Locksmith Licensing Act Modernization.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 1
HOUSE BILL 829

Short Title: Locksmith Licensing Act Modernization. (Public)
Sponsors: Representatives Schietzelt, Winslow, and Chesser (Primary Sponsors).
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to: Regulatory Reform, if favorable, Finance, if favorable, Rules, Calendar, and
Operations of the House
April 9, 2025
*H829-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO REQUIRE LI CENSURE FOR LOCKSMIT H BUSINESSES, TO MOD IFY 2
REQUIREMENTS FOR LOC KSMITH APPRENTICES, TO CLARIFY LOCKSMITH 3
LICENSING REQUIREMEN TS AND EXEMPTIONS, A ND TO STRENGTHEN 4
ENFORCEMENT OF THE LOCKSMITH LICENSING ACT. 5
The General Assembly of North Carolina enacts: 6
SECTION 1.(a) G.S. 74F-3 reads as rewritten: 7
"§ 74F-3. Licenses required; violation. 8
(a) No person shall perform or offer to perform locksmith services in this State unless the 9
person has been licensed under the provisions of this Chapter. Every person providing locksmith 10
services as defined under G.S. 74F-4(5) to buildings containing medical records, pharmaceutical 11
records, educational records, criminal records, voting records, tax records, legal records, or 12
personnel records, G.S. 74F-4(5), including any person providing locksmith services who is 13
employed by or working for a school, college, university, hospital, company, institution, or 14
government facility shall be licensed in accordance with the provisions of this Chapter. 15
(a1) The provisions of this Chapter shall apply to corporations, compa nies, firms, 16
associations, or sole proprietorships that provide locksmith services to the public. A licensed 17
locksmith who owns and operates a corporation, company, firm, association, or sole 18
proprietorship that provides locksmith services shall obtain a locksmith business license from the 19
Board. The locksmith business license shall be renewed annually. 20
(b) Unless the conduct is covered under some other provision of law providing greater 21
punishment, a violation of this section is a Class 1 misdemeanor for the first offense. A second 22
or subsequent offense is a Class I felony." 23
SECTION 1.(b) G.S. 74F-4 reads as rewritten: 24
"§ 74F-4. Definitions. 25
The following definitions apply in this Chapter: 26
(1) Apprentice. – A person who has been issued an apprenticeship designation by 27
the Board. 28
(1a) Board. – The North Carolina Locksmith Licensing Board. 29
(2) Code book. – A compilation, in any form, of key codes and combinations. 30
(3) License. – A certificate issued by the Board recognizing the person named 31
therein as having met the requirements to perform locksmith service s as 32
defined in this Chapter. 33
General Assembly Of North Carolina Session 2025
Page 2 House Bill 829-First Edition
(4) Locksmith. – A person who has been issued a license by the Board. In order 1
to engage in the practice of locksmith services, a locksmith must own, be 2
employed by, or otherwise be an agent of a locksmith business. 3
(4a) Locksmith business. – A corporation, company, firm, association, or sole 4
proprietorship that provides locksmith services to the public. 5
(5) Locksmith services. – Services that include repairing, rebuilding, rekeying, 6
repinning, servicing, adjusting, or ins talling locks, mechanical or electronic 7
locking devices, access control devices, egress control devices, safes, vaults, 8
and safe -deposit boxes for compensation or other consideration, including 9
services performed by safe technicians. The definition also in cludes any 10
method of bypassing a locking mechanism of any kind, whether in a 11
commercial, residential, or automotive setting, for compensation. 12
(6) Locksmith tools. – Any tools that are designed or used to open a mechanical 13
or electrical locking device in a way other than that which was intended by 14
the manufacturer." 15
SECTION 1.(c) G.S. 74F-7 reads as rewritten: 16
"§ 74F-7. Qualifications for license. 17
(a) An applicant shall be licensed as a locksmith if the applicant meets all of the following 18
qualifications: 19
(1) Is of good moral and ethical character, as evidenced in part by a criminal 20
history record check conducted in accordance with G.S. 74F-18. 21
(2) Is at least 18 years of age. 22
(3) Successfully completes an examination administered by the Board that 23
measures the knowledge and skill of the applicant in locksmith services and 24
the laws applicable to licensed locksmiths. 25
(4) Pays the required fee under G.S. 74F-9. 26
Applications for locksmith license shall be made on forms provided by the Board and shall 27
be accompanied by the application fee under G.S. 74F-9. 28
(b) An applicant for locksmith business license shall submit all of the requirements to the 29
Board: 30
(1) If the applicant is a corporation or company, articles of incorporation or 31
organization with the North Carolina Secretary of State. 32
(2) An Employer Identification Number (EIN) from the Internal Revenue Service. 33
(3) Mailing address in the State of North Carolina. 34
(4) Required locksmith business license fee as established in G.S. 74F-9. 35
(5) The names and contact information for all individuals performing locksmith 36
services on behalf of the locksmith business or working under the direct 37
control or supervision of a locksmith working for the locksmith business. 38
