N.Y. General Business Law § 47: Second-hand business

§ 47. Second-hand business. A collateral loan broker may purchase

items of personal property in accordance with this section, provided

however that a collateral loan broker shall not receive in pawn, as a

pledge or as a purchase any instrument or weapon mentioned in section

265.05 of the penal law. A collateral loan broker may purchase back any

pledge offered for sale by him or her at public auction and may

thereafter sell such pledge if the pledgor fails to redeem within ten

days or may purchase any pledge offered for sale by any other collateral

loan broker at private sale or public auction. Nothing in this article

shall prohibit a collateral loan broker from purchasing a pawn ticket

from a pledgor, his or her heirs or assigns upon the request of such

pledgor, heir or assign, ninety or more days after the item was pawned.

If the pawn ticket is sold to a collateral loan broker the pledgor, his

or her heirs or assigns shall be entitled to redeem said ticket within

ten days thereafter by tendering to the collateral loan broker the

amount paid by the collateral loan broker for the ticket. Nothing shall

prohibit the sale of new or second-hand property upon the premises where

such collateral loan business is conducted, nor the purchase of new or

second-hand property, except as otherwise expressly prohibited herein. A

person selling any item to a collateral loan broker, upon the premises

of a collateral loan broker, may cancel the transaction within five

business days, provided that the seller tenders the full purchase price,

together with a cancellation fee not to exceed ten dollars for sales

equal to or greater than five hundred dollars, seven dollars for sales

equal to or greater than one hundred dollars but less than five hundred

dollars, or four dollars for sales less than one hundred dollars. A

person selling jewelry, watches, precious stones, precious metals or

coins to a collateral loan broker shall be afforded the option of

converting the sale to a loan, provided the option is exercised within

fourteen days from the date of the sale (the loan shall be in the

principal amount of not less than eighty percent of the sale price).

A collateral loan broker engaged in the purchase or sale of

second-hand articles, other than pledges or pawn tickets, shall comply

with local laws or regulations governing dealers in second-hand

articles. A collateral loan broker engaged in the purchase of

second-hand articles shall provide the seller a receipt setting forth

the item or items purchased and the purchase price for each item.

Additionally, the receipt shall include a notice advising the seller of

the option to cancel the transaction within five business days or

convert the sale of jewelry, watches, precious stones, precious metals

and coins to a loan within fourteen days of the sale in accordance with

this section.

A collateral loan broker purchasing articles from the general public

shall display in a conspicuous place, in his or her shop, a sign

stating:

" PURSUANT TO ARTICLE 5 OF THE NEW YORK STATE GENERAL BUSINESS LAW A

COLLATERAL LOAN BROKER IS AUTHORIZED TO PROVIDE LOANS ON ITEMS PLEDGED

OR PURCHASE ITEMS OFFERED FOR SALE. YOU HAVE THE RIGHT TO USE AN ITEM AS

COLLATERAL FOR A LOAN OR SELL THE ITEM IN ACCORDANCE WITH STATE AND

LOCAL LAW. ALL SALES MAY BE CANCELLED WITHIN FIVE BUSINESS DAYS IN

ACCORDANCE WITH SAID ARTICLE 5. A SALE OF JEWELRY, WATCHES, PRECIOUS

STONES, PRECIOUS METALS OR COINS CAN BE CONVERTED TO A LOAN WITHIN 14

DAYS FROM THE DATE OF THE SALE."

Such sign shall be made of a durable material, with letters being at

least one inch high and have a stroke of at least one-quarter inch. The

letters and background shall be of contrasting colors.