California Legislature—2015–16 Regular Session

Assembly Bill No. 718

Introduced by Assembly Member Chu

February 25, 2015

An act to amend Section 14602.6 of the Vehicle Code, relating to vehicles.

LEGISLATIVE COUNSEL’S DIGEST

AB 718, as introduced, Chu. Vehicles: impounded vehicles.

Existing law authorizes a peace officer who determines that a person was driving a vehicle while his or her driving privilege was suspended or revoked, driving in violation of a driver’s license restriction, or driving a vehicle without ever having been issued a driver’s license, to cause the removal and seizure of the vehicle. Existing law requires a 30-day impoundment period for seized vehicles, subject to exceptions allowing earlier release.

This bill would make technical, nonsubstantive changes to these provisions.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 14602.6 of the Vehicle Code is amended
to read:

14602.6.  

(a) (1)  begin delete Whenever end delete begin insert If end insert a peace officer determines that
a person was driving a vehicle while his or her driving privilege
was suspended or revoked, driving a vehicle while his or her
driving privilege is restricted pursuant to Section 13352 or 23575
and the vehicle is not equipped with a functioning, certified
interlock device, or driving a vehicle without ever having been
issued a driver’s license, the peace officer may either immediately
arrest that person and cause the removal and seizure of that vehicle
or, if the vehicle is involved in a traffic collision, cause the removal
and seizure of the vehicle without the necessity of arresting the
person in accordance with Chapter 10 (commencing with Section
22650) of Division 11. A vehicle begin delete so end delete impounded begin insert pursuant to this
paragraph end insert shall be impounded for 30 days.

(2) The impounding agency, within two working days of
impoundment, shall send a notice by certified mail, return receipt
requested, to the legal owner of the vehicle, at the address obtained
from the department, informing the owner that the vehicle has
been impounded. Failure to notify the legal owner within two
working days shall prohibit the impounding agency from charging
for more than 15 days’ impoundment when the legal owner
redeems the impounded vehicle. The impounding agency shall
maintain a published telephone number that provides information
24 hours a day regarding the impoundment of vehicles and the
rights of a registered owner to request a hearing. The law
enforcement agency shall be open to issue a release to the registered
owner or legal owner, or the agent of either, whenever the agency
is open to serve the public for regular, nonemergency business.

(b) The registered and legal owner of a vehicle that is removed
and seized under subdivision (a) or their agents shall be provided
the opportunity for a storage hearing to determine the validity of,
or consider any mitigating circumstances attendant to, the storage,
in accordance with Section 22852.

(c) Any period in which a vehicle is subjected to storage under
this section shall be included as part of the period of impoundment
ordered by the court begin delete under end delete begin insert pursuant to end insert subdivision (a) of Section
14602.5.

(d) (1) An impounding agency shall release a vehicle to the
registered owner or his or her agent prior to the end of 30 days’
impoundment under any of the following circumstances:

(A)  begin delete When the end delete begin insert The end insert vehicle is a stolen vehicle.

(B)  begin delete When the end delete begin insert The end insert vehicle is subject to bailment and is driven
by an unlicensed employee of a business establishment, including
a parking service or repair garage.

(C)  begin delete When the end delete begin insert The end insert license of the driver was suspended or
revoked for an offense other than those included in Article 2
(commencing with Section 13200) of Chapter 2 of Division 6 or
Article 3 (commencing with Section 13350) of Chapter 2 of
Division 6.

(D)  begin delete When the end delete begin insert The end insert vehicle was seized begin delete under end delete begin insert pursuant to end insert this
section for an offense that does not authorize the seizure of the
vehicle.

(E)  begin delete When the end delete begin insert The end insert driver reinstates his or her driver’s license or
acquires a driver’s license and proper insurance.

(2)  begin delete No end delete begin insert A end insert vehicle shall begin insert not end insert be released pursuant to this
subdivision without presentation of the registered owner’s or
agent’s currently valid driver’s license to operate the vehicle and
proof of current vehicle registration, or upon order of a court.

(e) The registered owner or his or her agent is responsible for
all towing and storage charges related to the begin delete impoundment, end delete
begin insert impoundment end insert and any administrative charges authorized under
Section 22850.5.

