AUCTIONS AND AUCTIONEERS

Salt Lake City Code tit. 5, div. II, ch. 5.16

in effect

Salt Lake City Code § 5.16.010 DEFINITIONS

5.16.010: DEFINITIONS: For the purpose of this chapter, the following words shall have the meanings as defined in this section: AUCTION HOUSE: A permanent place of business where auctions are conducted and personal property sold at auction. AUCTIONEER: Any person who conducts a public, competitive sale of property by outcry to the highest bidder. TRANSIENT AUCTION HOUSE: Any place, whether indoors or outdoors, located within the city, where any goods, wares, merchandise or articles of value are offered for sale at auction and which is neither the permanent place of business for auction sales nor a permanent business which has an auction sale to dispose of its inventory, furnishings and business equipment as it goes out of business. (Prior code § 20-5-2)

Salt Lake City Code § 5.16.020 COMPLIANCE WITH CHAPTER PROVISIONS

5.16.020: COMPLIANCE WITH CHAPTER PROVISIONS: No personal property (goods, wares or merchandise) shall be sold at auction in the city, except in compliance with the provisions of this chapter. (Prior code § 20-5-3)

Salt Lake City Code § 5.16.030 APPLICABILITY; EXEMPTIONS

5.16.030: APPLICABILITY; EXEMPTIONS: The provisions of this chapter shall not be applicable to: A. Auction sales conducted by trustees or referees in bankruptcy, executors, administrators, receivers or other public officers acting under judicial process; nor B. The sale of real property at auction; nor C. Any auction held for charitable or benevolent purposes or for any church, fair, festival or bazaar; nor D. An auction wherein the general public is not invited nor permitted to participate as bidders, and where the bidding is restricted to wholesalers or retailers purchasing for resale. (Prior Code § 20-5-1)

Salt Lake City Code § 5.16.040 AUCTIONEER'S LICENSE; REQUIRED

5.16.040: AUCTIONEER'S LICENSE; REQUIRED: It is unlawful to sell or cause or permit to be sold at auction any personal property (goods, wares or merchandise) in the City, unless such sale is conducted by an individual who has applied for and obtained an auctioneer's license from the City License Supervisor. (Prior Code § 20-5-4)

Salt Lake City Code § 5.16.050 AUCTIONEER'S LICENSE; APPLICATION

5.16.050: AUCTIONEER'S LICENSE; APPLICATION: The application for an auctioneer's license shall, in addition to providing the information required under section 5.02.060 of this title or its successor section, also provide the following information: A. Name: Name of the applicant; B. Address: Residence and business address of the applicant; C. Term: The length of time for which an auctioneer's license is desired; D. Prior Licensure: A statement as to whether or not the applicant holds, or has held, an auctioneer's license from any state, municipality, governing body or licensing authority; a list of such licenses and a statement of the time, place and by whom issued; a statement as to whether any state, municipality, governing body or licensing authority has ever refused to issue or to renew an auctioneer's license to the applicant, together with a full and accurate statement as to the reasons for any such refusal; and a statement as to whether any state, municipality, governing body or licensing authority has ever revoked an auctioneer's license held by the applicant, together with a full and accurate statement as to the reasons for any such revocation; E. Criminal History: A statement as to whether or not the applicant has ever been convicted of any crime, misdemeanor, or violation of any Municipal ordinance, other than nonalcoholic related traffic offenses, and if so, the nature of the offense and the punishment or penalty assessed therefor; F. Photograph: A photograph of the applicant, taken within sixty (60) days immediately prior to the date of the filing of the applicant, which picture shall be two inches by two inches (2" x 2"), showing the head and shoulders of the applicant in a clear and distinguishing manner; except that the City License Supervisor may waive this requirement with respect to an application for renewal of an auctioneer's license by an individual holding an unexpired auctioneer's license issued under this chapter who has in a previous application under this chapter complied with this requirement; G. Fingerprints; References: The fingerprints of the applicant and the names of at least two (2) reliable property owners of Salt Lake County who will certify as to the applicant's good moral character and business responsibility, or, in lieu of the names of references, any other available evidence as to the good moral character and business responsibility of the applicant as will enable an investigator to properly evaluate such moral character and business responsibility; except that the City License Supervisor may waive this requirement with respect to an application for renewal of an auctioneer's license by an individual holding an unexpired auctioneer's license issued under this chapter who has in a previous application under this chapter complied with this requirement. (Ord. 44-18, 2018)

