Oklahoma Public Auction Law

Oklahoma Statutes Annotated 
Title 59. Professions and Occupations (Refs & Annos)
Chapter 26. Oklahoma Public Auction Law
§ 981. Citation
§ 982. Definitions
§ 983. Sale of new goods, wares or merchandise at public auction--License
§ 984. Application for license--Contents
§ 985. Bonds--Service of process
§ 986. License fee
§ 987. Issuance of license
§ 988. Filing of inventory of merchandise sold--Prices
§ 989. Penalties
§ 990. Sales exempt
§ 991. Regulation by cities and towns
§ 992. Law governing
§ 993. Partial invalidity

§ 981. Citation

This act shall be known as the “Oklahoma Public Auction Law”.

§ 982. Definitions

The words “public auction sales” when used in this act, shall mean the offering for sale or selling of new goods, wares or merchandise to the highest bidder or offering for sale or selling of new goods, wares or merchandise at a high price and then offering the same at successive lower prices until a buyer is secured.
The words “new goods, wares and merchandise”, when used in this act, shall mean and include all goods, wares and merchandise not previously sold at retail.

§ 983. Sale of new goods, wares or merchandise at public auction--License

It shall be unlawful for any person, firm or corporation to sell, dispose of, or offer for sale at public auction in the State of Oklahoma any new goods, wares or merchandise, unless such person, firm or corporation, and the owners of such new goods, wares or merchandise to be offered for sale or sold if such are not owned by the vendors, shall have first secured a license as herein provided and shall have complied with the other requirements of this act herein set forth.

§ 984. Application for license--Contents

Any person, firm or corporation desiring to offer any new goods, wares or merchandise for sale at public auction shall file application for a license for that purpose with the treasurer of the county in this state in which the said auction is proposed to be held. The application shall be filed not less than ten (10) full days prior to the date the said auction is to be held. The application shall state the following facts:
(a) The name, residence and post office address of the person, firm or corporation making the application, and if a firm or corporation, the name and address of the members of the firm or officers of the corporation, as the case may be.
(b) If the applicant is a corporation then there shall be stated on the application form the date of incorporation, the state of incorporation and if for a corporation formed in a state other than the State of Oklahoma the date on which such corporation qualified to do business as a foreign corporation in the State of Oklahoma.
(c) The name, residence and post office address of the auctioneer who will conduct such auction sale.
(d) A detailed inventory and description of all such new goods, wares or merchandise to be offered for sale at such auction which inventory shall set forth the cost to the applicant of the several items contained in such inventory.
(e) Attached to the application shall be a copy of a notice, which ten (10) days before the said application has been filed, shall have been mailed registered mail by the proposed seller to the Tax Commission of the State of Oklahoma of such other department as may be charged with the duty of collecting gross income taxes or such other taxes of a comparable nature or which may be in lieu of such gross income taxes. The said notice must state the precise time and place where the said auction is to be held, the approximate value of the new goods, wares or merchandise to be offered for sale or sold and such other information as the Tax Commission of the State of Oklahoma or its successor may request or by regulation require.
(f) The number of days on which said auction will be held.
(g) The said application shall be verified.

§ 985. Bonds--Service of process

At the time of filing said application, and as a part thereof, the applicant shall file and deposit with the said county treasurer a bond, which sureties to be approved by the said county treasurer, in the penal sum of two times the value of the merchandise proposed to be offered for sale at public auction as shown by the inventory filed, running to the State of Oklahoma, and for the use and benefit of any purchaser of any such new goods, wares or merchandise at the said auction who might have a cause of action of any nature arising from or out of a sale or sales at such auction or against the applicant or against the auctioneer; the said bond shall be further conditioned on the payment by the applicant of all taxes that may be payable by or due from, the applicant to the State of Oklahoma or any department thereof or any subdivision of the State of Oklahoma, municipal or otherwise, the payment of any fines that may be assessed by any court against the applicant or against the auctioneer for violation of the provisions of this act, and the satisfaction of all causes of action commenced within one (1) year from the date that such sale is made at any such auction and arising therefrom provided, however, that the aggregate liability of the surety for all said taxes, fines, and causes of action shall in no event exceed the sum of such bond but there shall be no limitation of liability against the owners of the new goods, wares and merchandise or the auctioneer or the applicant for the license.
In such bond the applicant and surety shall appoint the treasurer of said county in which said bond is filed the agent of the applicant and the surety for the service of process. At the time that said bond is filed and deposited with the county treasurer as herein provided the auctioneer shall appoint the said county treasurer the agent of the auctioneer for the service of process. In the event of such service of process, the agent on whom such service is made shall, within five (5) days after the service, mail by ordinary mail a true copy of the process served upon him to each party for whom he has been served, addressed to the last-known address of such party. Failure to so mail said copy shall not, however, affect the court's jurisdiction.
The State of Oklahoma or any department or subdivision, municipal or otherwise, thereof, or any person having a cause of action arising out of any sale of such new goods, wares or merchandise may join the applicant and the surety on such bond and the auctioneer in the same action, or may in such action sue either such applicant or the surety or the auctioneer alone.