Applications for locksmith business license shall be made on forms provided by the Board 39
and filed with the Board by the owner, a partner, a member of the limited liability company, or 40
an officer of the corporation and shall be accompanied by the application fee under G.S. 74F-9. 41
(c) If a locksmith business is solely owned by a natural person, that person must be 42
licensed by the Board as a locksmith. If it is owned by a partnership, at least one partner must be 43
licensed by the Board as a locksmith. If it is owned by a corporation, the president, vice-president, 44
or the chairman of the board of directors must be licensed by the Board as a locksmith. If it is 45
owned by a limited liability company, at least one member must be licensed by the Board as a 46
locksmith. The licensee required by this subsection must be actively engaged in the operation of 47
the locksmith business." 48
SECTION 1.(d) G.S. 74F-7.1 reads as rewritten: 49
"§ 74F-7.1. Apprentices. 50
General Assembly Of North Carolina Session 2025
House Bill 829-First Edition Page 3
(a) An applicant may receive an apprentice designation if the applicant meets all of the 1
following requirements: 2
(1) Is of good moral and ethical character, as evidenced in part by a criminal 3
history record check conducted in accordance with G.S. 74F-18. 4
(2) Is at least 18 years of age. 5
(3) Pays the required fee under G.S. 74F-9. 6
(4) Completes 16 hours of Board-approved technical locksmith training. 7
Applications for an apprentice license shall be made on forms provided by the Board. 8
(b) After an applicant has satisfied the requirements in subsection (a) of this section, the 9
apprentice may practice as an apprentice locksmith under the supervision of a licensed locksmith. 10
The Board shall issue each apprentice a colored badge card that identifies the individual as an 11
apprentice and includes the apprentice designation. designation, which apprentices must display 12
prominently when engaging in locksmith services. The Board shall establish requirements for 13
apprentice supervision. 14
(c) An apprentice may have the apprentice designation for no longer than license shall be 15
valid for three years. On or before the three -year period expires, the apprentice shall may take 16
the locksmith licensure examination administered by the Board. If the apprentice fails to take the 17
examination within the three -year period or fails the examination and does not retake the 18
examination on or before the three-year period expires, the apprentice shall not receive licensure 19
and shall not be granted another apprenticeship.shall be eligible to renew their apprentice license 20
for one additional three-year term by completing a renewal application and submitting it to the 21
Board. 22
(d) If an apprentice terminates employment with a licensed locksmith under which the 23
apprentice originally received his or her apprenticeship, the apprentice shall find employment 24
with another licensed locksmith to maintain the apprentice designation and shall pay a transfer 25
fee pursuant to G.S. 74F-9. Apprentices must notify the Board in w riting within 15 days 26
following their termination of employment with their supervising licensed locksmith. 27
Each licensed locksmith shall have no more than two three apprentices at one time. However, 28
a licensed locksmith shall have a 90 -day grace period within which to accommodate more than 29
two three apprentices if the apprentice is newly hired as a result of a previous termination of 30
employment or the inability of a licensed locksmith to supervise the apprentice. The licensed 31
locksmith shall contact the Board once within 15 days after the locksmith te rminates the 32
additional supervision of an apprentice, and the licensed locksmith shall be legally responsible 33
for the apprentice's work until the Board is notified otherwise." 34
SECTION 1.(e) G.S. 74F-9 reads as rewritten: 35
"§ 74F-9. Fees. 36
The Board shall establish fees not exceeding the following amounts: 37
(1) Issuance of a license $300.00 38
(2) Renewal of a license $300.00 39
(3) Examination $200.00 40
(4) Reinstatement $250.00 41
(5) Late fees $300.00 42
(6) Apprentice license fee $300.00 43
(7) Apprentice transfer fee $25.00.$25.00 44
(8) Business license fee $100.00." 45
SECTION 1.(f) G.S. 74F-15 reads as rewritten: 46
"§ 74F-15. Disciplinary procedures. 47
(a) The Board may deny or refuse to issue or renew, suspend, or revoke a license or 48
apprenticeship designation if the licensee, apprentice, or applicant: 49
(1) Gives false information to or withholds information from the Board in 50
procuring or attempting to procure a license. 51
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(2) Has been convicted of or pled guilty or no contest to any of the crimes listed 1
in G.S. 74F-18(a)(2). 2
(3) Has demonstrated gross negligence, incompetency, or misconduct in 3
performing locksmith services. 4
(4) Has willfully violated any of the provisions of this Chapter.Chapter or any 5
rules promulgated by the Board. 6
(b) The Board may assess the costs of disciplinary action, including attorneys' fees, 7
against an applicant or licensee found to be in violation of this Chapter or rules adopted by the 8
Board. 9
(c) The Board may place on probation, refuse to issue or renew, suspend, or revoke a 10
locksmith business license when an owner, partner, manager, member, operator, officer, licensee, 11
