HB1731113th GA (Historical)Introduced

Amends TCA Title 4; Title 5; Title 6; Title 7; Title 39; Title 47; Title 48; Title 55; Title 56; Title 62; Title 66 and Title 67.

ON APRIL 11, 2024, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 1692, AS AMENDED. AMENDMENT #1 rewrites the bill to enact the "Modernization of Towing, Immobilization, and Oversight Normalization Act" ("act") as follows: BOOTING AND TOWING PROHIBITED ON COMMERCIAL PARKING LOTS (1) Establishes that it is an offense for a commercial parking lot owner to boot or tow a motor vehicle located on the lot owner's lot if the motor vehicle is not an abandoned, immobile, or unattended motor vehicle; (2) Establishes that it is not an offense for a licensed parking lot, or a licensed parking attendant on the licensed parking lot's behalf, to boot or tow motor vehicles located on the licensed parking lot if the licensed parking lot is located within the jurisdiction of a local government that has passed an ordinance pursuant to this act and the licensed parking lot or licensed parking attendant boots or tows a motor vehicle in compliance with the ordinance; (3) Establishes that a violation of the provisions under this heading also constitutes a violation of the Tennessee Consumer Protection Act (TCPA) and an unfair or deceptive act or practice, subject to the penalties and remedies of the TCPA as well as this act; (4) Establishes that the attorney general has all of the investigative and enforcement authority of the TCPA as relates to violations of this act. If the attorney general believes a person has violated this act, authorizes the attorney general to institute a proceeding under this act. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under this act; (5) In addition to the remedy provided under this heading, provides that a person injured as a result of a violation of the provisions under the heading is entitled to maintain a private right of action for injunctive relief and to recover actual damages, compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; BOOTING PROHIBITED GENERALLY (6) Establishes that it is an offense for a person, other than a licensed parking attendant, to knowingly boot a motor vehicle in this state. A violation of this offense if a Class B misdemeanor; however, a second or subsequent offense is a Class A misdemeanor; LOCAL OPTION (7) If, after the effective date of this act, a local government passes an ordinance specifically opting to be governed by the provisions under this heading, authorizes the local government to permit a licensed parking lot, or a licensed parking attendant on the licensed parking lot's behalf, to boot or tow on the licensed parking lot; however, the ordinance must comply with the requirements as described under this heading; (8) Requires such local ordinance to, at a minimum, do the following: (A) Require the annual licensure of the commercial parking lot owner as a licensed parking lot and the issuance of a license number to the licensed parking lot; (B) Specify in the annual licensure whether the licensure permits the licensed parking lot to boot, tow, or both boot and tow; (C) Require the annual licensure of any employee authorized by the licensed parking lot to boot or tow from the lot as a licensed parking attendant and issue a license number and photo identification from the local government to the licensed parking attendant; (D) Prohibit any person from booting or towing a motor vehicle on a licensed parking lot except by a licensed parking attendant licensed by the local government; (E) Require licensed parking attendants licensed pursuant to (C) above to (i) prominently display the photo identification issued by the local government on the licensed parking attendant's person at all times when the licensed parking attendant is on duty and available to boot or tow a motor vehicle located on a licensed parking lot; and (ii) wear a distinctive uniform identifying the licensed parking attendant as an employee of the licensed parking lot at all times when the licensed parking attendant is on duty and available to boot or tow a motor vehicle located on the licensed parking lot; (F) Require a licensed parking lot and licensed parking attendant to accept credit cards and debit cards as methods of payment for the removal of a vehicle immobilization device from a motor vehicle; (G) Require a licensed parking lot to maintain a phone number that is monitored by a natural person 24 hours per day, seven days per week; (H) Require a licensed parking lot to post signage at the terminal end of each parking spot that is subject to being booted or towed bearing notice: (i) that the parking policy for the property is strictly enforced; (ii) that a violator's vehicle will be immobilized with a vehicle immobilization device with the owner of the vehicle having to pay to have the device removed, if the licensed parking lot has been licensed by the local government to boot vehicles pursuant to (B); towed at the owner's expense, if the licensed parking lot has been licensed by the local government to tow vehicles pursuant to (B); or both, if the licensed parking lot has been licensed by the local government to boot and tow vehicles pursuant to (B); of the name of the licensed parking lot, the licensed parking lot registration number issued by the local government pursuant to (A), and the phone number required by (G); and (iii) that this act protects consumers from booting and towing violations and that violations may be reported to the attorney general and reporter and the phone number for the enforcement division of the local government; (I) Require that the signage required by (H) be no less than 24 inches in height and 18 inches in width and contain lettering that is no less than two inches in height and be viewable from the driver's seat of an average motor vehicle parked in the parking spot; (J) Require that immediately upon booting a vehicle, the licensed parking attendant must place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat indicating: (i) that a vehicle immobilization device has been installed on the motor vehicle and that damage could occur if the vehicle is moved without first removing the vehicle immobilization device; (ii) the information in (H); (iii) the name, license number issued by the local government, and direct contact number for the licensed parking attendant who has booted the motor vehicle; and (iv) the date and time that the vehicle immobilization device was installed on the motor vehicle; (K) Require a licensed parking lot to pay for any damage done to a motor vehicle if the notice required by (J) is not posted; (L) Require a licensed parking lot to have a licensed parking attendant arrive at the licensed parking lot within 30 minutes of a call requesting the removal of a vehicle immobilization device and immediately remove the device upon satisfactory payment of any parking fee and vehicle immobilization device removal fee; (M) Prohibit a licensed parking lot from charging a vehicle immobilization device removal fee of greater than $75; (N) Prohibit a licensed parking lot from charging any fee to remove a vehicle immobilization device to a person who had paid to park and who was improperly booted by the licensed parking lot or a licensed parking attendant; and (O) Provide for the revocation of any license issued pursuant to the ordinance for violations of the ordinance or this act; (9) Provides that the provisions under this heading do not prohibit a local government from passing an ordinance with requirements that are stricter than the minimum requirements; (10) Provides that the provisions under this heading do not prohibit a local government from booting a motor vehicle that is located on public property; however, if the local government boots a motor vehicle on public property, then the local government must immediately, upon booting the motor vehicle, place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat indicating (i) that a vehicle immobilization device has been installed on the motor vehicle and that damage could occur if the vehicle is moved without first removing the vehicle immobilization device; (ii) the name of the local government official who booted the motor vehicle; (iii) the date and time the motor vehicle was booted; and (iv) the contact number the owner of the motor vehicle must call to have the vehicle immobilization device removed from the vehicle. REQUIREMENTS OF COMMERCIAL PARKING LOTS (11) Prohibits a commercial parking lot owner in this state from doing the following: (i) Utilizing an automatic license plate reader to enforce the lot owner's parking requirements without first posting a sign that contains red lettering that is no less than six inches in height displayed on a white background; contains the language "LICENSE PLATE READER IN USE"; and is located at each designated entrance to the property, or, if there is no designated entrance, is erected in a place that is clearly visible from each parking space; and (ii) Charging a penalty for non-payment of parking fees for a first violation in excess of the actual cost of the unpaid cost to park; however, a commercial parking lot owner may charge a late fee of up to $50 in addition to the actual cost of the unpaid cost to park if the actual cost of the unpaid cost to park is not paid within 30 calendar days; (12) Establishes that a violation of (i) and (ii) under these headings constitutes a violation of the TCPA and an unfair or deceptive act or practice affecting trade or commerce subject to the penalties and remedies provided in the TCPA, in addition to any penalties and remedies established under this act; (13) Establishes that the attorney general has all of the investigative and enforcement authority of the TCPA as relates to violations of this act. If the attorney general believes a person has violated this act, authorizes the attorney general to institute a proceeding under this act. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under this act; (14) Provides that, in addition to the remedy provided under this heading, a person injured as a result of a violation of the provisions under this heading is entitled to maintain a private right of action for injunctive relief and to recover actual damages, compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; UNCLAIMED OR ABANDONED VEHICLES - CUSTODY - REMOVAL - RESERVATION AND STORAGE (15) Authorizes a police department to take into custody a motor vehicle found abandoned, immobile, unattended, or used in curbstoning on public or private property; however, a motor vehicle used in curbstoning on residential property must not be taken into custody unless the police department provides notice on the motor vehicle at least 48 hours prior to the seizure; (16) Authorizes a police department to employ its own personnel, equipment, and facilities or hire persons, equipment, and facilities for the purpose of removing, preserving, and storing motor vehicles that are abandoned, immobile, unattended, or used in curbstoning; (17) Establishes that any motor vehicle used in curbstoning is subject to seizure and forfeiture in the same manner as provided by law for seizure and forfeiture of other items under state law; (18) Establishes that the provisions under this heading do not limit a local government's initiative for more restrictive requirements regarding the sale of curbstoned vehicles; (19) Provides that, for purposes of this amendment, "curbstoning" means selling, offering for sale, advertising for sale, or soliciting the sale of (i) a motor vehicle without a properly endorsed certificate of title by a person or entity engaged primarily in the sale of used motor vehicles if the person or entity is not licensed as a motor vehicle dealer; or (ii) more than five motor vehicles in any twelve-month period when the motor vehicles are titled in the person's name or the name of the entity engaged primarily in the sale of used motor vehicles if the person or entity is not licensed as a motor vehicle dealer; NOTICE AND PENALTY (20) Requires a police department that takes into custody an abandoned, immobile, or unattended motor vehicle, to, within three business days after taking the motor vehicle into custody, verify ownership of the motor vehicle. The police department must, within three business days after receiving verification of ownership, notify by a nationally recognized overnight delivery carrier, other than the United States postal service, requesting proof of delivery, the last known registered owner of the motor vehicle and all lienholders of record that the vehicle has been taken into custody. The notice must do the following: (i) Describe the year, make, model, and vehicle identification number of the abandoned, immobile, or unattended motor vehicle; (ii) Stipulate the location of the facility where the motor vehicle is being held; (iii) Inform the owner and any lienholders of the right to reclaim the motor vehicle within 20 days after the date of the notice, upon payment of all towing, preservation, and storage charges resulting from placing the vehicle in custody; and (iv) State that the failure of the owner or lienholder to exercise the right to reclaim the vehicle within the time provided is deemed a waiver by the owner and all lienholders of all right, title, and interest in the vehicle and consent to the sale of the abandoned, immobile, or unattended motor vehicle at a public auction; (21) Establishes that a police department is not required to comply with the notice procedure described under this heading if it provides preseizure notice to the owner of the motor vehicle and all lienholders of record that the vehicle has been found to be abandoned, immobile, or unattended; (22) Requires that a preseizure notice be sent by a nationally recognized overnight delivery carrier, other than the United States postal service, requesting proof of delivery, to the last known address of the owner of record and to all lienholders of record; (23) Requires the preseizure notice to do the following: (A) Be written in plain language; (B) Contain the year, make, model, and vehicle identification number of the motor vehicle, if ascertainable; (C) Provide the location of the motor vehicle, and a statement advising the owner that the police department will take the abandoned, immobile, or unattended vehicle into custody in no less than 20 days, unless the owner appeals the determination by the police department that the vehicle is abandoned, immobile, or unattended or the owner removes the vehicle from the property within the twenty-day period; (D) Inform the owner and any lienholders of the right to reclaim the motor vehicle after it is taken into custody but before it is sold or demolished, upon payment of all towing, preservation, storage, or other charges resulting from placing the vehicle in custody; and (E) State that the failure of the owner or lienholders to exercise the right to reclaim the vehicle will be deemed a waiver by the owner and all lienholders of all right, title, and interest in the vehicle and consent to the demolition of the vehicle or its sale at a public auction; (24) Provides that, if the owner or lienholder cannot be located through the exercise of due diligence, then requires the notice on the motor vehicle portal to be given as set out under this heading; (25) Provides that, if the owner or lienholder of an abandoned, immobile, or unattended motor vehicle fails to appeal the determination that the vehicle is abandoned, immobile, or unattended or fails to remove the motor vehicle within 20 days from receipt of the preseizure notice, authorizes the police department to take the vehicle into custody; (26) Provides that, if an appeal is made, prohibits the police department from taking the motor vehicle into custody while the appeal is pending; (27) Establishes that without exception, failure to appeal within the specific time period constitutes a waiver of the right of appeal; (28) Provides that, if there is no response to the notice requesting proof of delivery, requires the police department to make notice within three business days of receipt of the delivery confirmation by posting the abandoned, immobile, or unattended motor vehicle on the motor vehicle portal; (29) Establishes that the consequences and effect of failure to reclaim an abandoned, immobile, or unattended motor vehicle must be as described in a valid notice; (30) Provides that, if the owner of a motor vehicle is not present at the time the motor vehicle is towed, then within 15 minutes of a person, firm, or entity towing the motor vehicle, requires such person, firm, or entity to notify local law enforcement of the vehicle identification number (VIN), registration information, license plate number, and description of the vehicle. A violation of this requirement is a Class B misdemeanor. A police department must keep a record of all information required by that the police department must make available for public inspection; (31) Provides that, if an employee of a public agency, a towing company contracting with a public agency, or a towing company authorized to tow by a private property owner or the private property owner's authorized agent, takes possession of a motor vehicle found abandoned, immobile, or unattended, requires an employee of the agency to verify ownership through the Tennessee information enforcement system (TIES) and place the ownership information on the towing sheet or form. The agency must also provide the ownership information to a garagekeeper with whom the agency has a contract or to a towing company authorized to tow by a private property owner or private property owner's authorized agent, as applicable. If a public agency attempts to verify ownership information through TIES and the response is "Not on File," requires the agency to contact the department of revenue title and registration division, which must search records not contained in TIES for the ownership information. If the title and registration division locates ownership information through this search, requires the division to notify the appropriate public agency and the agency must distribute the information. When any other person takes possession of a motor vehicle found abandoned, immobile, or unattended, the action must be reported immediately to the taxpayer and vehicle services division for verification of ownership on a form prescribed and provided by the registrar of motor vehicles; (32) Provides that, in addition to the notification requirements described under this heading, requires a garagekeeper that has in its possession an abandoned, immobile, or unattended motor vehicle taken into custody by a police department or authorized by a private property owner or the private property owner's authorized agent to be towed, and in whose possession the motor vehicle was lawfully placed by the police department or authorized to be placed by a private property owner or the private property owner's authorized agent, to, within three business days after the motor vehicle is taken into its possession, verify ownership of the motor vehicle. The garagekeeper must, within three business days after receiving verification of ownership, provide notice to the last known registered owner of the motor vehicle and all