Salt Lake City Code § 5.16.060 AUCTIONEER'S LICENSE; FEE

5.16.060: AUCTIONEER'S LICENSE; FEE: The fee for an auctioneer's license shall be as shown on the Salt Lake City consolidated fee schedule, for an annual license, and said fee shall not be prorated if any said license is taken out for any part of a license year for less than the full term. (Ord. 24-11, 2011)

Salt Lake City Code § 5.16.070 INVENTORY OF SALE ARTICLES

5.16.070: INVENTORY OF SALE ARTICLES: A. At least fifteen (15) days prior to every auction, a true and correct inventory of items to be sold shall be filed with the License Supervisor. Said inventory shall: 1. List the articles proposed to be sold at sale by auction; 2. Give any identifying numbers or marks which may be upon the said articles to be sold; 3. Indicate opposite the description of each article whether the same is new or used; and 4. List each of the said articles described in said inventory with a number; provided, however, that no article need be listed in the inventory which has a retail value of less than five dollars ($5.00). B. Upon receipt of the inventory, it shall immediately be forwarded to the police department for investigation, to establish insofar as possible that the property therein listed is not contraband or otherwise illegal for sale. After said investigation, the police shall issue a written report to the license supervisor within ten (10) days after receipt of the inventory, and no auction may be held until the report is received by the license supervisor, the auction approved by the mayor, and the appropriate license issued by the city. C. It is unlawful to sell at auction any item not listed on the inventory as set forth above. (Prior code § 20-5-6)

Salt Lake City Code § 5.16.080 AUCTIONEER'S LICENSE; INVESTIGATION OF APPLICANT

5.16.080: AUCTIONEER'S LICENSE; INVESTIGATION OF APPLICANT: Before issuing an auctioneer's license to any individual applying therefor, the city license supervisor shall refer the application to the chief of police, who shall cause to be made such investigation of the applicant's moral character and business responsibility as the chief of police deems necessary for the protection of the public good, except that the city license supervisor may waive this requirement with respect to an application for renewal of an auctioneer's license by any individual holding an unexpired auctioneer's license issued under this chapter if an investigation of such applicant's moral character and business responsibility has previously been made under this section in connection with a prior application for an auctioneer's license under this chapter. The chief of police shall cause the investigation herein provided for to be made within a reasonable time and shall certify to the city license supervisor whether or not the moral character and business responsibility of the applicant is satisfactory. (Prior code § 20-5-7)

Salt Lake City Code § 5.16.090 AUCTIONEER'S LICENSE; BOND REQUIREMENTS

5.16.090: AUCTIONEER'S LICENSE; BOND REQUIREMENTS: A. Every applicant for an auctioneer's license shall file with the city recorder a surety bond running to Salt Lake City, in the amount of five thousand dollars ($5,000.00), with surety acceptable to and approved by the city attorney, conditioned that the applicant, if issued an auctioneer's license, will comply fully with all the provisions of the ordinances of the city and the statutes of the state regulating and concerning auctions and auctioneers, will render true and strict accounts of all his sales to any person or persons employing him to make the same, will not practice any fraud or deceit upon bidders or purchasers of property from him at any auction sale or suffer or permit any person in his employ to practice any such fraud or deceit, and will pay all damages which may be sustained by any person by reason of any fraud, deceit, negligence or other wrongful act on the part of the licensee, his agents or employees in the conduct of any auction or in the exercise of the calling of auctioneer. A liability insurance policy issued by an insurance company authorized to do business in the state which conforms to the above requirements may be permitted by the city attorney in his discretion in lieu of a bond. An auctioneer employed by one holding an auction house license or a transient auction house owner's license, in lieu of filing a bond or certificate of insurance, may file a notarized affidavit from the said license holder that affirms that said applicant is an employee, that said license holder is responsible for all actions of such employee, and that such employee is covered by a valid bond as above required. B. It is unlawful for any auctioneer who files a certificate of employment with an auction house licensee or transient auction house licensee to conduct an auction except under the direct supervision of such licensee. (Prior code § 20-5-12)

