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Home My WebLink About70-16 - Close-out SalesORDINANCE NO. 70-16 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, PROVIDING FOR THE REGULATION OF BUSINESS ACTIVITIES IN THE FORM OF CLOSE OUT SALES AND MAKING PROVISIONS FOR FEES, REGULATIONS AND OTHER MATTERS IN CONNECTION THEREWITH. THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 6217 of the Costa Mesa Municipal Code is hereby repealed. SECTION 2. There is hereby added to Chapter VI of the Costa Mesa Municipal Code the following Article which shall read as follows: CHAPTER VI Businesses. Professions and Trades Article 14 CLOSING OUT SALES Sec. 61400. Purpose This ordinance is intended to regulate any business activity irrespective of name which is designed and intended by the applicant to permanently conclude business operations at a designated location within a specified time. Sec. 61401. False Advertising. It shall be unlawful for any person to advertise or otherwise represent to the public, or any part thereof, in any manner a reduction in price of any goods, wares, merchandise, service, facility, or accommodation, whether such price reduction be represented in complete price figures or by percentage reduction unless the price from which the reduction is calculated is the price customarily charged by applicant for the goods, wares, merchandise, service, facility, or accommodation so offered to the public. Sec. 61402. Permit Required. It shall be unlawful for any person to advertise or conduct a business activity, as herein defined, without first obtaining a permit therefore from the City Council of the City of Costa Mesa in the manner hereinafter provided. Sec. 61503. Persons Exempt. The provisions of this ordinance shall not apply to, or affect, the following persons: (a) Persons acting in their official capacities as public officials. (b) Persons acting pursuant to process issued by a court of competent Jurisdiction. (c) Duly licensed auctioneers, selling at auction. (d) Any publisher of a newspaper, magazine, or other periodical or publication, who publishes in good faith any advertisement without knowledge of its false, deceptive, or misleading character, or without knowledge that compliance has not been had with the provisions of this ordinance. Sec. 61404. Application for Permit. Any persons, desiring to advertise and conduct a sale regulated by this ordinance shall make a written application therefore, under oath. There shell be no fee charged for said permit. No business activity may continue beyond 90 days unless and until the person conducting the activity as set forth herein has applied for and been granted an extension by the City Council for a fixed period or periods of time. Any permit or renewal thereof granted as herein provided shall not be assignable or transferable. The following is required: The application shall be made upon forms devised by the Director of Finance for the City of Costa Mesa and shall be completed and filed in accordance with administrative regulations established by that office for this purpose. Sec. 61405• Investigation. Upon the filing of the application for a permit as hereinabove provided, the Finance Department shall make or cause to be made such examination, audit, or investigation of the applicant and his business, history, and affairs in relation to the proposed activity as it shall deem necessary. If the Finance Department finds that the statements in the application are true, and that the methods proposed to be used by the applicant in conducting the activity are not such as, in its opinion, will work a fraud or deception upon prospective pur- chasers, it shall recommend to the City Council the issuance to the applicant of a - 2 - permit to conduct such activity in conformity with the provisions of this ordinance; otherwise, it shall recommend to the City Council a denial of the application. The Finance Department may also refuse to issue a permit to the applicant because of the insufficiency of the information set forth in the application, but in the event of a denial for insufficient information, the Finance Department shall grant the applicant permission to file an amended application. No permit may be issued by the Director of Finance to any applicant who has been convicted of any crime, involving fraud or moral turpitude within 5 years preceding application. The Finance Department also may refuse to issue a permit to any person who has heretofore violated any provisions of any ordi- nance of the City of Costa Mesa regulating the conduct of activities of this type. Any applicant dissatisfied with the ruling of the Director of Finance may appeal to the City Council. Sec. 61406. Duties of Permittee. A permittee hereunder shall: (a) Refrain from any false, deceptive, or misleading advertising. (b) Conduct such activity in strict conformity to any advertising or holding out relating thereto. Sec. 61407. Revocation of Permit. The Director of Finance shall have the right to suspend the permit as granted herein until the next regular council meeting at which time the council shall take whatever action on the permit that is necessary. The City Council shall have the power to revoke any permit granted herein in accordance with the provisions of this ordinance and after a public hearing whenever any such activity is being conducted in violation of any of the pro- visions of this ordinance; or in such a manner as to deceive or defraud the public; or if: (a) The holder of any such permit has been guilty of any fraudulent practice or practices in the conduct of the activity authorized by such permit. - 3 - (b) The holder of any such permit has made any material misstatement in the application for such permit. (c) The holder of any such permit has violated any of the provisions contained in this ordinance. The Director of Finance shall have the discretion to require an in- ventory or to conduct an inventory of permittee's goods which are the subject of this ordinance if in his opinion said inventory is necessary. Sec. 61408. Penalty. Any violation of the provisions of this ordinance shall be deemed a misdemeanor, and the violation of this ordinance shall be punishable by a fine not exceeding $500.00 or imprisonment for a term not exceeding six months or by both such fine and imprisonment. Every day any violation of this ordinance shall continue shall constitute a separate offense. SECTION 3• This ordinance shall take effect and be in full force thirty (30) days from and after its passage and prior to the expiration of fifteen (15) days from its passage shall be published once in the Orange Coast Daily Pilot, a newspaper of general circulation, printed and published in the City of Costa Mesa, together with the names of the members of the City Council voting for and against the same. PASSED AND ADOPTED this__Z -27day of, 1970. Mayoorr of the City of Costa Meta ATTEST: (t , Acting City Clerk STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF COSTA MESA ) I, EILEEN P. PHINNEY, Acting City Clerk of the City of Costa Mesa, and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Ordinance No. 70-16 was introduced and considered section by section at a regular meeting of said City Council on the 16th day of March, 1970, and thereafter passed and adopted as 9 whole at a regular meeting of said City Council held on the/,U day ofJ 1970. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this zYdsy of 1970. I iJL�-fL�t/ lid �-fu_v�-,�oay Acting City Clerk and ex -officio erk of the City Council of the City f Costa Mesa STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS. CITY OF COSTA MESA ) I am a citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a pony to or interested in the below entitled matter. I am the Legal Advertising Manager of the ORANGE COAST DAILY PILOT, a newspaper of gen- eral circulation, printed and published in the City of Costa Mesa, County of Orange, State of California, and I certify 111r,nCity Ordinance Number 70-16 of which the copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper on April lls 1970 I declare, under penalty of perjury, that the foregoing is true and correct. Executed on April 11 197, at Costa Mesa, Cali mia. 1s_ i (Stpnaturn) STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS. CITY OF COSTA MESA ) EILEEN P. PHINNEY, Acting I, e7c;rRtesT, City Clerk of the City of Costa Mesa and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that Ordinance No. 70-16 was introduced and considered, section by section, at a regular meeting of the City Council of the City of Costa Mesa, held on the 16th - day of March , 191St__, and thereafter passed and adopted as a whole at a regular meeting of said City Council held on the 6rh loy of April , 191D_ by the following roll -call vote: AYES: COUNCILMEN - Wilson, Tucker, Pinkley, Jordan, St. Clair NOES: COUNCILMEN - None ABSENT: COUNCILMEN - None I FURTHER CERTIFY that said Ordinance No. 70-16 was published in the ORANGE COAST DAILY PILOT, a newspaper of general circulation, printed and published in the City of Costa Mesa, on the 11th day of April 79 -70 \/i7ii.CC /✓ /� xl I /lL t Acting City Clerk and ex -officio Clerk of the City until of the City of Costa Mesa 32