Section 4471-9 - Investigation of application; grounds for denial; revocation of license(a) Upon receipt of the application, the treasurer of the city, or the secretary of the borough, or the secretary of the board of commissioners or board of supervisors of the township in which such sale is to be held may, in his discretion, make or cause to be made an examination, or order an investigation of the applicant, and all the facts contained in the application and inventory in relation to the proposed sale. A license shall be denied or refused if any one or more of the following facts or circumstances are found by him to exist: (1) That the applicant has not been the owner of the business advertised or described in the application for a license hereunder for a period of at least three months prior to the date of the application, or if the applicant be a partnership, corporation or association, controlling interest in the corporation or association was transferred within six months prior to the date of the application for a license hereunder, except-- (i) Where the application is for a license for a "sale of goods damaged by fire, smoke, or water," or a "defunct business sale," and the inventory listed in the application contains only those goods, wares or merchandise which were on the premises at the time of the occurrence of the circumstances warranting the granting of a license hereunder;(ii) Upon the death of a person doing business in this Commonwealth, his or her heirs, distributees, devisees, legatees, or their successors and assignees, shall have the right to apply at anytime for a license hereunder;(iii) Where a business is required or compelled to be discontinued because the premises whereupon it is being conducted has been condemned, taken for purposes of urban renewal or development or because the premises must be vacated because of legal or judicial proceedings.(2) That in the case of a "closing out sale," the applicant, either as owner, partner, member of an association, or principal stockholder of a corporation, was granted a prior license hereunder within one year preceding the date of the filing of the application.(3) That the inventory contains goods, wares or merchandise not purchased by the applicant for resale on bona fide orders without cancellation privileges.(4) That the inventory contains goods, wares or merchandise purchased by the applicant on consignment, except if the consigned goods, wares or merchandise have been damaged while in the consignee's possession.(5) That the applicant, except in the case of an application for a license to conduct a "sale of goods damaged by fire, smoke, or water," or a "defunct business sale," either as owner, partner, officer of an association, or principal stockholder of a corporation, was granted a prior license hereunder within one year preceding the date of the filing of the application at the particular location for which the license is sought, or within one year prior to the date of filing of the application, has conducted a sale in connection with which he advertised or represented that the entire business conducted at the particular location for which the license is sought was to be closed out or terminated.(6) That the applicant has within one year prior to the filing of the application been convicted of a violation of this act.(7) That the goods, wares or merchandise as described in the inventory, were transferred or assigned to the applicant prior to the date of the filing of the application and that said transfer or assignment was not made for a valuable and adequate consideration.(8) That the inventory contains goods, wares or merchandise purchased by the applicant or added to his stock in contemplation of such sale and for the purpose of selling the same at such sale. For this purpose any unusual purchase or addition to the stock of such goods, wares and merchandise made within ninety days prior to the date of the filing of such application shall be presumptive evidence that such purchase or additions were made in contemplation of such sale and for the purpose of selling the same at such sale.(9) That any representation made in the application is false.(b) Revocation. Upon written and signed complaint being filed with the treasurer of the city, or the secretary of the borough, or the secretary of the board of commissioners or board of supervisors of the township where such sale is to be held, by a resident of the municipality or township, or a resident of any adjoining municipality or township, or upon the initiative of such treasurer or secretary after making an investigation, the treasurer or secretary shall revoke any license granted under the provisions of this act if he shall determine: (1) That any sale by the applicant is conducted in violation of any provision of this act.(2) That the applicant has made any material misstatement in his application for said license.(3) That the applicant has failed to include in the inventory required by the provisions of this act, the goods, wares or merchandise required to be contained in such inventory.(4) That the applicant has added or permitted to be added to said sale or offered or permitted to be offered at said sale, any goods, wares or merchandise not described in the original application and inventory.(5) That the applicant made or permitted to be made any false, misleading or deceptive statements in advertising said sale, whether written or oral, or in displaying, ticketing, or pricing goods, wares or merchandise offered for sale.1963, July 31, P.L. 410, No. 217, § 9, effective in 60 days.