Salt Lake City Code § 5.16.100 AUCTIONEER'S LICENSE; DENIAL OR REVOCATION CONDITIONS

5.16.100: AUCTIONEER'S LICENSE; DENIAL OR REVOCATION CONDITIONS: An auctioneer's license may be revoked by the city license supervisor, or an application for issuance or renewal of such license may be refused by the city license supervisor. A. Grounds for Revocation or Denial. 1. The applicant or license holder has committed any of the violations set forth in Section 5.02.250 of this title, or its successor; or 2. The application of the applicant or license holder contains any false, fraudulent or misleading material statements; or 3. The applicant or license holder has made any false, fraudulent or misleading material statement in the course of conducting an auction sale of, or in offering for sale at auction, any real or personal property (goods, wares or merchandise) in the city; or 4. The applicant or license holder has perpetrated a fraud upon any person, whether or not such fraud was perpetrated in the conduct of an auction in the city; or 5. The applicant or license holder has violated any of the statutes of the state relating to auctions or auctioneers; or 6. The applicant or license holder has conducted an auction sale in the city or offered for sale at an auction in the city, any real or personal property (goods, wares or merchandise) in an unlawful manner, or in such a manner as to constitute a breach of the peace or a menace to the health, safety or general welfare of the public. B. Such determination may be appealed in accordance with Chapter 2.75. (Ord. 50-25, 2025: Ord. 37-99 § 3, 1999: prior code § 20-5-8)

Salt Lake City Code § 5.16.110 RESERVED

Salt Lake City Code § 5.16.120 DENIAL OR REVOCATION; APPEALS PROCEDURE

5.16.120: DENIAL OR REVOCATION; APPEALS PROCEDURE: (Rep. by Ord. 37-99 § 1, 1999)

Salt Lake City Code § 5.16.130 AUCTIONEER'S LICENSE; ISSUANCE AND RENEWAL

5.16.130: AUCTIONEER'S LICENSE; ISSUANCE AND RENEWAL: Upon the approval of a proper application form and payment by the applicant of the fees provided in this chapter, and upon the filing by the applicant of the bond required by this chapter, the license supervisor is authorized to grant or renew an auctioneer's license for any period of time not exceeding one year. (Prior code § 20-5-13)

Salt Lake City Code § 5.16.140 LICENSES AND PERMITS NOT TRANSFERABLE

5.16.140: LICENSES AND PERMITS NOT TRANSFERABLE: Neither the license nor the permit granted under the provisions of this chapter shall be transferable, nor shall the same be loaned or used by any other person. (Prior code § 20-5-14)

Salt Lake City Code § 5.16.150 AUCTION HOUSE LICENSE; REQUIRED

5.16.150: AUCTION HOUSE LICENSE; REQUIRED: It is unlawful for any person to engage in the business of, or keep, conduct or operate an auction house in the city without first obtaining a license to do so and filing a bond as required in section 5.16.190 of this chapter, or its successor. (Prior code § 20-5-15)

Salt Lake City Code § 5.16.160 AUCTION HOUSE LICENSE; FEE

5.16.160: AUCTION HOUSE LICENSE; FEE: The fee for an auction house license shall be as shown on the Salt Lake City consolidated fee schedule, per year or any part thereof. (Ord. 24-11, 2011)

Salt Lake City Code § 5.16.170 TRANSIENT AUCTION HOUSE OWNER LICENSE; REQUIRED

5.16.170: TRANSIENT AUCTION HOUSE OWNER LICENSE; REQUIRED: It is unlawful for any person to conduct an auction as a transient auction house owner, without applying for and obtaining a transient auction house owner's license from the city license supervisor. Provided, however, that one who holds an auction house license shall not be required to also obtain a transient auction house license. Provided, further, that no person shall be relieved from the provisions of this chapter by reason of a temporary association with any licensed dealer, trader, merchant or auctioneer, notwithstanding the fact that said parties conduct such temporary or transient auction business in connection with, as a part of, or in the name of any other licensed dealer, trader, merchant or auctioneer. (Prior code § 20-5-17)

Salt Lake City Code § 5.16.180 TRANSIENT AUCTION HOUSE OWNER LICENSE; FEE

5.16.180: TRANSIENT AUCTION HOUSE OWNER LICENSE; FEE: The license fee for engaging in business as a transient auction house owner shall be as shown on the Salt Lake City consolidated fee schedule. (Ord. 24-11, 2011)

