangible personal property.
(15) "Register" means the record of information required
under this chapter to be maintained by the pawnbroker. The
register is an electronic record that is in a format that
is compatible with the central database.
2006
13-32a-102.5 Administration and enforcement.
(1) The division shall administer and enforce this chapter in accordance with the authority under Title 13, Chapter 2, Division of Consumer Protection.
(2) The attorney general, upon request, shall give legal advice to, and act as counsel for, the division in the exercise of its responsibilities under this chapter.
(3) Reasonable attorney's fees, costs, and interest shall
be awarded to the division in any action brought to enforce
the provisions of this chapter.
2005
13-32a-103 Compliance with criminal code and this chapter.
Every pawnbroker shall, regarding each article of property a person pawns or sells, comply with the requirements of this chapter and the requirements of Subsections 76-6-408 (2)(c)(i) through (iii) regarding the person's:
(1) legal right to the property;
(2) fingerprint; and
(3) picture identification.
2006
13-32a-104 Register required to be maintained - Contents - Identification of items.
(1) Every pawnbroker shall keep a register of pawn transactions, in which the pawnbroker or his employee shall enter the following information regarding every article pawned to him:
(a) the date and time of the transaction;
(b) the pawn transaction ticket number;
(c) the date by which the article must be redeemed;
(d) the following information regarding the person who pawns the article:
(i) the person's name, residence address, and date of birth;
(ii) the number of the driver license or other form of positive identification presented by the person, and notations of discrepancies if the person's physical description, including gender, height, weight, race, age, hair color, and eye color, does not correspond with identification provided by the person;
(iii) the person's signature; and
(iv) a legible fingerprint of the person's right thumb, or if the right thumb cannot be fingerprinted, a legible fingerprint of the person with a written notation identifying the fingerprint and the reason why the thumb print was unavailable;
(e) the amount loaned on or paid for the article, or the article for which it was traded;
(f) the identification of the pawnbroker or his employee, whoever is making the register entry; and
(g) an accurate description of the article of property, including available identifying marks such as:
(i) names, brand names, numbers, serial numbers, model numbers, color, manufacturers' names, and size;
(ii) metallic composition, and any jewels, stones, or glass;
(iii) any other marks of identification or indicia of ownership on the article;
(iv) the weight of the article, if the payment is based on weight;
(v) any other unique identifying feature;
(vi) gold content, if indicated; and
(vii) if multiple articles of a similar nature are delivered together in one transaction and the articles do not bear serial or model numbers and do not include precious metals or gemstones, such as musical or video recordings, books, or hand tools, the description of the articles is adequate if it includes the quantity of the articles and a description of the type of articles delivered.
(2) A pawnshop may not accept any personal property if,
upon inspection, it is apparent that serial numbers, model
names, or identifying characteristics have been intentionally
defaced on that article of property.
2004
13-32a-105 Central database.
(1) There is created under this section a central database as a statewide repository for all information pawnbrokers are required to submit in accordance with this chapter and for the use of all participating law enforcement agencies whose jurisdictions include one or more pawnshops.
(2) The Division of Purchasing and General Services created in Title 63A, Chapter 2, shall:
(a) meet with the board to determine the required elements of the database; and
(b) conduct a statewide request for proposal for the creation of and maintenance of the central database.
(3) Funding for the creation and operation of the central database shall be from the account.
(4) (a) Any entity submitting a bid to create, maintain, and operate the database pursuant to the request for proposal conducted by the Division of Purchasing and General Services may not hold any financial or operating interest in any pawnshop in any state. (b) The Division of Purchasing and General Services, in conjunction with the Pawnshop Advisory Board, shall verify before a bid is awarded that the selected entity meets the requirements of Subsection (4)(a). (c) If any entity is awarded a bid under this Subsection (4) and is later found to hold any interest in violation of Subsection (4)(a), the award is subject to being opened again for request for proposal.
(5) Information entered in the database shall be retained
for five years and shall then be deleted.
2004
13-32a-106 Transaction information provided to the central database - Protected information.
(1) The information required to be recorded under Sections 13-32a-103 and 13-32a-104 that is capable of being transmitted electronically shall be transmitted electronically to the central database on the next business day following the transaction.
(2) The pawnbroker shall maintain all pawn tickets generated by the pawnshop and shall maintain the tickets in a manner so that the tickets are available to local law enforcement agencies as required by this chapter and as requested by any law enforcement agency as part of an investigation or reasonable random inspection conducted pursuant to this chapter.
(3) (a) If a pawnshop experiences a computer or electronic malfunction that affects its ability to report transactions as required in Subsection (1), the pawnshop shall immediately notify the local law enforcement agency of the malfunction.
(b) The pawnshop shall solve the malfunction within three business days or notify law enforcement under Subsection (4).
