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SENATE AMENDED
PRIOR PRINTER'S NO. 1342
PRINTER'S NO. 3084
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
325
Session of
2015
INTRODUCED BY M. K. KELLER, BENNINGHOFF, COHEN, D. COSTA,
EVERETT, GILLESPIE, GINGRICH, GODSHALL, GROVE, A. HARRIS,
PHILLIPS-HILL, KILLION, KORTZ, MALONEY, MARSHALL, MARSICO,
MILLARD, MOUL, MURT, MUSTIO, PEIFER, PETRARCA, PICKETT, PYLE,
QUIGLEY, QUINN, ROZZI, SAYLOR, STURLA, TOEPEL, TOOHIL,
ZIMMERMAN, DAVIS, MICCARELLI AND BARBIN, APRIL 24, 2015
SENATOR TOMLINSON, CONSUMER PROTECTION AND PROFESSIONAL
LICENSURE, IN SENATE, AS AMENDED, APRIL 5, 2016
AN ACT
Amending the act of December 22, 1983 (P.L.327, No.85),
entitled, as amended, "An act imposing regulations and
licensing requirements on auctioneers, apprentice
auctioneers, auction houses, auction companies and trading
assistants; imposing powers and duties on the State Board of
Auctioneer Examiners; and making repeals," further providing
for the title of the act, for definitions, AND for auctioneer
and apprentice auctioneer licenses; providing for sales
exempt from license requirements; further providing for
status of existing licensees and for applications for initial
and renewal licenses; providing for registration of trading
assistants and trading assistant companies; further providing
for special licensees to furnish bond and for authority to
transact business not transferable; repealing provisions
relating to auction house license, auction company license,
trading assistant registration and nonresident licensees;
further providing for reciprocity with other states;
repealing provisions relating to licensee and registrant to
furnish bond; further providing for no other license or
registration required and for list of licensees and
registrants; providing for contracts; further providing for
records of sales; repealing provisions relating to contracts
for conduct of transaction; and further providing for display
of licenses, for investigations and enforcement actions, for
escrow account, for hearing on charges, for administration
and enforcement, for revocation or suspension of license or
registration, for issuance of new license or registration
pending investigation and decision, for issuance of new
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license or registration after revocation, for penalties, for
actions by unlicensed persons prohibited and for the State
Board of Auctioneer Examiners.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The title and sections 2 and 3 of the act of
December 22, 1983 (P.L.327, No.85), known as the Auctioneer
Licensing and Trading Assistant Registration Act, amended
October 8, 2008 (P.L.1080, No.89), are amended to read:
AN ACT
Imposing regulations and licensing requirements on auctioneers,
apprentice auctioneers, auction [houses, auction] companies,
trading assistants and trading [assistants] assistant
companies; imposing powers and duties on the State Board of
Auctioneer Examiners; and making repeals.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Apprentice auctioneer." [A person] An individual who is
licensed under this act as an apprentice auctioneer.
"Auction" or "sale at auction."
(1) [The offer [to sell] for sale of property [by an
auctioneer or apprentice auctioneer to the members of an
audience congregated for the purpose of making bids for the
purchase of the property] through the solicitation of bids
from one or more potential buyers in an effort [by the
auctioneer or apprentice auctioneer] to advance the amount of
the bids to obtain the highest or most favorable offer,
regardless of the venue or method of conducting the sale.] A
METHOD FOR THE SALE OR LEASE OF PROPERTY, OR ANY INTEREST IN
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PROPERTY, BY MEANS OF A VERBAL EXCHANGE, REGULAR MAIL,
TELECOMMUNICATIONS, THE INTERNET, AN ELECTRONIC TRANSMISSION
OR A PHYSICAL GESTURE BETWEEN AN AUCTIONEER, APPRENTICE
AUCTIONEER OR AUCTION COMPANY AND ONE OR MORE POTENTIAL
PURCHASERS OR LESSEES THROUGH THE SOLICITATION OF OFFERS, IN
THE FORM OF BIDS, IN AN EFFORT TO ADVANCE THE AMOUNT OF THE
BIDS TO OBTAIN THE HIGHEST OR MOST FAVORABLE OFFER.
(2) The term "auction" or "sale at auction" includes:
(i) live auctions;
(ii) online auctions;
(iii) real-time auctions;
(iv) extended auctions; and
(v) any similar such events as may be devised with
the development of technology , or otherwise involving the
sale of property and the advancement of the price through
a bidding process. ; AND
(VI) ANY COMBINATION OF THE FOREGOING.
(3) The term "auction" or "sale at auction" [excludes
any sale conducted through an online [Internet bidding
platform] trading assistant consignment sale transaction.]
DOES NOT INCLUDE A NEGOTIATED TRANSACTION. NOTHING IN THIS
ACT IS INTENDED TO DENY AN AUCTIONEER, APPRENTICE AUCTIONEER
OR AUCTION COMPANY A COMMISSION OR OTHER COMPENSATION EARNED
FOR AUCTION-RELATED ACTIVITIES THAT RESULT IN OR FACILITATE A
NEGOTIATED TRANSACTION BY THE SELLER OR OTHER AGENT OF THE
SELLER, AND A BUYER.
(4) The term "auction" or "sale at auction" shall not be
limited by technology existing on the effective date of this
paragraph.
"Auction company." [A company which, as part of its
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business, arranges, manages, sponsors, advertises or carries out
auctions.] A legally recognized entity that sells or attempts to
sell property at auction or performs, or offers to perform, any
of the functions or activities requiring licensure as an auction
company under section 3(a)(1). The term includes any legally
recognized entity that holds itself out as engaged in the
business of selling property at auction.
"Auction house." An established place of business,
including, but not limited to, an auction barn, a sale barn and
a sale pavilion, used primarily for conducting auctions, where
two or more auctions are held within any 12-month period and
where representations are regularly made that property is sold
at auction. The term does not include premises where isolated or
periodic sales are conducted by an auctioneer or auctioneer
apprentice and [which] that are used primarily for purposes
other than auctions or sales at auction.
"Auctioneer." [A person] An individual who sells or offers
or attempts to sell property at auction. The term includes [any
person who holds] an individual who:
(1) Engages in or offers the calling for and recognition
of bids at auction.
(2) Engages in or offers any of the activities of an
auction company.
(3) Performs, or offers to perform, any of the functions
or activities requiring licensure under section 3(a)(1).
(4) Holds himself out as engaged in the business of
selling property at auction.
"Auctioneer-of-record." The licensed auctioneer designated
by an auction company as its auctioneer-of-record. The
auctioneer-of-record is principally responsible for the conduct
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of the auctions of the auction company in accordance with this
act.
"Board." The State Board of Auctioneer Examiners [in the
Department of State].
"Commissioner." The Commissioner of Professional and
Occupational Affairs in the Department of State.