lienholders of record. The notification requirements described under this heading apply to the notice required to be provided by a garagekeeper; (33) Establishes that a garagekeeper that does not verify ownership of a motor vehicle within three business days after taking possession of the motor vehicle or that does not notify by requesting proof of delivery the owner of the motor vehicle within three business days after receiving verification of ownership from the appropriate state department or agency is not entitled to receive more than six days of storage-related expenses. A garagekeeper that is found by a court of competent jurisdiction to have failed to release a motor vehicle upon the presentment of payment for towing and storage expenses is subject to civil liability to the motor vehicle owner, secured creditor, lessor, or lienholder who prevails in an action brought under this heading for reasonable costs and attorney fees incurred by the person instituting the action; (34) Provides that, if the owner of the motor vehicle or the owner's agent is present at the time a garagekeeper commences towing the owner's or agent's motor vehicle, establishes that the gatekeeper provisions described above do not apply to the garagekeeper; however, this does not exempt the garagekeeper from any other notification requirements under this heading or other provision of law; AUCTIONS AND AUCTIONEERS (35) Provides that, if an abandoned, immobile, or unattended motor vehicle has not been reclaimed, requires the police department to sell the abandoned, immobile, or unattended motor vehicle at a public auction; (36) Establishes that the purchaser of the motor vehicle takes title to the motor vehicle free and clear of all liens and claims of ownership, must receive a sales receipt from the police department, and, upon presentation of the sales receipt, requires the department of revenue to issue a certificate of title to the purchaser; (37) Establishes that the sales receipt only is sufficient title for purposes of transferring the motor vehicle to a demolisher for demolition, wrecking, or dismantling, and, in this case, further titling of the motor vehicle is not necessary; (38) Requires that the proceeds of the sale of an abandoned, immobile, or unattended motor vehicle be used for payment of the expenses of the auction, the costs of towing, preserving, and storing the abandoned, immobile, or unattended motor vehicle, and all notice and publication costs, including costs to post the motor vehicle on the motor vehicle portal, incurred pursuant to provisions under the heading "Notice and Penalty," above; (39) Requires that any remainder from the proceeds of a sale be held for the owner of the motor vehicle or entitled lienholder for 60 days, and then must be deposited in a special fund that must remain available for the payment of auction, towing, preserving, storage, and all notice and publication costs, including costs to post the motor vehicle on the motor vehicle portal, that result from placing other abandoned, immobile, or unattended vehicles in custody, whenever the proceeds from a sale of other abandoned, immobile, or unattended motor vehicles are insufficient to meet these expenses and costs; GARAGEKEEPERS (40) Authorizes the police department through its chief officer, after complying with the provisions under the heading "Notice and Penalty," above, to execute a written waiver of its right to sell a vehicle taken into custody under this act in favor of a garagekeeper in whose possession the vehicle was lawfully placed by the police department under this act. If a garagekeeper has made repairs to a vehicle for which a waiver has been executed, then the garagekeeper may proceed to enforce the lien. If the garagekeeper has not made repairs to a vehicle for which a waiver has been executed, then the garagekeeper may proceed to sell the vehicle; (41) Establishes that as to third-party purchasers, the sale of the abandoned, immobile, or unattended vehicle is valid, but the garagekeeper must sell the vehicle in a commercially reasonable manner; (42) Establishes that a person injured as a result of a violation of the provisions under this heading is entitled to maintain a private right of action for injunctive relief and to recover actual damages, compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; DEMOLISHERS (43) Authorizes a person, firm, corporation, or unit of government, upon whose property or in whose possession is found an abandoned, immobile, or unattended motor vehicle, or a person being the owner of a motor vehicle whose title certificate is faulty, lost, or destroyed, to apply to the police department of the jurisdiction in which the vehicle is situated for authority to sell, give away, or dispose of the vehicle to a demolisher; (44) Requires the application to set out the name and address of the applicant, the year, make, model, and vehicle identification number of the motor vehicle, if ascertainable, together with any other identifying features, and to contain a concise statement of the facts surrounding the abandonment, or that the title of the motor vehicle is lost or destroyed, or the reasons for the defect of title. The applicant must execute an affidavit stating that the facts alleged therein are true and that no material fact has been withheld; (45) Provides that, if the police department finds that the application is executed in proper form and shows that the motor vehicle has been abandoned, immobile, or unattended upon the property of the applicant or if it shows that the motor vehicle is not abandoned, immobile, or unattended but that the applicant appears to be the rightful owner, requires the police department to follow the notification procedures set forth under the heading "Notice and Penalty," above; (46) Provides that, if an abandoned, immobile, or unattended motor vehicle is not reclaimed, requires the police department to give the applicant a certificate of authority to sell the motor vehicle to any demolisher for demolition, wrecking, or dismantling. The demolisher must accept the certificate in lieu of the certificate of title to the motor vehicle; (47) Authorizes a person, firm, corporation, or unit of government upon whose property or in whose possession is found an abandoned, immobile, or unattended motor vehicle, or a person being the owner of a motor vehicle whose title certificate is faulty, lost, or destroyed, to dispose of the motor vehicle to a demolisher without that title and without the notification procedures of "Notice and Penalty," above, if the motor vehicle is over ten years old and has no engine or is otherwise totally inoperable; (48) Provides that, if a vehicle does have an engine, and is properly licensed but otherwise fits the description of this heading, requires such vehicle left on a public highway or street and pulled in at the direction of local or state law enforcement officials to be held at least ten days. If, at the end of that period, no claim has been received for the vehicle, then the vehicle may then be disposed of in accordance with this heading. This does not apply in counties with a metropolitan form of government, in which counties the authorization to dispose of a motor vehicle found abandoned, immobile, or unattended on a person, firm, or corporation's property, or which belongs to a person whose title certificate is faulty lost, or destroyed, remains in full force and effect; DEMOLISHERS - SURRENDER OF CERTIFICATE OF TITLE OR AUCTION SALES RECEIPT FOR CANCELLATION - RECORDS (49) Establishes that a demolisher who purchases or otherwise acquires a motor vehicle for purposes of wrecking, dismantling, or demolition is not required to obtain a certificate of title for the motor vehicle in the demolisher's name. After the motor vehicle has been demolished, processed, or changed so that it physically is no longer a motor vehicle, the demolisher must surrender for cancellation the certificate of title or auction sales receipt. The taxpayer and vehicle services division must issue forms and rules governing the surrender of auction sales receipts and certificates of title as are appropriate; (50) Requires a demolisher to keep an accurate and complete record of all motor vehicles purchased or received in the course of the demolisher's business. Such records must contain the name and address of the person from whom each motor vehicle was purchased or received and the date when the purchase or receipt occurred. The demolisher must make the records open for inspection by any police department at any time during normal business hours. Such a record must be kept by the demolisher for at least one year after the date of the transaction to which it applies; TIME FOR TOWING (51) Prohibits a vehicle from being towed without authorization by the owner of the vehicle until 12 hours have elapsed since it was first observed to be abandoned, immobile, or unattended unless the vehicle is creating a hazard, blocking access to public or private property, or parked illegally; (52) Requires a tow truck operator to immediately release a motor vehicle that the operator has begun to tow but which has not left the parking area if the motor vehicle owner arrives and pays a release fee; (53) Establishes that a violation under this heading is a Class B misdemeanor; (54) Establishes that a violation of the provisions under this heading also constitutes a violation of the Tennessee Consumer Protection Act (TCPA) and an unfair or deceptive act or practice, subject to the penalties and remedies of the TCPA as well as this act; (55) Establishes that the attorney general has all of the investigative and enforcement authority of the TCPA as relates to violations of this act. If the attorney general believes a person has violated this act, authorizes the attorney general to institute a proceeding under this act. