It shall be unlawful for any person to advertise or hold out by any means that the sale of any goods, wares or merchandise to the public is a 'closing out sale,' 'a sale of goods damaged by fire, smoke or water,' or a 'defunct business sale,' unless a license is first obtained to conduct such a sale from the licensing authority of the appropriate city, town or village in which such sale is to be held.
New York Legal Code