HB 779 - Auctioneers; amend provisions

Georgia House of Representatives - 1995/1996 Sessions

HB 779 - Auctioneers; amend provisions

Page Numbers - 1/ 2/ 3/ 4/ 5/ 6
Code Sections - 43-6-2/ 43-6-3 <->/ 43-6-12.1/ 43-6-14.1/ 43-6-18/ 43-6-18.1/ 43-6-24
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1. Coleman  80th          2. Bargeron  120th

House Comm: Ind / Senate Comm: ST&I / House Vote: Yeas 91 Nays 0 Senate Vote: Yeas 49 Nays 0 ---------------------------------------- House Action Senate ---------------------------------------- 2/17/95 Read 1st Time 1/24/96 2/20/95 Read 2nd Time 1/31/96 3/1/95* Favorably Reported 1/30/96 3/17/95 Recommitted 1/23/96 Read 3rd Time 2/2/96 1/23/96 Passed/Adopted 2/2/96 CS Comm/Floor Amend/Sub 3/19/96 Sent to Governor 4/8/96 Signed by Governor 802 Act/Veto Number 7/1/96 Effective Date ---------------------------------------- Favorably Reported by Substitute 1/11/96 Code Sections amended: 43-6-1, 43-6-2, 43-6-3, 43-6-11, 43-6-11.1, 43-6-12.1, 43-6-14.1, 43-6-18, 43-6-18.1, 43-6-24
HB 779 LC 9 8544S A BILL TO BE ENTITLED AN ACT 1- 1 To amend Chapter 6 of Title 43 of the Official Code of 1- 2 Georgia Annotated, relating to auctioneers, so as to provide 1- 3 a definition; to change the provisions relating to the 1- 4 Georgia Auctioneers Commission and the membership thereof; 1- 5 to delete certain obsolete provisions; to change the 1- 6 provisions relating to qualifications for licenses; to 1- 7 require certain trust accounts and registration thereof; to 1- 8 require the carrying of Georgia auctioneers license 1- 9 identification cards and the display thereof; to change the 1-10 provisions relating to grounds for revocation or suspension 1-11 of licenses and censure or discipline of licensees; to 1-12 change the provisions relating to complaints; to change the 1-13 powers of the inspector for the commission; to provide for 1-14 an exception to such chapter; to provide for other matters 1-15 relating to auctioneers and the Georgia Auctioneers 1-16 Commission; to repeal conflicting laws; and for other 1-17 purposes. 1-18 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: SECTION 1. 1-19 Chapter 6 of Title 43 of the Official Code of Georgia 1-20 Annotated, relating to auctioneers, is amended by adding at 1-21 the end of Code Section 43-6-1, relating to definitions, a 1-22 new paragraph (10) to read as follows: 1-23 "(10) 'Ringperson' means any person employed directly by 1-24 an auctioneer or auction company responsible for a sale 1-25 who assists the auctioneer in the conduct of an auction, 1-26 provided that such person shall not be permitted to call 1-27 or chant a bid or negotiate a listing contract." SECTION 2. 1-28 Said chapter is further amended by striking Code Section 1-29 43-6-2, relating to creation of the Georgia Auctioneers 1-30 Commission, and inserting in lieu thereof a new Code Section 1-31 43-6-2 to read as follows: -1- (Index) LC 9 8544S 2- 1 "43-6-2. (Index) 2- 2 (a) The Georgia Auctioneers Commission is created under 2- 3 the Secretary of State and the joint-secretary. 2- 4 (b) The commission shall be composed of six members, each 2- 5 of whom shall be appointed by the Governor, with the 2- 6 approval of the Secretary of State, and confirmed by the 2- 7 Senate. Initial terms of appointment shall include one 2- 8 member to be appointed for a term of one year, one member 2- 9 to be appointed for a term of two years, one member to be 2-10 appointed for a term of three years, one member to be 2-11 appointed for a term of four years, and two members to be 2-12 appointed for terms of five years. All subsequent 2-13 appointments Appointments shall be for a term of five 2-14 years, to end on the anniversary date of original 2-15 appointments, except appointments to fill a vacancy which 2-16 shall be for the unexpired term only. 2-17 (c) Five members of the commission shall be licensed 2-18 auctioneers who shall have been residents of this state 2-19 and actively engaged in the auctioneering business for at 2-20 least five years. One member shall be a consumer advocate 2-21 and a resident of this state and shall have no connection 2-22 whatsoever with the practice or profession of 2-23 auctioneering." SECTION 3. 