Arkansas Auctioneer’s Licensing Act

Arkansas Code Annotated
Title 17. Professions, Occupations, and Businesses
Subtitle 2. Nonmedical Professions (Chapters 10 to 79)
Chapter 17. Auctioneers (Refs & Annos)
Subchapter 1. General Provisions (Refs & Annos)

§ 17-17-101. Short title and citation

This chapter shall be known and cited as the “Auctioneer's Licensing Act”.

§ 17-17-102. Purpose

It is hereby found and determined by the General Assembly that the current law pertaining to auctioneers is out of date and is not being enforced, there is no administrative agency to enforce the laws pertaining to auctioneers, Arkansas does not have the ability, without legislation, to enter into reciprocal agreements with other states to allow the persons licensed as auctioneers in Arkansas to engage in the business of auctioneering in other states, auctioneers are not required to establish an escrow account to handle money belonging to others, and without legislation the level of professionalism desired by auctioneers cannot be attained. Therefore, it is the purpose of this chapter to establish a board to license and regulate auctioneers, other than livestock auction barn auctioneers and auctioneers conducting certain kinds of auctions.

§ 17-17-103. Definitions

As used in this chapter, unless the context otherwise requires:
(1) “Auctioneer” means any person who, for a fee, commission, or any other valuable consideration, or with the intention or expectation of receiving the same, by the means of, or process of, an auction or sale at auction, offers, negotiates, or attempts to negotiate, a listing contract, sale, purchase, or exchange of goods, chattels, merchandise, or personal property, or of any other commodity which may lawfully be kept or offered for sale by or at public auction;
(2) “Board” means the Auctioneer's Licensing Board;
(3) “Goods” means any chattels, goods, merchandise, or personal property, or commodities of any form or type which may be lawfully kept or offered for sale;
(4) “Livestock auction barn” means a place where livestock is sold on a regular basis to the public;
(5) “Livestock auction barn auctioneer” means an auctioneer who is solely engaged in the selling of livestock on a regular basis at one (1) or more locations; and
(6) “Persons” includes individuals, associations, partnerships, and corporations, and the word “persons” shall also include the officers, directors, and employees of a corporation.

§ 17-17-104. Applicability--Exception

 (a) This chapter does not apply to:
(1) Sales at an auction conducted by or under the direction of a public authority or pursuant to a judicial order or decree or to a sale by law required to be at auction;
(2) An auction conducted by or for a nonprofit organization;
(3) An individual who offers his or her own goods for auction;
(4) A livestock auction barn auctioneer; or
(5) An auction conducted over the Internet by means of a website dedicated primarily to conducting auctions.
(b)(1) An auctioneer may work for an auction company that is licensed in the State of Arkansas in an emergency for a period of ninety (90) days.
(2) During the ninety-day period, the auctioneer shall make application and pay fees for the next testing date.
(3) After the ninety-day period, the auctioneer shall meet all of the provisions of this chapter.

§ 17-17-105. License requirements; violations; penalty

 (a) On and after July 1, 1989, it shall be unlawful for any person to act as an auctioneer or to advertise or to assume to act as either within this state without a license issued by the Auctioneer's Licensing Board.
(b) Any person who violates subsection (a) of this section shall be punished by a fine of not less than one hundred dollars ($100) nor more than five hundred dollars ($500), or by imprisonment for a term not to exceed ninety (90) days, or both.

Cite as Ark. Code Ann. § 17-17-105

§ 17-17-106. Actions for compensation; requirement

No person engaged in the business of or acting in the capacity of an auctioneer shall bring or maintain any action in the courts of the State of Arkansas for the collection of compensation for any services permitted as an auctioneer without first alleging and proving that he or she was operating legally under the provisions of this chapter and was a duly licensed auctioneer at the time the alleged cause of action arose.
§ 17-17-112. Written contract

 (a) An auctioneer may not sell the property of another at auction without a prior written contract with the seller which sets forth the terms and conditions upon which the auctioneer will sell the property. The licensee must retain a copy of each contract for at least three (3) years after the auction.
(b) The Auctioneer's Licensing Board is authorized to prescribe by regulations the minimum requirements which must be included in a written contract.

§ 17-17-113. Injunction

 (a) Whenever there is reason to believe that any person, licensed or unlicensed, has violated any provision of this chapter or any order, license, decision, demand, or requirement issued or made pursuant to this chapter, the Auctioneer's Licensing Board or its authorized representative may bring an action in the circuit court of any county in which the person resides or does business to enjoin such a person from continuing such a violation or engaging therein or doing any act or acts in furtherance thereof.
(b) Whenever there is any action brought pursuant to this section, the circuit court shall have jurisdiction and authority to enter a preliminary or final injunction or such other relief as may be appropriate.

§ 17-17-114. Civil penalty

(a)(1) Whenever the Auctioneer's Licensing Board finds that the holder of a license issued by the board is guilty of a violation of the rules of the board or the laws of the State of Arkansas pertaining to any occupation, profession, or business licensed or regulated by the board, it shall have the power and authority to impose a civil penalty and suspension or revocation of the license.
(2) Upon imposition of a civil penalty, the board shall have the power and authority to require that the licensee pay a penalty to the board in regard to the violation with the sanction that the license may be suspended until the penalty is paid.
(3) Before the imposition of any penalty, the board shall hold an investigation and hearing after notice to a licensee or his or her attorney. The penalty may be imposed only if the board formally finds that the public health, safety, welfare, and morals would not be impaired thereby and that payment of the penalty will achieve the desired disciplinary result.
(b) No penalty imposed by the board may exceed a total of one thousand dollars ($1,000). The power and authority of the board to impose these penalties shall not be affected by any other civil or criminal proceeding concerning the same violation.
(c) If any person upon whom the board has levied a civil penalty fails to pay the civil penalty within sixty (60) days of the board's decision to impose the penalty, the amount of the fine shall be considered to be a debt owed to the board and may be collected by civil action by the board.
(d) Any person penalized by the board under this chapter may appeal any order of the board in the manner now provided by law.
(e) In addition to any other sanctions authorized by this chapter, the board may impose a civil penalty as provided in this section against any unlicensed person, firm, or corporation practicing or offering to practice any actions requiring licensure pursuant to the provisions of this chapter.
(f) The board is authorized to promulgate regulations to implement the provisions of this chapter.

§ 17-17-115. Inspection--Cease and desist

 (a) Subsequent to five (5) days after proof of receipt of certified mail by the alleged offending auctioneer or auction house of any alleged violation or violations, the Auctioneer's Licensing Board or its authorized representative may enter the premises of any auction or auction house for the purpose of examining the license of an auctioneer or auction house, or both.
(b) Should the board or its authorized representative find that an unlicensed auctioneer or auction house, or both, is practicing or offering to practice any actions requiring a license pursuant to the provisions of this chapter, the board or its authorized representative has the authority to demand that such unlicensed activity cease and desist immediately.
(c) Any auctioneer or auction house, or both, refusing to allow the board or its authorized representative to inspect the premises of an auction or auction house for the purpose of examining the license of the auctioneer or auction house, or both, may be subject to a civil penalty.
(d) Any unlicensed auctioneer or auction house, or both, found to be practicing or offering to practice any actions requiring a license pursuant to the provisions of this chapter who refuses to cease and desist such unlicensed activity upon the request of the board or its authorized representative will be subject to criminal or civil penalties, or both.

Ark. Code Ann. §§  17-17-101-06, 17-17-112-15