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Dearborn, MI Business Licensing & Operations: Secondhand Dealers (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License issuer
City clerk, fee set in Sec. 12-6
ID required
Buyer/seller driver's license recorded
Hold period
9 days jewelry/metals, 15 days other goods
Age limit
No purchases from anyone under 18
Police reporting
Daily transaction report required

Summary

Buying or reselling secondhand jewelry, silverware, or gold, silver, and platinum items in Dearborn requires a city clerk license, plus ID checks, a police-inspectable transaction ledger, and a mandatory holding period before any purchased item can be resold.

The term "secondhand dealer" as used in this article shall mean any person, corporation or member or members of a co-partnership or firm whose principal business is that of purchasing, storing, selling, exchanging and receiving secondhand personal property of any kind or description. (Ord. No. 92-551, § 1, 1-5-93) Sec. 12-387. - License required. No person, corporation or firm shall engage in the business of buying or selling any secondhand goods, secondhand jewelry, used silverware, or other secondhand manufactured article composed wholly or in part of gold, silver, platinum or other precious metal, nor shall any person engage in the business of buying or selling gold, silver, platinum or other precious metal in the city without having first procured a license from the city clerk for such purpose. The license fee, listed in Section

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-07: Code: Updated through: July 22, 2026 | Zoning: Updated through: July 22, 2026).

Full Breakdown

Dearborn requires a city clerk license before buying or selling secondhand jewelry, silverware, or articles made of gold, silver, or platinum. Licensees must record every seller's driver's license ID, name, and description of the item in a bound ledger open to police, take the seller's thumbprint, and report all transactions to the police chief daily. Jewelry and precious-metal items must be held at least nine days, other secondhand goods at least fifteen, before resale, and dealers may never buy from anyone under 18.

Violations & Fines

Buying or selling covered secondhand goods without a license, or knowingly letting it happen on your premises, is unlawful under Sec. 12-395 -- punishable under the Code's general penalty: up to $500 and 93 days in jail.

Frequently Asked Questions

How long must a Dearborn dealer hold purchased jewelry before reselling it?
At least nine calendar days for jewelry, silverware, and precious metals, and at least 15 days for other secondhand articles, per Sec. 12-394.
Can a Dearborn secondhand dealer buy from a 17-year-old?
No -- Sec. 12-393 bars purchases from anyone under 18, and from anyone known to have a theft or stolen-property conviction within the past five years.

Sources & Official References

Other rules in Dearborn

All Dearborn rules

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