"Department." The Department of State.
"Extended auction." An auction conducted in whole or in part
online at which bids are received over an extended period of
time identified by a starting time and ending time that may
encompass multiple minutes, hours, days or other periods.
"Group A auction school." A provider, approved by the board,
offering a course of study in auctioneering and the auction
industry, as approved by the board, the completion of which
requires not less than 20 credit hours, including two credit
hours of practicum or cooperative practical experience.
"Group B auction school." A provider, approved by the board,
offering a course of study in auctioneering and the auction
industry, as approved by the board, the completion of which
requires fewer than 20 credit hours.
"Legally recognized entity." A partnership, association,
corporation, limited liability company or other entity
recognized under the laws of this Commonwealth or any other
state.
"Licensee." [A person licensed under this act including an
auctioneer, apprentice auctioneer, holder of a special license
and, in the case of an auction house or company, the person
required to obtain the license.] An individual licensed under
this act as an auctioneer, apprentice auctioneer or holder of a
special license and a legally recognized entity licensed under
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this act as an auction company.
"Live auction." An auction or sale at auction at which one
or more members of an audience are present in person, are
communicating telephonically or by other digital or electronic
means or are participating by absentee bid.
"NEGOTIATED TRANSACTION." A TRANSACTION FOR THE SALE OF
PROPERTY, INVOLVING OFFERS AND COUNTEROFFERS, CONDUCTED THROUGH
A PROCESS OF NEGOTIATION BETWEEN THE PROSPECTIVE BUYER AND ANY
OF THE FOLLOWING:
(1) THE SELLER;
(2) THE SELLER'S AGENT; OR
(3) OTHER INTERESTED PARTY.
"Online auction." An auction or sale at auction conducted
over the Internet or similar interactive communication media.
["Online Internet bidding platform." Hardware or software
architecture that provides or enables computer access by
multiple users to an interactive computer server for the purpose
of allowing users to offer property for sale and that does not
examine, set the price or prepare the description of the
property to be offered.]
"Online trading assistant consignment transaction." A
transaction pursuant to which a registrant or licensee describes
and lists personal property of another for sale through the use
of hardware or software that enables computer access by multiple
users to an interactive computer server:
(1) allowing individual sellers, and those acting on
behalf of sellers, to list and offer the property for sale at
a set price, or best offer, or through competitive and
progressive offers that may include a buy-it-now feature; and
(2) allowing prospective buyers access to the hardware
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or software.
"On-site auction." An auction or sale at auction conducted
at the seller's residential or business location where the
property to be sold is located.
"Person." An individual[, partnership, association,
corporation, limited liability company or other] or a legally
recognized entity.
"Property." Real and personal property, including both
tangible and intangible personal property. The term includes,
but is not limited to, domestic animals and farm products.
"Qualified [auctioneer] sponsor." A currently licensed
auctioneer residing in this Commonwealth.
"Real-time auction." An auction or sale at auction at which
bids are solicited and received contemporaneously, in real time.
"Registrant." A person registered under this act as a
trading assistant or a trading assistant company.
"Seller." The owner of property, or the legal representative
or agent of the owner of property, who consigns or otherwise
agrees to have the property sold at auction or by way of an
online trading assistant consignment sale transaction.
"Special licensee." The holder of a special license issued
pursuant to section 3.
"Temporary venue." A venue, including a rented hall, used
primarily for other purposes, at which an auction or sale at
auction is held by an auction company or an auctioneer,
regardless of the frequency of the auctions or sales at auction.
"Trading assistant." An individual who, for a commission or
fee, conducts or intends to conduct a business within this
Commonwealth of [accepting personal property to sell on behalf
of another through an online Internet bidding platform.]
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selling, or offering to sell, the personal property of another
through an online trading assistant consignment sale
transaction, or who performs, or offers to perform, any of the
functions or activities requiring registration under section
5.1(a).
"Trading assistant company." A legally recognized entity
that, for a commission or fee, conducts or intends to conduct a
business within this Commonwealth of selling, or offering to
sell, the personal property of another through an online trading
assistant consignment sale, or that performs, or offers to
perform, any of the functions or activities requiring
registration under section 5.1(a).
Section 3. Auctioneer [and], apprentice auctioneer, auctioneer
company and special licenses.
(a) Requirement for license.--[Notwithstanding section 10.1,
it]
(1) It is unlawful for any person to engage in [or carry
on] the business or profession of an auctioneer, apprentice
auctioneer or an auction company to conduct [a sale at] an
auction, to hold himself out as an auctioneer or as an
apprentice auctioneer, to hold itself out as an auction
company or to offer to conduct [sales at auction] auctions in
this Commonwealth without first obtaining [from the board] a
license from the board as an auctioneer [or apprentice
auctioneer. Any member, officer or employee of a partnership,
association or corporation who attempts to sell at auction or
who is actively engaged in the auction profession must have a
license as an auctioneer or apprentice auctioneer.],
apprentice auctioneer, auction company or special licensee.
(2) (i) Regardless of whether the computer system or
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server utilized in connection with an online auction is
physically located within this Commonwealth, a license
shall be required for any person offering to conduct or
agreeing to conduct an online auction, or conducting an
online auction, if:
(A) the seller is situate in this Commonwealth
at the time the offer is made, the agreement is made
or the online auction is held;
(B) the online auction involves the sale of real
property situate in this Commonwealth; or
(C) the online auction involves the sale of
personal property situate in this Commonwealth at the
time the offer is made, the agreement is made or the
online auction is held.
(ii) Under this section, licensure is not required
under circumstances in which the seller initiates contact
with an auctioneer, auction company or other provider of
auction services located outside of this Commonwealth to
sell personal property at an online auction outside of
this Commonwealth.
(3) Any owner, member, officer, employee or independent
contractor retained by an auction company who calls bids or
engages in other activities requiring licensure under this
act must be licensed as an auctioneer or apprentice
auctioneer. Notwithstanding the foregoing, a license is not
required for an individual, acting as an agent or
representative of a licensee under this act, to negotiate or
execute contracts on behalf of the licensee.
(4) Licensees under this act shall be authorized to
conduct auctions at any venue within this Commonwealth,
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including on-site auctions and auctions held at auction
houses and temporary venues, and by any method of conducting
the sale, including live auctions and online auctions and
auctions that are conducted live and online
contemporaneously, whether real-time auctions or extended
auctions.
[(b) Issuance and supervision of licenses.--It is the duty
of the board, upon payment of the license fees required and upon
compliance with the requirements of this act, to issue a license
as an auctioneer or apprentice auctioneer to individuals or as
an auctioneer to partnerships, associations and corporations who
qualify under and comply with this act. The board shall
supervise and control all licenses issued under this act.]
