AB 2078, as introduced, Brown. Vehicles: impoundment and sale.
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 these seized vehicles, subject to exceptions allowing earlier release.
This bill would, until January 1, 2018, prohibit the impoundment of a vehicle on the basis that the driver has not been issued a driver’s license if the driver establishes that he or she has applied for, but not yet received, a driver’s license pursuant to a specified law.
Existing law requires the impounding agency, within 2 working days of impoundment, to send a notice of impoundment to the legal owner of the vehicle. Under existing law, failure to notify the legal owner within 2 working days prohibits the impounding agency from charging for more than 15 days’ impoundment when the legal owner redeems the impounded vehicle.
This bill would expand these provisions to require that a registered owner of the vehicle receive a notice of impoundment.
Existing law authorizes the imposition of a lien on a vehicle to compensate a person who is legally entitled for compensation for towing or storage of the vehicle, and provides procedures for the sale of a vehicle at a lien sale.
This bill would declare the intent of the Legislature to prohibit a lien sale of a vehicle subject to a 30-day impoundment under the above-described provisions prior to the conclusion of the 30-day period.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 14602.6 of the Vehicle Code is amended
2 to read:
(a) (1) Whenever a peace officer determines that a
4person was driving a vehicle while his or her driving privilege was
5suspended or revoked, driving a vehicle while his or her driving
6privilege is restricted pursuant to Section 13352 or 23575 and the
7vehicle is not equipped with a functioning, certified interlock
8device, orbegin insert, except as provided in subdivision (k),end insert driving a vehicle
9without ever having been issued a driver’s license, the peace officer
10may either immediately arrest that person and cause the removal
11and seizure of that vehicle or, if the vehicle is involved in a traffic
12collision, cause the removal and seizure of the vehicle without the
13necessity of arresting the person in accordance
with Chapter 10
14(commencing with Section 22650) of Division 11. A vehicle so
15impounded shall be impounded for 30 days.
16(2) The impounding agency, within two working days of
17impoundment, shall send a notice by certified mail, return receipt
18requested, to the legal ownerbegin insert and registered ownerend insert of the vehicle,
19at the address obtained from the department, informing the owner
20begin insert or ownersend insert that the vehicle has been impounded. Failure to notify
21the legal ownerbegin insert and registered ownerend insert within two working days
22shall prohibit the impounding agency from charging for more than
2315 days’ impoundment when the legal ownerbegin insert
or registered ownerend insert
24
redeems the impounded vehicle. The impounding agency shall
25maintain a published telephone number that provides information
2624 hours a day regarding the impoundment of vehicles and the
27rights of a registered owner to request a hearing. The law
28enforcement agency shall be open to issue a release to the registered
P3 1owner or legal owner, or the agent of either, whenever the agency
2is open to serve the public for regular, nonemergency business.
3(b) The registered and legal owner of a vehicle that is removed
4and seized under subdivision (a) or their agents shall be provided
5the opportunity for a storage hearing to determine the validity of,
6or consider any mitigating circumstances attendant to, the storage,
7in accordance with Section 22852.
8(c) Any period in which a vehicle is subjected to storage under
9this section shall be included as part of the period of impoundment
10
ordered by the court under subdivision (a) of Section 14602.5.
11(d) (1) An impounding agency shall release a vehicle to the
12registered owner or his or her agent prior to the end of 30 days’
13impoundment under any of the following circumstances:
14(A) When the vehicle is a stolen vehicle.
15(B) When the vehicle is subject to bailment and is driven by an
16unlicensed employee of a business establishment, including a
17parking service or repair garage.
18(C) When the license of the driver was suspended or revoked
19for an offense other than those included in Article 2 (commencing
20with Section 13200) of Chapter 2 of Division 6 or Article 3
21(commencing with Section 13350) of Chapter 2 of Division 6.
22(D) When the vehicle was seized under this section for an
23offense that does not authorize the seizure of the vehicle.
24(E) When the driver reinstates his or her driver’s license or
25acquires a driver’s license and proper insurance.
26(2) No vehicle shall be released pursuant to this subdivision
27without presentation of the registered owner’s or agent’s currently
28valid driver’s license to operate the vehicle and proof of current
29vehicle registration, or upon order of a court.