(f) A vehicle removed and seized begin delete under end delete begin insert pursuant to end insert subdivision
(a) shall be released to the legal owner of the vehicle or the legal
owner’s agent prior to the end of 30 days’ impoundment if all of
the following conditions are met:

(1) The legal owner is a motor vehicle dealer, bank, credit union,
acceptance corporation, or other licensed financial institution
legally operating in this state or is another person, not the registered
owner, holding a security interest in the vehicle.

(2) (A) The legal owner or the legal owner’s agent pays all
towing and storage fees related to the seizure of the vehicle. No
lien sale processing fees shall be charged to the legal owner who
redeems the vehicle prior to the 15th day of impoundment. Neither
the impounding authority nor any person having possession of the
vehicle shall collect from the legal owner of the type specified in
paragraph (1), or the legal owner’s begin delete agent end delete begin insert agent, end insert any administrative
charges imposed pursuant to Section 22850.5 unless the legal
owner voluntarily requested a poststorage hearing.

(B) A person operating or in charge of a storage facility where
vehicles are stored pursuant to this section shall accept a valid
bank credit card or cash for payment of towing, storage, and related
fees by a legal or registered owner or the owner’s agent claiming
the vehicle. A credit card shall be in the name of the person
presenting the card. “Credit card” means “credit card” as defined
in subdivision (a) of Section 1747.02 of the Civil Code, except,
for the purposes of this section, credit card does not include a credit
card issued by a retail seller.

(C) A person operating or in charge of a storage facility
described in subparagraph (B) who violates subparagraph (B) shall
be civilly liable to the owner of the vehicle or to the person who
tendered the fees for four times the amount of the towing, storage,
and related fees, but not to exceed five hundred dollars ($500).

(D) A person operating or in charge of a storage facility
described in subparagraph (B) shall have sufficient funds on the
premises of the primary storage facility during normal business
hours to accommodate, and make change in, a reasonable monetary
transaction.

(E) Credit charges for towing and storage services shall comply
with Section 1748.1 of the Civil Code. Law enforcement agencies
may include the costs of providing for payment by credit when
making agreements with towing companies on rates.

(3)  begin insert (A) end insert begin insert   end insert The legal owner or the legal owner’s agent presents a
copy of the assignment, as defined in subdivision (b) of Section
7500.1 of the Business and Professions begin delete Code; end delete begin insert Code, end insert a release from
the one responsible governmental agency, only if required by the
begin delete agency; end delete begin insert agency, end insert a government-issued photographic identification
begin delete card; end delete begin insert card, end insert and any one of the following, as determined by the
legal owner or the legal owner’s agent: a certificate of repossession
for the vehicle, a security agreement for the vehicle, or title,
whether paper or electronic, showing proof of legal ownership for
the vehicle. Any documents presented may be originals,
photocopies, or facsimile copies, or may be transmitted
electronically. The law enforcement agency, impounding agency,
or any other governmental agency, or any person acting on behalf
of those agencies, shall not require any documents to be notarized.
The law enforcement agency, impounding agency, or any person
acting on behalf of those agencies may require the agent of the
legal owner to produce a photocopy or facsimile copy of its
repossession agency license or registration issued pursuant to
Chapter 11 (commencing with Section 7500) of Division 3 of the
Business and Professions Code, or to demonstrate, to the
satisfaction of the law enforcement agency, impounding agency,
or any person acting on behalf of those agencies, that the agent is
exempt from licensure pursuant to Section 7500.2 or 7500.3 of the
Business and Professions Code.

begin delete

No administrative

end delete

begin insert (B) end insert begin insert   end insert begin insert Administrative end insert costs authorized under subdivision (a) of
Section 22850.5 shall begin insert not end insert be charged to the legal owner of the type
specified in paragraph begin delete (1), end delete begin insert (1) end insert who redeems the vehicle unless the
legal owner voluntarily requests a poststorage hearing. begin delete No end delete begin insert A end insert city,
county, city and county, or state agency shall begin insert not end insert require a legal
owner or a legal owner’s agent to request a poststorage hearing as
a requirement for release of the vehicle to the legal owner or the
legal owner’s agent. The law enforcement agency, impounding
agency, or other governmental agency, or any person acting on
behalf of those agencies, shall not require any documents other
than those specified in this paragraph. The law enforcement agency,
impounding agency, or other governmental agency, or any person
acting on behalf of those agencies, shall not require any documents
to be notarized. The legal owner or the legal owner’s agent shall
be given a copy of any documents he or she is required to sign,
except for a vehicle evidentiary hold logbook. The law enforcement
agency, impounding agency, or any person acting on behalf of
those agencies, or any person in possession of the vehicle, may
photocopy and retain the copies of any documents presented by
the legal owner or legal owner’s agent.

