Existing law requires an authorized member of a public agency who directs the storage of a vehicle, as specified, to give notice to the legal owners within 48 hours and the opportunity for a poststorage hearing to determine the validity of the storage. Existing law requires an officer or employee, upon the removal of a vehicle from public or private property, to store the vehicle at the nearest garage or place of safety designated by the governmental agency. A violation of the Vehicle Code or a local ordinance adopted pursuant to that code is an infraction.

This bill would authorize the registered or legal owner, lienholder, or insurer of a vehicle that is in the possession of a towing company or storage facility to initiate judicial proceedings in the small claims court of the county that the vehicle is stored to determine whether the vehicle was wrongfully taken or withheld, as defined, or whether the storage charges include excessive or unreasonable fees, as defined. The bill would authorize the registered owner, legal owner, lienholder, or insurer to post a bond or adequate security with the clerk of the court in the county where the vehicle is stored. The bill would set a maximum bond of $6,250 if the owner of the vehicle is a company, and a maximum of $500 if the owner of the vehicle is an individual. The bill would authorize the court to issue a certificate directing the release of the vehicle from the towing company, impound yard, or storage facility, upon receipt of the bond. The bill would prohibit an auto body shop, an impound yard, or a towing company from knowingly participating in, or profiting from, unauthorized towing practices where a vehicle is wrongfully taken or withheld. The bill would impose a civil fine not to exceed 4 times the amount charged to the vehicle owner for a violation of these provisions. The bill would exempt towing companies, storage companies, or impound yards, approved by the Department of the California Highway Patrol, from these provisions.