(c) Qualifications in general for license.--[Licenses]
Auctioneer, apprentice auctioneer and special auctioneer
licenses shall be granted only to [persons] individuals who have
a good reputation for honesty, truthfulness, integrity and
competence to transact the business of an auctioneer or
apprentice auctioneer in a manner as to safeguard the interest
of the public and only after satisfactory proof of these
qualifications has been presented to the board as required by
this act and regulation.
(d) [Qualifications for apprentice] Apprentice auctioneer
license.--To qualify for an apprentice auctioneer license, [a
person] an individual must be sponsored and employed for
compensation by a qualified [auctioneer] sponsor who employs no
more than one other apprentice auctioneer. As approved by the
board, an apprentice auctioneer may transfer his apprenticeship
to another qualified sponsor without forfeiting any qualifying
auctions previously completed in accordance with subsection (e)
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(1).
(e) [Qualifications for auctioneer] Auctioneer license.--To
qualify for an auctioneer license, [a person] an individual must
have passed the prescribed examination after [having]:
(1) [served] serving an apprenticeship as a licensed
apprentice auctioneer for a period of not less than two years
in the employ of a qualified [auctioneer] sponsor and
[participated] participating for compensation in no less than
30 auctions[;], including auctions under the supervision of a
substitute qualified sponsor, without limitation as to the
method of conducting the auctions, which may include online
auctions; [or]
(2) successfully [completed] completing a prescribed
course of study in auctioneering [of at least 20 credit hours
at a school approved by the board.] at a Group A auction
school;
(3) successfully completing a prescribed course of study
in auctioneering at a Group B auction school and served
SERVING an apprenticeship as a licensed apprentice auctioneer
for a period of not less than one year in the employ of a
qualified sponsor , and participating for compensation in no
less than 15 auctions, which may include auctions under the
supervision of a substitute qualified sponsor, without
limitation as to the format of the auctions, which may
include online auctions;
(4) being licensed in good standing by another state to
engage in auctioneering for at least two years. The board
shall review applications under this paragraph to determine
the qualifications of the applicant; or
(5) demonstrating that the individual has conducted
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auctioneering for at least two years in a state that does not
require a license. The board shall review applications under
this paragraph to determine the qualifications of the
applicant.
(e.1) Auction company license.--
(1) Every legally recognized entity shall, before
operating as an auction company, obtain an auction company
license issued by the board.
(2) Every auction company shall designate an auctioneer-
of-record. Each auction company licensed under this act shall
designate an individual licensed as an auctioneer under this
act to serve as the auction company's auctioneer-of-record.
The designation of the auctioneer-of-record shall be made in
the initial application for licensure as an auction company
and in each application for renewal of an auction company
license. The auctioneer-of-record may be an owner,
shareholder, member, partner, employee, independent
contractor or other agent of the auction company. The
auctioneer-of-record is principally responsible for the
conduct of the auctions of the auction company in accordance
with this act. However, nothing in this act shall limit or
restrict the ability of an auction company to utilize the
services of one or more auctioneers in addition to the
auctioneer identified as auctioneer-of-record, and it shall
not be necessary for the auctioneer-of-record to be present
at every auction conducted by the auction company, provided
that a licensed auctioneer is present to conduct the
activities required to be conducted by a licensed auctioneer
under this act. An auction company license becomes invalid if
the license of the auctioneer-of-record is not renewed or is
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suspended or revoked or if the auctioneer-of-record becomes
deceased or otherwise ceases to be the auction company's
auctioneer-of-record without substitution by a successor
auctioneer-of-record.
(3) Within 30 calendar days after an auction company's
auctioneer-of-record ceases to serve as auctioneer-of-record
for the auction company, both the auction company and the
auctioneer-of-record or the auctioneer-of-record's legal
representative shall notify the board in writing of the
termination of such status.
(f) [Qualifications for license reissued after long
inactivity] Reissuance of inactive license.--Any [person]
individual to whom an auctioneer [or apprentice auctioneer]
license has been issued and [who has been inactive as an
auctioneer or apprentice auctioneer for a period of seven years
without renewing the license issued to him shall be required to
submit to and pass an examination approved by the board prior to
having a license reissued to him.] whose license has been in an
inactive or nonrenewed status for a period of seven or more
years shall be required to submit to and pass an examination
approved by the board prior to having a license reissued. Any
individual to whom an apprentice auctioneer license has been
issued and whose license has been in an inactive or nonrenewed
status for a period of seven or more years shall be required to
make a new application to the board.
[(g) Designation of auctioneer-of-record.--If the applicant
for a license is a partnership, association or corporation, then
a member of the partnership or association or an officer of the
corporation, who is licensed in this Commonwealth as an
auctioneer, must be designated as the auctioneer-of-record. The
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auctioneer-of-record is principally responsible for the conduct
of the auctions of the partnership, association or corporation
in accordance with this act. A partnership, association or
corporation auctioneer license becomes invalid if the license of
the auctioneer-of-record is not renewed or is suspended or
revoked.]
(g.1) Special license to conduct auction.--An auctioneer or
auction company authorized to engage in auctioneering in another
state shall, on application and payment of the license fee, be
issued a special license for each specifically identified
auction to be conducted in this Commonwealth. Applications must
be made not less than 20 days in advance of the auction or sale
at auction and must include the name and address of the seller
or owner of all items to be sold. All applications are subject
to approval by the board and shall include proof of authority to
engage in auctioneering in the other state. This subsection does
not prohibit an auctioneer or auction company licensed in
another state from working or sharing compensation with a
licensed Pennsylvania auctioneer or auction company in this
Commonwealth with respect to an auction conducted pursuant to a
contract between the seller or owner of the property and an
auctioneer or auction company licensed in this Commonwealth and,
under such circumstances, a special license shall not be
required unless the out-of-State auctioneer will call bids or
engage in any other conduct that requires a license under this
act.
[(h) Sales exempt from license requirements.--
The requirement to obtain a license under this act does not
apply to sales at auction in the following circumstances:
(1) To a specified single sale per year conducted by the
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owner of property if the owner is not engaged in the business
of selling the property and if the property is owned by the
person in an individual capacity.
(2) To a sale conducted by or on behalf of a charitable
organization if the person conducting the sale receives no
compensation therefor.
(3) To a sale conducted by or on behalf of a person
appointed by judicial order or decree.
(4) To a sale conducted in the settlement of any
decedent's estate.
(5) To a sale conducted by or under the direction of any
public authority.
(6) To any sale required by law to be at auction.
(i) Special license to conduct auction.--An auctioneer
authorized to engage in auctioneering in another state shall,
upon application and payment of the license fee, be issued a
special license for each auction conducted by him. Applications
must be made 20 days in advance of the sale and must include the
name and address of the consignor or owner of all items to be
sold. All applications are subject to approval by the board and
shall include proof of authority to engage in auctioneering in
the other state.]
