Precious Metal Dealer Licensing Law Unconstitutional

Dec 7, 2012

A federal judge has ruled an Ohio law aimed at curbing gold- and silver-related theft by barring precious metals dealers from advertising without a license is unconstitutional.

The judge ordered the Ohio Department of Commerce to stop enforcing the Precious Metals Dealers Act. The law set a framework for regulating gold, silver and precious metals dealers, including coin dealers. The Tea Party-backed 1851 Center for Constitutional Law brought the suit on behalf of a Delaware County company threatened with closure for refusing to pay fines and obtain a license to advertise. Commerce Director David Goodman urged consumers to be vigilant as the state considers its next step.