30(e) The registered owner or his or her agent is responsible for
31all towing and storage charges related to the impoundment, and
32any administrative charges authorized under Section 22850.5.
33(f) A vehicle removed and seized under subdivision (a) shall be
34released to the legal
owner of the vehicle or the legal owner’s agent
35prior to the end of 30 days’ impoundment if all of the following
36conditions are met:
37(1) The legal owner is a motor vehicle dealer, bank, credit union,
38acceptance corporation, or other licensed financial institution
39legally operating in this state or is another person, not the registered
40owner, holding a security interest in the vehicle.
P4 1(2) (A) The legal owner or the legal owner’s agent pays all
2towing and storage fees related to the seizure of the vehicle. No
3lien sale processing fees shall be charged to the legal owner who
4redeems the vehicle prior to the 15th day of impoundment. Neither
5the impounding authority nor any person having possession of the
6vehicle shall collect from the legal owner of the type specified in
7paragraph (1), or the legal owner’s agent any administrative charges
8imposed pursuant to
Section 22850.5 unless the legal owner
9voluntarily requested a poststorage hearing.
10(B) A person operating or in charge of a storage facility where
11vehicles are stored pursuant to this section shall accept a valid
12bank credit card or cash for payment of towing, storage, and related
13fees by a legal or registered owner or the owner’s agent claiming
14the vehicle. A credit card shall be in the name of the person
15presenting the card. “Credit card” means “credit card” as defined
16in subdivision (a) of Section 1747.02 of the Civil Code, except,
17for the purposes of this section, credit card does not include a credit
18card issued by a retail seller.
19(C) A person operating or in charge of a storage facility
20described in subparagraph (B) who violates subparagraph (B) shall
21be civilly liable to the owner of the vehicle or to the person who
22tendered the fees for four times the amount of the
towing, storage,
23and related fees, but not to exceed five hundred dollars ($500).
24(D) A person operating or in charge of a storage facility
25described in subparagraph (B) shall have sufficient funds on the
26premises of the primary storage facility during normal business
27hours to accommodate, and make change in, a reasonable monetary
28transaction.
29(E) Credit charges for towing and storage services shall comply
30with Section 1748.1 of the Civil Code. Law enforcement agencies
31may include the costs of providing for payment by credit when
32making agreements with towing companies on rates.
33(3) The legal owner or the legal owner’s agent presents a copy
34of the assignment, as defined in subdivision (b) of Section 7500.1
35of the Business and Professions Code; a release from the one
36responsible governmental agency, only if required
by the agency;
37a government-issued photographic identification card; and any
38one of the following, as determined by the legal owner or the legal
39owner’s agent: a certificate of repossession for the vehicle, a
40security agreement for the vehicle, or title, whether paper or
P5 1electronic, showing proof of legal ownership for the vehicle. Any
2documents presented may be originals, photocopies, or facsimile
3copies, or may be transmitted electronically. The law enforcement
4agency, impounding agency, or any other governmental agency,
5or any person acting on behalf of those agencies, shall not require
6any documents to be notarized. The law enforcement agency,
7impounding agency, or any person acting on behalf of those
8agencies may require the agent of the legal owner to produce a
9photocopy or facsimile copy of its repossession agency license or
10registration issued pursuant to Chapter 11 (commencing with
11Section 7500) of Division 3 of the Business and Professions Code,
12or to demonstrate, to the satisfaction of the law
enforcement
13agency, impounding agency, or any person acting on behalf of
14those agencies, that the agent is exempt from licensure pursuant
15to Section 7500.2 or 7500.3 of the Business and Professions Code.