Section 2. The act is amended by adding a section to read:
Section 3.1. Sales exempt from license requirements.
The requirement to obtain a license under this act does not
apply to sales at auction in the following circumstances:
(1) To a specified single sale per year conducted by the
owner of property if the owner is not engaged in the business
of selling the property and if the property is owned by the
person in an individual capacity.
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(2) To a sale conducted by or on behalf of a charitable
organization if the person conducting the sale receives no
compensation therefor.
(3) To a sale conducted by or on behalf of a person
appointed by judicial order or decree.
(4) To a sale conducted in the settlement of any
decedent's estate conducted by the executor or administrator
of the estate.
(5) To a sale conducted by or under the direction of any
public authority.
(6) To a sale required by law to be at auction.
Section 3. Section 4 of the act is amended by adding a
subsection to read:
Section 4. Status of existing licensees.
* * *
(c) Licensed auction houses.--An auction house license
issued under and pursuant to this act and existing on the
effective date of this paragraph shall remain in full force and
effect until the license shall expire and shall not be subject
to renewal. Thereafter, auction house licenses will no longer be
issued or renewed in this Commonwealth, and any holder of an
expired auction house license who is not also the holder of an
auction company license shall be required to obtain either an
auction company license or an auctioneer license in order to
continue in the business and profession of auctioneering in this
Commonwealth.
Section 4. Section 5 of the act, amended October 8, 2008
(P.L.1080, No.89), is amended to read:
Section 5. Applications for initial and renewal licenses and
examination.
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(a) Application for auctioneer license.--Applications for
license as an auctioneer shall be made to the board in writing
[upon] on forms provided by the board which shall contain such
information as [to the individual or, if the applicant is a
partnership, association or corporation, as to its members or
officers, as] the board requires. If the applicant is an
individual, the application shall be signed by that individual.
If the applicant is a partnership or an association, the
application shall be signed by a member. If the applicant is a
corporation, the application shall be signed by an officer.
(a.1) Apprenticeship.--An application by a licensed
apprentice auctioneer seeking to qualify on the basis of an
apprenticeship shall contain or be accompanied by satisfactory
evidence that the applicant [was] meets one of the following:
(1) Was in the employ of [a sponsor] one or more
qualified sponsors for at least two years total and
participated for compensation in not less than 30 auctions on
the dates and at the locations provided by the applicant.
[Upon the filing of an application, the board shall
investigate the allegations contained in the application and
if, upon investigation, it finds the allegations untrue, it]
(2) Was in the employ of one or more qualified sponsors
for at least one year total and participated for compensation
in not less than 15 auctions on the dates and at the
locations provided by the applicant and successfully
completed a course of study in auctioneering at a Group B
auction school.
(a.2) Group A auction school attendance.--An application by
an applicant seeking to qualify on the basis of having completed
a course of study in auctioneering at a Group A auction school
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shall contain or be accompanied by satisfactory evidence that
the applicant has completed such course of study.
(a.3) Affidavit.--Each application for licensure as an
auctioneer shall include a self-affirming affidavit, in a form
as prescribed by the board, attesting to the truth and accuracy
of the statements contained in the application. If an applicant
makes false or misleading statements in an application, the
board may refuse to examine or license the applicant or may
revoke any license issued to the applicant on the basis of
materially untrue allegations contained in the application for a
license. The board shall set forth in writing its findings and
reasons for its refusal or revocation and furnish a copy to the
applicant.
(b) Application for apprentice auctioneer license.--
Applications for license as an apprentice auctioneer shall be
made to the board in writing [upon] on forms provided by the
board which shall contain such information as to the applicant
as the board requires. For license renewals, the licensee shall
set forth the period of time, if any, during which [he] the
apprentice auctioneer was engaged in the auction profession,
stating the name of [his present] the apprentice auctioneer's
current qualified sponsor and any former qualified sponsor for
the period of five years immediately preceding the date of the
renewal. If it becomes necessary to change qualified sponsors,
the apprentice auctioneer must notify the board by letter upon
the termination of the sponsorship and submit a transfer form,
provided by the board, when a new qualified sponsor is obtained.
An apprentice auctioneer license is invalid when there is no
sponsoring auctioneer and credit does not accrue during that
time. A license will be [reissued] reactivated when the
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apprentice auctioneer submits a transfer form which informs the
board that [he] the apprentice auctioneer has secured a new
qualified sponsor.
(b.1) Application for auction company license.--Every
legally recognized entity seeking an auction company license
shall file with the board an application in writing on forms
provided by the board which shall contain such information as to
the applicant and as to the members or officers of the
applicant, as the board shall require. Each application shall
identify an auctioneer-of-record. On the filing of an
application, the board may refuse to license the applicant to
operate an auction company on the basis of materially untrue
allegations in the application.
(c) [Examinations] Auctioneer examinations.--The board shall
contract with a professional testing organization for the
preparation and administration of the auctioneer examination, in
accordance with section 812.1(a) of the act of April 9, 1929
(P.L.177, No.175), known as The Administrative Code of 1929. [No
person] Except as otherwise provided under this act, no
individual may be issued an auctioneer license unless the
[person] individual passes an examination approved by the board.
The board shall hold examinations at locations, times and dates
prescribed by regulation of the board.
(d) Issuance of new license after revocation.--In the event
the license of an auctioneer or an apprentice auctioneer is
revoked by the board subsequent to the effective date of this
act, no new license may be issued to that person until he
complies with all the provisions of this act.
(e) Expiration and renewal of license.--All licenses issued
by the board shall be for a maximum term of two years and shall
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expire on the last day of February of each odd year. It is the
duty of all persons licensed to practice as an auctioneer [or],
apprentice auctioneer [or to operate as an auction house] or
auction company to renew the license biennially with the board
and to pay the license fee for each biennial license renewal.
Applications for renewals of licenses issued under this act
shall be made within 60 days prior to the expiration of the
license [upon] on forms and in the manner provided by the board.
(f) [Internet sales.--An applicant or licensee renewing a
license under this section must indicate to the board whether or
not sales will be conducted via an online Internet bidding
platform.] Online trading assistant consignment sale
transactions by licensees.--Auctioneers, apprentice auctioneers
and auction companies licensed under this act may conduct online
trading assistant consignment sale transactions. Initial and
renewal applications for auctioneers, apprentice auctioneers and
auction companies shall request that the applicant or licensee
renewing a license indicate in the space provided on the form
whether the applicant or licensee will also engage in online
trading assistant consignment sale transactions.
(g) Self-affirming affidavit.--An application for an initial
or renewal license shall include a preprinted self-affirming
affidavit, to be signed by the applicant under the penalty of
perjury, attesting to the truth and accuracy of the allegations
set forth in the application.
