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Secondhand Dealers and Pawnbrokers Act 2004

Obligations of licence holders, promoters, and Internet auction providers - Obligations of licensed secondhand dealers - Records and verification of identity

42: Dealers record

You could also call this:

"Keeping a Record of Bought and Sold Items"

Illustration for Secondhand Dealers and Pawnbrokers Act 2004

If you are a licensed secondhand dealer, you must keep a record of all the items you buy and sell. This record must include information about the person you bought the item from, like their name and contact details. You must also verify the person's identity and record how you did this, as set out in section 43(3). You need to record details about the item itself, like what it is and how much you paid for it. You must also record the date of the transaction and the name of the person who handled the sale. If the item is a functioning motor vehicle, you need to record its vehicle identification number and registration number, if available. You must add this information to your record as soon as possible after the transaction. If you do not keep a record or make false entries, you can be fined up to $10,000. A functioning motor vehicle includes cars that can be fixed with minor repairs or that do not meet legal requirements to be on the road. You must keep records for all items, including scrap metal, and record details like the type and amount of scrap metal and the date of the transaction. You must also record the name and signature of the person who handled the transaction. If you are unsure about what to record, you can check the rules for more information.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM305616.

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Topics:
Business > Industry rulesMoney and consumer rights > Consumer protection
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"Letting Police Check Your Secondhand Goods"

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43: Verifying identity, or

"Checking who someone is when you buy from them"

Part 3Obligations of licence holders, promoters, and Internet auction providers
Obligations of licensed secondhand dealers: Records and verification of identity

42Dealers record

  1. Every licensed secondhand dealer must keep a dealers record.

  2. The dealers record must show the following information with respect to every article acquired by a licensed secondhand dealer in the course of business as a secondhand dealer:

  3. the identity of the person from whom the article is acquired, which must include—
    1. the person’s full name, contact address, and contact telephone number (if any):
      1. the manner in which the person’s identity was verified or, if the identity was not verified, the reason for that (as set out in section 43(3)):
        1. the person’s date of birth (unless the person’s identity was not verified):
          1. the person’s signature (unless the person’s identity was not verified):
          2. a description of the article and its serial number or other unique identifier (if any):
            1. the purchase price paid by the secondhand dealer:
              1. the number assigned by the licensed secondhand dealer to the article:
                1. the name and signature of the person who conducted the transaction on behalf of the licensed secondhand dealer:
                  1. the date of the transaction:
                    1. in the case only of an article with an apparent resale value of more than $40 or such other amount as may be prescribed, either—
                      1. the date on which the article was sold; or
                        1. an account of how and when the article was otherwise disposed of:
                        2. any other prescribed information.

                          1. The dealers record must show the following information with respect to all scrap metal acquired by a licensed secondhand dealer in the course of business as a secondhand dealer:

                          2. the identity of the person from whom the scrap metal is acquired, which must include the matters set out in subsection (2)(a):
                            1. a description of the nature and quantity of the scrap metal:
                              1. the name and signature of the person who conducted the transaction on behalf of the licensed secondhand dealer:
                                1. the date of the transaction:
                                  1. any other prescribed information.

                                    1. The dealers record must show the following information with respect to any functioning motor vehicle acquired by a licensed secondhand dealer in the course of business as a secondhand dealer:

                                    2. the identity of the person from whom the vehicle is acquired, which must include the matters set out in subsection (2)(a):
                                      1. the name and signature of the person who conducted the transaction on behalf of the licensed secondhand dealer:
                                        1. the date of the transaction:
                                          1. the vehicle’s vehicle identification number (VIN) or chassis number:
                                            1. the vehicle’s registration number, if available:
                                              1. any other prescribed information.

                                                1. The information required to be shown in the dealers record must be added to the record as soon as practicable after the information is available.

                                                2. A licensed secondhand dealer commits an offence, and is liable on conviction to a fine not exceeding $10,000, if he or she—

                                                3. fails without reasonable excuse to—
                                                  1. keep a dealers record; or
                                                    1. record in it the information required by this section; or
                                                      1. add information to it as soon as practicable after the information is available; or
                                                      2. makes a false entry in his or her dealers record.

                                                        1. In this section, functioning motor vehicle includes—

                                                        2. a motor vehicle that will function if minor repairs are made to it, including the replacement or addition of a part:
                                                          1. a motor vehicle that does not comply with any legal requirement that must be met for it to operate on the road.

                                                            Compare
                                                            • 1963 No 10 ss 12, 12A
                                                            Notes
                                                            • Section 42(3A): inserted, on , by section 288(1) of the Tribunals Powers and Procedures Legislation Act 2018 (2018 No 51).
                                                            • Section 42(5): amended, on , by section 413 of the Criminal Procedure Act 2011 (2011 No 81).
                                                            • Section 42(6): inserted, on , by section 288(2) of the Tribunals Powers and Procedures Legislation Act 2018 (2018 No 51).