16No administrative costs authorized under subdivision (a) of
17Section 22850.5 shall be charged to the legal owner of the type
18specified in paragraph (1), who redeems the vehicle unless the
19legal owner voluntarily requests a poststorage hearing. No city,
20county, city and county, or state agency shall require a legal owner
21or a legal owner’s agent to request a poststorage hearing as a
22requirement for release of the vehicle to the legal owner or the
23legal owner’s agent. The law enforcement agency, impounding
24agency, or other governmental agency, or any person acting on
25behalf of those agencies, shall not require any documents other
26than those specified in this paragraph. The law enforcement agency,
27impounding agency, or other governmental agency, or any person
28acting on
behalf of those agencies, shall not require any documents
29to be notarized. The legal owner or the legal owner’s agent shall
30be given a copy of any documents he or she is required to sign,
31except for a vehicle evidentiary hold logbook. The law enforcement
32agency, impounding agency, or any person acting on behalf of
33those agencies, or any person in possession of the vehicle, may
34photocopy and retain the copies of any documents presented by
35the legal owner or legal owner’s agent.
36(4) A failure by a storage facility to comply with any applicable
37conditions set forth in this subdivision shall not affect the right of
38the legal owner or the legal owner’s agent to retrieve the vehicle,
39provided all conditions required of the legal owner or legal owner’s
40agent under this subdivision are satisfied.
P6 1(g) (1) A legal owner or the legal owner’s agent that obtains
2release
of the vehicle pursuant to subdivision (f) shall not release
3the vehicle to the registered owner of the vehicle, or the person
4who was listed as the registered owner when the vehicle was
5impounded, or any agents of the registered owner, unless the
6registered owner is a rental car agency, until after the termination
7of the 30-day impoundment period.
8(2) The legal owner or the legal owner’s agent shall not
9relinquish the vehicle to the registered owner or the person who
10was listed as the registered owner when the vehicle was impounded
11until the registered owner or that owner’s agent presents his or her
12valid driver’s license or valid temporary driver’s license to the
13legal owner or the legal owner’s agent. The legal owner or the
14legal owner’s agent or the person in possession of the vehicle shall
15make every reasonable effort to ensure that the license presented
16is valid and possession of the vehicle will not be given to the driver
17who was
involved in the original impoundment proceeding until
18the expiration of the impoundment period.
19(3) Prior to relinquishing the vehicle, the legal owner may
20require the registered owner to pay all towing and storage charges
21related to the impoundment and any administrative charges
22authorized under Section 22850.5 that were incurred by the legal
23owner in connection with obtaining custody of the vehicle.
24(4) Any legal owner who knowingly releases or causes the
25release of a vehicle to a registered owner or the person in
26possession of the vehicle at the time of the impoundment or any
27agent of the registered owner in violation of this subdivision shall
28be guilty of a misdemeanor and subject to a fine in the amount of
29two thousand dollars ($2,000) in addition to any other penalties
30established by law.
31(5) The legal owner,
registered owner, or person in possession
32of the vehicle shall not change or attempt to change the name of
33the legal owner or the registered owner on the records of the
34department until the vehicle is released from the impoundment.
35(h) (1) A vehicle removed and seized under subdivision (a)
36shall be released to a rental car agency prior to the end of 30 days’
37impoundment if the agency is either the legal owner or registered
38owner of the vehicle and the agency pays all towing and storage
39fees related to the seizure of the vehicle.
P7 1(2) The owner of a rental vehicle that was seized under this
2section may continue to rent the vehicle upon recovery of the
3vehicle. However, the rental car agency may not rent another
4vehicle to the driver of the vehicle that was seized until 30 days
5after the date that the vehicle was seized.
6(3) The rental car agency may require the person to whom the
7vehicle was rented to pay all towing and storage charges related
8to the impoundment and any administrative charges authorized
9under Section 22850.5 that were incurred by the rental car agency
10in connection with obtaining custody of the vehicle.
11(i) Notwithstanding any other provision of this section, the
12registered owner and not the legal owner shall remain responsible
13for any towing and storage charges related to the impoundment,
14any administrative charges authorized under Section 22850.5, and
15any parking fines, penalties, and administrative fees incurred by
16the registered owner.
17(j) The law enforcement agency and the impounding agency,
18including any storage facility acting on behalf of the law
19enforcement agency or impounding agency, shall comply with this
20
section and shall not be liable to the registered owner for the
21improper release of the vehicle to the legal owner or the legal
22owner’s agent provided the release complies with the provisions
23of this section. The legal owner shall indemnify and hold harmless
24a storage facility from any claims arising out of the release of the
25vehicle to the legal owner or the legal owner’s agent and from any
26damage to the vehicle after its release, including the reasonable
27costs associated with defending any such claims. A law
28enforcement agency shall not refuse to issue a release to a legal
29owner or the agent of a legal owner on the grounds that it
30previously issued a release.
