Sellers of used CDs

by Walter Olson on May 9, 2007

New burdens are being heaped on them by state legislators who appear intent on protecting the interests of the original music providers:

In Florida, the new legislation requires all stores buying second-hand merchandise for resale to apply for a permit and file security in the form of a $10,000 bond with the Department of Agriculture and Consumer Services. In addition, stores would be required to thumb-print customers selling used CDs, and acquire a copy of state-issued identity documents such as a driver’s license. Furthermore, stores could issue only store credit — not cash — in exchange for traded CDs, and would be required to hold discs for 30 days before reselling them.

(Ed Christman, “New laws create second-hand woes for CD retailers”, Reuters/Billboard, May 4; Ars Technica, May 7). According to HardOCP, used game CDs are affected by the rules as well. (May 8).

{ 7 comments }

1 MHoc 05.09.07 at 12:03 am

And this will create a black market for selling CD’s meaning that tax revenue will go down, and at the same time they will have to come with resources for enforcement.

2 Matthew Brown 05.09.07 at 2:18 am

And of course little proof has been provided that used CD sales are any kind of problem – except that the new-music sellers don’t like the competition.

3 Dick 05.09.07 at 9:39 am

Funny that other stolen items do not require such efforts to identify who is selling them.

4 cowpill 05.09.07 at 11:31 am

I am truly shocked that the RIAA hasn’t tried to use this as a money making ploy. Oops, I shouldn’t have said anything.

5 nevins 05.09.07 at 3:43 pm

And all this nonsense regulating the sale of CDs brings us safety and wellbeing how?
Perhaps the 30 day holding period is to allow Tipper Gore to censor naughty lyricss.

6 John Galt 05.09.07 at 7:31 pm

Seems to me like a backhanded circumvention of the First Sale doctrine by the RIAA. I can’t believe the Fla. legislators came up with this out of the blue, and it might be interesting to look at who’s contributing to the bill’s sponsors’ slush funds.

7 David Schwartz 05.10.07 at 12:56 am

My wife and I own a video gaming store that buys and sells used video games.

California has an odd law that allows us to buy used video games without regulation but prohibits us from being any used hardware that bears a serial number.

That means we can buy a used $40 video game but not a used $15 controller.

It’s odd, the rest of the laws are pretty sensible. They define categories of high-theft items (furs, jewelry, and so on) and require special tracking for those, but they oddly include *anything* with a serial number.

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