§ 986. License fee

The applicant desiring to file an application with the treasurer for a license to conduct a public auction shall pay to the treasurer of such county in which the said application is made, a license fee of Fifty Dollars ($50.00) per day for each day that he proposes to conduct a public auction.

§ 987. Issuance of license

Upon the filing of such application and after the applicant has established that he has fully complied with all the provisions of this act, the treasurer of said county, shall issue to the applicant a license authorizing the said applicant to conduct a public auction as proposed in said application; such license shall not be transferable and shall be valid only in the county where issued and shall not be valid in any town or city which has enacted an ordinance licensing public auction sales unless a license is also obtained from such city or town. No license shall be good for more than one person, unless such persons shall be copartners nor for more than one place in said county.
The treasurer shall keep a record of such licenses in a book provided for that purpose, which shall at all times be open to public inspection.
No particular form of license shall be required to be issued by said treasurer. However, any license issued shall state the name of the person, firm or corporation which is licensed, the precise place at which such auction sale is to be held and the number of days for which the license is issued.

§ 988. Filing of inventory of merchandise sold--Prices

Within ten (10) days after the last day of said auction sale, the applicant shall file in duplicate with the county treasurer an inventory of all merchandise sold at such auction and the price received therefor, which inventory shall be verified by the person who filed the application for the license with the said auditor. The county treasurer shall immediately after receiving such report and inventory forward a copy thereof to the Tax Commission of the State of Oklahoma or its successor.

§ 989. Penalties

Every person, firm or corporation, either as principal or agent, who shall in any manner engage in, or conduct a public auction sale, without having first obtained a license as hereinbefore provided, or who shall knowingly advertise, represent or hold forth any sale of goods, wares or merchandise to be conducted contrary to the provisions of this act1 shall be deemed guilty of a misdemeanor and shall upon conviction thereof be fined in any sum not less than Two Hundred Dollars ($200.00) and not more than One Thousand Dollars ($1,000.00), to which may be added imprisonment of not less than thirty (30) days and not more than one hundred eighty (180) days.

§ 990. Sales exempt

The provisions of this act1 shall not extend to the sale at public auction of livestock, real estate, farm machinery or farm produce or other items commonly sold at farm sales, community sales, or to auction sales by individuals of new merchandise, which was assessed personal property tax or is replacement stock of merchandise inventory which was assessed personal property tax in the county in which the sale is to be had, nor to a bona fide sale of goods, wares and merchandise by sample for future delivery, or by sales made by sheriffs, constables or other public officers selling goods, wares and merchandise according to law, nor to bona fide assignees or receivers appointed in this state selling goods, wares and merchandise for the benefit of creditors, provided further, nothing in this act shall prevent a person, firm or corporation registered hereunder and operating in more than one county, from selling all his goods in either county if said goods are duly assessed in one of said counties.

§ 991. Regulation by cities and towns

The towns and cities of the State of Oklahoma are hereby given full power and authority to tax, license and regulate persons, firms or corporations engaging in or desiring to engage in public auctions, and may require a license and charge a fee therefor; but such license fee shall not exceed the amount provided in this act for a county license but shall be in addition thereto and such towns and cities may provide for penalties for violations of said ordinance. A city or town license shall not be in lieu of a county license.

§ 992. Law governing

Insofar as the provisions of Section 11 of this act are in conflict with Section 651 or Section 1105 of Title 11, Oklahoma Statutes 1951, or any other prior legislative enactment, the provisions of Section 11 hereof shall prevail.

§ 993. Partial invalidity

If any section, subsection, paragraph, sentence, clause or phrase of this act is for any reason held to be unconstitutional or invalid, such unconstitutionality or invalidity shall not affect the constitutionality or validity of the remaining portion or portions of this act.

Okla.Stat.Ann. Title 59, 981 - 993