(4) If the computer or electronic malfunction under Subsection (3) cannot be solved within three business days, the pawnshop shall notify the local law enforcement agency of the reasons for the delay and provide documentation from a reputable computer maintenance company of the reasons why the computer or electronic malfunction cannot be solved within three business days.
(5) A computer or electronic malfunction does not suspend the pawnshop's obligation to comply with all other provisions of this chapter.
(6) During the malfunction under Subsections (3) and (4), the pawnshop shall:
(a) maintain the pawn tickets and other information required under this chapter in a written form; and
(b) arrange with the local law enforcement agency a mutually acceptable alternative method by which the pawnshop provides the required information to the local law enforcement official.
(7) A pawnshop that violates the electronic transaction reporting requirement of this section is subject to an administrative fine of $50 per day if:
(a) the pawnshop is unable to submit the information electronically due to a computer or electronic malfunction;
(b) the three business day period under Subsection (3) has expired; and
(c) the pawnshop has not provided documentation regarding its inability to solve the malfunction as required under Subsection (4).
(8) A pawnshop is not responsible for a delay in transmission
of information that results from a malfunction in the central
database.
2005
13-32a-106.5 Confidentiality of pawn and purchase transactions.
(1) All pawn and purchase transaction records delivered to a local law enforcement official or transmitted to the central database pursuant to Section 13-32a-106 are protected records under Section 63-2-304 . These records may be used only by law enforcement officials and the division and only for the law enforcement and administrative enforcement purposes of:
(a) investigating possible criminal conduct involving the property delivered to the pawnbroker in a pawn or purchase transaction;
(b) investigating a pawnbroker's possible violation of the record keeping or reporting requirements of this chapter when the local law enforcement official, based on a review of the records and information received, has reason to believe that a violation has occurred;
(c) responding to an inquiry from a person claiming ownership of described property by searching the database to determine if property matching the description has been delivered to a pawnbroker by another person in a pawn or purchase transaction and if so, obtaining from the database:
(i) a description of the property;
(ii) the name and address of the pawnbroker who received the property; and
(iii) the name, address, and date of birth of the conveying person; and
(d) take enforcement action under Section 13-2-5 against a pawnbroker.
(2) (a) A person may not knowingly and intentionally use, release, publish, or otherwise make available to any person or entity any information obtained from the database for any purpose other than those specified in Subsection (1).
(b) Each separate violation of this Subsection (2) is
subject to a civil penalty not to exceed $250.
2005
13-32a-107 Deadline for registers to be electronic - Notice for updating.
(1) On and after January 1, 2005, each pawnbroker in the state that generates ten or more pawn transactions per month shall maintain the register in an electronic format that is compatible with the central database computer system.
(2) (a) On and after January 15, 2005, pawnbrokers under Subsection (1) are subject to an administrative fine of $50 a day for each daily report required under Section 13-32a-106 that is submitted as a written report rather than electronically.
(b) Fines imposed under this section shall be paid to the division, which shall deposit the fines in the account.
(3) The operators of the central database shall establish
written procedures in conjunction with the Pawnshop Advisory
Board to ensure that when the central database is upgraded,
the affected pawnbrokers will receive adequate notice, information,
and time to upgrade their computer systems so the systems
are compatible with the upgraded central database.
2005
13-32a-108 Retention of records - Reasonable inspection.
(1) The pawnbroker or law enforcement agency, whichever has custody of pawn tickets, shall retain them for no less than three years from the date of the transaction.
(2) (a) A law enforcement agency may conduct random reasonable inspections of pawnshops for the purpose of monitoring compliance with the reporting requirements of this chapter. The inspections may be conducted to:
(i) confirm that pawned items match the description reported to the database by the pawnshop; and
(ii) make spot checks of property at the pawnshop to determine if the property is appropriately reported.
(b) Inspections under Subsection (2)(a) shall be performed
during the regular business hours of the pawnshop.
2004
13-32a-109 Holding period for pawned articles.
(1) (a) The pawnbroker may sell any article pawned to him:
(i) after the expiration of the contract period between the pawnbroker and the pledgor; and
(ii) if the pawnbroker has complied with the requirements of Section 13-32a-106 regarding reporting to the central database and Section 13-32a-103 .
(b) If an article is purchased by the pawnbroker, the pawnbroker may sell the article after the pawnbroker has held the article for ten days and complied with the requirements of Section 13-32a-106 regarding reporting to the central database and Section 13-32a-103 .
(c) This Subsection (1) does not preclude a law enforcement agency from requiring a pawnbroker to hold an article if necessary in the course of an investigation.
(i) If the article was pawned, the law enforcement agency may require the article be held beyond the terms of the contract between the pledgor and the pawn broker.
(ii) If the article was sold to the pawnbroker, the law enforcement agency may require the article be held if the pawnbroker has not sold the article.
