Senate Bill sb2208c1

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    Florida Senate - 2002                           CS for SB 2208

    By the Committee on Agriculture and Consumer Services; and
    Senator Geller




    303-2210-02

  1                      A bill to be entitled

  2         An act relating to pawnbroking; amending s.

  3         539.001, F.S.; requiring certain classroom

  4         education as a condition of licensure;

  5         providing reporting and recordkeeping

  6         requirements; prohibiting certain acts by

  7         licensees and applicants; providing penalties;

  8         providing effective dates.

  9

10  Be It Enacted by the Legislature of the State of Florida:

11

12         Section 1.  Paragraph (c) of subsection (3) and

13  paragraph (a) of subsection (4) of section 539.001, Florida

14  Statutes, are amended, paragraph (o) is added to subsection

15  (12) of that section, and subsection (22) is added to that

16  section, to read:

17         539.001  The Florida Pawnbroking Act.--

18         (3)  LICENSE REQUIRED.--

19         (c)  Each license is valid for a period of 1 year

20  unless it is earlier relinquished, suspended, or revoked. Each

21  license shall be renewed annually, and each licensee shall,

22  initially and annually thereafter, pay to the agency a license

23  fee of $300 for each license held. At the time of renewal, the

24  licensee must certify to the department that it has completed

25  10 hours of classroom education on legal and ethical

26  considerations in pawnshop transactions, victims' rights,

27  safety and security, consumer and community relations, and the

28  laws and related rules of ss. 539.001-539.003. A person who

29  holds licenses for more than 40 pawnshops is exempt from the

30  provisions of this paragraph, provided that it files with the

31  department a certification attesting that it offers an

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    Florida Senate - 2002                           CS for SB 2208
    303-2210-02




  1  in-house training program that provides equivalent classroom

  2  education.

  3         (4)  ELIGIBILITY FOR LICENSE.--

  4         (a)  To be eligible for a pawnbroker's license, an

  5  applicant must:

  6         1.  Be of good moral character;

  7         2.  Have a net worth of at least $50,000 or file with

  8  the agency a bond issued by a surety company qualified to do

  9  business in this state in the amount of $10,000 for each

10  license. In lieu of the bond required in this section, the

11  applicant may establish a certificate of deposit or an

12  irrevocable letter of credit in a Florida banking institution

13  in the amount of the bond. The original bond, certificate of

14  deposit, or letter of credit shall be filed with the agency,

15  and the agency shall be the beneficiary to said document. The

16  bond, certificate of deposit, or letter of credit shall be in

17  favor of the agency for the use and benefit of any consumer

18  who is injured by the fraud, misrepresentation, breach of

19  contract, financial failure, or violation of any provision of

20  this section by the pawnbroker. Such liability may be enforced

21  either by proceeding in an administrative action or by filing

22  a judicial suit at law in a court of competent jurisdiction.

23  However, in such court suit, the bond, certificate of deposit,

24  or letter of credit posted with the agency shall not be

25  amenable or subject to any judgment or other legal process

26  issuing out of or from such court in connection with such

27  lawsuit, but such bond, certificate of deposit, or letter of

28  credit shall be amenable to and enforceable only by and

29  through administrative proceedings before the agency. It is

30  the intent of the Legislature that such bond, certificate of

31  deposit, or letter of credit shall be applicable and liable

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    Florida Senate - 2002                           CS for SB 2208
    303-2210-02




  1  only for the payment of claims duly adjudicated by order of

  2  the agency. The bond, certificate of deposit, or letter of

  3  credit shall be payable on a pro rata basis as determined by

  4  the agency, but the aggregate amount may not exceed the amount

  5  of the bond, certificate of deposit, or letter of credit;

  6         3.  Not have been convicted of, or found guilty of, or

  7  pled guilty or nolo contendere to, or not have been

  8  incarcerated within the last 10 years as a result of having

  9  previously been convicted of, or found guilty of, or pled

10  guilty or nolo contendere to, regardless of adjudication, a

11  felony within the last 10 years and not be acting as a

12  beneficial owner for someone who has been convicted of, or

13  found guilty of, or pled guilty or nolo contendere to,

14  regardless of adjudication, a felony within the last 10 years;