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under this act; EXPRESS WRITTEN AUTHORIZATION (56) Provides that, in order for a garagekeeper to tow or store a vehicle, requires the garagekeeper to obtain an express written authorization for towing and storage of each vehicle from a law enforcement officer with appropriate jurisdiction, from the owner of the vehicle, or from the owner or the authorized agent of the owner, of the private property from which the vehicle is to be towed. The authorization must include all of the information required by state law relative to a garagekeeper's lien. In addition to any other penalty provided by this act or by state law relative to liens on vehicles, a violation under this heading is a Class B misdemeanor. This does not apply to new or used motor vehicle dealers; TOWING FIRMS - REFERRAL - PENALTY (57) Prohibits a towing firm from making, conferring, or offering any payment or other pecuniary benefit to an owner or manager of property from which the firm has towed a vehicle with the intent of rewarding the owner or manager for referring the vehicle for towing; (58) Prohibits an owner or manager of property from which a towing firm has towed a vehicle from soliciting or receiving any payment or other pecuniary benefit from a towing firm in exchange for referring a vehicle for towing to the firm; (59) Establishes that a violation under this heading is a Class B misdemeanor; MOTOR VEHICLE PORTAL CREATED (60) Requires the department of revenue to create and implement an electronic database or online platform that allows a police department to input abandoned, immobile, or unattended vehicle information for public notice to be made through the motor vehicle portal; (61) Authorizes the department of revenue to charge a police department a fee to cover the cost of creating and administering the motor vehicle portal; (62) Authorizes the commissioner of revenue to promulgate rules to effectuate the provisions under this heading; FEES - PERIOD EXCEEDING 21 DAYS (63) Prohibits a person engaged in the business of towing motor vehicles by tow truck or otherwise or the storing of such motor vehicles for any type of remuneration, whether as the principal business of the person or as an incidence to the person's principal business, from charging the owner or lienholder of a stored motor vehicle a storage fee for a period exceeding 21 days without the consent of the owner or lienholder, except as otherwise provided by this act; (64) Prohibits a person engaged in a business described under this heading from charging a storage fee for any day on which the vehicle is not available for release to the owner, lienholder, or insurer, unless the failure to release is based on a hold placed on the vehicle by law enforcement; (65) Provides that, upon provision of documentation from an insurer or lienholder showing its right to take custody of a vehicle, requires a person engaged in a business described under this heading to release the vehicle to the insurer or lienholder, or an authorized agent or representative for such insurer or lienholder, upon the insurer's or lienholder's payment of reasonable charges due, without requiring additional consent from the owner of the motor vehicle. The insurer or lienholder must indemnify and hold harmless the releasing person or entity from any action, cause of action, claim, judgment, loss, liability, damage, or cost that it may incur due to wrongful release of the motor vehicle to an authorized agent or representative of the insurer or lienholder; FEES - PERIOD EXCEEDING 21 DAYS - NOTICE (66) Authorizes a person engaged in the business of towing and storing motor vehicles to charge a storage fee for a period exceeding 21 days if the last known registered owner of the motor vehicle and all lienholders of record are notified using a nationally recognized overnight delivery carrier, other than the United States postal service, requesting proof of delivery, of the intent to charge a storage fee for a period to exceed 21 days. The notice must be given at least 10 days prior to the imposition of any additional storage fee; TOWING AND STORAGE FEES (67) Prohibits a person engaged in the business of towing motor vehicles by tow truck or otherwise or the storing of such motor vehicles for any type of remuneration, whether as the principal business of the person or incidental to the person's principal business, from charging a person for the towing or storage of a motor vehicle (i) a fee charged at a higher rate than the maximum fee that has been approved by the Tennessee highway patrol district to be charged for the same service by persons engaged in a business described under this heading that serve on the Tennessee highway patrol dispatch towing list; (ii) a gate, access, or release fee during normal business hours for any day during which daily storage is also being charged; or (iii) a release fee of more than $100; GARAGEKEEPER'S LIEN (68) Establishes that garagekeepers are entitled to a lien upon all motor vehicles that lawfully come into their possession and are retained in their possession until all reasonable charges due are paid. A garagekeeper may, after 30 days, enforce such lien in the manner prescribed for the enforcement of artisans' liens under state law; except, that the garagekeeper: (i) is only required to advertise the sale on the department of revenue website developed pursuant to this act; and (ii) must include the vehicle identification number (VIN), if it is ascertainable, in the notice and in the advertisement of the sale described in state law relative to artisans' liens; (69) Provides that, if the motor vehicle, including any associated rental equipment, clearly identifies a rental vehicle company, the United States department of transportation (USDOT) number issued by the federal motor carrier safety administration (FMCSA), a registration plate issued and attached to the motor vehicle, or a registration plate issued and attached to a trailer, and a garagekeeper lawfully comes into possession of the vehicle and any associated equipment, requires the garagekeeper to notify the rental vehicle company, the owner of the motor vehicle identified by the USDOT number, or the owner assigned to the registration plate issued and attached to the motor vehicle or a registration plate issued and attached to the trailer, at the address identified with the USDOT number, rental equipment information, or the vehicle's registration within three business days of taking possession of such vehicle or equipment using a nationally recognized overnight delivery carrier, other than the United States postal service, requesting proof of delivery; (70) Requires the commissioner of commerce and insurance or the commissioner's designee to notify the commissioner of safety of violations under this heading. Upon receiving such notice, the commissioner of safety must suspend any contract that the state may have for towing services with the garagekeeper for a period of 60 days or notify the appropriate authority to suspend all such contracts with the state; (71) Provides that, in addition to any other penalty provided for a violation of this heading, such a violation is also a violation of the TCPA and an unfair or deceptive act or practice affecting trade or commerce, and is subject to the penalties and remedies as provided in the TCPA, in addition to the penalties and remedies provided under this heading; (72) Establishes that the attorney general has all of the investigative and enforcement authority that the attorney general has under the TCPA relating to alleged violations under this heading. The attorney general may institute any proceedings involving alleged violations of this act in Davidson County circuit or chancery court or any other venue otherwise permitted by law. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under this heading; (73) Authorizes a rental vehicle company, the owner of the motor vehicle identified by the USDOT number, or the owner assigned to the registration plate issued and attached to the motor vehicle or a registration plate issued and attached to the trailer to seek relief under the TCPA, in addition to remedies provided under this heading; (74) Prohibits a garagekeeper from collecting any storage or related fees for any period of time in which the garagekeeper was in violation of this heading with respect to a motor vehicle or associated equipment; (75) Authorizes the commissioner of commerce and insurance to promulgate rules to effectuate this heading; (76) Establishes that this heading does not apply to new or used motor vehicle dealers; (77) Establishes that a person, firm, or entity does not have a right to a lien on a vehicle that has been towed in violation of state law. If the owner of the vehicle is not present, then within 15 minutes of a person, firm, or entity towing the vehicle pursuant to this act, the person, firm, or entity must notify local law enforcement of the VIN, registration information, license plate number, and description of the vehicle. A violation of this paragraph by a person, firm, or entity is a Class A misdemeanor. Local law enforcement must keep a record of such information, which must be available for public inspection; (78) Establishes that any authorization made by a police department to tow a vehicle must be made in writing. Such authorization must include (i) the name of the officer giving authorization; (ii) the