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1 H.143
2 Introduced by Representative Rachelson of Burlington
3 Referred to Committee on
4 Date:
5 Subject: Motor vehicles; involuntary towing and storage; consumer protection
6 Statement of purpose of bill as introduced: This bill proposes to establish
7 certain consumer protections related to the towing and storage of vehicles.
8 An act relating to consumer protections related to the towing and storage of
9 vehicles
10 It is hereby enacted by the General Assembly of the State of Vermont:
11 Sec. 1. 23 V.S.A. chapter 43 is added to read:
12 CHAPTER 43. TOWING OF MOTOR VEHICLES
13 § 4301. SHORT TITLE
14 This chapter may be cited as the Vermont Consumer Protection Towing
15 Act.
16 § 4302. PURPOSE
17 The purpose of the Vermont Consumer Protection Towing Act is to
18 establish minimum standards for towing and storage services and to promote
19 fair and honest practices in the towing industry.
20 § 4303. DEFINITIONS
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1 As used in this chapter:
2 (1) “Automobile club” means a legal entity that, in consideration of
3 dues, assessments, or periodic payments of money, promises its members or
4 subscribers to assist them in matters relating to motor travel or the operation,
5 use, or maintenance of a motor vehicle, including auto dealers and insurance
6 companies, by supplying services, which may include towing service,
7 emergency road service, and indemnification service.
8 (2) “Dealer” has the same meaning as in subdivision 4(8) of this title.
9 (3) “Drop fee” means a charge offered instead of a standard tow fee that
10 allows an owner or operator who arrives on scene prior to a vehicle being
11 towed to stop a tow that is in process.
12 (4) “Emergency towing” means the towing of a vehicle due to a motor
13 vehicle crash, mechanical breakdown on a public highway, or other
14 emergency-related incident necessitating vehicle removal for public safety
15 with or without the owner’s or operator’s consent.
16 (5) “Government agency towing” means the towing of government-
17 owned or government-controlled vehicles by the government agency that owns
18 or controls them.
19 (6) “Owner” means the person to whom a vehicle is registered or to
20 whom it is leased, if the terms of the lease require the lessee to maintain and VT LEG #365345 v.2
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1 repair the vehicle. For the purposes of this chapter, a rental vehicle company is
2 the owner of a vehicle rented pursuant to a rental agreement.
3 (7) “Private-property towing” means the towing of a vehicle, without the
4 owner’s or operator’s consent, from private property where it was illegally
5 parked, or for which some exigent circumstance necessitated its removal, to a
6 nearby location.
7 (8) “Rental vehicle company” means any person, including a franchisee,
8 in the business of renting vehicles to the public.
9 (9) “Seizure towing” means the taking of a vehicle for law enforcement
10 purposes, such as the maintenance of the chain of custody of evidence,
11 forfeiture of assets, or unpaid parking tickets.
12 (10) “Storage services” means storing a towed vehicle at a towing-
13 storage lot.”
14 (11) “Towing company” means any corporation, association, sole-
15 proprietorship, co-partnership, company, firm, or other aggregation of
16 individuals that exists to provide towing or storage services. A towing
17 company shall not include an automobile club, dealer, or insurance company.
18 (12) “Towing services” means towing or otherwise moving vehicles by
19 means of a tow truck.
20 (13) “Towing or storage services” means towing services or storage
21 services, or both.
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1 (14) “Towing-storage lot” means a property used to store vehicles that
2 have been towed.
3 (15) “Tow truck” means a motor vehicle equipped to tow or pick up
4 vehicles, including damaged or disabled vehicles.
5 § 4304. APPLICABILITY; RULEMAKING; COMPLAINTS
6 (a) Applicability.
7 (1) This chapter shall apply to any person engaging in, or offering to
8 engage in, the business of providing towing or storage services in Vermont.
9 This chapter shall not apply to vehicles towed into Vermont or towed through
10 Vermont, provided that the tow originates in another jurisdiction.
11 (2) Notwithstanding subdivision (1) of this subsection, this chapter shall
12 not apply to towing and storage services by an automobile club, dealer, or
13 insurance company or the towing of an abandoned motor vehicle as defined in
14 section 2151 of this title.
15 (b) Regulatory authority. This chapter confers exclusive regulatory
16 jurisdiction over towing companies and the provision of towing and storage
17 services to the Department of Motor Vehicles.