Section 5. The act is amended by adding a section to read:
Section 5.1. Registration of trading assistants and trading
assistant companies.
(a) Requirement for registration.--It shall be unlawful for
an individual to act as a trading assistant, or for any legally
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recognized entity to act as a trading assistant company, without
either first registering with or obtaining licensure from the
board. A legally recognized entity conducting business as a
trading assistant must register as a trading assistant company
even though a member or officer is registered as a trading
assistant. Registration is required on a biennial basis and
renewal shall be due on the last day of February of each odd
year.
(b) Application.--Application for registration under this
section shall include the following:
(1) The name of the applicant, the business and the
physical location where the business will be conducted.
(2) The date the applicant will begin accepting goods
for sale through an online trading assistant consignment sale
transaction.
(3) The applicant's Pennsylvania tax identification
number.
(4) The applicant's e-mail address.
(c) Fee.--A registration fee of $100 shall be included with
each application for registration or renewal. The fee may be
established by the board by regulation.
(d) Renewal.--It is the duty of all registrants to renew the
registration biennially with the board and to pay the fee for
each biennial registration.
(e) Self-affirming affidavit.--An application for an initial
or renewal registration shall include a preprinted self-
affirming affidavit, to be signed by the applicant under the
penalty of perjury, attesting to the truth and accuracy of the
allegations set forth in the application.
Section 6. Sections 7 and 8 of the act are amended to read:
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Section 7. [Special licensees] Licensees and registrants to
furnish bond.
(a) General rule.--[A] No license, including a special
license, or registration shall be granted or issued to any
person under this act until the applicant has filed with the
board an approved bond payable to the Commonwealth in the [penal
sum] amount of $5,000 [shall accompany every application for a
special license]. The bond shall be executed by a surety company
authorized by the laws of this Commonwealth to transact business
in this Commonwealth, and no licensee or registrant shall engage
in the businesses regulated under this act without an active
bond. The bond shall be for the use of the Commonwealth and for
any person or persons who may have a cause of action against a
licensee [arising] or registrant under this act.
(b) Conditions of bond.--The [conditions] condition of the
bond shall be that the licensee, including a special licensee or
registrant, will comply with and abide by the provisions of this
act and will pay to the Commonwealth, the board or any person or
persons any and all money that may come due to the Commonwealth,
the board or the person or persons from a licensee or registrant
under and by virtue of this act.
(c) Action on bond.--If any person is aggrieved by the
misconduct of any licensee, including a special licensee or
registrant and recovers judgment against the licensee or
registrant therefor, the person may on any execution issued
under the judgment maintain an action upon the bond of the
licensee or registrant in any court having jurisdiction of the
amount claimed.
Section 8. Authority to transact business not transferable.
The authority to transact business as an auctioneer,
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apprentice auctioneer[, auction house] or auction company
licensed under [a license issued by the board] this act, or as a
trading assistant or trading assistant company registered under
this act, is restricted to the person named in the license or
registration and may not be transferred to the benefit of any
other person. [A partnership, association or corporation
licensed under this act is only permitted to transact auction
business through a member, officer or employee who is licensed
under this act.]
Section 7. Sections 9, 10, 10.1 and 11 of the act are
repealed:
[Section 9. Auction house license.
(a) Requirement for license.--Every person, except an
individual who is licensed as an auctioneer, shall, before
operating an auction house, obtain a license from the board to
operate the auction house. Every partnership, association or
corporation must obtain a license even though a member or
officer is licensed as an auctioneer.
(b) Application for license.--Every person seeking a license
to operate an auction house shall file with the board an
application in writing upon forms provided by the board which
shall contain such information as to the individual or, if the
applicant is a partnership, association or corporation, as to
the members or officers, as the board requires. A person must
file a separate application for each auction house to be
operated. The application shall be accompanied by the license
fee and surety bond required by this act.
(c) Investigation and refusal of license.--Upon the filing
of an application, the board shall investigate the allegations
contained in the application and, if, upon investigation, it
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finds the allegations untrue, it may refuse to license the
applicant to operate an auction house.
(d) Information from auctioneer.--A licensed auctioneer who
also operates an auction house shall notify the board in writing
of the address of each auction house operated by him and of the
trade or business name by which each auction house is known. The
auctioneer shall notify the board in writing if the operation of
the auction house is sold or discontinued or if the name or
location of the auction house is changed.
Section 10. Auction company license.
(a) Requirement for license.--Every person, except an
individual who is licensed as an auctioneer or an individual who
is licensed to operate an auction house, shall, before operating
an auction company, obtain a license from the board to operate
the auction company. Every partnership, association or
corporation must obtain a license even though a member or
officer is licensed as an auctioneer.
(b) Application for license.--Every person seeking a license
to operate an auction company shall file with the board an
application in writing upon forms provided by the board which
shall contain such information as to the individual or, if the
applicant is a partnership, association or corporation, as to
the members or officers, as the board requires. Each application
shall be accompanied by the license fee and surety bond required
by this act.
(c) Investigation and refusal of license.--Upon the filing
of an application, the board shall investigate the allegations
contained in the application and, if, upon investigation, it
finds the allegations untrue, it may refuse to license the
applicant to operate an auction company.
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(d) Information from auctioneer or auction house.--A
licensed auctioneer or an individual licensed to operate an
auction house, who also operates an auction company, shall
notify the board in writing that he is operating an auction
company and shall specify the trade or business name and the
address of the principal place of business of each auction
company which he operates. The individual who is licensed as an
auctioneer or to operate as an auction house shall notify the
board in writing if the operation of the auction company is sold
or discontinued or if the name or location of the auction
company is changed.
Section 10.1. Trading assistant registration.
(a) Requirement for registration.--It shall be unlawful for
any individual to act as a trading assistant for a sale
conducted by competitive bidding without either first
registering with or obtaining licensure from the board.
Registration is required on a biennial basis.
(b) Application.--Application for registration under this
section shall include the following:
(1) Name of the applicant, the business and the physical
location where the business will be conducted.
(2) Date the applicant will begin accepting goods for
sale through an online Internet bidding platform.
(3) Pennsylvania tax identification number.
(4) E-mail address.
(c) Fee.--A registration fee of $100 shall be included with
each application for registration.
Section 11. Nonresident licensees.
(a) General rule.--A nonresident of this Commonwealth may be
licensed as an auctioneer or apprentice auctioneer or to operate
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an auction house or auction company upon complying with all the
provisions and conditions of this act required of residents of
this Commonwealth.
(b) Waiver of certain requirements.--The board may waive the
requirement for serving an apprenticeship or completing a course
of study in auctioneering if the nonresident was:
(1) licensed by another state for at least two years; or
(2) established in the business of auctioneering for at
least two years and, in the case of states that do not
require a license, the board reviews the application to
determine the qualifications of the applicant.