year, make, model, and color of the vehicle to be towed; (iii) the reason for the tow; (iv) the license plate number, if any; and (v) the VIN, if it is ascertainable; (79) Requires the officer giving authorization to post a copy of the authorization with the vehicle and the copy of the authorization must remain with the vehicle until the vehicle is claimed by the owner; (80) Establishes that person, firm, or entity, unless licensed and regulated under state law relative to vehicle sales, does not have a right to a lien against a lienor, who is also the seller of such motor vehicle or who retains title under a title retention or conditional sale agreement, for repairs in excess of $250 made on such motor vehicle, unless the person, firm, or entity making the repairs has received a written authorization from the lienor or seller to make such repairs on the motor vehicle; and TCPA (81) Adds to the TCPA that violations of the following are unfair or deceptive practices: (i) provisions under the heading "Booting and Towing Prohibited on Commercial Parking Lots"; (ii) provisions under the heading "Requirements of Commercial Parking Lots"; (iii) provisions under the heading "Time for Towing"; and (iv) state law relative to a garagekeeper's or towing firm's lien. ON APRIL 22, 20240, THE HOUSE SUBSTITUTED SENATE BILL 1731 FOR HOUSE BILL 1731, ADOPTED AMENDMENTS #1 AND #2, AND PASSED SENATE BILL 1731, AS AMENDED. AMENDMENT #1 rewrites the bill as follows: (1) Removes from present law the following: (i) the unclaimed or abandoned vehicles chapter of the motor and other vehicles title; (ii) the motor vehicle storage act; and (iii) the Tennessee Information Protection Act; (2) Establishes the Modernization of Towing, Immobilization, and Oversight Normalization Act ("act"); BOOTING AND TOWING PROHIBITED ON COMMERCIAL PARKING LOTS (3) Establishes that it is an offense for a commercial parking lot owner to boot or tow a motor vehicle located on the lot owner's lot if the motor vehicle is not an abandoned, immobile, or unattended motor vehicle; (4) Establishes that it is not an offense for a licensed parking lot, or a licensed parking attendant on the licensed parking lot's behalf, to boot or tow motor vehicles located on the licensed parking lot if the licensed parking lot is located within the jurisdiction of a local government that has passed an ordinance pursuant to the bill and the licensed parking lot or licensed parking attendant boots or tows a motor vehicle in compliance with the ordinance; (5) Establishes that a violation of the provisions under this heading constitutes a violation of the Tennessee Consumer Protection Act of 1977 (TCPA). A violation under this heading constitutes an unfair or deceptive act or practice affecting trade or commerce and is subject to the penalties and remedies as provided in the TCPA, in addition to any penalties and remedies established under the bill; (6) Establishes that the attorney general has all of the investigative and enforcement authority that the attorney general has under the TCPA relating to alleged violations of the bill. If the attorney general and reporter reasonably believes that a person has violated the bill, then the attorney general and reporter may institute a proceeding under this heading. Costs of any kind or nature must not be taxed against the attorney general and reporter or the state in actions commenced under the bill; (7) In addition to the remedies described under this heading, establishes that a person injured as a result of a violation under this heading is entitled to maintain a private right of action for injunctive relief and to recover actual damages, compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; BOOTING PROHIBITED GENERALLY AND OF MOTOR VEHICLES IDENTIFIED BY USDOT NUMBER (8) Establishes that it is an offense for a person, other than a licensed parking attendant, to knowingly boot a motor vehicle in this state; (9) Establishes that it is an offense for a person to knowingly boot a motor vehicle in this state, whether on a commercial or private parking lot, if the motor vehicle is clearly identifiable by (i) a U.S. department of transportation (USDOT) number issued by the federal motor carrier safety administration (FMCSA); (ii) a registration plate issued and attached to the motor vehicle; or (iii) a registration plate issued and attached to a trailer; (10) Establishes that a violation under this heading is a Class B misdemeanor, and a violation for a second or subsequent offense is a Class A misdemeanor; LOCAL OPTION (11) If, after the effective date of this act, a local government passes an ordinance specifically opting to be governed under this heading, permits the local government to permit a licensed parking lot, or a licensed parking attendant on the licensed parking lot's behalf, to boot or tow on the licensed parking lot if the ordinance complies with the minimum requirements, as follows: (A) Requires the annual licensure of the commercial parking lot owner as a licensed parking lot and the issuance of a license number to the licensed parking lot; (B) Specifies in the annual licensure whether the licensure permits the licensed parking lot to boot, tow, or both boot and tow; (C) Requires the annual licensure of any employee authorized by the licensed parking lot to boot or tow from the lot as a licensed parking attendant and issue a license number and photo identification from the local government to the licensed parking attendant; (D) Prohibits any person from booting or towing a motor vehicle on a licensed parking lot except by a licensed parking attendant licensed by the local government pursuant to (3) above; (E) Requires licensed parking attendants licensed pursuant to (3) above to (i) prominently display the photo identification issued by the local government on the licensed parking attendant's person at all times when the licensed parking attendant is on duty and available to boot or tow a motor vehicle located on a licensed parking lot; and (ii) wear a distinctive uniform identifying the licensed parking attendant as an employee of the licensed parking lot at all times when the licensed parking attendant is on duty and available to boot or tow a motor vehicle located on the licensed parking lot; (F) Requires a licensed parking lot and licensed parking attendant to accept credit cards and debit cards as methods of payment for the removal of a vehicle immobilization device from a motor vehicle; (G) Requires a licensed parking lot to maintain a phone number that is monitored by a natural person 24 hours per day, seven days per week; (H) Requires a licensed parking lot to post signage at the terminal end of each parking spot that is subject to being booted or towed bearing notice of the following: (i) That the parking policy for the property is strictly enforced; (ii) That a violator's vehicle will be (a) immobilized with a vehicle immobilization device with the owner of the vehicle having to pay to have the device removed, if the licensed parking lot has been licensed by the local government to boot vehicles; (b) towed at the owner's expense, if the licensed parking lot has been licensed by the local government to tow vehicles; or (c) both, if the licensed parking lot has been licensed by the local government to boot and tow vehicles; (iii) Of the name of the licensed parking lot, the licensed parking lot registration number issued by the local government, and phone number; and (iv) That the bill protects consumers from booting and towing violations and that violations may be reported to the attorney general and reporter and the phone number for the enforcement division of the local government; (I) Requires that the signage required by (8) be no less than 24 inches in height and 18 inches in width and contain lettering that is no less than two inches in height and be viewable from the driver's seat of an average motor vehicle parked in the parking spot; (J) Requires that immediately upon booting a vehicle, the licensed parking attendant must place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat indicating (i) that a vehicle immobilization device has been installed on the motor vehicle and that damage could occur if the vehicle is moved without first removing the vehicle immobilization device; (ii) the information in (8)(C) and(D); (iii) the name, license number issued by the local government, and direct contact number for the licensed parking attendant who has booted the motor vehicle; and (iv) the date and time that the vehicle immobilization device was installed on the motor vehicle; (K) Requires a licensed parking lot to pay for any damage done to a motor vehicle if the notice required is not posted; (L) Requires a licensed parking lot to have a licensed parking attendant arrive at the licensed parking lot within 30 minutes of a call requesting the removal of a vehicle immobilization device and immediately remove the device upon satisfactory payment of any parking fee and vehicle immobilization device removal fee; (M) Prohibits a licensed parking lot from charging a vehicle immobilization device removal fee of greater than $75; (N) Prohibits a licensed parking lot from charging any fee to remove a vehicle immobilization device to a person who had paid to park and who was improperly booted by the licensed parking lot or a licensed parking attendant; and (O) Provides for the revocation of any license issued pursuant to the ordinance for violations of the ordinance or the bill; (12) Establishes that the provisions under this heading do not prohibit a local government from passing an ordinance with requirements that are stricter than the minimum