2-24 Said chapter is further amended by striking Code Section 2-25 43-6-3, relating to filling vacancies on the commission, 2-26 selection of a chairperson, rules and regulations, and 2-27 meetings, and inserting in lieu thereof a new Code Section 2-28 43-6-3 to read as follows: 2-29 "43-6-3. (Index) 2-30 (a) Members of the commission shall serve until their 2-31 successors are appointed and qualified. No member of the 2-32 commission may serve more than two consecutive terms. 2-33 Vacancies on the commission shall be filled by appointment 2-34 of the Governor. 2-35 (b)(a) The commission shall organize by selecting from its 2-36 members a chairman and may do all things necessary and 2-37 convenient to carry this chapter into effect and, from 2-38 time to time, may promulgate necessary rules and 2-39 regulations to carry out this chapter. -2- (Index) LC 9 8544S 3- 1 (c)(b) The commission shall meet as necessary and shall 3- 2 remain in session as long as the chairman deems it 3- 3 necessary to give full consideration to the business 3- 4 before the commission." SECTION 4. 3- 5 Said chapter is further amended by striking subsection (d) 3- 6 of Code Section 43-6-11, relating to qualifications of 3- 7 applicants, and inserting in lieu thereof a new subsection 3- 8 (d) to read as follows: 3- 9 "(d) Each applicant for licensure as an auctioneer shall 3-10 have successfully graduated from an accredited high school 3-11 or obtained a GED and have graduated from an auctioneers 3-12 school approved by the commission prior to making an 3-13 application for an auctioneer's license." SECTION 5. 3-14 Said chapter is further amended by adding at the end of 3-15 Code Section 43-6-11.1, relating to application by a company 3-16 for a license, a new subsection (d) to read as follows: 3-17 "(d) An auction company must maintain at all times an 3-18 active trust account and register such account with the 3-19 Georgia Auctioneers Commission." SECTION 6. 3-20 Said chapter is further amended by adding, following Code 3-21 Section 43-6-12, a new Code Section 43-6-12.1 to read as 3-22 follows: 3-23 "43-6-12.1. (Index) 3-24 In order for an applicant to obtain an auctioneer's 3-25 license, such applicant must show proof of a residence." SECTION 7. 3-26 Said chapter is further amended by adding, following Code 3-27 Section 43-6-14, a new Code Section 43-6-14.1 to read as 3-28 follows: 3-29 "43-6-14.1. (Index) 3-30 All licensees must carry on their person, when 3-31 participating in the auctioneering business in any 3-32 capacity, their Georgia auctioneer's license 3-33 identification card and must present such card upon demand 3-34 by any official of the State of Georgia." -3- (Index) LC 9 8544S SECTION 8. 4- 1 Said Chapter is further amended by striking Code Section 4- 2 43-6-18, relating to grounds for revocation or suspension of 4- 3 licenses and censure of licensees, and inserting in lieu 4- 4 thereof a new Code Section 43-6-18 to read as follows: 4- 5 "43-6-18. (Index) 4- 6 The commission may, upon its own motion, and shall, upon 4- 7 the sworn signed complaint in writing of any person, 4- 8 investigate the actions of any auctioneer or apprentice 4- 9 auctioneer and shall have power to censure such licensee 4-10 or to revoke or suspend any license issued under this 4-11 chapter whenever such license has been obtained by false 4-12 or fraudulent representation or the licensee has been 4-13 found guilty of any unfair trade practices, including, but 4-14 not limited to, the following: 4-15 (1) Making any substantial misrepresentation while 4-16 describing any property, real or personal; using any 4-17 false, deceptive, misleading, or untruthful advertising; 4-18 or making any statements, either in person or through 4-19 any form of advertising, which may create false or 4-20 unjustified expectations of the services to be 4-21 performed; 4-22 (2) Pursuing a continued and flagrant course of 4-23 misrepresentation or making false promises through 4-24 agents or advertising an auction to be an absolute 4-25 auction, but conducting it as an auction with reserve or 4-26 otherwise; 4-27 (3) Failing to account for or remit, within a reasonable 4-28 time 30 days unless otherwise provided by contract, any 4-29 money belonging to