2005 California Business and Professions Code Sections 21600-21609 Article 3. Junk

21600.  As used in this article, "junk" means any and all secondhand
and used machinery and all ferrous and nonferrous scrap metals and
alloys, including any and all secondhand and used furniture, pallets,
or other personal property, other than livestock, or parts or
portions thereof.
   As used in this section, "scrap metals and alloys" includes, but
is not limited to, materials and equipment commonly used in
construction, agricultural operations and electrical power
generation, railroad equipment, oil well rigs, nonferrous materials,
stainless steel, and nickel which are offered for sale to any junk
dealer or recycler, but does not include scrap iron, household
generated waste, or aluminum beverage containers, as defined in
Chapter 2 (commencing with Section 14502) of Division 12.1 of the
Public Resources Code.
21601.  As used in this article, "junk dealer" includes any person
engaged in the business of buying, selling and dealing in junk, any
person purchasing, gathering, collecting, soliciting or traveling
about from place to place procuring junk, and any person operating,
carrying on, conducting or maintaining a junk yard or place where
junk is gathered together and stored or kept for shipment, sale or
transfer.
21602.  As used in this article, "junk yard" includes any yard,
plot, space, inclosure, building or any other place where junk is
collected, stored, gathered together and kept.
21603.  This article shall not apply to any of the following:
   (a) Secondhand furniture merchants.
   (b) Pawnbrokers.
   (c) Secondhand car dealers or merchants in connection with
automobile and motor vehicle sales agencies but not carried on and
conducted in conjunction with a junk yard.
   (d) Persons engaged in the business of selling new automobile
tires or batteries or other equipment taking in part payment used
articles of the same kind and thereafter selling or disposing of the
same.
   (e) Secondhand oil well supply and equipment dealers not
conducting or carrying on their business in connection with a junk
yard.
   (f) Secondhand clothing merchants and ragpickers.
21604.  Except as otherwise provided in this article, this article
does not apply to:
   (a) Any person who buys or sells junk acquired in the conduct of
any business other than that of a junk dealer.
   (b) Those purchases of scrap metal by a junk dealer when the
payment for the scrap metal is by check issued to the company
represented as being the owner of the scrap.
   (c) Scrap metal purchased or received from another junk dealer or
recycler who has recorded, reported, and held the material as
required.  The purchase or receipt shall also be exempt from further
holding or reporting provided that the selling party gives the buyer
written assurance of this fact.  The seller shall be held responsible
for any failure to report or hold.
21605.  (a) Every junk dealer and every recycler in this state is
hereby required to keep a written record of all sales and purchases
made in the course of his or her business.
   (b) For purposes of this article, "recycler" means any processor,
recycling center, or noncertified recycler, as those terms are
defined in Chapter 2 (commencing with Section 14502) of Division 12.1
of the Public Resources Code, who buys or sells scrap metal that
constitutes junk, as defined in Section 21600.
21606.  (a) Every junk dealer and every recycler shall set out in
the written record required by this article all of the following:
   (1) The place and date of each sale or purchase of junk made in
the conduct of his or her business as a junk dealer or recycler.
   (2) The name, valid driver's license number and state of issue or
California-issued identification card number, and vehicle license
number including the state of issue of any motor vehicle used in
transporting the junk to the junk dealer's or recycler's place of
business.
   (3) The name and address of each person to whom junk is sold or
disposed of, and the license number of any motor vehicle used in
transporting the junk from the junk dealer's or recycler's place of
business.
   (4) A description of the item or items of junk purchased or sold,
including the item type and quantity, and identification number, if
visible.
   (5) A statement indicating either that the seller of the junk is
the owner of it, or the name of the person he or she obtained it
from, as shown on a signed transfer document.
   (b) Any person who makes, or causes to be made, any false or
fictitious statement regarding any information required by this
section, is guilty of a misdemeanor.
21606.5.  Every junk dealer or recycler shall, during normal
business hours, allow periodic inspection of any premises maintained
and any junk thereon for the purpose of determining compliance with
the recordkeeping requirements of this article, and shall during
those hours produce his or her records of sales and purchases and all
property purchased incident to those transactions which is in the
possession of the junk dealer or recycler for inspection by any of
the following persons:
   (a) Any officer holding a warrant authorizing him or her to search
for personal property.