requirements in (A)-(O), above; (13) Establishes that the provisions under this heading do not prohibit a local government from booting a motor vehicle that is located on public property; however, if the local government boots a motor vehicle on public property, then the local government must immediately, upon booting the motor vehicle, place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat indicating (i) that a vehicle immobilization device has been installed on the motor vehicle and that damage could occur if the vehicle is moved without first removing the vehicle immobilization device; (ii) the name of the local government official who booted the motor vehicle; (iii) the date and time the motor vehicle was booted; and (iv) the contact number the owner of the motor vehicle must call to have the vehicle immobilization device removed from the vehicle; REQUIREMENTS OF COMMERCIAL PARKING LOTS (14) Prohibits a commercial parking lot owner in this state from doing the following: (A) Utilizing an automatic license plate reader to enforce the lot owner's parking requirements without first posting a sign that (i) contains red lettering that is no less than six inches in height displayed on a white background; (ii) contains the language "LICENSE PLATE READER IN USE"; and (iii) is located at each designated entrance to the property, or, if there is no designated entrance, is erected in a place that is clearly visible from each parking space; and (B) Charging a penalty for non-payment of parking fees for a first violation in excess of the actual cost of the unpaid cost to park; however, a commercial parking lot owner may charge a late fee of up to $50 in addition to the actual cost of the unpaid cost to park if the actual cost of the unpaid cost to park is not paid within 30 calendar days; (15) Establishes that a violation under this heading constitutes a violation of the TCPA; (16) Establishes that a violation under this heading constitutes an unfair or deceptive act or practice affecting trade or commerce and is subject to the penalties and remedies as provided in the TCPA, in addition to any penalties and remedies established under the bill; (17) Establishes that the attorney general has all of the investigative and enforcement authority that the attorney general and reporter has under the TCPA relating to alleged violations of the bill. If the attorney general reasonably believes that a person has violated the bill, authorizes the attorney general to institute a proceeding under this heading. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under the bill; (18) In addition to the remedies provides under this heading, establishes that a person injured as a result of a violation under this heading is entitled to maintain a private right of action for injunctive relief and to recover compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; UNCLAIMED OR ABANDONED VEHICLES (19) Authorizes a police department to take into custody a motor vehicle found abandoned, immobile, unattended, or used in curbstoning on public or private property; however, a motor vehicle used in curbstoning on residential property must not be taken into custody unless the police department provides notice on the motor vehicle at least 48 hours prior to the seizure; (20) Authorizes a police department to employ its own personnel, equipment, and facilities or hire persons, equipment, and facilities for the purpose of removing, preserving, and storing motor vehicles that are abandoned, immobile, unattended, or used in curbstoning; (21) Establishes that any motor vehicle used in curbstoning is subject to seizure and forfeiture in the same manner as provided by law for seizure and forfeiture of other items under state law; (22) Establishes that the provisions under this heading do not limit a local government's initiative for more restrictive requirements regarding the sale of curbstoned vehicles; NOTICE AND PENALTY (23) Requires a police department that takes into custody an abandoned, immobile, or unattended motor vehicle, to, within three business days after taking the motor vehicle into custody, verify ownership of the motor vehicle. The police department must, within three business days after receiving verification of ownership, notify by a nationally recognized overnight delivery carrier, other than the USPS, requesting proof of delivery, the last known registered owner of the motor vehicle and all lienholders of record that the vehicle has been taken into custody. The notice must do the following: (A) Describe the year, make, model, and vehicle identification number of the abandoned, immobile, or unattended motor vehicle; (B) Stipulate the location of the facility where the motor vehicle is being held; (C) Inform the owner and any lienholders of the right to reclaim the motor vehicle within (20 days after the date of the notice, upon payment of all towing, preservation, and storage charges resulting from placing the vehicle in custody; and (D) State that the failure of the owner or lienholder to exercise the right to reclaim the vehicle within the time provided is deemed a waiver by the owner and all lienholders of all right, title, and interest in the vehicle and consent to the sale of the abandoned, immobile, or unattended motor vehicle at a public auction; (24) Establishes that a police department is not required to comply with (A)-(D) under this heading if it provides preseizure notice to the owner of the motor vehicle and all lienholders of record that the vehicle has been found to be abandoned, immobile, or unattended. (25) Requires that a preseizure notice be sent by a nationally recognized overnight delivery carrier, other than the USPS, requesting proof of delivery, to the last known address of the owner of record and to all lienholders of record; (26) Requires the preseizure notice to comply with the following: (A) Be written in plain language; (B) Contain the year, make, model, and vehicle identification number of the motor vehicle, if ascertainable; (C) Provide the location of the motor vehicle, and a statement advising the owner that the police department will take the abandoned, immobile, or unattended vehicle into custody in no less than 20 days, unless the owner appeals the determination by the police department that the vehicle is abandoned, immobile, or unattended or the owner removes the vehicle from the property within the twenty-day period; (D) Inform the owner and any lienholders of the right to reclaim the motor vehicle after it is taken into custody but before it is sold or demolished, upon payment of all towing, preservation, storage, or other charges resulting from placing the vehicle in custody; and (E) State that the failure of the owner or lienholders to exercise the right to reclaim the vehicle will be deemed a waiver by the owner and all lienholders of all right, title, and interest in the vehicle and consent to the demolition of the vehicle or its sale at a public auction; (27) If the owner or lienholder cannot be located through the exercise of due diligence, requires the police department to make notice within three business days of receipt of the delivery confirmation by posting the abandoned, immobile, or unattended motor vehicle on the motor vehicle portal; (28) If the owner or lienholder of an abandoned, immobile, or unattended motor vehicle fails to appeal the determination that the vehicle is abandoned, immobile, or unattended or fails to remove the motor vehicle within 20 days from receipt of the preseizure notice, authorizes the police department to take the vehicle into custody; (29) If an appeal is made, prohibits the police department from taking the motor vehicle into custody while the appeal is pending; (30) Establishes that, without exception, failure to appeal within the specific time period constitutes a waiver of the right of appeal; (31) If there is no response to the notice requesting proof of delivery, requires the police department to make notice within three business days of receipt of the delivery confirmation by posting the abandoned, immobile, or unattended motor vehicle on the motor vehicle portal; (32) Requires that the consequences and effect of failure to reclaim an abandoned, immobile, or unattended motor vehicle be as described in a valid notice; (33) If the owner of a motor vehicle is not present at the time the motor vehicle is towed, then within 15 minutes of a person, firm, or entity towing the motor vehicle, requires such person, firm, or entity to notify local law enforcement of the vehicle identification number (VIN), registration information, license plate number, and description of the vehicle. A violation of this requirement is a Class B misdemeanor. A police department must keep a record of all information required, that the police department must make available for public inspection; (34) If an employee of a public agency, a towing company contracting with a public agency, or a towing company authorized to tow by a private property owner or the private property owner's authorized agent, takes possession of a motor vehicle found abandoned, immobile, or unattended, requires an employee of the agency to verify ownership through the Tennessee information enforcement system (TIES) and place the ownership information on the towing sheet or form. The agency must also provide the ownership information to a garagekeeper with whom the agency has a contract or to a towing company authorized to tow by a private property owner or private property owner's authorized agent, as applicable. If a public agency attempts to verify ownership information through TIES and the response is "Not on File," then the