New Jersey 2022-2023 Regular Session

New Jersey Senate Bill S3374

Introduced
12/5/22  
Refer
12/5/22  
Report Pass
1/12/23  
Refer
1/12/23  
Report Pass
6/20/23  
Engrossed
6/30/23  
Enrolled
6/30/23  
Chaptered
8/7/23  

Caption

Provides that operator, owner, lessor, or lienholder of vehicle may be responsible for certain towing and storage fees; applies retroactively.

Impact

The enactment of S3374 is poised to impact existing state laws significantly. It establishes clearer guidelines for what constitutes an 'unreasonable or excessive fee' for towing and storage services. Specifically, fees exceeding set percentages above customary rates are identified as excessive. Furthermore, the bill retroactively applies these provisions to actions taken since October 18, 2008, thereby affecting past towing cases and the fees charged therein. This change demonstrates a shift towards consumer protection in an industry previously perceived as lacking oversight.

Summary

Senate Bill S3374 addresses the regulation of fees charged by towing companies for the non-consensual towing and storage of motor vehicles. The bill amends the Predatory Towing Prevention Act (P.L.2007, c.193), specifically targeting the practices of towing companies and ensuring they adhere to reasonable fee structures. Key provisions include requirements for towing companies regarding the licensing and notification obligations to operators, owners, lessors, or lienholders of the vehicles involved. The bill aims to protect consumers from unreasonable and excessive fees while also holding towing companies accountable for their pricing practices.

Sentiment

The sentiment surrounding S3374 appears to be cautiously optimistic among consumer advocacy groups and some legislators who see this as a necessary reform in the towing industry practices. Conversely, there is some apprehension from towing companies, who may be concerned about the restrictions this bill places on their pricing structures and operational autonomy. The bill's strict guidelines for notification and fee capping have been met with resistance from industry stakeholders who argue that it may limit their effectiveness and profitability.

Contention

Notable points of contention include the potential for increased regulatory scrutiny that towing companies may face under S3374. Some towing companies have argued that the bill's definitions of 'reasonable fees' could create challenges in their operations, particularly in compliance with strict fee limitations. Additionally, the provision requiring towing companies to notify vehicle owners promptly may pose logistical challenges, leading to concerns about operational burdens. Advocacy for a balance between consumer protection and the viability of towing businesses remains a crucial theme in discussions around the bill.

Companion Bills

NJ A5038

Same As Provides that operator, owner, lessor, and lienholder of vehicle may be responsible for certain towing and storage fees; applies retroactively.

Previously Filed As

NJ A4271

Prohibits towing companies from requiring owners of stolen motor vehicles to pay fee to release vehicles from storage facilities under certain circumstances.

OH SB304

Regards lienholder duty for motor vehicle towing, storage charges

MS HB641

Towing companies; require notice to vehicle owner and lienholder within 5 business days of tow.

CA AB987

Vehicles: storage and towing.

VA SB1332

Towing and storage of certain vehicles; limitation on charges.

CT HB05465

An Act Concerning The Towing And Storage Of Motor Vehicles.

MS SB2462

Towing companies; revise notice provisions to owners and lienholder, authorize civil penalty.

MS SB2724

Towing companies; revise notice provisions to owners and lienholder, authorize civil penalty.

KY HB493

AN ACT relating to the towing and storage of motor vehicles.

IA SF230

A bill for an act relating to towing or impounding vehicles, and making penalties applicable.

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CRIM CD-NONCONSENSUAL DISSEM