Journal of the House of Representatives
of the Second Session of the 111th General Assembly
of the State of South Carolina
being the Regular Session Beginning Tuesday, January 9, 1996

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| Printed Page 2760, Apr. 24 | Printed Page 2780, Apr. 24 |

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Secretary and the payment of a fee of two dollars, the Secretary shall cause such instrument of transfer, release or sale to be placed on record in a book provided and kept by him for that purpose and certificates of such transfer, upon application therefor, shall be issued by him in like manner, upon the payment of like fees, as provided for the issuance of certificates under the provisions of Section 39-15-430."

SECTION 458. Section 39-15-450 of the 1976 Code is amended to read:

"Section 39-15-450. The presence of such identifying mark or brand on any field box, crate, container or receptacle, whenever a copy or description thereof shall have been filed and recorded in the office of the Secretary of State Department of Commerce as provided in Section 39-15-420, shall, in any court and in any proceedings in this State, be prima facie evidence of the ownership of such boxes, crates, containers or receptacles by the person in whose name such mark or brand may have been recorded, provided that such mark or brand shall bear the registered number provided for in Section 39-15-420."

SECTION 459. Section 39-15-490 of the 1976 Code is amended to read:

"Section 39-15-490. The refusal of any person in possession thereof to deliver any field box, crate, container or receptacle so marked or branded and registered as provided in this article to the registered owner thereof or his duly authorized agent, upon the demand of such registered owner or authorized agent, when such demand is accompanied with a display of the certificate of recordation and number thereof, as furnished to the registered owner by the Secretary of State Department of Commerce, shall be prima facie evidence in any court of this State of a fraudulent intent to convert such field box, crate, container or receptacle to the use of the person so in possession thereof and to deprive the registered owner thereof and any person convicted of a violation of the provisions of this section shall be subject to the penalty provided in Section 39-15-480."

SECTION 460. Section 39-15-1105(6) of the 1976 Code, as last amended by Act 27 of 1995, is further amended to read:

"(6) `Secretary' means the Secretary of State Department of Commerce or the designee of the secretary charged with the administration of this article."

SECTION 461. Section 39-15-1115(E) of the 1976 Code, as added by Act 486 of 1994, is further amended to read:


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"(E) The application must be accompanied by three specimens showing the mark as actually used and accompanied by the application fee payable to the Secretary of State Department of Commerce."

SECTION 462. Section 39-15-1190 of the 1976 Code, as added by Act 486 of 1994, is amended to read:

"Section 39-15-1190. (A) Whoever intentionally traffics or attempts to traffic in goods or services and knowingly uses or should have known a counterfeit mark on or in connection with such goods or services shall be deemed guilty of a misdemeanor, if an individual, be fined not more than five thousand dollars or imprisoned not more than one year, or both, and, if a person other than an individual, be fined not more than twenty thousand dollars.

(B) The term `counterfeit mark' in this section means:

(1) a spurious mark:

(a) that is used in connection with trafficking goods or services;

(b) that is identical with, or substantially indistinguishable from, a mark registered for those goods or services with the Secretary of State Department of Commerce under this chapter and in use, whether or not the defendant knew such mark was so registered; and

(c) the use of which is likely to cause confusion, to cause mistake, or to deceive.

(2) `Counterfeit mark' does not include any mark or designation used in connection with goods or services of which the manufacturer or producer was, at the time of the manufacture or production in question, authorized to use the mark for designation for the type of goods or services so manufactured or produced, by the holder of the right to use such mark or designation.

(C) `Traffic' means transport, transfer, or otherwise dispose of, to another, as consideration for anything of value, or make or obtain control of with intent so to transport, transfer, or dispose of."