agency must contact the department of revenue title and registration division, which must search records not contained in TIES for the ownership information. If the title and registration division locates ownership information through this search, then the division must notify the appropriate public agency and the agency must distribute the information. When any other person takes possession of a motor vehicle found abandoned, immobile, or unattended, the action must be reported immediately to the taxpayer and vehicle services division for verification of ownership on a form prescribed and provided by the registrar of motor vehicles; (35) In addition to the other notification requirements described under this heading, requires a garagekeeper that has in its possession an abandoned, immobile, or unattended motor vehicle taken into custody by a police department or authorized by a private property owner or the private property owner's authorized agent to be towed, and in whose possession the motor vehicle was lawfully placed by the police department or authorized to be placed by a private property owner or the private property owner's authorized agent, to, within three business days after the motor vehicle is taken into its possession, verify ownership of the motor vehicle. The garagekeeper must, within three business days after receiving verification of ownership, provide notice to the last known registered owner of the motor vehicle and all lienholders of record. The other notification requirements listed under this heading apply to the notice required to be provided by a garagekeeper; (36) Establishes that a garagekeeper that does not verify ownership of a motor vehicle within three business days after taking possession of the motor vehicle or that does not notify by requesting proof of delivery in the manner required under this heading the owner of the motor vehicle within three business days after receiving verification of ownership from the appropriate state department or agency, is not entitled to receive more than six days of storage-related expenses. A garagekeeper that is found by a court of competent jurisdiction to have failed to release a motor vehicle upon the presentment of payment for towing and storage expenses is subject to civil liability to the motor vehicle owner, secured creditor, lessor, or lienholder who prevails in an action brought under this heading for reasonable costs and attorney fees incurred by the person instituting the action; (37) Establishes that if the owner of the motor vehicle or the owner's agent is present at the time a garagekeeper commences towing the owner's or agent's motor vehicle, then the provisions under this heading relative to garagekeepers do not apply to the garagekeeper;, however, this does not exempt the garagekeeper from any other notification requirements under this heading or other provision of law; AUCTIONS AND AUCTIONEERS (38) If an abandoned, immobile, or unattended motor vehicle has not been reclaimed as provided under the heading "Notice and Penalty," requires the police department to sell the abandoned, immobile, or unattended motor vehicle at a public auction; (39) Establishes that the purchaser of the motor vehicle takes title to the motor vehicle free and clear of all liens and claims of ownership, and must receive a sales receipt from the police department, and, upon presentation of the sales receipt, the department of revenue must issue a certificate of title to the purchaser; (40) Establishes that the sales receipt only is sufficient title for purposes of transferring the motor vehicle to a demolisher for demolition, wrecking, or dismantling, and, in this case, further titling of the motor vehicle is not necessary; (41) Requires that the proceeds of the sale of an abandoned, immobile, or unattended motor vehicle be used for payment of the expenses of the auction, the costs of towing, preserving, and storing the abandoned, immobile, or unattended motor vehicle, and all notice and publication costs, including costs to post the motor vehicle on the motor vehicle portal; (42) Requires that any remainder from the proceeds of a sale be held for the owner of the motor vehicle or entitled lienholder for 60 days, and then be deposited in a special fund that must remain available for the payment of auction, towing, preserving, storage, and all notice and publication costs, including costs to post the motor vehicle on the motor vehicle portal, that result from placing other abandoned, immobile, or unattended vehicles in custody, whenever the proceeds from a sale of other abandoned, immobile, or unattended motor vehicles are insufficient to meet these expenses and costs; GARAGEKEEPERS (43) Authorizes the police department through its chief officer, after complying "Notice and Penalty," above, to execute a written waiver of its right to sell a vehicle taken into custody in favor of a garagekeeper in whose possession the vehicle was lawfully placed by the police department. If a garagekeeper has made repairs to a vehicle for which a waiver has been executed, then the garagekeeper may proceed to enforce the lien as provided in state law. If the garagekeeper has not made repairs to a vehicle for which a waiver has been executed, then the garagekeeper may proceed to sell the vehicle in accordance with the procedure established under the heading "Auctions and Auctioneers"; (44) As to third-party purchasers, the sale of the abandoned, immobile, or unattended vehicle is valid, but requires the garagekeeper to sell the vehicle in a commercially reasonable manner. A person injured as a result of a violation of is entitled to maintain a private right of action for injunctive relief and to recover actual damages, compensatory damages, punitive damages, and reasonable attorney fees against an alleged violator; DEMOLISHERS (45) Authorizes a person, firm, corporation, or unit of government, upon whose property or in whose possession is found an abandoned, immobile, or unattended motor vehicle, or a person being the owner of a motor vehicle whose title certificate is faulty, lost, or destroyed, to apply to the police department of the jurisdiction in which the vehicle is situated for authority to sell, give away, or dispose of the vehicle to a demolisher; (46) Requires the application to set out the name and address of the applicant, the year, make, model, and vehicle identification number of the motor vehicle, if ascertainable, together with any other identifying features, and contain a concise statement of the facts surrounding the abandonment, or that the title of the motor vehicle is lost or destroyed, or the reasons for the defect of title. The applicant must execute an affidavit stating that the facts alleged therein are true and that no material fact has been withheld; (47) If the police department finds that the application is executed in proper form and shows that the motor vehicle has been abandoned, immobile, or unattended upon the property of the applicant or if it shows that the motor vehicle is not abandoned, immobile, or unattended but that the applicant appears to be the rightful owner, requires the police department to follow the notification procedures set forth under the heading "Notice and Penalty"; (48) If an abandoned, immobile, or unattended motor vehicle is not reclaimed in accordance with "Notice and Penalty," requires the police department to give the applicant a certificate of authority to sell the motor vehicle to any demolisher for demolition, wrecking, or dismantling. The demolisher must accept the certificate in lieu of the certificate of title to the motor vehicle; (49) Authorizes a person, firm, corporation, or unit of government upon whose property or in whose possession is found an abandoned, immobile, or unattended motor vehicle, or a person being the owner of a motor vehicle whose title certificate is faulty, lost, or destroyed, to dispose of the motor vehicle to a demolisher without that title and without the notification procedures under "Notice and Penalty," if the motor vehicle is over 10 years old and has no engine or is otherwise totally inoperable; and (50) If a vehicle does have an engine, and is properly licensed but otherwise fits the description under this heading, requires such vehicle left on a public highway or street and pulled in at the direction of local or state law enforcement officials to be held at least 10 days. If, at the end of that period, no claim has been received for the vehicle, then the vehicle may then be disposed of in accordance with the provisions under this heading. This does not apply in counties with a metropolitan form of government, in which counties (49) remains in full force and effect; DEMOLISHERS - SURRENDER OF CERTIFICATE OF TITLE OR RECEIPT - RECORDS (51) Establishes that a demolisher who purchases or otherwise acquires a motor vehicle for purposes of wrecking, dismantling, or demolition is not required to obtain a certificate of title for the motor vehicle in the demolisher's name. After the motor vehicle has been demolished, processed, or changed so that it physically is no longer a motor vehicle, the demolisher must surrender for cancelation the certificate of title or auction sales receipt. The taxpayer and vehicle services division must issue forms and rules governing the surrender of auction sales receipts and certificates of title as are appropriate; (52) Requires a demolisher to keep an accurate and complete record of all motor vehicles purchased or received in the course of the demolisher's business. Such records must contain the name and address of the person from whom each motor vehicle was purchased