Salt Lake City Code § 5.16.190 TRANSIENT AUCTION HOUSE OWNER; BOND REQUIRED

5.16.190: TRANSIENT AUCTION HOUSE OWNER; BOND REQUIRED: The applicant for a transient auction house license shall file with the city recorder a corporate surety bond acceptable to and approved by the city attorney in the sum of ten thousand dollars ($10,000.00); provided, however, that if the sale should be for articles described in section 5.16.230 of this chapter, or its successor, the bond shall be in the sum of thirty thousand dollars ($30,000.00), which bond shall indemnify and run to Salt Lake City, and any person injured or damaged through dealing with such licensee, or their employees or agents, and be in full force and effect for the year in which they obtain a license. It shall be conditioned on the fact that if the applicant is issued such license, the licensee will fully comply with all provisions of the ordinances of the city and the statutes of the state regulating and concerning auctions and auctioneers, will render true and strict accounts of all auction sales to any person or persons employing said auctioneer to make the same, will not practice any fraud, deceit, or make any material misrepresentations of fact with reference to property or bidders or purchasers of property from any auction sale conducted under the license, and will pay all damages which may be sustained by any person by reason of any fraud, deceit, negligence or wrongful act on the part of the licensee, his agents or employees and the conduct of auctioneer in the exercise of the call of auctioneer. (Prior code § 20-5-19)

Salt Lake City Code § 5.16.200 MERCHANDISE; LABELING REQUIREMENTS

5.16.200: MERCHANDISE; LABELING REQUIREMENTS: Before any sale is made at auction, the licensee must attach to each article to be sold, which has a retail value of five dollars ($5.00) or more, a card with the number of the article endorsed thereon, so that such number shall correspond to the article as it is described in the inventory on file with the license supervisor, as set forth in this chapter. No article which has a retail value of five dollars ($5.00) or more shall be sold at the auction, other than the merchandise described and set forth in the inventory on file with the license supervisor, as hereinabove required. Where a sale is had at public auction of the stock on hand of any merchant or auction house, in accordance with the provisions of this chapter, such sale shall not be fed or replenished. (Prior code § 20-5-20)

Salt Lake City Code § 5.16.210 MERCHANDISE; REPRESENTATION OF QUALITY

5.16.210: MERCHANDISE; REPRESENTATION OF QUALITY: All sales and all persons participating in sales must truly and correctly represent at all times to the public attending such auction the facts in respect to quality of the sale merchandise. (Prior code § 20-5-26)

Salt Lake City Code § 5.16.220 MERCHANDISE; TO BE IN STATE FOR FIFTEEN DAYS

5.16.220: MERCHANDISE; TO BE IN STATE FOR FIFTEEN DAYS: It is unlawful for anyone to sell or offer for sale at auction any merchandise unless the merchandise shall have been within the state at least fifteen (15) days immediately prior to such sale or offer for sale, and the city license supervisor shall be given five (5) days' advance notice of its arrival in the city; provided, that livestock shall be required only to be at the location where a sale is held not less than two (2) days prior to said auction. (Prior code § 20-5-28)

Salt Lake City Code § 5.16.230 VALUABLE ARTICLES; HOURS OF SALE

5.16.230: VALUABLE ARTICLES; HOURS OF SALE: It is unlawful to offer for sale at auction or sell at auction any gold, silver, plated ware, clocks, watches, oriental rugs or rugs purported to be from the Middle East or eastern part of the world, diamonds or other precious or semiprecious stones or any imitation thereof, glassware, china, linens or jewelry, or any article purporting to be or represented as any of the above articles between the hours of six o'clock (6:00) P.M. and eight o'clock (8:00) A.M. of the following day. (Prior code § 20-5-30)

Salt Lake City Code § 5.16.240 AUCTION TO BE ON SUCCESSIVE DAYS

5.16.240: AUCTION TO BE ON SUCCESSIVE DAYS: All auction sales shall be held on successive days, Sundays and legal holidays excepted. (Prior code § 20-5-29)