31(k) A vehicle is not subject to impoundment on the basis that
32the driver has not been issued a driver’s license if the driver
33establishes that he or she has applied for, but not yet received, a
34driver’s
license pursuant to Section 12801.6.
35(l) This section shall remain in effect only until January 1, 2018,
36and as of that date is repealed, unless a later enacted statute, that
37is enacted before January 1, 2018, deletes or extends that date.
Section 14602.6 is added to the Vehicle Code, to read:
(a) (1) If a peace officer determines that a person
40was driving a vehicle while his or her driving privilege was
P8 1suspended or revoked, driving a vehicle while his or her driving
2privilege is restricted pursuant to Section 13352 or 23575 and the
3vehicle is not equipped with a functioning, certified interlock
4device, or driving a vehicle without ever having been issued a
5driver’s license, the peace officer may either immediately arrest
6that person and cause the removal and seizure of that vehicle or,
7if the vehicle is involved in a traffic collision, cause the removal
8and seizure of the vehicle without the necessity of arresting the
9person in accordance with Chapter 10 (commencing with Section
1022650) of Division 11. A vehicle so impounded shall be impounded
11for 30 days.
12(2) The impounding agency, within two working days of
13impoundment, shall send a notice by certified mail, return receipt
14requested, to the legal owner and registered owner of the vehicle,
15at the address obtained from the department, informing the owner
16or owners that the vehicle has been impounded. Failure to notify
17the legal owner and registered owner within two working days
18shall prohibit the impounding agency from charging for more than
1915 days’ impoundment when the legal owner or registered owner
20redeems the impounded vehicle. The impounding agency shall
21maintain a published telephone number that provides information
2224 hours a day regarding the impoundment of vehicles and the
23rights of a registered owner to request a hearing. The law
24enforcement agency shall be open to issue a release to the registered
25owner or legal owner, or the agent of either, whenever the agency
26is open to serve the public for regular, nonemergency business.
27(b) The registered and legal owner of a vehicle that is removed
28and seized under subdivision (a) or their agents shall be provided
29the opportunity for a storage hearing to determine the validity of,
30or consider any mitigating circumstances attendant to, the storage,
31in accordance with Section 22852.
32(c) Any period in which a vehicle is subjected to storage under
33this section shall be included as part of the period of impoundment
34ordered by the court under subdivision (a) of Section 14602.5.
35(d) (1) An impounding agency shall release a vehicle to the
36registered owner or his or her agent prior to the end of 30 days’
37impoundment under any of the following circumstances:
38(A) When the vehicle is a stolen vehicle.
P9 1(B) When the vehicle is subject to bailment and is driven by an
2unlicensed employee of a business establishment, including a
3parking service or repair garage.
4(C) When the license of the driver was suspended or revoked
5for an offense other than those included in Article 2 (commencing
6with Section 13200) of Chapter 2 of Division 6 or Article 3
7(commencing with Section 13350) of Chapter 2 of Division 6.
8(D) When the vehicle was seized under this section for an
9offense that does not authorize the seizure of the vehicle.
10(E) When the driver reinstates his or her driver’s license or
11acquires a driver’s license and proper insurance.
12(2) A vehicle shall not be released pursuant to this subdivision
13
without presentation of the registered owner’s or agent’s currently
14valid driver’s license to operate the vehicle and proof of current
15vehicle registration, or upon order of a court.
16(e) The registered owner or his or her agent is responsible for
17all towing and storage charges related to the impoundment, and
18any administrative charges authorized under Section 22850.5.
19(f) A vehicle removed and seized under subdivision (a) shall be
20released to the legal owner of the vehicle or the legal owner’s agent
21prior to the end of 30 days’ impoundment if all of the following
22conditions are met:
23(1) The legal owner is a motor vehicle dealer, bank, credit union,
24acceptance corporation, or other licensed financial institution
25legally operating in this state or is another person, not the registered
26owner, holding a security interest
in the vehicle.