   (b) Any person appointed by the sheriff of any county or appointed
by the head of the police department of any city.
   (c) Any officer holding a court order directing him or her to
examine the records or property.
21607.  Every junk dealer and recycler shall preserve the written
record required by this article for at least two years after making
the final entry of any purchase or sale of junk or scrap metals and
alloys as defined in Section 21600.
21608.  (a) Any junk dealer or recycler who fails in any respect to
keep the written record required by this article, or to set out in
that written record any matter required by this article to be set out
therein, is guilty of a misdemeanor.
   Every junk dealer or recycler who refuses, upon demand pursuant to
Section 21606.5, to exhibit the written record required by this
article, or who destroys that record within two years after making
the final entry of any purchase or sale of junk therein, is guilty of
a misdemeanor.
   (b) Any knowing and willful violation of subdivision (a) shall be
punishable as follows:
   (1) For a first offense, by a fine of not less than five hundred
dollars ($500), or by imprisonment in the county jail for not less
than 30 days, or by both the fine and imprisonment.
   (2) For a second offense, by a fine of not less than one thousand
dollars ($1,000), or by imprisonment in the county jail for not less
than 30 days, or by both the fine and imprisonment.  In addition to
any other sentence imposed pursuant to this paragraph, the court may
order the defendant to stop engaging in business as a junk dealer or
recycler for a period not to exceed 30 days.
   (3) For a third or any subsequent offense, by a fine of not less
than two thousand dollars ($2,000), or by imprisonment in the county
jail for not less than six months, or by both the fine and
imprisonment.  In addition to any other sentence imposed pursuant to
this paragraph, the court shall order the defendant to stop engaging
in business as a junk dealer or recycler for a period of 30 days.
21609.  (a) Whenever any peace officer has probable cause to believe
that property in the possession of a junk dealer or recycler is
stolen, in lieu of seizing the property, the peace officer as defined
in subdivision (b) of Section 21606.  5, at his or her option, may
place a hold on the property for a period not to exceed 90 days.
When a peace officer places a hold on the property, the peace officer
shall give the junk dealer or recycler a written notice at the time
the hold is placed, describing the item or items to be held plus the
case number. During that period the junk dealer or recycler shall not
release or dispose of the property, except pursuant to a court order
or upon receipt of a written authorization signed by any peace
officer who is a member of the law enforcement agency of which the
peace officer placing the hold on the property is a member.  Except
as specifically set forth in this section, a junk dealer or recycler
shall not be subject to civil liability for compliance with this
section.
   (b) Whenever property that is in the possession of a junk dealer
or recycler is subject to a hold and the property is required by a
peace officer in a criminal investigation, the junk dealer or
recycler, upon reasonable notice, shall produce the property at
reasonable times and places or may deliver the property to any peace
officer upon the request of any peace officer who is a member of the
law enforcement agency of which the peace officer placing the hold on
the property is a member.
   (c) Whenever property that is in the possession of a junk dealer
or recycler is subject to a hold and the property is no longer
required for the purpose of criminal investigation, the law
enforcement agency that placed the hold on the property shall
undertake the following:
   (1) With respect to the property being held, if the law
enforcement agency has no knowledge of the property on hold being
reported as stolen, the property shall be released upon written
notice to the scrap metal dealer or recycler.  The notice shall be
provided in a timely fashion.
   (2) If the law enforcement agency has knowledge that the property
has been reported stolen, the law enforcement agency shall notify the
person who reported the stolen property of the name and address of
the junk dealer or recycler holding the property and authorize the
release of the property to that person.
   The law enforcement agency that placed the property on hold shall
release the hold after 60 days has elapsed following the delivery of
the notice to the person who reported the property stolen.
   (3) If a victim seeks to recover property that is subject to a
hold, the junk dealer or recycler shall advise the victim of the name
and badge number of the peace officer who placed the hold on the
property and the name of the law enforcement agency of which the
officer is a member.  If the property is not required to be held
pursuant to a criminal prosecution the hold shall be released.
   (d) Upon conviction of any person for the theft of property placed
on hold pursuant to this section, the court shall order the
defendant to pay the junk dealer or recycler reasonable costs for
storage of the property.