(d) If the law enforcement agency requesting a hold on property under this Subsection (1) is not the local law enforcement agency, the requesting law enforcement agency shall notify the local law enforcement agency of the request and the pawnshop.
(2) If a law enforcement agency requires the pawnbroker to hold an article as part of an investigation, the agency shall provide to the pawnbroker a hold ticket issued by the agency, which:
(a) states the active case number;
(b) confirms the date of the hold request and the article to be held; and
(c) facilitates the pawnbroker's ability to track the article when the prosecution takes over the case.
(3) If an article is not seized by a law enforcement agency that has placed a hold on the property, the property may remain in the custody of the pawnbroker until further disposition by the law enforcement agency, and as consistent with this chapter.
(4) The initial hold by a law enforcement agency is for a period of 45 days. If the article is not seized by the law enforcement agency, the article shall remain in the custody of the pawnshop and is subject to the hold unless exigent circumstances require the pawned article to be seized by the law enforcement agency.
(5) (a) A law enforcement agency may extend any hold for up to an additional 45 days when exigent circumstances require the extension.
(b) When there is an extension of a hold under Subsection (5)(a), the requesting law enforcement agency shall notify the pawnshop subject to the hold prior to the expiration of the initial 45 days.
(c) A law enforcement agency may not hold an item for more than the 90 days allowed under Subsections (5)(a) and (b) without obtaining a court order authorizing the hold.
(6) A hold on an article under Subsection (2) takes precedence over any request to claim or purchase the article subject to the hold.
(7) When the purpose for the hold on or seizure of an article is terminated, the law enforcement agency requiring the hold or seizure shall within 15 days after the termination:
(a) notify the pawnshop in writing that the hold or seizure has been terminated;
(b) return the article subject to the seizure to the pawnbroker; or
(c) if the article is not returned to the pawnbroker,
advise the pawnbroker either in writing or electronically
of the specific alternative disposition of the article.
2006
13-32a-109.5 Seizure of pawned property.
(1) If a law enforcement agency determines seizure of pawned or sold property is necessary during the course of a criminal investigation in addition to the holding provisions under Section 13-32a-109 , the law enforcement agency shall:
(a) notify the pawnshop of the specific item to be seized;
(b) issue to the pawnshop a seizure ticket in a form approved by the division and that:
(i) provides the active case number related to the item to be seized;
(ii) provides the date of the seizure request;
(iii) describes the article to be seized; and
(iv) includes any information that facilitates the pawnbroker's ability to track the article when the prosecution agency takes over the case.
(2) If the law enforcement agency seizing the pawned or sold property is not the local law enforcement agency, the seizing agency shall, in addition to compliance with Subsection (1):
(a) notify the local law enforcement agency prior to any seizure; and
(b) facilitate the seizure of the pawned property in cooperation
with the local law enforcement agency to provide the pawnshop
the ability to monitor the proceedings under Section
13-32a-109.8
.
2006
13-32a-109.8 Pawned or sold property subject to law enforcement investigation.
(1) If the article pawned or sold under Section 13-32a-109 is subject to an investigation and a criminal prosecution results, the prosecuting agency shall, prior to disposition of the case:
(a) request restitution to the pawnbroker for the crimes perpetrated against the pawnshop as a victim of theft by deception; and
(b) request restitution for the original victim.
(2) If the original victim of the theft of the property files a police report and the property is subsequently located at a pawnshop, the victim must fully cooperate with the prosecution of the crimes perpetrated against the pawnshop as a victim of theft by deception, in order to qualify for restitution regarding the property.
(3) If the original victim does not pursue criminal charges or does not cooperate in the prosecution of the property theft crimes charged against the defendant and the theft by deception charges committed against the pawnshop, then the original victim must pay to the pawnshop the amount of money financed by the pawnshop to the defendant in order to obtain the property.
(4) (a) The victim's cooperation in the prosecution of the property crimes and in the prosecution of the theft by deception offense committed against the pawnshop suspends the requirements of Subsections (2) and (3).
(b) If the victim cooperates in the prosecution under Subsection (4)(a) and the defendants are convicted, the prosecuting agency shall direct the pawnshop to turn over the property to the victim.
(c) Upon receipt of notice from the prosecuting agency that the property must be turned over to the victim, the pawnshop shall return the property to the victim as soon as reasonably possible.
(5) A pawnshop must fully cooperate in the prosecution of the property crimes committed against the original victim and the property crime of theft by deception committed against the pawnshop in order to participate in any court-ordered restitution.
(6) At all times during the course of a criminal investigation
and subsequent prosecution, the article subject to a law
enforcement hold shall be kept secure by the pawnshop subject
to the hold unless the pawned article has been seized by
the law enforcement agency pursuant to Section
13-32a-109.5
.
2006
13-32a-110 Penalties.
