Under present law, municipalities are authorized to regulate commercial use of wheel immobilizers to disable vehicles. This bill deletes this provision of law.
This bill prohibits a person from knowingly installing a vehicle immobilization device on a motor vehicle parked on private property in this state. A violation of this is a Class B misdemeanor.
If the attorney general finds that a person is engaged in, or about to engage in, an act or practice in violation of this bill, then the attorney general may bring an action in the appropriate court of jurisdiction to enjoin the act or practice and to obtain other appropriate relief. The court may grant a temporary restraining order, a preliminary or permanent injunction, or other appropriate relief. If a court determines that a violation of this bill has occurred, then the court may impose by order and collect a civil penalty of not more than $1,000 per violation. Any penalty collected pursuant to this bill must be deposited in the general fund.
This bill applies to prohibited conduct occurring on or after July 1, 2023.
ON MARCH 6, 2023, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 649, AS AMENDED.
AMENDMENT #1 rewrites this bill to enact the "Booting Consumer Protection Act," as described below.
METHODS OF PAYMENT
This amendment provides that a person engaged in the business of installing a mechanical device that is designed or adapted to be attached to a wheel, tire, or other part of a parked motor vehicle to prohibit the vehicle's usual manner of movement or operation ("device") on motor vehicles in this state must accept credit cards and debit cards as methods of payment for the removal of a device. However, this provision does not prohibit a person engaged in this business from accepting cash or other methods of payment if the individual making such payment, in that individual’s sole discretion, elects to use such alternative payment method.
If the individual who is requesting removal of the device elects to make the payment by credit card or debit card, and the payment cannot be completed by that method without undue delay at the site where the vehicle is located and an optional online payment method is either unavailable or has been refused by the individual, then the person engaged in the business of installing devices must remove the device and issue a billing invoice for payment due to the individual who is requesting the removal, if the individual provides a valid form of identification or by mail to the registered owner of the vehicle.
This amendment prohibits a person who engages in the business of installing devices from charging a fee to accept payment by credit card or debit card, but authorizes the person to offer an alternative online payment service as an optional payment method. If the individual who is making payment for the removal of the device elects, in that individual's sole discretion, to use the optional online payment method, then the provider of the online payment service may charge a 3 percent convenience fee. This provision supersedes all local ordinances, rules, or other enactments to the contrary.
CAP ON PRICING FOR REMOVAL OF DEVICE
This amendment prohibits a person engaged in this business from charging more than $75 to remove a device. However, the cost of removal may increase by increments of $75 for each 24-hour period that the vehicle remains immobilized.
EMPLOYEES
This amendment prohibits a person engaged in this business from contracting for or engaging the services of an independent contractor to install or remove devices or compensating employees on a commission basis. This amendment requires a person engaged in this business to only utilize for the work of installing and removing such devices those individuals for whose compensation for the work performed the person is required to file a W-2 wage and tax statement with the federal internal revenue service.
PARKING FINES AND FEES
If a device is placed on a vehicle that is parked on private property for failure to pay the required parking charge, then the owner or operator of the private property may require the owner of the vehicle to pay the applicable device removal fee, plus all unpaid parking fines and fees in order to have the device removed. This provision supersedes all local ordinances, rules, or other enactments to the contrary.
SIGNAGE
This amendment prohibits a person engaged in this business from installing a device on a motor vehicle if the motor vehicle is located on a property that does not have a sign posted on the property in a manner that complies with the requirements described below.
An owner, lessee, or other person, who has control of a property for which an enforceable agreement exists with a person engaged in the business of installing devices to provide parking enforcement services by installing devices on motor vehicles on that property, must post signage in a conspicuous location on the property bearing notice of the following:
(1) That the property's parking policy is strictly enforced;
(2) That a violator's vehicle will be immobilized with a device at the vehicle owner's expense;
(3) That there is a maximum $75 per day device fee;
(4) The name and phone number of the authorized device operator; and
(5) That consumers are protected from violations of this bill and that violations may be reported to the attorney general.
This amendment also specifies that the sign must be no less than 24" in height and 18" in width and contain lettering that is no less than two inches in height. It must be located at each designated entrance to the property where parking prohibitions are to be effective or if there is no designated entrance, be erected so as to be clearly visible from each parking space.
If, on July 1, 2023, a property has existing posted signage that contains the notice required by the specifications above, then the signage is considered to comply and is exempt from these specifications if the notice required is permanently affixed adjacent to the existing signage. However, new or replacement signage installed on or after July 1, 2023, must comply with all the specifications under this amendment.
VIOLATIONS
A violation under this act constitutes a violation of the Tennessee Consumer Protection Act of 1977, and is subject to the penalties and remedies provided in such Act, in addition to the penalties and remedies set forth in this bill.
CAUSES OF ACTION
If the attorney general has reason to believe that a person has violated this bill, then the attorney general is authorized to institute a proceeding under this bill. If an authorized device operator is found to have violated this bill, with the judgment being final and the operator having no opportunity for an appeal remaining, then the attorney general must send notice of such violation to each municipality, public corporation, body politic, authority, district, metropolitan government, county, or an agency, department, or board of such entities ("political subdivision") that has authorized the operator to operate within its jurisdictional area.
Upon the receipt of notice from the attorney general of a violation that constitutes a third violation under this bill by an operator, a political subdivision must permanently revoke the operator's authorization to engage in the business of installing devices within the jurisdictional area of the political subdivision.
APPLICABILITY
This bill applies to prohibited conduct occurring on or after July 1, 2023.
ON APRIL 3, 2023, THE HOUSE SUBSTITUTED SENATE BILL 649 FOR HOUSE BILL 650, ADOPTED AMENDMENT #1, AND PASSED SENATE BILL 649, AS AMENDED.
AMENDMENT #1 incorporates the provisions of Senate Amendment #1 with various clarifying grammatical changes, and removes the $75.00 limit on boot removal fees.

Statutes affected:
Introduced: 6-54-132