15  and

16         4.  Not have been convicted of, or found guilty of, or

17  pled guilty or nolo contendere to, or not have been

18  incarcerated within the last 10 years as a result of having

19  previously been convicted of, or found guilty of, or pled

20  guilty or nolo contendere to, regardless of adjudication, a

21  crime that involves theft, larceny, dealing in stolen

22  property, receiving stolen property, burglary, embezzlement,

23  obtaining property by false pretenses, possession of altered

24  property, or any other fraudulent or dishonest dealing within

25  the last 10 years, and not be acting as a beneficial owner for

26  someone who has been convicted, of, or found guilty of, or

27  pled guilty or nolo contendere to, or has been incarcerated

28  within the last 10 years as a result of having previously been

29  convicted of, or found guilty of, or pled guilty or nolo

30  contendere to, regardless of adjudication, a crime that

31  involves theft, larceny, dealing in stolen property, receiving

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    Florida Senate - 2002                           CS for SB 2208
    303-2210-02




  1  stolen property, burglary, embezzlement, obtaining property by

  2  false pretenses, possession of altered property, or any other

  3  fraudulent or dishonest dealing within the last 10 years; and.

  4         5.  Certify to the department that it has completed 15

  5  hours of classroom education on legal and ethical

  6  considerations in pawnshop transactions, victims' rights,

  7  safety and security, consumer and community relations, and the

  8  laws and related rules of ss. 539.001-539.003. A person who

  9  holds licenses for more than 40 pawnshops is exempt from the

10  provisions of this subparagraph, provided that it files with

11  the department a certification attesting that it offers an

12  in-house training program that provides equivalent classroom

13  education. The provisions of this subparagraph apply to each

14  initial application for licensure and to the first annual

15  renewal of a license after the effective date of this act.

16         (12)  PROHIBITED ACTS.--A pawnbroker, or an employee or

17  agent of a pawnbroker, may not:

18         (o)  Fail to prominently display a certificate of

19  completion of classroom education at each pawnshop.

20         (22)  CLASSROOM EDUCATION AND RECORDKEEPING.--

21         (a)  The Florida Pawnbrokers Association, Inc., is

22  authorized to offer classroom education to persons licensed as

23  pawnbrokers and persons seeking such licensure, subject to the

24  following:

25         1.  The Florida Pawnbrokers Association shall keep an

26  accurate record of the classroom education information for

27  those persons attending and shall furnish to the department a

28  list of those individuals who have successfully completed the

29  classroom education requirement for initial licensure as a

30  pawnbroker or who are in compliance with the

31  continuing-education requirement for continued licensure as a

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    Florida Senate - 2002                           CS for SB 2208
    303-2210-02




  1  pawnbroker. This list shall be furnished to the department

  2  quarterly or at such other intervals as the department

  3  requires.

  4         2.  At a minimum, 50 percent of the required hours must

  5  be satisfied by attendance at a live lecture or live seminar.

  6         3.  The Florida Pawnbrokers Association, Inc., shall

  7  furnish to each person who successfully completes the

  8  applicable classroom education requirements certificates

  9  suitable for display certifying such completion and in

10  sufficient quantities for the person to display in each

11  pawnshop owned by that person.

12         (b)  The department may accept classroom education

13  provided by other persons if it determines that that education

14  is equivalent to the education provided under paragraph (a).

15         Section 2.  This act shall take effect July 1, 2002,

16  except that paragraph 539.001(12)(o), Florida Statutes, shall

17  take effect December 31, 2002.

18

19          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
20                         Senate Bill 2208

21

22  The Committee Substitute for Senate Bill 2208 is different
    from Senate Bill 2208 in that it:
23
    1.    Deletes definitions for "certified pawnshop" and
24        "certified pawnshop manager".

25  2.    Revises educational requirements for pawnshop licensees.

26  3.    Exempts anyone who holds licenses for more than 40
          pawnshops from the bill's education requirements, after
27        proof that an in-house training program is provided.

28  4.    Deletes fees.

29  5.    Revises how required education would be provided.
          Authorizes the Florida Pawnbrokers Association, as well
30        as any person who can provide equivalent instruction, to
          offer the classroom education.
31

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