(c) Limitation on type of property sold.--The nonresident
auctioneer or apprentice auctioneer is only permitted to sell at
auction in this Commonwealth whatever property the laws of his
state permit nonresident auctioneers and apprentice auctioneers
to sell at auction.
(d) Ineligibility to sponsor apprentices.--A nonresident
auctioneer is not a qualified auctioneer for the purpose of
sponsoring or employing an apprentice auctioneer.]
Section 8. Section 12 of the act is amended to read:
Section 12. Reciprocity with other states.
(a) General rule.--[A nonresident of this Commonwealth who
applies for a license as an auctioneer or apprentice auctioneer
may be granted a license for which he applies if he is licensed
as an auctioneer or apprentice auctioneer by the proper
authority of the state of his domicile,] A person who is
licensed in good standing as an auctioneer, apprentice
auctioneer or auction company in another state may, on
application to the board, be granted licensure as an auctioneer,
apprentice auctioneer or auction company in this Commonwealth
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upon the payment by the applicant of the proper [license]
application fee and the filing with the board of a properly
certified copy of the license issued to the applicant by the
[state of his domicile, subject to the following limitations:
(1) The auctioneer licensing laws of the nonresident
state must extend to licensed auctioneers and apprentice
auctioneers of this Commonwealth the same rights and
privileges and the same authority to conduct auction sales in
that state as this act extends to nonresidents of this
Commonwealth without the necessity of the licensed
auctioneers and apprentice auctioneers of this Commonwealth
to obtain additional or further licenses or authority from
any political subdivision of that state to conduct an auction
sale.
(2) The nonresident auctioneer or apprentice auctioneer
is only permitted to sell at auction in this Commonwealth
whatever property the laws of his state permit nonresident
auctioneers and apprentice auctioneers to sell at auction.
(b) Bond.--The bond required by this act shall accompany the
application.
(c) Change of nonresident status.--The movement from another
state or jurisdiction to domicile in this Commonwealth
eliminates the possibility of reciprocal licensing set forth in
this section and the individual must qualify for a license under
terms of this act which are applicable to residents of this
Commonwealth.] applicant's current licensing state, provided
that:
(1) the requirements for licensure in the applicant's
current licensing state are, in the determination of the
board, commensurate with the requirements for licensure in
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this Commonwealth;
(2) the licensing laws of the applicant's current
licensing state extend to licensees of this Commonwealth the
same reciprocal rights and privileges in that state without
the necessity of the licensees in this Commonwealth to obtain
additional or further licenses or authority from any
political subdivision of that state; and
(3) the applicant satisfies all other requirements of
licensees and applicants for licensure in this Commonwealth,
including the requirement to furnish a bond.
(a.1) Review by board.--Each application for licensure by
reciprocity shall be reviewed by the board and shall be
determined by a vote of the board.
Section 9. Section 13 of the act is repealed:
[Section 13. Licensee and registrant to furnish bond.
(a) General rule.--An auctioneer, apprentice auctioneer,
auction company or auction house license or trading assistant
registration shall not be granted or issued to any person until
the applicant has filed with the board an approved bond payable
to the Commonwealth in the amount of $5,000. The bond shall be
executed by a surety company authorized by the laws of this
Commonwealth to transact business in this Commonwealth. The bond
shall be for the use of the Commonwealth and for any person or
persons who may have a cause of action against a licensee or
registrant under this act.
(b) Conditions of bond.--The condition of the bond shall be
that the licensee or registrant will comply with and abide by
the provisions of this act and will pay to the Commonwealth, the
board or any person or persons any and all money that may come
due the Commonwealth, the board or the person or persons from a
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licensee or registrant under and by virtue of this act.
(c) Action on bond.--If any person is aggrieved by the
misconduct of any licensee or registrant and recovers judgment
against the licensee or registrant therefor, the person may, on
any execution issued under the judgment, maintain an action upon
the bond of the licensee or registrant in any court having
jurisdiction of the amount claimed.]
Section 10. Sections 14 and 15 of the act, amended October
8, 2008 (P.L.1080, No.89), are amended to read:
Section 14. No other license or registration required.
No political subdivision of this Commonwealth shall have the
power or authority to levy or collect any license tax or fee
which is either a regulatory or a revenue measure upon or from
any [auctioneer or apprentice auctioneer or trading assistant
licensed or registered] licensee or registrant under this act
nor to require [any auctioneer or apprentice auctioneer] the
following:
(1) A licensee or registrant to be licensed by the
political subdivision in order to carry on the business of
[auctioneer or to conduct a sale at auction] the licensee or
registrant.
(2) A licensee to be licensed by the political
subdivision in order to conduct a sale at auction.
(3) A licensee or registrant to be licensed by the
political subdivision in order to engage in online trading
assistant consignment sale transactions.
Section 15. List of licensees and registrants.
The board shall maintain a current list of [any person
licensed by or registered with the board] licensees and
registrants under this act. The list shall be posted on the
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department's Internet website and shall be subject to the act of
February 14, 2008 (P.L.6, No.3), known as the Right-to-Know Law.
Section 11. The act is amended by adding a section to read:
Section 15.1. Contracts.
Prior to conducting a transaction, a licensee or registrant
shall enter into a written contract, in duplicate, with the
owner or consignor of the property to be sold, containing the
terms and conditions upon which the licensee or registrant
agrees to conduct the sale. Each contract shall include the
license or registration number of the licensee or registrant
conducting the transaction. The contract may be entered into
electronically. The contracts shall be kept on file in the
office of the licensee or registrant and shall be open to
inspection as provided in this act.
Section 12. Section 16 of the act, amended October 8, 2008
(P.L.1080, No.89), is amended to read:
Section 16. Records of sales.
(a) General rule.--Every [auctioneer or trading assistant,
whether acting in his own behalf or as the officer, agent or
representative of another, after the receipt or acceptance by
him of] licensee and registrant under this act who receives or
accepts any property for sale at auction or sale through an
online [Internet bidding platform,] trading assistant
consignment sale transaction shall maintain a written record
which shall contain the following information, provided that if
the transaction is being conducted by an auction company or a
trading assistant company, the records shall be maintained by
the auction company or trading assistant company:
(1) The name and address of the [person who employed him
to conduct the transaction and of the owner, the owner's
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authorized agent or consignor] seller of the property to be
sold.
(2) A copy of the written or electronic contract
authorizing the transaction containing the terms and
conditions of the transaction or a copy of the receiving
invoice.
(3) A written record of the transaction.
(b) Inspection of records.--The records referred to in
subsection (a) shall be open at all reasonable times for
inspection by the board or any person who is authorized in
writing for that purpose by the board and who exhibits the
written authorization to the [auctioneer or trading assistant]
licensee or registrant before making an inspection.