SECTION 463. Section 39-19-20 of the 1976 Code is amended to read:

"Section 39-19-20. Every person or corporation authorized to become a public warehouseman shall give bond in a surety company authorized to do business in this State in an amount equal to ten per cent of the estimated value of the goods for which such warehouseman will provide storage, such bond to be conditioned for the faithful performance of the duties of a public warehouseman and to be given to the Secretary of State Governor, who shall cause a copy of it to be filed with the clerk of the court in each county in which such warehouseman proposes to maintain a warehouse. Any such bond may extend over a limited period not less


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than one year from its date and may provide for a continuation thereof upon payment and acceptance of the annual premium in advance. But any such limitation shall not affect liabilities under the bond incurred while it was in force."

SECTION 464. Section 39-57-50 of the 1976 Code, as last amended by Part II, Act 501 of 1992, is further amended to read:

"Section 39-57-50. (A) The seller of every business opportunity shall file with the Secretary of State Department of Commerce a copy of the disclosure statement required by Section 39-57-30 before placing an advertisement or making other representations to prospective purchasers in this State and shall update this filing as a material change in the required information occurs, but no less than biennially. If the seller is required by Section 39-57-40 to provide a bond or establish a trust account, he contemporaneously shall file with the Secretary of State Department of Commerce a copy of the bond or a copy of the formal notification by the depository that the trust account is established. The Secretary of State Department of Commerce shall charge a nonrefundable filing fee of one hundred dollars for processing and maintaining the information filed by the seller.

(B) The Secretary of State Department of Commerce shall maintain a record of all sellers registering under this chapter and shall assign a registration number to each. The seller must be advised in writing of the assigned registration number, and advertisements, pamphlets, or brochures used in the promotion of the business opportunity by the seller must include the assigned registration number in the following manner: `S.S. Reg. No. __'.

(C) A person who fails to file is guilty of a misdemeanor and, upon conviction, must be fined not more than two hundred dollars or imprisoned not more than thirty days. Each day a person fails to file constitutes a separate offense."

SECTION 465. Section 39-57-55 of the 1976 Code, as added by Part II, Act 501 of 1992, is amended to read:

"Section 39-57-55. (A) Licenses required by Chapter 57 of Title 39 to be registered biennially must be assigned registration periods as provided in this section.

(1) Upon the first reregistration of the licenses by the South Carolina Secretary of State's Department of Commerce's office after the effective date of biennial licensure, a biennial registration period must be implemented as follows:

(a) Licensees whose license numbers end in:


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(i) an even number and expire between July 1, 1992, and December 31, 1992, shall obtain a biennial registration;

(ii) an even number and expire between January 1, 1993, and June 30, 1993, shall reregister their licenses for one year. At the end of that time they shall reregister their license for two years and biennially after that time;

(iii) an odd number and expire between July 1, 1992, and December 31, 1992, shall register their licenses for one year. At the end of that time they shall register their license for two years and biennially after that time;

(iv) an odd number and expire between January 1, 1993, and June 30, 1993, shall obtain a biennial registration;

(v) `A' through `L' and expire between July 1, 1992, and June 30, 1993, shall obtain a biennial registration;

(vi) `M' through `Z' and expire between July 1, 1992, and June 30, 1993, shall obtain a one-year registration and obtain a biennial registration after that time.

(b) Licenses issued in South Carolina for the first time between:

(i) July 1, 1992, and December 31, 1992, which end in an even number must be issued for a biennial registration period;

(ii) between July 1, 1992, and December 31, 1992, which end in an odd number must be issued for one year. At the end of that time the license must be renewed for two years and biennially after that time;

(iii) January 1, 1993, and June 30, 1993, which end in an even number must be issued for one year. At the end of that time the license must be renewed for two years and biennially after that time;

(iv) January 1, 1993, and June 30, 1993, which end in an odd number must be issued biennially;

(v) July 1, 1992, and June 30, 1993, and issued license numbers which end in `A' through `L' must be issued biennially;

(vi) between July 1, 1992, and June 30, 1993, and which end in `M' through `Z' must be issued for one year and renewed biennially after that time.

(2) Registrations are valid until the last day of the month in which the registration expires. The license fees charged during the conversion process must be prorated for the length of the license issued.