others that comes into his or her 4-30 possession, commingling funds of others with his or her 4-31 own, or failing to keep such funds of others in an 4-32 escrow or trustee account; provided, however, that the 4-33 requirement of an escrow or trust account shall not 4-34 apply to an apprentice auctioneer who conducts the 4-35 business of auctioning where gross sales do not exceed 4-36 $2,000.00 per auction; 4-37 (4) Being convicted in a court of competent jurisdiction 4-38 of this or any other state of a criminal offense 4-39 involving moral turpitude or a felony; 4-40 (5) Violation of any rule or regulation or code of 4-41 ethics promulgated by the commission; -4- (Index) LC 9 8544S 5- 1 (6) Any conduct of any auctioneer which demonstrates bad 5- 2 faith, dishonesty, incompetency, or untruthfulness; or 5- 3 (7) Any conduct of an auctioneer which demonstrates 5- 4 improper, fraudulent, or dishonest dealings.; 5- 5 (8) Having had any license to practice a business or 5- 6 profession revoked, suspended, annulled, or sanctioned, 5- 7 or otherwise having had any disciplinary action taken by 5- 8 any other licensing authority in this or any other 5- 9 state; or 5-10 (9) Knowingly making any misleading, false, or deceptive 5-11 statement on any application for a license under this 5-12 chapter." SECTION 9. 5-13 Said chapter is further amended by striking Code Section 5-14 43-6-18.1, relating to the inspector for the commission, and 5-15 inserting in lieu thereof a new Code Section 43-6-18.1 to 5-16 read as follows: 5-17 "43-6-18.1. (Index) 5-18 The commission shall have a full-time inspector with full 5-19 inspection rights and privileges for all auctions 5-20 conducted in this state. This inspector shall have the 5-21 right to inspect any activity or lack thereof which may be 5-22 a violation of this chapter or any documents or records 5-23 pertaining to auction activities and to report any and all 5-24 such violations or any improper or unlicensed practice, 5-25 including but not limited to trust account violations." SECTION 10. 5-26 Said chapter is further amended by striking Code Section 5-27 43-6-24, relating to exceptions, and inserting in lieu 5-28 thereof a new Code Section 43-6-24 to read as follows: 5-29 "43-6-24. (Index) 5-30 Except as otherwise provided in this chapter, this chapter 5-31 shall not apply to any person acting as a receiver, 5-32 trustee in bankruptcy, administrator, executor, or any 5-33 such person acting under order of any court. This chapter 5-34 shall not apply to any nonprofit organization conducting 5-35 an auction where the funds are to be used in a way as to 5-36 benefit persons with physical or mental disabilities or 5-37 disorders or for research related to cures or prevention 5-38 of such disabilities or disorders, nor shall this chapter -5- (Index) LC 9 8544S 6- 1 apply to any auction conducted by a nonprofit organization 6- 2 where the funds are to be used for the preservation of 6- 3 wildlife or its habitats whether conducted by a licensed 6- 4 auctioneer or nonlicensed auctioneer so long as the 6- 5 nonprofit organization obtains a letter of exemption from 6- 6 the commission. This chapter shall not apply to any 6- 7 person acting as an auctioneer in the auction of 6- 8 livestock, forest products, or farm products in an auction 6- 9 facility which is licensed and bonded under the provisions 6-10 of Article 3 of Chapter 6 of Title 4 or in an auction 6-11 facility which is licensed under Code Section 10-4-101 or 6-12 to any youth livestock auction, sponsored by a 4-H Club or 6-13 the Future Farmers of America; provided, however, that 6-14 such organization or agency must first obtain from the 6-15 commission a letter of exemption. This chapter shall not 6-16 apply to students of approved auctioneering schools during 6-17 the term of their course of study. This chapter shall not 6-18 apply to any person conducting a public sale of personal 6-19 property pursuant to the provisions of Code Section 6-20 10-4-213. This chapter shall not apply to ringpersons as 6-21 defined in Code Section 43-6-1." SECTION 11. 6-22 All laws and parts of laws in conflict with this Act are 6-23 repealed. -6- (Index)

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