(4) A failure by a storage facility to comply with any applicable
conditions set forth in this subdivision shall not affect the right of
the legal owner or the legal owner’s agent to retrieve the vehicle,
provided all conditions required of the legal owner or legal owner’s
agent under this subdivision are satisfied.

(g) (1) A legal owner or the legal owner’s agent that obtains
release of the vehicle pursuant to subdivision (f) shall not release
the vehicle to the registered owner of the vehicle, or the person
who was listed as the registered owner when the vehicle was
impounded, or any agents of the registered owner, unless the
registered owner is a rental car agency, until after the termination
of the 30-day impoundment period.

(2) The legal owner or the legal owner’s agent shall not
relinquish the vehicle to the registered owner or the person who
was listed as the registered owner when the vehicle was impounded
until the registered owner or that owner’s agent presents his or her
valid driver’s license or valid temporary driver’s license to the
legal owner or the legal owner’s agent. The legal owner or the
legal owner’s agent or the person in possession of the vehicle shall
make every reasonable effort to ensure that the license presented
is valid and possession of the vehicle will not be given to the driver
who was involved in the original impoundment proceeding until
the expiration of the impoundment period.

(3) Prior to relinquishing the vehicle, the legal owner may
require the registered owner to pay all towing and storage charges
related to the impoundment and any administrative charges
authorized under Section 22850.5 that were incurred by the legal
owner in connection with obtaining custody of the vehicle.

(4) Any legal owner who knowingly releases or causes the
release of a vehicle to a registered owner or the person in
possession of the vehicle at the time of the impoundment or any
agent of the registered owner in violation of this subdivision shall
be guilty of a misdemeanor and subject to a fine in the amount of
two thousand dollars ($2,000) in addition to any other penalties
established by law.

(5) The legal owner, registered owner, or person in possession
of the vehicle shall not change or attempt to change the name of
the legal owner or the registered owner on the records of the
department until the vehicle is released from the impoundment.

(h) (1) A vehicle removed and seized under subdivision (a)
shall be released to a rental car agency prior to the end of 30 days’
impoundment if the agency is either the legal owner or registered
owner of the vehicle and the agency pays all towing and storage
fees related to the seizure of the vehicle.

(2) The owner of a rental vehicle that was seized under this
section may continue to rent the vehicle upon recovery of the
vehicle. However, the rental car agency may not rent another
vehicle to the driver of the vehicle that was seized until 30 days
after the date that the vehicle was seized.

(3) The rental car agency may require the person to whom the
vehicle was rented to pay all towing and storage charges related
to the impoundment and any administrative charges authorized
under Section 22850.5 that were incurred by the rental car agency
in connection with obtaining custody of the vehicle.

(i) Notwithstanding any other provision of this section, the
registered owner and not the legal owner shall remain responsible
for any towing and storage charges related to the impoundment,
any administrative charges authorized under Section 22850.5, and
any parking fines, penalties, and administrative fees incurred by
the registered owner.

(j) The law enforcement agency and the impounding agency,
including any storage facility acting on behalf of the law
enforcement agency or impounding agency, shall comply with this
section and shall not be liable to the registered owner for the
improper release of the vehicle to the legal owner or the legal
owner’s agent provided the release complies with the provisions
of this section. The legal owner shall indemnify and hold harmless
a storage facility from any claims arising out of the release of the
vehicle to the legal owner or the legal owner’s agent and from any
damage to the vehicle after its release, including the reasonable
costs associated with defending any such claims. A law
enforcement agency shall not refuse to issue a release to a legal
owner or the agent of a legal owner on the grounds that it
previously issued a release.