(B) After June 30, 1993, licensees must be registered and licensed for twenty-four consecutive months, and the registrations expire on the last day of the twenty-fourth month. The registration and licensing of every licensee must be renewed biennially upon application by the holder and by payment of fees required by law to take effect on the first day of the


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month following the expiration of the registration and licensing to be renewed. This section does not prevent the Secretary of State's Department of Commerce's office from refusing to issue a license."

SECTION 466. Section 39-61-70 of the 1976 Code, as added by Act 155 of 1987, is amended to read:

"Section 39-61-70. (a) No club may offer, issue, or renew a motor club service contract in this State without first obtaining from the Administrator a certificate of authority so to act. A certificate of authority must be issued by the Administrator to the club upon submission of items (1) through (6) of this subsection (a) in a form satisfactory to the Administrator. The applicant shall submit:

(1) A formal application for the certificate in the form and detail the Administrator requires, executed under oath by its president and secretary or two other principal officers of the club or other persons the Administrator may require.

(2) A certified copy of its charter or articles of incorporation and its bylaws, if any.

(3) If a corporation, a certified copy of the certificate of authority or good standing certificate from the Secretary of State Department of Commerce.

(4) A copy of its most recent financial statement prepared in accordance with generally accepted accounting principles and certified by two principal officers of the applicant or, in the event the applicant is not a corporation, other persons as the Administrator may require.

(5) An explanation of its plan of doing business and copies of the following:

(i) Its application for membership.

(ii) The proposed membership certificate or identification card and any proposed addendum thereto.

(iii) Any individual insurance policy or group certificate to be offered.

(iv) Any service contract to be issued.

(6) Any other relevant information requested by the Administrator.

(b) No certificate of authority may be issued by the Administrator until the club has paid an initial certificate of authority fee of five hundred dollars."

SECTION 467. Section 39-73-10(1) of the 1976 Code, as added by Act 68 of 1993, is amended to read:

"(1) `Administrator' means the South Carolina Secretary of State Attorney General."


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SECTION 468. Section 39-73-330 of the 1976 Code, as added by Act 68 of 1993, is amended to read:

"Section 39-73-330. (A) This chapter must be administered by the South Carolina Secretary of State Attorney General.

(B) The administrator and his employees may not use information filed with or obtained by the administrator which is not public information for personal gain or benefit and may not conduct securities or commodity dealings based upon the information, even though public, if there has not been sufficient time for the securities or commodity markets to assimilate the information.

(C)(1) Except as provided in item (2), all information collected, assembled, or maintained by the administrator is public information and is available for examination by the public.

(2) The following information is confidential and an exception to item (1):

(a) information obtained in private investigations pursuant to Section 39-73-310;

(b) information made confidential by the Freedom of Information Act;

(c) information obtained from federal agencies which must not be disclosed under federal law.

(3) The administrator in his discretion may disclose information made confidential under subsection (C)(2)(a) to persons identified in Section 39-73-335(A).

(4) This chapter does not create or derogate a privilege which exists at common law, by statute, or otherwise when documentary or other evidence is sought under subpoena directed to the administrator or his employees."

SECTION 469. Section 40-1-110 of the 1976 Code is amended to read:

"Section 40-1-110. The members of the Board shall qualify by taking the oath of office before a notary public or other officer empowered to administer oaths and a record thereof shall be filed in the office of the Secretary of State Governor. At the first meeting of the Board after each annual appointment the Board shall elect a chairman, a vice-chairman and a secretary-treasurer. The secretary-treasurer shall give such bond as the Board shall from time to time direct."

SECTION 470. Section 40-11-30 of the 1976 Code is amended to read:

"Section 40-11-30. Each member of the Board shall, before entering upon the discharge of the duties of his office, take and file with the


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Secretary of State Governor an oath in writing to perform properly the duties of his office as a member of the Board and to uphold the Constitution of South Carolina and the Constitution of the United States."

