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Pawnbrokers, Precious Metals and Stones Dealers New Licensing 10/1/2011


Public Act 11-100 takes effect October 1, 2011 and places new requirements on Pawnbrokers, and Precious Metals or Stones Dealers. The public act also requires the licensing of a new category of dealers, Secondhand Dealers. Under the public act, the Commissioner of the Department of Emergency Services and Public Protection is designated as the licensing authority for towns under the jurisdiction of the Connecticut State Police. Dealers in towns or cities with an organized police department are required to obtain their licenses from that police department.

Pawnbrokers, Precious Metals and Stones Dealers and the new licensing category of Secondhand Dealers are required to apply to DESPP through the Special Licensing and Firearms Unit at DESPP Headquarters in Middletown. All the forms necessary for these applications are available online at www.ct.gov/dps/slfu by following the link on the left to Special Licensing and Firearms.  Instructions and contact information for the Chapter 409/414 Unit are available on the website.

There are a variety of new reporting requirements including the electronic reporting of transactions for certain dealers. Secondhand Dealers are defined in the public act as dealers that are primarily engaged in the business of purchasing personal property of any type from a person who is not a wholesaler, for the purpose of reselling or exchanging the property. The public act lists a number of exceptions to the Secondhand Dealer definition such as antique dealers, coin and stamp dealers and consignment shops. Dealers should review the public act at the link below and then call the Chapter 409/414 Unit if they have any questions.   

Pawnbrokers and Precious Metals and Stones Dealers that are currently licensed by a town under the jurisdiction of State Police can continue to operate under that license however they are required to comply with the requirements of the public act, including the requirement to apply for a renewal of their license 60 days before the expiration of their existing license.         

A copy of Public Act 11-100 can be found at:

    http://www.cga.ct.gov/2011/ACT/PA/2011PA-00100-R00HB-05795-PA.htm