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Lakewood, WA Business Licensing & Operations: Secondhand Dealers (2026)

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

Key Facts

License required
City business license, Chapter 5.02
State law layered on top
RCW 19.60 and RCW 19.290 fully adopted
Pawnshop cap
Four licensed pawnshops citywide
Cap direction
Can only decrease, never increase
Pawnbroker extra requirement
Valid federal firearms license

Summary

Every pawnbroker, secondhand dealer, or secondhand precious metal dealer operating in Lakewood, Pierce County, must hold a City business license on top of the state licensing and reporting duties in RCW 19.60 and RCW 19.290. The city also caps the number of licensed pawnshops at four.

A. Every entity doing business within the City as a pawnbroker, secondhand dealer or secondhand precious metal dealer, as those terms are defined by RCW 19.60.010, shall be subject to the regulations set forth in this chapter and shall be required to obtain a City of Lakewood business license, as set forth in Chapter 5.02 LMC. ... Every entity subject to this chapter shall be required to report as required by Chapters 19.60 and 19.290 RCW.

View official code

Official source re-checked September 8, 2026: no newer edition of the code had been published (publisher’s edition: current through Ordinance 852, passed June 15, 2026).

Full Breakdown

LMC 5.12.011 makes any entity doing business in Lakewood as a pawnbroker, secondhand dealer, or secondhand precious metal dealer, as those terms are defined in RCW 19.60.010, subject to Chapter 5.12 and requires a City of Lakewood business license under Chapter 5.02. The chapter is expressly supplemental to, not a substitute for, the state secondhand dealer statute, Chapter 19.60 RCW, and the scrap-metal statute, Chapter 19.290 RCW (LMC 5.12.011(B)). LMC 5.12.013 requires every regulated entity to report as required by both of those RCW chapters, and LMC 5.12.021 and 5.12.023 adopt whole tables of RCW sections by reference into city law, including RCW 19.60.020 (duty to record transaction information), RCW 19.60.040 (report to the chief law enforcement officer), RCW 19.60.050 and .055 (retention of pawned or secondhand property for inspection), and RCW 19.290.030 (metal property and metallic wire transaction requirements), with any reference to "the state" in those sections construed to also mean the City of Lakewood.

Pawnbrokers face an added local cap: LMC 5.12.060 fixes the maximum number of licensed pawnshops in the city at the number operating when the ordinance passed, four, and that ceiling only ever ratchets down, never up, as licenses lapse (LMC 5.12.065). Pawnshop owners must also hold a current federal firearms license and pass criminal-history screening under LMC 5.12.075.

Violations & Fines

Operating as an unlicensed secondhand dealer or pawnbroker is enforceable through Title 5's general penalty, LMC 5.02.250, a misdemeanor and/or a civil infraction of $500 for a first offense, $1,000 for a second, and $2,000 for a third and later offenses, with each day a separate violation. The adopted state provisions carry their own penalties: RCW 19.60.066 makes prohibited pawnbroker transactions a criminal offense, and RCW 19.290.070 sets penalties for scrap-metal recordkeeping violations.

Frequently Asked Questions

Do secondhand stores need a special license in Lakewood, Washington?
Yes. LMC 5.12.011(A) requires every pawnbroker, secondhand dealer, or secondhand precious metal dealer doing business in the city to hold a City of Lakewood business license under Chapter 5.02, on top of the state requirements in RCW 19.60.
How many pawnshops is Lakewood allowed to license?
LMC 5.12.060 caps the number at four, the number licensed when the ordinance took effect, and LMC 5.12.065 says that number can shrink if a pawnshop relocates, loses its license, or is condemned, but it can never rise back above four.
Does Lakewood require secondhand dealers to report transactions to police?
Yes. LMC 5.12.013 requires every regulated entity to report as required by Chapters 19.60 and 19.290 RCW, and LMC 5.12.021 adopts RCW 19.60.040's duty to report to the chief law enforcement officer directly into city law.

Sources & Official References

Other rules in Lakewood

All Lakewood rules

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