(c) Retention of records.--The written records shall be kept
on file in the office of the [auctioneer or trading assistant]
licensee or registrant for a period of [at least] not less than
two years and, if the [auctioneer or trading assistant] licensee
or registrant is notified of a complaint against [him] the
licensee or registrant, the records shall be maintained [by the
auctioneer or trading assistant] until the complaint is finally
resolved.
(d) Receipts.--Every [auctioneer or trading assistant]
licensee or registrant must provide a written receipt for all
transactions[. A] conducted by the licensee or registrant, which
receipt may be provided electronically. [Receipts] Copies of
receipts must be retained for [at least] not less than two
years.
Section 13. Section 17 of the act is repealed:
[Section 17. Contracts for conduct of transaction.
(a) General rule.--Prior to conducting a transaction, an
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auctioneer or trading assistant shall enter into a written
contract, in duplicate, with the owner or consignor of the
property to be sold, containing the terms and conditions upon
which the licensee or registrant agrees to conduct the sale.
The contract may be entered into electronically. The contracts
shall be kept on file in the office of the [auctioneer or
trading assistant and shall be open to inspection as provided in
this act. It is unlawful for a person to advertise an auction or
sale at auction or a sale through an online Internet bidding
platform without including in the advertisement or notice of
sale the name and license number of the auctioneer, auction
house or auction company or the registration number of the
trading assistant conducting the transaction.
(b) Penalty.--A person who violates subsection (a) commits a
summary offense and shall, upon conviction, be sentenced to pay
a fine not less than $50.]
Section 14. Sections 18 and 20 of the act are amended to
read:
Section 18. Display of licenses and registration certificates.
(a) General rule.--Every [individual, partnership,
association or corporation licensed as an auctioneer] licensee
and registrant under this act shall prominently display the
[license] certificate [in their] of licensure or registration at
the licensee's or registrant's office, and the current [renewal]
wallet card or any facsimile thereof issued to the licensee or
registrant shall be shown on demand of any person at all
auctions or sales at auction conducted by any licensee or in
connection with any transaction conducted by any registrant.
(b) Apprentice auctioneers.--All auctioneers shall
prominently display in their office the license certificate of
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any apprentice auctioneer employed by them and the current
renewal card or any facsimile thereof of any apprentice
auctioneer employed by them shall be available on demand at any
sale in which an apprentice is employed. A license issued to an
apprentice auctioneer shall designate his qualified sponsor by
name. Prompt notice in writing within ten days shall be given to
the board by the apprentice auctioneer of any change of
qualified sponsor and of the name of the new qualified sponsor
into whose service the apprentice auctioneer is about to enter
or has entered. A new license shall be issued without charge by
the board to the apprentice auctioneer for the unexpired term of
the original license. The new sponsor shall be a qualified
[auctioneer] sponsor. The change of qualified sponsor or
employment by any licensed apprentice auctioneer without notice
to the board shall automatically cancel the license issued to
him. It is the duty of the qualified sponsor named in the
license to notify the board within ten days of any change in
status of an apprentice licensed under him. It is unlawful for
an apprentice auctioneer to pay compensation to an auctioneer
for the sole purpose of listing the apprentice as an employee.
[(c) Suspension or revocation of license for violation.--The
violation of this section by any licensee is sufficient cause
for the suspension or revocation of his license at the
discretion of the board after a hearing in accordance with this
act.]
Section 20. [Investigations and enforcement] Enforcement
actions.
(a) General rule.--The board may[, upon its own motion, and
shall, promptly upon the verified complaint in writing of any
person setting forth specifically the wrongful act or acts
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complained of, investigate any action or business transaction of
any person licensed by the board and may temporarily suspend or
permanently revoke licenses issued by the board or impose a
civil penalty not exceeding $1,000 at any time when, after due
proceedings provided in this act, it finds the licensee to have
been guilty in the performance or attempt to perform any of the
acts prohibited to others than licensees under this act, as
follows:] refuse, suspend or revoke licenses or registrations
issued by the board or impose a civil penalty not exceeding
$10,000 when it finds the applicant, licensee or registrant to
have been guilty in the performance or attempt to perform any of
the following:
(1) Knowingly making any substantial misrepresentation.
(2) Knowingly making any false promise of a character
likely to influence, persuade or induce.
(3) A continued or flagrant course of misrepresentation
or making false promises through agents or apprentice
auctioneers.
(4) Within five years prior to the issuance of the
license then in force, conviction in a court of competent
jurisdiction in this or any other state or in Federal court
of forgery, embezzlement, obtaining money under false
pretenses, extortion, conspiracy to defraud or other like
offense or offenses.
(5) Any failure to account for or to pay over moneys
belonging to others which have come into his or its
possession arising out of a sales transaction within a
reasonable time.
(6) Any misleading or untruthful advertising.
(7) Any act or conduct in connection with a sales
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transaction which demonstrates incompetency, bad faith or
dishonesty.
(8) Knowingly using false bidders, cappers or puffers.
(9) Violating any of the provisions of this act.
(10) Violating any regulation of the board.
(11) Having his license to engage in the auction
profession revoked or suspended or having other disciplinary
action taken or his application for licensure refused,
revoked or suspended by the proper licensing authority of
another state.
(12) [Failing] The failure of a licensee or registrant
who receives moneys on account of others to establish or
maintain an escrow account as required in section 21.
(13) For any licensed auctioneer or apprentice
auctioneer to bid and buy for himself at any auction he is
conducting.
(14) For any [licensed auctioneer or apprentice
auctioneer] licensee or registrant to pay any compensation in
money or other valuable thing to any person other than a
[licensed auctioneer or apprentice auctioneer] licensee or
registrant for the rendering of any service or the doing of
any of the acts by this act forbidden to be rendered or
performed by other than licensees or registrants.
(15) For a licensee or registrant to advertise an
auction or a sale through an online trading assistant
consignment sale without including in the advertisement or
notice of sale the name and the license or registration
number of the licensee or registrant conducting the
transaction.
(b) [Notice of charges.--Before refusing, suspending or
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revoking any license, the board shall, in writing, notify the
applicant or licensee of the charges against him, accompanying
the notice with a copy of the complaint filed, if any, and the
board shall accord the applicant or licensee ample opportunity
to be heard in person or by counsel.] Procedure.--A disciplinary
action of the board shall be taken subject to the right of
notice, hearing and adjudication and the right of appeal, in
accordance with 2 Pa.C.S. (relating to administrative law and
procedure).
Section 15. Section 21 of the act, amended October 8, 2008
(P.L.1080, No.89), is amended to read:
Section 21. Escrow account.
Every [auctioneer] licensee and registrant shall
[immediately] promptly deposit moneys, received from the sale of
property, belonging to others in a separate custodial or trust
fund account maintained by the [auctioneer or trading assistant]
licensee or registrant until the transaction involved is
terminated, at which time the [auctioneer or trading assistant]
licensee or registrant shall account for the full amount
received. Such moneys received by a licensee or registrant
working for an auction company or trading assistant company
shall be promptly turned over to such company for deposit and
accounting.