Salt Lake City Code § 5.16.250 LICENSEE; CONTINUOUS ATTENDANCE REQUIRED

5.16.250: LICENSEE; CONTINUOUS ATTENDANCE REQUIRED: The licensee or, if a corporation, one of the officers of the licensee, shall remain in continuous attendance at any auction. (Prior code § 20-5-25)

Salt Lake City Code § 5.16.260 RESERVED RIGHT OF SELLER TO BID

5.16.260: RESERVED RIGHT OF SELLER TO BID: The right to bid may be reserved expressly by or on behalf of the seller; provided, however, that notice of such reservation shall be posted, and shall remain posted throughout the auction sale in a prominent and conspicuous place where the sale is being conducted, in letters large enough to be reasonably visible to any person with normal vision who may attend said sale, reading substantially as follows: SELLER RESERVES THE RIGHT TO BID ON ANY ARTICLE AT ANY TIME (Prior code § 20-5-22)

Salt Lake City Code § 5.16.270 RECEIPTS FOR GOODS SOLD; COMMISSIONS

5.16.270: RECEIPTS FOR GOODS SOLD; COMMISSIONS: It shall be the duty of all licensed auctioneers to receive all articles which may be offered them for sale at auction, and give receipts therefor; and at the close of any sale, which must be made as the owner directs, the auctioneer shall deliver a fair account of such sale, and pay the amount received for such articles to the person entitled thereto, deducting therefrom a commission not to exceed ten percent (10%) on the amount of such sale. (Prior code § 20-5-31)

Salt Lake City Code § 5.16.280 RECORD OF SALES; REQUIRED

5.16.280: RECORD OF SALES; REQUIRED: The licensee, in each and every case where an article is sold for five dollars ($5.00) or more, shall keep a complete record of all such sales made at auction, showing the name and address of each purchaser, a description of each such article sold, including the number thereof (corresponding with the numbers shown upon the inventory on file with the license supervisor), and the date of each such sale, and the record shall at all times be open to inspection by the license supervisor. (Prior code § 20-5-27)

Salt Lake City Code § 5.16.290 RECORD OF SALES; VALUABLE ARTICLES

5.16.290: RECORD OF SALES; VALUABLE ARTICLES: Any auction house licensee providing auction house facilities for auctioneers of valuable articles, as that term is defined in section 5.16.230 of this chapter or its successor shall, within a period of ten (10) days following the final day of auction of such valuable articles, provide the license office with complete records of all sales of valuable articles, including: A. The names and addresses of all purchasers of all valuable articles at said auction and the date upon which such purchase was made; B. A description of the valuable article purchased and the purchase price paid for such article; C. The name and address of the auctioneer selling such articles and the name and address of the responsible person or entity on whose behalf the auctioneer made such sale. (Prior code § 20-5-35)

Salt Lake City Code § 5.16.300 PURCHASER'S RIGHT TO RETURN MERCHANDISE FOR REFUND

5.16.300: PURCHASER'S RIGHT TO RETURN MERCHANDISE FOR REFUND: A. Purchasers at auctions of valuable articles, as that term is defined in section 5.16.230 of this chapter, or its successor, may return such articles purchased at auction for a period of ninety (90) days to the auction house licensee responsible and receive from the licensee full refund upon tender of such merchandise with proof of purchase. Failure of the auction house licensee to provide such refund within a period of five (5) days after presentation of such merchandise and demand for refund shall result in loss of the auction house license and forfeiture of posted bond to the extent necessary to satisfy the demand of claimants under this section. To the extent that such auction house licensee fails to meet such claims or the amount of the posted bond required under section 5.16.190 of this chapter is insufficient to meet the claims of purchasers returning merchandise under the provisions of this section, then the auction house licensee shall be liable to such purchasers directly. B. All auction house licensees shall post a notice in a prominent, conspicuous place wherein any auction sales are being conducted, in letters large enough to be visible to any person with normal vision who may attend said sale, reading substantially as follows: PURCHASERS OF MERCHANDISE ACQUIRED AT THIS AUCTION MAY, FOR A PERIOD OF 90 DAYS FROM THE DATE OF PURCHASE, RETURN SUCH MERCHANDISE TO (THE AUCTION HOUSE LICENSEE) AND RECEIVE THE FULL REFUND OF ANY AMOUNTS PAID FOR SUCH MERCHANDISE. (Prior code § 20-5-34)