SECTION 471. Section 40-11-120 of the 1976 Code is amended to read:

"Section 40-11-120. On or before the first day of April of each year the Board shall submit to the Governor a report of its transactions for the preceding year and shall file with the Secretary of State Governor a copy of such report, together with a complete statement of the receipts and expenditures of the Board, attested by the affidavits of the chairman and the secretary, and a copy of the roster of licensed general and mechanical contractors."

SECTION 472. Section 40-22-40(C) of the 1976 Code, as added by Act 99 of 1991, is amended to read:

"(C) Firms seeking to incorporate or register to do business in this State under provisions of this section shall apply and obtain approval from the board before filing their articles of incorporation or revisions to their article with the Secretary of State Governor. Issuance of a certificate of authorization by the board is contingent upon official notification of approval of the charter or sanction by the Secretary of State Governor."

SECTION 473. Section 40-22-50(B) of the 1976 Code, as added by Act 99 of 1991, is amended to read:

"(B) Upon approval by the board and payment of the fee provided by regulation, the board shall grant a temporary certificate of authorization for work on one specified project in this State for a period not to exceed one year. This temporary certificate may be granted only to an out-of-state corporation, professional corporation, partnership, or similar entity, and provided that at least one of the principal officers of the corporation or professional corporation, one of the partners of the partnership, or one of the principals in any other entity is registered under this chapter or has obtained a temporary registration as provided by this chapter. The approval of a temporary certificate of authorization constitutes appointment of the Secretary of State Governor as an agent of the applicant for service of process in an action or proceeding against the applicant arising out of any transaction or operation connected with or incidental to the practice of engineering."

SECTION 474. Section 40-22-90 of the 1976 Code, as added by Act 99 of 1991, is amended to read:

"Section 40-22-90. A member of the board shall receive a certificate of his appointment from the Governor and before beginning his term of office


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shall file with the Secretary of State Governor his written oath or affirmation for the faithful discharge of his official duty."

SECTION 475. Section 40-33-270 of the 1976 Code is amended to read:

"Section 40-33-270. The Board may have and use an official seal bearing the words: `State Board of Nursing for South Carolina'. It may make such rules and regulations as it may deem necessary for the purposes of carrying out the provisions of this chapter and shall fix such fees as it may deem necessary, and when such rules have been adopted, a copy of same shall be filed with the Secretary of State pursuant to the Administrative Procedures Act (Chapter 23, Title 1). Upon their adoption, they shall have the full force and effect of law."

SECTION 476. Section 40-59-20 of the 1976 Code, as last amended by Act 595 of 1990, is further amended to read:

"Section 40-59-20. There is hereby created the South Carolina Residential Builders Commission, hereinafter referred to as the commission. The commission must be composed of seven persons who shall have been residents of the State for at least five years and two of whom must be consumers not engaged in the business of residential building, four of whom have been actively engaged in residential building for a period of at least five years prior to the date of their appointment, and one of whom has been actively engaged in residential specialty contracting for a period of at least five years prior to the date of his appointment. One member must be appointed from each congressional district and one must be appointed from the State at large. Members of the commission must be appointed by the Governor with the advice and consent of the Senate for a term of four years or until their successors are appointed and qualify. Any vacancy occurring by reason of death, resignation, removal for cause, or otherwise must be filled for the remainder of the unexpired term in the same manner as provided for the original appointments. The Governor may remove any member of the commission for misconduct, incompetency, or neglect of duty.

Each member of the commission shall, before entering upon the discharge of the duties of his office, take and file with the Secretary of State Governor's Office, in writing, an oath to perform properly the duties of his office as a member of the commission and to uphold the Constitution of this State and the United States."

