SENATE BILL 185

50th legislature - STATE OF NEW MEXICO - first session, 2011

INTRODUCED BY

George K. Munoz

AN ACT

RELATING TO PAWNBROKERS; INCREASING THE PERMITTED PRINCIPAL BALANCE FOR A PAWN TRANSACTION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 56-12-14 NMSA 1978 (being Laws 1985, Chapter 228, Section 14) is amended to read:

     "56-12-14. PROHIBITED PRACTICES.--A pawnbroker shall not:

          A. knowingly enter into a pawn transaction with a person under the age of eighteen years or under the influence of alcohol or any narcotic, drug, stimulant or depressant;

          B. make any agreement requiring the personal liability of a pledgor in connection with the pawn transaction;

          C. accept any waiver, in writing or otherwise, of any right or protection accorded a pledgor under the Pawnbrokers Act;

          D. fail to exercise reasonable care to protect pledged goods from loss or damage;

          E. fail to return a pledged good to a pledgor upon payment of the full amount due to the pawnbroker on the pawn transaction. In the event a pledged good is lost or damaged while in the possession of the pawnbroker, the pawnbroker shall compensate the pledgor for the reasonable value of the lost or damaged good;

          F. make any charge for insurance in connection with a pawn transaction;

          G. purchase or otherwise receive any item of property from which the manufacturer's name plate, serial number or identification mark has been obviously defaced, altered, covered or destroyed;

          H. purchase or otherwise receive any item of property which the permit holder knows is not lawfully owned by the person offering the same;

          I. enter into a pawn transaction in which the unpaid [principle] principal balance exceeds [two thousand dollars ($2,000)] three thousand five hundred dollars ($3,500); or

          J. require that any of the proceeds of any cash loan be spent at the pawnbroker's place of business or in any other manner directed by the pawnbroker."

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