(1) A violation of any of the following sections is subject to a civil penalty of not more than $500:
(a) Section 13-32a-104 , register required to be maintained;
(b) Section 13-32a-106 , transaction information provided to law enforcement;
(c) Section 13-32a-108 , retention of records; or
(d) Section 13-32a-109 , holding period for pawned articles.
(2) This section does not prohibit civil action by a governmental
entity regarding the pawnbroker's business operation or licenses.
2005
13-32a-111 Fees to fund training and central database.
(1) On and after January 1, 2005, each pawnshop in operation shall annually pay $250 to the division, to be deposited in the account.
(2) On and after January 1, 2005, each law enforcement agency that participates in the use of the database shall annually pay to the division a fee of $2 per sworn law enforcement officer who is employed by the agency as of January 1 of that year. The fee shall be deposited in the account.
(3) The fees under Subsections (1) and (2) shall be paid to the account annually on or before January 30.
(4) (a) If a law enforcement agency outside Utah requests access to the central database, the requesting agency shall pay a yearly fee of $750 for the fiscal year beginning July 1, 2006, which shall be deposited in the account.
(b) The board may establish the fee amount for fiscal
years beginning on and after July 1, 2007 under Section
63-38-3.2
.
2006
13-32a-112 Pawnshop Advisory Board - Membership - Duties - Provide training - Records of compliance.
(1) There is created within the division the Pawnshop Advisory Board. The board consists of ten voting members and one nonvoting member:
(a) one representative of the Utah Chiefs of Police Association;
(b) one representative of the Utah Sheriffs Association;
(c) one representative of the Statewide Association of Prosecutors;
(d) five representatives from the pawnshop industry who are appointed by the director of the Utah Commission on Criminal and Juvenile Justice (CCJJ) and who represent five separate pawnshops, each owned by a separate person or entity;
(e) one law enforcement officer who is appointed by the board members under Subsections (1)(a) through (d);
(f) one law enforcement officer whose work regularly involves pawnshops and who is appointed by the board members under Subsections (1)(a) through (d); and
(g) one representative from the central database, who is nonvoting.
(2) (a) The board shall elect one voting member as the chair of the board by a majority of the members present at the board's first meeting each year.
(b) The chair shall preside over the board for a period of one year.
(c) The advisory board shall meet quarterly upon the call of the chair.
(3) (a) The board shall conduct quarterly training sessions regarding compliance with this chapter and other applicable state laws for any person defined as a pawnbroker in this chapter.
(b) Each training session shall provide not fewer than two hours of training.
(4) (a) Each pawnbroker in operation as of January 1 shall ensure one or more persons employed by the pawnshop each participate in no fewer than four hours of compliance training within that year.
(b) This requirement does not limit the number of employees, directors, or officers of a pawnshop who attend the compliance training.
(5) The board shall monitor and keep a record of the hours of compliance training accrued by each pawnshop.
(6) The board shall provide each pawnshop with a certificate of compliance upon completion by an employee of the four hours of compliance training.
(7) (a) Each law enforcement agency that has a pawnshop located within its jurisdiction shall ensure that at least one of its officers completes four hours of compliance training yearly.
(b) This requirement does not limit the number of law
enforcement officers who attend the compliance training.
2005
13-32a-113 Pawnbroker Operations Restricted Account.
(1) There is created within the General Fund a restricted account known as the Pawnbroker Operations Restricted Account.
(2) (a) The account shall be funded from the fees and administrative fines imposed and collected under Sections 13-32a-106 , 13-32a-107 , 13-32a-110 , and 13-32a-111 . These fees and administrative fines shall be paid to the division, which shall deposit them in the account.
(b) The Legislature shall appropriate the funds in this account:
(i) to the board for the costs of providing training required under this chapter, costs of the central database created in Section 13-32a-105 , and for costs of operation of the board; and
(ii) to the division for management of fees and penalties paid under this chapter.
(c) The board shall account to the division for expenditures.
(d) The board shall account separately for expenditures for:
(i) training required under this chapter;
(ii) operation of the database;
(iii) operation of the board; and
(iv) costs of operation of the board.
2006
13-32a-114 Preemption of local ordinances - Exceptions.
(1) This chapter preempts all city, county, and other local ordinances governing pawnshops, pawnbrokers, and pawnbroking transactions, if the ordinances are more restrictive than the provisions of this chapter or are not consistent with this chapter.
(2) Subsection (1) does not preclude a city, county, or other local governmental unit from:
(a) enacting or enforcing local ordinances concerning public health, safety, or welfare, if the ordinances are uniform and equal in application to pawnshops and pawnbrokers and other retail businesses or activities;
(b) requiring a pawnshop or pawnbroker to obtain and maintain a business license; and
(c) enacting zoning ordinances that restrict areas where
pawnshops and other retail businesses or activities can be
located.
2005
