Legal Question in Business Law in Pennsylvania
licensing a junkyard
my father-in-laws junkyard has been in business since 1954. The township regulated these types of business in 1968.Section 11 off the code statesthat:junk dealers and junk yards operating and existing on the effective date of this ordinance shall not be reuired to obtain a license nor comply with the rules and regulations pertaining to junk dealers and junk yards prior to Jan 1,1968. This is a grandfather clause is it not? My question is, if we sell the junkyard, can the township deny the new owner a license to do business?
1 Answer from Attorneys
Re: licensing a junkyard
Yes, this is typically what is refered to as a grandfather clause. However, as is mostly the case, when there is a change in ownership, the new owner must comply with the ordinances & regulations that are in existance at the time of the sale. This often the problem several business and building owners have when they change ownership.