Section 16. Sections 22 and 23 of the act are amended to
read:
Section 22. Hearing on charges.
(a) General rule.--If the applicant [or], licensee or
registrant desires, the board shall grant a hearing upon the
charges. The [said hearings] hearing may be held by the board or
any member thereof or by any other person duly authorized by the
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board for such purpose in any particular case.
(b) Report of hearing officer.--If the hearing is held by a
member of the board or by a person authorized by the board, a
written report of the hearing shall be made to the board.
(c) Action on report of hearing officer.--The board may
adopt the findings in the report or may, with or without
additional testimony, either return the report for any further
consideration the board deems necessary or make additional or
other findings of fact on the basis of all the legally probative
evidence in the record and enter its findings of fact and
conclusions of law and order in accordance with the requirements
for the issuance of an adjudication under [Title 2 of the
Pennsylvania Consolidated Statutes] 2 Pa.C.S. (relating to
administrative law and procedure).
Section 23. Administration and enforcement.
(a) Administration and enforcement.--The board shall
administer and enforce this act.
(b) Issuance and supervision of licenses.--It is the duty of
the board, on payment of the required fee and on compliance with
the requirements of this act, to issue a license as an
auctioneer, apprentice auctioneer or auction company and to
issue registrations to trading assistants and to trading
assistant companies. The board shall supervise and control all
licenses and registrations issued under this act.
Section 17. Sections 26(c), 27, 28 and 29 of the act,
amended October 8, 2008 (P.L.1080, No.89), are amended to read:
Section 26. Revocation or suspension of license or
registration.
* * *
(c) Revocation of license or registration of legally
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recognized entity for violation by member or officer.--In the
event of the revocation or suspension of the license or
registration issued to any member of a partnership or to any
officer of an association [or], corporation, limited liability
company or other entity, the license or registration issued to
the [partnership, association or corporation] legally recognized
entity shall be revoked by the board unless, within a time fixed
by the board, the connection of the member of the partnership is
severed and his interest in the partnership and his share in its
activities brought to an end or the officer of the association
[or], corporation, limited liability company or other entity is
discharged and has no further participation in its activities.
Section 27. Issuance of new license or registration pending
investigation and decision.
Pending an investigation or proceeding before the board
affecting any licensee or registrant and pending final decision
upon any appeal taken by a licensee or registrant from the
ruling of the board, no new registration may be issued or
license may be issued to a licensee or to a partnership of which
he is a member or employee or to an association [or],
corporation, limited liability company or other entity of which
he is an officer or employee except for the period of the
investigation or proceeding and subject to the action of the
board.
Section 28. Issuance of new license or registration after
revocation.
(a) General rule.--After the revocation of any license or
registration, no new license or registration may be requested by
or issued to the same licensee or registrant within a period of
at least [one year] five years from the date of the revocation
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nor, except in the sole discretion of the board and subject to
the conditions of this act, at any time thereafter.
(b) Criminal conduct.--No license or registration shall be
issued by the board to any person known by it to have been,
within five years, convicted of forgery, embezzlement, obtaining
money under false pretenses, extortion, criminal conspiracy to
defraud or other like offense, or to any copartnership of which
any person is a member or to any association [or], corporation,
limited liability company or other entity of which any person is
an officer or employee or in which as a stockholder any person
has or exercises a controlling interest either directly or
indirectly.
Section 29. Penalties.
(a) Criminal penalties.--Any person who engages in or
carries on the profession or acts in the capacity of [an
auctioneer, apprentice auctioneer, auction house, auction
company or trading assistant] a licensee or registrant in this
Commonwealth without a current license or registration or who
employs any [person] individual without a current license [as an
apprentice auctioneer] or registration:
(1) For a first offense, commits a summary offense and
shall, upon conviction, be sentenced to pay a fine not
exceeding $500 or to imprisonment not exceeding three months,
or both.
(2) For a second or subsequent offense, commits a
misdemeanor of the third degree and shall, upon conviction,
be sentenced to pay a fine of not less than $2,000 but not
more than $5,000 or to imprisonment for not less than one
year but not more than two years, or both.
(b) Civil penalty.--
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(1) In addition to any other civil remedy or criminal
penalty provided for in this act, the board, by a vote of the
majority of the maximum number of the authorized membership
of the board as provided by law or by a vote of the majority
of the duly qualified and confirmed membership or a minimum
of four members, whichever is greater, may levy a civil
penalty of up to [$1,000] $10,000 on any person:
(i) who engages in the business or practice of
auctioneering without being properly licensed to do so
under this act[.]; or
(ii) who engages in business as a trading assistant
or trading assistant company without being properly
registered to do so under this act.
(2) The board shall levy this penalty only after
affording the accused party the opportunity for a hearing, as
provided in [Title 2 of the Pennsylvania Consolidated
Statutes] 2 Pa.C.S. (relating to administrative law and
procedure).
(c) Failure to register.--Any [individual] person who fails
to register under section [10.1] 5.1 may be subject to a penalty
of up to $500 levied by the commissioner. The [individual]
person may request a hearing before the board, which shall be
conducted in accordance with 2 Pa.C.S.
Section 18. Section 30 of the act is amended to read:
Section 30. Actions by unlicensed or unregistered persons
prohibited.
No action or proceeding may be instituted and no recovery may
be had in any court of this Commonwealth by any [individual,
partnership, association or corporation] person for compensation
for any act done or services rendered the doing or rendering of
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which is prohibited under this act to other than persons
licensed or registered by the board, unless the [individual,
partnership, association or corporation] person was licensed or
registered at the time of doing the act or rendering of service.
Section 19. Section 31(a) of the act, amended October 8,
2008 (P.L.1080, No.89), is amended to read:
Section 31. State Board of Auctioneer Examiners.
(a) Representation.--The State Board of Auctioneer Examiners
shall consist of the Commissioner of Professional and
Occupational Affairs, the Director of the Bureau of Consumer
Protection in the Office of Attorney General, or his designee,
two members appointed by the Governor with the advice and
consent of the Senate, who shall be persons representing the
public at large, one member appointed by the Governor with the
advice and consent of the Senate, who shall be a registered
trading assistant, and four members appointed by the Governor
with the advice and consent of the Senate, [who shall be
licensed auctioneers, have served as licensed auctioneers for
ten years or more and have conducted at least 50 auctions each
year] each of whom is a licensed auctioneer meaningfully engaged
in the auction industry such that the person is aware of current
and developing issues and practices, and each of whom shall have
been licensed as an auctioneer for ten years or more.
* * *
Section 20. This act shall take effect in 60 days.
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