REPORT TITLE:
Pawnbrokers


DESCRIPTION:
Adds more penalties against pawnbrokers for failure to comply
with their licensing laws.  Defines "suitable persons" for
licensing purposes.  Allows customer to make the choice of remedy
where pawnbroker is liable for pledged goods that have become
lost, damaged, or stolen. Provides for civil penalties.(PROPOSED
HB1533 HD1)

 
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                                                        1533 
HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 1999                    
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO PAWNBROKERS.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Section 445-131, Hawaii Revised Statutes, is
 
 2 amended by adding a new definition to be appropriately inserted
 
 3 and to read as follows:
 
 4      ""Suitable persons" means anyone who has not been convicted
 
 5 of a felony for a period of ten years prior to the date of
 
 6 application for a license."
 
 7      SECTION 2.  Section 445-134.16, Hawaii Revised Statutes, is
 
 8 amended to read as follows:
 
 9      "[[]§445-134.16[]]  Pawnbroker liability.  Where the
 
10 pawnbroker has exercised reasonable care in holding pledged
 
11 goods, a pawnbroker's liability shall be limited to twice the
 
12 original pawn amount or replacement in kind, at the
 
13 [pawnbroker's] customer's option, where the pledged goods have
 
14 become lost, damaged, or stolen."
 
15      SECTION 3.  Section 445-136, Hawaii Revised Statutes, is
 
16 amended to read as follows:
 
17      "§445-136  Breach of condition; penalty.  [Every licensed
 
18 pawnbroker who fails to comply with any of the provisions of this
 
19 part shall be fined not more than $2,500 for each violation and
 
20 shall forfeit the pawnbroker's license.] (a)  Every licensed
 

 
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Page 2                                                     1533 
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 pawnbroker, or dealer, agent, employee, or representative of a
 
 2 licensed pawnbroker who fails to comply with any of the
 
 3 provisions of this part shall:
 
 4      (1)  Be fined not more than $2,500 for each violation;
 
 5      (2)  Forfeit the pawnbroker's license after two or more
 
 6           violations of this section; and
 
 7      (3)  Be permanently prohibited, after two or more violations
 
 8           of this section, from engaging in the business of, or
 
 9           being employed in the business of, buying or selling of
 
10           precious or semiprecious metals, or precious or
 
11           semiprecious gems, or any article.
 
12      SECTION 4.  This Act does not affect rights and duties that
 
13 matured, penalties that were incurred, and proceedings that were
 
14 begun, before its effective date.
 
15      SECTION 5.  Statutory material to be repealed is bracketed.
 
16 New statutory material is underscored.
 
17      SECTION 6.  This Act shall take effect upon its approval.
 

 
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