Salt Lake City Code § 5.16.310 CONDUCT OF AUCTION SALES; PROHIBITED ACTS

5.16.310: CONDUCT OF AUCTION SALES; PROHIBITED ACTS: All auctioneers are forbidden to conduct their sales in such manner as to cause people to gather in crowds on the sidewalks so as to obstruct the same; nor shall they use immoral or indecent language in crying their sales; or make or cause to be made noisy acclamations such as ringing of bells, blowing of whistles or otherwise, though not enumerated here, through the streets in advertising their sales; and no bellman or crier, drum or fife or other musical instrument or noisemaking means of attracting the attention of passersby, except the customary auctioneer's flags, shall be employed or suffered to be used at or near any place of sale or at or near any auction room or near any auction whatsoever. (Prior code § 20-5-32)

Salt Lake City Code § 5.16.320 FALSE REPRESENTATION OF MERCHANDISE PROHIBITED

5.16.320: FALSE REPRESENTATION OF MERCHANDISE PROHIBITED: It is unlawful for any auctioneer, when selling or offering for sale at public auction any goods, wares or merchandise under the provisions of this chapter, while describing such goods, wares or merchandise with respect to character, quality, kind or value or otherwise, to make any fraudulent, misleading, untruthful or unwarranted statements tending in any way to mislead bidders, or to substitute an article sold for another. (Prior code § 20-5-21)

Salt Lake City Code § 5.16.330 SELLER BIDDING WITHOUT RESERVE PROHIBITED WHEN

5.16.330: SELLER BIDDING WITHOUT RESERVE PROHIBITED WHEN: Where notice has not been given that a sale by auction is subject to a right to bid on behalf of the seller, it is unlawful for the seller to bid himself or to employ or induce any person to bid at such sale on his behalf, or for the auctioneer to employ or induce any person to bid at such sale on behalf of the seller, or knowingly to take any bid from the seller or any person employed by him. Any sale contravening this rule may be treated as fraudulent by the buyer. (Prior code § 20-5-23)

Salt Lake City Code § 5.16.340 BY-BIDDERS PROHIBITED

5.16.340: BY-BIDDERS PROHIBITED: It is unlawful for any person to act at any sale by auction as a by-bidder or booster to buy in behalf of the auctioneer or owner or to increase the price of the article to be sold or to make any false bid. (Prior code § 20-5-24)

Salt Lake City Code § 5.16.350 CONFORMANCE WITH OTHER LAWS

5.16.350: CONFORMANCE WITH OTHER LAWS: Nothing in this chapter shall be deemed to exempt any auction house or auctioneer, or the seller of any goods sold at auction, from any license, tax or other ordinance of the City, nor from any of the laws of the State to which either of them may be subject. (Prior code § 20-5-33)

Salt Lake City Code § 5.16.360 EQUIVALENT ALTERNATIVE METHODS OF REGULATION

5.16.360: EQUIVALENT ALTERNATIVE METHODS OF REGULATION: A. Written Petition: Whenever a person regulated under this chapter alleges that specified requirements of this chapter are impracticable or excessively burdensome as applied to such person, he/she may file with the Mayor a written petition setting forth such allegations and presenting suggested methods of regulation of such person by the City in lieu of enforcement of the specified requirements of this chapter so objected to. The Mayor may either approve or deny the proposed alternative methods of regulation proposed by the petitioner or may approve other alternative methods of regulation. Upon approval by the Mayor, such alternative regulation(s) shall be as obligatory upon the petitioner as if such had been specific requirements set forth in this chapter, and the violation of any of which alternate regulations shall constitute a violation of this chapter. B. Standard For Approval: The standard for approval of any such alternative regulation(s) shall be that they are equivalent to the requirements of this chapter which they would supplant, in meeting the objectives which underlie this chapter, namely, inhibiting theft and trafficking of stolen merchandise, and providing adequate opportunity for examination by the police of transactions governed by this chapter. (Ord. 31-17, 2017)

Source: Salt Lake City, Utah, City Code (American Legal Publishing, codelibrary.amlegal.com)URL: https://codelibrary.amlegal.com/codes/saltlakecityut/latest/saltlakecity_ut/0-0-0-46479Fetched: 11/1/2026