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Sellers on eBay may need a license - in ohio -updated information 3/11/05

This article is fro the Cleveland Plain Dealer 3/4/2005.

Sellers on ebay may need a license

Here is the article:



<< <i>Brenda J. Grolle loves to pick up used books at library sales for a buck and sell them on eBay for $4.

Unless a state law that goes into effect May 2 is changed, the Elyria woman could be fined up to $1,000 and jailed for a maximum of 90 days for selling items over the Internet without an auctioneer's license.

The primary author of the legislation, State Sen. Larry Mumper, seemed surprised to hear that the law, as written, could affect individuals like Grolle, who is among the almost half-million eBayers in the nation. "We never intended for this to apply to people who sell things on eBay," said Mumper, a Marion Republican. "This was to insure that auctioneers were abiding by the established rules and regulations. The bill is flawed. We will amend it and correct the problem before it goes into law."

Exactly how the legislation will be rewritten is unclear, even to Mumper. He initially said the rewritten law would not apply to individual eBayers, but later qualified that to say it might apply to some.

"It certainly will not apply to the casual seller on eBay, but might apply to anyone who sells a lot," he said. "If someone buys and sells on eBay on a regular basis as a type of business, then there is a need for regulation."

Mumper said the law would be driven by complaints lodged against sellers. Another sticky point in the law: If a person sells his own goods, he does not need an auctioneer's license. If he buys something for the purpose of reselling it on eBay, he does.

All this talk makes Grolle very nervous.

"What does it mean?" she asked. "If I buy something, it's mine. I own it."

She said when she asked an official at the Ohio Department of Agriculture (the agency that will enforce the law) if she had to get an auctioneer's license to sell a book she bought for a dollar over eBay for $4, she was told she would.

Donna Brinker, an administrative assistant with the Ohio Department of Agriculture confirmed that under the present law, anyone who buys an item for resale in an Internet auction would either have to be licensed or use a licensed auctioneer.

But department spokeswoman LeeAnne Mizer said the rewritten law would make it clear that individuals are not affected. Companies that take consignment items from others to sell on eBay, called eBay drop-off shops, will have to conform to the new law, she said.

Obtaining an auction license involves serving a one-year apprenticeship to a licensed auctioneer, acting as a bid-caller in 12 auctions, attending an approved auction school, passing a written and oral exam, and paying a biannual license fee of $200 and posting a $50,000 bond.

Kathy Greer, senior editor of UnRavel the Gavel, a newspaper covering the New England auction market, has followed efforts by nearly a half-dozen states since 1999 to license and regulate online auction consignment firms.

Greer said public outcry scuttled these attempts - which were subsequently either abandoned or went unenforced - though similar efforts are under way in Tennessee and Illinois.

She believes public pressure will keep other efforts "somewhat doomed, at the moment, until there is some big financial disaster concerning one of these professional drop-off centers and people start wondering, 'Why aren't there any regulations covering these things?' "

Erin Davis, aide to Sen. Tom Roberts, a Dayton Democrat, said eBay was never intended to be part of the legislation.

"It is a complete, unintended consequence," he said. "We did refer to Internet auctions in the bill, but we were talking about Internet auction houses, not individuals. It is important that the law be changed before it goes into effect."

Hani Durzy, eBay spokesman, said the company has reviewed Ohio's law and is not concerned.

"We do not believe the law applies to people who sell items on eBay or to eBay itself," he said. "There are 430,000 people in the United States who sell a great quantity of things on eBay and make a living doing it or a significant part of a living. There are 135 million registered eBay users around the world."

A spokesman for Gov. Bob Taft, who signed the bill on Feb. 1, said the Department of Agriculture has been asked for clarification.

Sen. Eric Fingerhut said the law is "clearly a mistake that needs to be fixed." He speaks from the heart.

"I'm an eBayer myself," said the Shaker Heights Democrat.