18 (c) Rulemaking. The Department shall adopt rules pursuant to 3 V.S.A.
19 chapter 25 for the administration of this chapter, including the assessment of
20 administrative penalties in addition to those penalties allowed under section
21 4316 of this chapter.
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1 (d) Complaints. The Department shall establish a complaint mechanism
2 for consumers and insurers.
3 § 4305. EMERGENCY TOWING
4 (a) Prohibitions. It is a misdemeanor for a towing company to stop or
5 cause an individual to stop at the scene of a crash or near a disabled vehicle for
6 the purpose of soliciting an engagement for emergency towing services, either
7 directly or indirectly, or, unless requested to perform the services by a law
8 enforcement officer or public agency pursuant to that agency’s procedures or
9 unless summoned to the scene or requested to stop by the owner or operator of
10 a disabled vehicle, to provide towing emergency towing services, to move a
11 vehicle from a highway when there is an injury as the result of a crash, or to
12 accrue charges for services provided under those circumstances.
13 (b) Selection of towing company.
14 (1) The owner or operator of the vehicle being towed shall summon to
15 the scene the towing company of the owner’s or operator’s choice in
16 consultation with law enforcement or authorized municipal personnel and
17 designate the location where the vehicle is to be towed.
18 (2) The provisions of subdivision (1) of this subsection shall not apply
19 when the owner or operator is incapacitated, otherwise unable to summon a
20 tow company, or defers to law enforcement or authorized municipal personnel.
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1 (3) The authority provided to the owner or operator in subdivision (1) of
2 this subsection may be superseded by the law enforcement officer or
3 authorized municipal personnel if the towing company of choice cannot
4 respond to the scene in a timely fashion and the vehicle is a hazard, impedes
5 the flow of traffic, or may not legally remain in its location in the opinion of
6 the law enforcement officer or authorized municipal personnel.
7 (c) Record of caller.
8 (1) If a towing company is summoned for an emergency tow by the
9 owner or operator of a disabled vehicle, the towing company shall record the
10 first name, last name, and telephone number of the individual who summoned
11 it to the scene and the make, model, year, color, vehicle identification number
12 (VIN), and license plate number of the towed vehicle.
13 (2) If a towing company is summoned for an emergency tow by a law
14 enforcement officer or designee of a public safety agency with jurisdiction, the
15 towing company shall record the identity of the law enforcement officer or
16 designee of a public safety agency with jurisdiction and the log number, call
17 number, incident number, or dispatch number assigned to the incident as
18 applicable.
19 (d) Visual documentation. Prior to towing a vehicle under this section, a
20 towing company shall take photographs, video, or other visual documentation
21 to evidence the location of the vehicle and any damages.
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1 (e) Record retention and production.
2 (1) The towing company shall maintain a record of the information
3 described in subsections (c) and (d) of this section and shall retain that
4 information for three years.
5 (2) The towing company shall make the records required to be
6 maintained under subdivision (1) of this subsection available within 48 hours
7 after receipt of a written request from law enforcement or the Department of
8 Motor Vehicles.
9 (f) Storage. The towing company shall properly secure all towed vehicles
10 and make all reasonable efforts to prevent further damage, weather damage, or
11 theft to all towed vehicles, including the vehicle’s cargo and contents.
12 § 4306. PRIVATE-PROPERTY TOWING REQUIREMENTS
13 (a) Establishment of a private tow-away zone. The owner of private
14 property may establish a private tow-away zone by posting a sign that is at
15 least 18 inches by 24 inches in size and includes a statement that the property
16 is a tow-away zone, a description of persons authorized to park on the
17 property, and the address and telephone number for where towed vehicles are
18 stored.
19 (b) Prohibition and record of caller. A towing company shall not tow a
20 vehicle under this section unless it receives a request for a tow. The towing
21 company shall record the date, time, and name of the requestor.
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1 (c) Visual documentation. Prior to towing a vehicle under this section, a
2 towing company shall take photographs, video, or other visual documentation
3 to evidence that the vehicle is clearly parked on private property in violation of
4 a private tow-away zone. The towing company shall record the time and date
5 of the photographs, video, or other visual documentation.
6 (d) Record retention and production.
7 (1) The towing company shall maintain a record of the information
8 described in subsections (b) and (c) of this section and shall retain that
9 information for three years.