27(2) (A) The legal owner or the legal owner’s agent pays all
28towing and storage fees related to the seizure of the vehicle. No
29lien sale processing fees shall be charged to the legal owner who
30redeems the vehicle prior to the 15th day of impoundment. Neither
31the impounding authority nor any person having possession of the
32vehicle shall collect from the legal owner of the type specified in
33paragraph (1), or the legal owner’s agent any administrative charges
34imposed pursuant to Section 22850.5 unless the legal owner
35voluntarily requested a poststorage hearing.
36(B) A person operating or in charge of a storage facility where
37vehicles are stored pursuant to this section shall accept a valid
38bank credit card or cash for payment of towing, storage, and related
39fees by a legal or registered owner or the owner’s agent claiming
40the vehicle. A credit card
shall be in the name of the person
P10 1presenting the card. “Credit card” means “credit card” as defined
2in subdivision (a) of Section 1747.02 of the Civil Code, except,
3for the purposes of this section, credit card does not include a credit
4card issued by a retail seller.
5(C) A person operating or in charge of a storage facility
6described in subparagraph (B) who violates subparagraph (B) shall
7be civilly liable to the owner of the vehicle or to the person who
8tendered the fees for four times the amount of the towing, storage,
9and related fees, but not to exceed five hundred dollars ($500).
10(D) A person operating or in charge of a storage facility
11described in subparagraph (B) shall have sufficient funds on the
12premises of the primary storage facility during normal business
13hours to accommodate, and make change in, a reasonable monetary
14transaction.
15(E) Credit charges for towing and storage services shall comply
16with Section 1748.1 of the Civil Code. Law enforcement agencies
17may include the costs of providing for payment by credit when
18making agreements with towing companies on rates.
19(3) The legal owner or the legal owner’s agent presents a copy
20of the assignment, as defined in subdivision (b) of Section 7500.1
21of the Business and Professions Code; a release from the one
22responsible governmental agency, only if required by the agency;
23a government-issued photographic identification card; and any
24one of the following, as determined by the legal owner or the legal
25owner’s agent: a certificate of repossession for the vehicle, a
26security agreement for the vehicle, or title, whether paper or
27electronic, showing proof of legal ownership for the vehicle. Any
28documents presented may be originals, photocopies, or facsimile
29copies, or
may be transmitted electronically. The law enforcement
30agency, impounding agency, or any other governmental agency,
31or any person acting on behalf of those agencies, shall not require
32any documents to be notarized. The law enforcement agency,
33impounding agency, or any person acting on behalf of those
34agencies may require the agent of the legal owner to produce a
35photocopy or facsimile copy of its repossession agency license or
36registration issued pursuant to Chapter 11 (commencing with
37Section 7500) of Division 3 of the Business and Professions Code,
38or to demonstrate, to the satisfaction of the law enforcement
39agency, impounding agency, or any person acting on behalf of
P11 1those agencies, that the agent is exempt from licensure pursuant
2to Section 7500.2 or 7500.3 of the Business and Professions Code.
3Administrative costs authorized under subdivision (a) of Section
422850.5 shall not be charged to the legal owner of the type
5specified in paragraph (1), who redeems the
vehicle unless the
6legal owner voluntarily requests a poststorage hearing. A city,
7county, city and county, or state agency shall not require a legal
8owner or a legal owner’s agent to request a poststorage hearing as
9a requirement for release of the vehicle to the legal owner or the
10legal owner’s agent. The law enforcement agency, impounding
11agency, or other governmental agency, or any person acting on
12behalf of those agencies, shall not require any documents other
13than those specified in this paragraph. The law enforcement agency,
14impounding agency, or other governmental agency, or any person
15acting on behalf of those agencies, shall not require any documents
16to be notarized. The legal owner or the legal owner’s agent shall
17be given a copy of any documents he or she is required to sign,
18except for a vehicle evidentiary hold logbook. The law enforcement
19agency, impounding agency, or any person acting on behalf of
20those agencies, or any person in possession of the vehicle, may
21photocopy and retain the copies
of any documents presented by
22the legal owner or legal owner’s agent.
