Introduced By: Senator Breene
Date Introduced : January 27, 1998
It is enacted by the General Assembly as follows:
SECTION 1. Sections 5-58-1, 5-58-2, and 5-58-8
of the General Laws in Chapter 5-58 entitled "Auctioneers" are hereby amended to read as follows:
5-58-1. Licensing of auctioneers and apprentices. --
Any person desiring to hold an auctioneer's license or apprentice
auctioneer's permit shall make written application for that license
or permit on appropriate forms provided by the director of the
department of business regulations. Each applicant shall be a
person who has a good reputation for honesty, truthfulness, and
fair dealing; good moral character, and who is competent and financially
qualified to conduct the business of an auctioneer or apprentice
{DEL in such a manner as to safeguard the interest of the public
as determined by the director through rule and regulation. DEL}
{ADD all of which may be considered by the director along with any
other information the director deems appropriate in determining
whether the granting of the application is in the public interest.
Other information deemed appropriate shall include, but not be
limited to, a criminal records check. The director shall process
the criminal records check for all resident applicants for an
auctioneer's license. Non-resident applicants for an auctioneer's
license, however, shall apply to the bureau of criminal identification
of the state police for a nationwide criminal records check.
The bureau of criminal identification of the state police shall
forward the results of the criminal records check to the director.
The director may deny any application for a license if the director
finds, based upon the results of the criminal records check, that
the applicant has been convicted of a felony. ADD} Each application
for an auctioneer, apprentice auctioneer, or nonresident auctioneer's
license shall be accompanied by an application fee of ten dollars
($10.00).
{DEL Provided, however, any person who applies for a nonresident
auctioneer's license shall apply to the bureau of criminal identification
of the state police for a nationwide criminal records check. The
bureau of criminal identification of the state police shall forward
the results of the criminal records check to the director. The
director may deny any application for a license if the director
finds, based upon the results of the criminal records check, that
the nonresident applicant has been convicted of a felony. DEL}
Prior to the taking of the examination, each applicant shall pay
an examination fee in an amount to be established by the director
of business regulation. Each applicant granted an auctioneer's
license shall pay a licensing fee of two hundred dollars ($200)
per annum. Each nonresident auctioneer applicant granted a license
shall pay a licensing fee of three hundred dollars ($300) per
annum. Each applicant granted an apprentice auctioneer {DEL license DEL}
{ADD permit ADD} shall pay a permit fee of twenty dollars ($20.00)
per annum. There shall be a five dollars ($5.00) charge for issuance
of a duplicate license or permit to replace a lost, damaged, or
destroyed original or renewal license or permit. Fees for that
replacement and for original or renewal license or permit shall
be paid into the general fund. The director shall promulgate rules
and regulations mandating the term of license or permit for each
category of license or permit issued pursuant to this chapter;
however no such license or permit shall remain in force for a
period in excess of three (3) years. The fee for said initial
license or renewal shall be determined by multiplying the per
annum fee by the number of years in the term of license or renewal.
The entire fee for the full term of licensure must be paid in
full prior to issuing the renewal or initial license.
5-58-2. Auctioneer's and apprentice's bond. -- Every
auctioneer shall, upon approval of application and prior to issuance
of license or apprentice permit, {DEL give bond to DEL}
{ADD deliver and file with ADD} the {DEL director DEL} {ADD department ADD}
of business regulation {DEL with sufficient sureties DEL}
{ADD a surety company bond in favor of the people of the state of
Rhode Island ADD} in {ADD the principle ADD} a sum not exceeding ten
thousand dollars ($10,000) nor less than two thousand dollars
($2,000), at the discretion of the director; {ADD and payable to
any party injured under the terms of the bond. The bond shall
not limit or impact any right of recovery otherwise available
pursuant to law nor shall the amount of the bond be relevant in
determining the amount of damage or other relief to which any
claimant shall be entitled. ADD} {DEL conditioned faithfully
to execute the duties of his office according to law, which shall
include but not be limited to the avoidance of impropriety which
shall mean, in addition to the meaning as defined by the director,
avoiding being the auctioneer for any property in which the auctioneer
either has a financial interest in the property and/or employed
or acting on behalf of the foreclosing party other than as auctioneer,
to pay over all moneys received by him for goods sold at auction,
to the owners thereof, and to pay over all duties to the state
and to the town which shall accrue on goods so sold by him. DEL}
5-58-8. Regulation of sales. -- The director of business regulation shall have the authority to promulgate rules and regulations which are reasonable, proper, and necessary to enforce the provisions of this chapter, to establish procedures for the preparation and processing of examinations, applications, licenses, and permits for the conduct of auction sales; to deny, suspend, or revoke licenses, or permits, {ADD to issue cease and desist orders, to assess administrative penalties of up to one thousand dollars ($1,000) ADD} and to establish procedures for renewals, appeals, hearings, and rulemaking proceedings.
SECTION 2. Chapter 5-58 of the General Laws entitled "Auctioneers" is hereby amended by adding thereto the following section:
{ADD 5-58-11. Severability. -- ADD} {ADD If any provision of this chapter or any rule or regulation made thereunder, or the application thereof to any person or circumstances, is held invalid by a court of competent jurisdiction, the remainder of the chapter, rule, or regulation, and the application of that provision to other persons or circumstances, shall not be affected thereby. ADD}
SECTION 3. Sections 5-58-3, 5-58-4 and 5-58-5 of the General Laws in Chapter 5-58 entitled "Auctioneers" are hereby repealed.
{DEL 5-58-3. Action on bond. -- DEL} {DELThe bond aforesaid
may be sued in the name of the director of business regulation
by any person claiming a forfeiture thereon, that person first
giving security for costs by endorsing the writ, or by procuring
some sufficient citizen of the state to endorse the same, who
shall be liable for costs in case the defendant recover and against
whom execution shall issue therefor. DEL}
{DEL5-58-4. Judgment and execution on bond. -- DEL}
{DELIn case of forfeiture adjudged in an action on a bond pursuant
to section 5-58-3, judgment shall be rendered for the penalty
of the bond, and execution shall issue to the plaintiff, for the
benefit of the person claiming a forfeiture, for the sum ascertained
to be due to him. DEL}
{DEL 5-58-5. Action on judgment on bond. -- DEL} {DELLike
security for costs shall be given and like proceedings had, when
action is sued out on the judgment for additional breach of the
bond; provided, that when any suit shall be commenced on it by
the director of business regulation notice of that fact shall
be endorsed on the complaint, but no security for cost shall be
given nor shall the defendant in that case recover costs in any
event. DEL}
SECTION 4. This act shall take effect upon passage.