10 (2) The towing company shall make the records required to be
11 maintained under subdivision (1) of this subsection available within 48 hours
12 after receipt of a written request from law enforcement or the Department of
13 Motor Vehicles.
14 (e) Location and storage.
15 (1) A towing company shall ensure that a vehicle towed under this
16 section is taken to a location that is within 25 miles of the location of the
17 private tow-away zone.
18 (2) The towing company shall properly secure all towed vehicles and
19 make all reasonable efforts to prevent further damage, weather damage, or
20 theft to all towed vehicles, including the vehicle’s cargo and contents.
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1 (f) Release of vehicle prior to towing. If the owner or operator of a vehicle
2 is parked in violation of a private tow-away zone and arrives while the vehicle
3 is being removed, the towing company shall give the vehicle owner or operator
4 oral or written notification that the vehicle owner or operator may pay a drop
5 fee for the release of the vehicle. Upon payment of that fee, the towing
6 company shall release the vehicle and give the vehicle owner or operator a
7 receipt showing both the full amount normally assessed and the actual amount
8 received.
9 (g) Notice. The towing company shall provide notice of the tow to law
10 enforcement within two hours of removing the vehicle from the private tow-
11 away zone.
12 § 4307. SEIZURE TOWING
13 (a) Location and storage.
14 (1) A towing company shall ensure that a vehicle towed under this
15 section is taken to a location that is within 25 miles of the location where the
16 vehicle is towed from.
17 (2) The towing company shall properly secure all towed vehicles and
18 make all reasonable efforts to prevent further damage, weather damage, or
19 theft to all towed vehicles, including the vehicle’s cargo and contents.
20 (b) Release of vehicle prior to towing. If the owner or operator of a vehicle
21 that is being towed because of unpaid parking tickets arrives while the vehicle VT LEG #365345 v.2
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1 is being towed, the towing company shall give the vehicle owner or operator
2 oral or written notification that the vehicle owner or operator may pay a drop
3 fee for the release of the vehicle. Upon payment of that fee, the towing
4 company shall release the vehicle and give the vehicle owner or operator a
5 receipt showing both the full amount normally assessed and the actual amount
6 received.
7 § 4308. ESTIMATE REQUIREMENTS
8 (a) Estimate required. If the owner or operator of a vehicle is present at the
9 time and location of a tow, the towing company shall furnish the owner or
10 operator of the vehicle with a written itemized estimate of all charges and
11 services to be performed.
12 (b) Estimate contents. The estimate required under subsection (a) of this
13 section shall include all of the following:
14 (1) the name, address, telephone number, and motor carrier permit
15 number of the towing company;
16 (2) the license plate number of the tow truck performing the tow; and
17 (3) an itemized description and cost for all services, including charges
18 for labor, special equipment, mileage from dispatch to return, and storage fees
19 expressed as a daily rate.
20 (c) Signature required.
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1 (1) The towing company shall obtain the vehicle owner’s or operator’s
2 written or electronic signature on the itemized estimate and shall furnish a
3 copy to the individual who signs the estimate.
4 (2) The requirements in subdivision (1) of this subsection may be
5 completed after the vehicle is attached and removed to the nearest safe
6 shoulder or highway if done at the request of law enforcement or a public
7 agency, provided the estimate is furnished prior to the removal of the vehicle
8 from the nearest safe shoulder or highway.
9 (d) Record retention and production.
10 (1) The towing company shall maintain the records required under
11 subsection (a) of this section and shall retain that information for three years.
12 (2) The towing company shall make the records required to be
13 maintained under subdivision (1) of this subsection available within 48 hours
14 after receipt of a written request from law enforcement or the Department of
15 Motor Vehicles.
16 § 4309. INVOICE REQUIREMENTS
17 (a) Invoice required. All services rendered by a towing company,
18 including any warranty or zero-cost services, shall be recorded on an invoice.
19 Each additional service must be set forth individually as a single line item with
20 an explanation and the exact charge for the service.
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1 (b) Invoice contents. Each itemized invoice for towing costs shall contain
2 the following:
3 (1) the location from which the vehicle was towed;
4 (2) the storage location of the vehicle;
5 (3) the name, address, and telephone number of the towing company;
6 (4) a description of the vehicle, including the make, model, year, color,
7 vehicle iden