23(4) A failure by a storage facility to comply with any applicable
24conditions set forth in this subdivision shall not affect the right of
25the legal owner or the legal owner’s agent to retrieve the vehicle,
26provided all conditions required of the legal owner or legal owner’s
27agent under this subdivision are satisfied.
28(g) (1) A legal owner or the legal owner’s agent that obtains
29release of the vehicle pursuant to subdivision (f) shall not release
30the vehicle to the registered owner of the vehicle, or the person
31who was listed as the registered owner when the vehicle was
32impounded, or any agents of the registered owner, unless the
33registered owner is a rental car agency, until after the termination
34of the 30-day impoundment period.
35(2) The legal owner or the legal owner’s agent shall not
36relinquish the vehicle to the registered owner or the person who
37was listed as the registered owner when the vehicle was impounded
38until the registered owner or that owner’s agent presents his or her
39valid driver’s license or valid temporary driver’s license to the
40legal owner or the legal owner’s agent. The legal owner or the
P12 1legal owner’s agent or the person in possession of the vehicle shall
2make every reasonable effort to ensure that the license presented
3is valid and possession of the vehicle will not be given to the driver
4who was involved in the original impoundment proceeding until
5the expiration of the impoundment period.
6(3) Prior to relinquishing the vehicle, the legal owner may
7require the registered owner to pay all towing and storage charges
8related to the impoundment and any administrative charges
9authorized under Section 22850.5 that were incurred by the legal
10
owner in connection with obtaining custody of the vehicle.
11(4) Any legal owner who knowingly releases or causes the
12release of a vehicle to a registered owner or the person in
13possession of the vehicle at the time of the impoundment or any
14agent of the registered owner in violation of this subdivision shall
15be guilty of a misdemeanor and subject to a fine in the amount of
16two thousand dollars ($2,000) in addition to any other penalties
17established by law.
18(5) The legal owner, registered owner, or person in possession
19of the vehicle shall not change or attempt to change the name of
20the legal owner or the registered owner on the records of the
21department until the vehicle is released from the impoundment.
22(h) (1) A vehicle removed and seized under subdivision (a)
23shall be released to a rental car
agency prior to the end of 30 days’
24impoundment if the agency is either the legal owner or registered
25owner of the vehicle and the agency pays all towing and storage
26fees related to the seizure of the vehicle.
27(2) The owner of a rental vehicle that was seized under this
28section may continue to rent the vehicle upon recovery of the
29vehicle. However, the rental car agency may not rent another
30vehicle to the driver of the vehicle that was seized until 30 days
31after the date that the vehicle was seized.
32(3) The rental car agency may require the person to whom the
33vehicle was rented to pay all towing and storage charges related
34to the impoundment and any administrative charges authorized
35under Section 22850.5 that were incurred by the rental car agency
36in connection with obtaining custody of the vehicle.
37(i) Notwithstanding any other provision of this section, the
38registered owner and not the legal owner shall remain responsible
39for any towing and storage charges related to the impoundment,
40any administrative charges authorized under Section 22850.5, and
P13 1any parking fines, penalties, and administrative fees incurred by
2the registered owner.
3(j) The law enforcement agency and the impounding agency,
4including any storage facility acting on behalf of the law
5enforcement agency or impounding agency, shall comply with this
6section and shall not be liable to the registered owner for the
7improper release of the vehicle to the legal owner or the legal
8owner’s agent provided the release complies with the provisions
9of this section. The legal owner shall indemnify and hold harmless
10a storage facility from any claims arising out of the release of the
11vehicle to the legal owner or the legal owner’s agent and from any
12damage to the vehicle
after its release, including the reasonable
13costs associated with defending any such claims. A law
14enforcement agency shall not refuse to issue a release to a legal
15owner or the agent of a legal owner on the grounds that it
16previously issued a release.
It is the intent of the Legislature to prohibit a lien sale
18of a vehicle subject to a 30-day impoundment pursuant to Section
1914602.6 of the Vehicle Code prior to the conclusion of the 30-day
20period.
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