apprentice, or other individual under the direct control and supervision of a licensed locksmith 12
working for the locksmith business violates any provision of this Article or any rule of the 13
Board." 14
SECTION 1.(g) G.S. 74F-16 reads as rewritten: 15
"§ 74F-16. Exemptions. 16
The provisions of this Chapter do not apply to: 17
(1) An employee of a licensed locksmith when acting under the direct control and 18
supervision of the licensed locksmith. For purposes of this subdivision, "direct 19
control and supervision" means that a licensed locksmith is required to 20
physically accompany the employee to the premises where locksmith services 21
are to be performed.performed and remain present at all times that the 22
employee is engaged in the practice of locksmith services. 23
(1a) An employee of a locksmith company performing administrative duties only. 24
For purposes of this section, "administrative duties" means managing the daily 25
operations of an office in a locksmith company, including performing clerical 26
tasks, answering telephones, and greeting customers. 27
(2) A person working as an apprentice pursuant to G.S. 74F-7.1. 28
(3) A person or business required to be licensed or registered by the North 29
Carolina Alarm Systems Licensing Board pursuant to Chapter 74D of the 30
General Statutes, when acting within the scope and course of the alarm 31
systems license or registration. 32
(4) A person or business providing any of the following services so long as the 33
person or business does not represent himself, herself, or itself as a locksmith: 34
a. A towing service, or its employee, when providing services in the 35
normal course of its business. 36
b. An automotive repair business, or its employee, when opening a 37
vehicle to perform service on the vehicle. 38
c. A repossessing company, or its employee, while repossessing a 39
vehicle. 40
d. A motor vehicle dealer as defined in G.S. 20-286(11), or a motor club 41
as defined in G.S. 58-69-1 when opening automotive locks in the 42
normal course of the dealer or club's business duties. 43
e. An emergency roadside assistance company, when providing services 44
in the normal course of its business, not to include the production of 45
new or duplicate keys for customers. 46
(5) A property owner, or the owner's employee , when providing locksmith 47
services on the property owner's property, so long as the owner or employee 48
does not represent himself or herself as a locksmith. For purposes of this 49
section, "property" means, but is not limited to, a hotel, motel, apartment, 50
condominium, commercial rental property, and residential rental property. 51
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House Bill 829-First Edition Page 5
(6) A merchant, or retail or hardware store, retail store, hardware store, or auto 1
parts store, so long as all of the following apply: 2
a. It is lawfully duplicating keys or installing , servicing, repairing, 3
rebuilding, reprograming, rekeying, or maintaining locks in the normal 4
course of its business. 5
b. It maintains a physical location in this State. 6
c. It maintains a sales and use tax permit in accordance with 7
G.S. 105-164.16. 8
d. It does not represent itself as a locksmith. 9
(7) A member of a law enforcement agency, fire department, or other government 10
agency who, when acting within the scope and course of the member's 11
employment with the agency or department, opens locked doors to vehi cles, 12
homes, or businesses. 13
(8) A salesperson while demonstrating the use of locksmith tools to persons 14
licensed under this Chapter. 15
(9) A general contractor licensed under Article 1 of Chapter 87 of the General 16
Statutes when acting within the scope and co urse of the general contractor 17
license, or an agent or subcontractor of a licensed general contractor when 18
acting within the ordinary course of business. 19
(10) A person or business when lawfully installing or maintaining a safety lock 20
device on a wastewater system when the safety lock device is required by 21
permit or requested by the owner of the wastewater system, provided the 22
person or business does not represent itself as a locksmith. For purposes of 23
this subdivision, "wastewater system" has the same meani ng as in 24
G.S. 130A-334. 25
(11) Any person or firm that sells gun safes or locking devices for firearms during 26
the course of the sale of gun safes or locking devices for firearms, so long as 27
the person or firm, or the firm's employee, does not represent himself, herself, 28
or itself as a locksmith. 29
(12) A person while performing a locksmith service in an emergency situation 30
without receiving any compensation for this service and who does not 31
advertise those services." 32
SECTION 1.(h) G.S. 74F-17 reads as rewritten: 33
"§ 74F-17. Injunctions. 34
The Board may apply to the superior court for an order enjoining violations of this Chapter. 35
Upon a showing by the Board that any person has violated this Chapter, the court may grant 36
injunctive relief.relief and may award attorneys' fees and costs to the Board." 37
SECTION 2. The North Carolina Locksmith Licensing Board may adopt rules to 38
implement the provisions of Section 1 of this act. 39
SECTION 3. Section 1 of this act becomes effective October 1, 2025. The remainder 40
of this act is effective when it becomes law. 41