To reach these Plain Dealer reporters:

msangiacomo@plaind.com, 216-999-4890

balbrecht@plaind.com, 216-999-4853

>>



Only in ohio.

Todd
Todd Abbey
800.954.0270

Comments

  • mrdqmrdq Posts: 1,186 ✭✭✭
    That's rediculous

    --------T O M---------

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  • Just another step in Ohio's downward spiral under the leadership(?????) of Mr. Taft. His elders must be continually turning over in their graves!!!image
    Gary
    image
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭
    Already a thread on this one EBAY Licence?



    Personally I think all government who does things like this should be image
  • Now you know why a third of Ohio's population is in Florida and Arizona!
  • totally ridicilous, if something like this passes and goes into effect, Guess what, probably will get the snowball rolling in other states. Taft is just out of his mindl image But hopefully nothing comes of it.
    putting together a MS 60 and up Morgan set....60% complete...otlher 40% probably take the rest of the decade!
  • ScarsdaleCoinScarsdaleCoin Posts: 5,223 ✭✭✭✭✭
    never happening
    Jon Lerner - Scarsdale Coin - www.CoinHelp.com
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭


    << <i>Now you know why a third of Ohio's population is in Florida and Arizona! >>







    Yeh well eventually the mindset to lay down and let government do it to you is coming here ( Fla )along with the people unfortunately.

    Tomimage
  • More legislative moron liberals. Where do they come from???? This will never fly. The seller is NOT an auctioneer, they are simply a consignor. E-Bay is the Auctioneer. Any idiot can figure this one out.
  • Conder101Conder101 Posts: 10,536
    So you don't argue against regulating eBay consignment busineses, just that you don't think they should have to meet the requirements for an auctioneers license?
  • We just received an update on this topic. Here is the link: Ebay sellers relax - no license required

    Here is the text:

    EBay sellers relax - no license is required
    Thursday, March 10, 2005
    Michael Sangiacomo
    Plain Dealer Reporter
    EBay entrepreneurs can continue to click their way to fortune without worrying about the state coming after them.

    State Sen. Larry Mumper introduced legislation Tuesday to exempt eBay sellers from a new law that would have required them to become licensed auctioneers.

    He said the legislation will supersede his earlier bill, which required anyone selling an item on eBay to use a licensed auctioneer or become an auctioneer. Becoming an auctioneer includes serving a one-year apprenticeship to an auctioneer, attending classes and other requirements.

    "The first bill inadvertently makes it difficult to sell things over the Internet and includes casual users of eBay," said Mumper, a Marion Republican. "That is not what we intended the bill to do; it was supposed to regulate auctioneers."

    Mumper said the new bill, Senate Bill 99, is expected to pass the Senate next week and move to the House of Representatives for approval.

    Mumper said additional changes may be made to the bill that would apply to consignment businesses. These businesses sell other people's goods over eBay and similar Internet auction services for a percentage of the sale amount.

    As written, the law will apply to such businesses, but Mumper said he and other members of the legislature will meet with representatives of the industry to determine if that should be changed as well.

    "We may introduce those changes in the House bill, if they are necessary," Mumper said.

    Rich Mayer, who owns E-Auctions in Brunswick, said such a law would hurt his 6-month-old business.

    "It's stupid," he said. "My business is doing well, and I have been considering opening up branch offices around the area. So here I am, creating jobs and paying taxes, and this law would make it hard for me to operate."

    To reach this Plain Dealer reporter:

    msangiacomo@plaind.com, 216-999-4890

    Todd

    Todd Abbey
    800.954.0270
  • No!!!! We don't need no stinking lisence! I can't afford a freaking lisence to do business on the Bay. That is crazy! What is wrong with Mr. Taft?imageimage
    Scott Hopkins
    -YN Currently Collecting & Researching Colonial World Coins, Especially Spanish Coins, With a Great Interest in WWII Militaria.

    My Ebay!

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