SECTION 477. Section 40-59-110 of the 1976 Code, as last amended by Act 72 of 1993, is further amended to read:

"Section 40-59-110. The commission shall annually submit to the Governor and the General Assembly a report of its transactions for the


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preceding year, including a complete statement of the receipts and expenditures of the commission, a roster of all the residential builders licensed for that year, all the residential specialty contractors registered for that year, and a list of the residential builders and residential specialty contractors whose license was revoked, suspended, or restricted by the commission during the preceding year. The commission shall also annually file with the Secretary of State Governor's Office a certified copy of the report at the same time the report is submitted to the Governor and the General Assembly."

SECTION 478. Section 40-73-20 of the 1976 Code, as last amended by Act 324 of 1994, is further amended to read:

"Section 40-73-20. All occupational and professional licensing boards of this State are required to file an annual report with the Budget and Control Board Governor's Office at the time the board he specifies. The board Governor's Office is charged with the responsibility of coordinating and compiling these reports to a consolidated report. The board Governor's Office is also charged with the responsibility of printing the consolidated report which must be made available on or before January first to each member of the General Assembly at his request and to the State Library. All licensing boards shall prepare the reports in conformity with the provisions of this act. Copies of each report must be maintained at all times and must be available for public inspection, within the offices of the Budget and Control Board Governor's Office."

SECTION 479. Section 40-77-50 of the 1976 Code is amended to read:

"Section 40-77-50. Every member of the board shall receive a certificate of his appointment from the Governor and before beginning his term of office shall file with the Secretary of State Governor's Office his written oath or affirmation for the faithful discharge of his official duty."

SECTION 480. Section 40-77-130 of the 1976 Code is amended to read:

"Section 40-77-130. A roster showing the names and places of business of all registered professional geologists must be published during the month of August of each year. Copies of this roster must be mailed to each person registered, placed on file with the Secretary of State Governor's Office, and furnished to the public upon request."

SECTION 481. Section 41-25-20(a) of the 1976 Code is amended to read:

"(a) `Secretary' means the Secretary of State Department of Commerce or his designated representative."


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SECTION 482. Section 41-25-35 of the 1976 Code, as added by Section 9, Part II, Act 501 of 1992, is amended to read:

"Section 41-25-35. (A) Licenses required by this chapter to be registered biennially must be assigned registration periods as provided in this section.

(1) Upon the first reregistration of the licenses by the South Carolina Secretary of State's Office Department of Commerce after the effective date of biennial licensure, a biennial registration period must be implemented as follows:

(a) Licenses whose license numbers end in:

(i) an even number and expire between July 1, 1992, and December 31, 1992, shall obtain a biennial registration;

(ii) an even number and expire between January 1, 1993, and June 30, 1993, shall reregister their licenses for one year. At the end of that time they shall reregister their license for two years and biennially;

(iii) an odd number and expire between July 1, 1992, and December 31, 1992, shall register their licenses for one year. At the end of that time they shall register their license for two years and biennially;

(iv) an odd number and expire between January 1, 1993, and June 30, 1993, shall obtain a biennial registration;

(v) `A' through `L' and expire between July 1, 1992, and June 30, 1993, shall obtain a biennial registration;

(vi) `M' through `Z' and expire between July 1, 1992, and June 30, 1993, shall obtain a one-year registration and obtain a biennial registration after that time;

(b) Licenses issued in South Carolina for the first time between:

(i) July 1, 1992, and December 31, 1992, which end in an even number must be issued biennially;

(ii) July 1, 1992, and December 31, 1992, which end in an odd number must be issued for one year. At the end of that time the license must be renewed for two years and biennially after that time;

(iii) January 1, 1993, and June 30, 1993, which end in an even number must be issued for one year. At the end of that time the license must be renewed for two years and biennially after that time;

(iv) January 1, 1993, and June 30, 1993, which end in an odd number must be issued biennially;

(v) July 1, 1992, and June 30, 1993, and issued license numbers which end in 'A' through 'L' must be issued biennially;

(vi) July 1, 1992, and June 30, 1993, and which end in `M' through `Z' must be issued for one year and renewed biennially after that time.


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