or received and the date when the purchase or receipt occurred. The demolisher must make the records open for inspection by any police department at any time during normal business hours. A record required under this heading must be kept by the demolisher for at least one year after the date of the transaction to which it applies; TIME FOR TOWING (53) Prohibits a vehicle from being towed without authorization by the owner of the vehicle until 12 hours have elapsed since it was first observed to be abandoned, immobile, or unattended unless the vehicle is creating a hazard, blocking access to public or private property, or parked illegally; (54) Requires a tow truck operator to immediately release a motor vehicle that the operator has begun to tow but which has not left the parking area if the motor vehicle owner arrives and pays a release fee; (55) Establishes that a violation under this heading is a Class B misdemeanor; (56) In addition to any other penalty provided for under this heading, a violation under this heading is also a violation of the TCPA. Such a violation constitutes an unfair or deceptive act or practice affecting trade or commerce, and is subject to the penalties and remedies as provided in the TCPA; (57) Establishes that the attorney general has all of the investigative and enforcement authority that the attorney general has under the TCPA relating to violations under this heading. The attorney general may institute any proceedings involving alleged violations of the bill in Davidson County circuit or chancery court or any other venue otherwise permitted by law. Costs of any kind or nature must not be taxed against the attorney general or the state in actions commenced under this heading; EXPRESS WRITTEN AUTHORIZATION (58) In order for a garagekeeper to tow or store a vehicle, requires the garagekeeper to obtain an express written authorization for towing and storage of each vehicle from a law enforcement officer with appropriate jurisdiction, from the owner of the vehicle, or from the owner or the authorized agent of the owner, of the private property from which the vehicle is to be towed. The authorization must include all of the information required by state law on garagekeeper's liens. In addition to any other penalty provided by the bill or state law relative to liens on vehicles, a violation under this heading is a Class B misdemeanor; (59) Establishes that this heading and a garagekeeper's lien under present law do not apply to new or used motor vehicle dealers licensed under state law; TOWING FIRMS - REFERRAL - PENALTY (60) Prohibits a towing firm from making, conferring, or offering any payment or other pecuniary benefit to an owner or manager of property from which the firm has towed a vehicle with the intent of rewarding the owner or manager for referring the vehicle for towing; (61) Prohibits an owner or manager of property from which a towing firm has towed a vehicle from soliciting or receiving any payment or other pecuniary benefit from a towing firm in exchange for referring a vehicle for towing to the firm; (62) Establishes that a violation under this heading is a Class B misdemeanor; MOTOR VEHICLE PORTAL CREATED (63) Requires he department of revenue to create and implement an electronic database or online platform that, on and after July 1, 2025, allows a police department or another user to input abandoned, immobile, or unattended vehicle information for public notice to be made through the motor vehicle portal; (64) On and after July 1, 2025, authorizes the department of revenue to charge a police department or another user of the portal a fee to cover the cost of creating and administering the motor vehicle portal created pursuant to the bill; (65) Authorizes the commissioner of revenue to promulgate rules to effectuate the bill; FEES - PERIOD EXCEEDING 21 DAYS (66) Prohibits a person engaged in the business of towing motor vehicles by tow truck or otherwise or the storing of such motor vehicles for any type of remuneration, whether as the principal business of the person or as an incidence to the person's principal business, from charging the owner or lienholder of a stored motor vehicle a storage fee for a period exceeding 21 days without the consent of the owner or lienholder, except as otherwise provided under the heading "Fees - Period Exceeding 21 Days - Notice," below; (67) Prohibits such a person engaged in a business from charging a storage fee for any day on which the vehicle is not available for release to the owner, lienholder, or insurer, unless the failure to release is based on a hold placed on the vehicle by law enforcement; (68) Upon provision of documentation from an insurer or lienholder showing its right to take custody of a vehicle, requires a person engaged in a business described under this heading to release the vehicle to the insurer or lienholder, or an authorized agent or representative for such insurer or lienholder, upon the insurer's or lienholder's payment of reasonable charges due, without requiring additional consent from the owner of the motor vehicle. The insurer or lienholder must indemnify and hold harmless the releasing person or entity from any action, cause of action, claim, judgment, loss, liability, damage, or cost that it may incur due to wrongful release of the motor vehicle to an authorized agent or representative of the insurer or lienholder; FEES - PERIOD EXCEEDING 21 DAYS - NOTICE (69) Authorizes a person engaged in the business of towing and storing motor vehicles to charge a storage fee for a period exceeding 21 days if the last known registered owner of the motor vehicle and all lienholders of record are notified using a nationally recognized overnight delivery carrier, other than the USPS, requesting proof of delivery, of the intent to charge a storage fee for a period to exceed 21 days. The notice must be given at least 10 days prior to the imposition of any additional storage fee; TOWING AND STORAGE FEES (70) Prohibits a person engaged in the business of towing motor vehicles by tow truck or otherwise or the storing of such motor vehicles for any type of remuneration, whether as the principal business of the person or incidental to the person's principal business, from charging a person for the towing or storage of a motor vehicle (i) a fee charged at a higher rate than the maximum fee that has been approved by the Tennessee highway patrol district to be charged for the same service by persons engaged in a business described in the bill; (ii) a gate, access, or release fee during normal business hours for any day during which daily storage is also being charged; or (iii) a release fee of more than one hundred dollars $100; GARAGEKEEPER'S OR TOWING FIRM'S LIEN (71) Replaces the present law relative to a garagekeeper's or towing firm's lien as follows: (A) Establishes that garagekeepers are entitled to a lien upon all motor vehicles that lawfully come into their possession and are retained in their possession until all reasonable charges due are paid. A garagekeeper may, after 30 days, enforce such lien in the manner prescribed for the enforcement of artisans' liens under state law; except, that the garagekeeper (i) is only required to advertise the sale on the department of revenue website developed pursuant the bill; and (ii) must include the vehicle identification number (VIN), if it is ascertainable, in the notice required and in the advertisement of the sale; (B) If the motor vehicle, including any associated rental equipment, clearly identifies a rental vehicle company, the USDOT number issued by the FMCSA, a registration plate issued and attached to the motor vehicle, or a registration plate issued and attached to a trailer, and a garagekeeper lawfully comes into possession of the vehicle and any associated equipment, requires the garagekeeper to notify the rental vehicle company, the owner of the motor vehicle identified by the USDOT number, or the owner assigned to the registration plate issued and attached to the motor vehicle or a registration plate issued and attached to the trailer, at the address identified with the USDOT number, rental equipment information, or the vehicle's registration within three business days of taking possession of such vehicle or equipment using a nationally recognized overnight delivery carrier, other than the United States postal service, requesting proof of delivery; (C) Requires the commissioner of commerce and insurance or the commissioner's designee to notify the commissioner of safety of violations under this heading. Upon receiving such notice, the commissioner of safety must suspend any contract that the state may have for towing services with the garagekeeper for a period of 60 days or notify the appropriate authority to suspend all such contracts with the state; (D) In addition to any other penalty provided for a violation under this heading, a violation of (A) under this heading is also a violation of the TCPA. A violation of (1) under this heading constitutes an unfair or deceptive act or practice affecting trade or commerce, and is subject to the penalties and remedies as provided in the TCPA, in addition to the penalties and remedies provided under this heading; (E) Establishes that the attorney general has all of the investigative and enforcement authority that the attorney general and reporter has under the TCPA relating to alleged violations under this heading. The attorney general and reporter may institute any proceedings involving alleged violations of the bill in Davidson County circuit or chancery court or any other venue otherwise permitted by law. Costs of any kind or nature must not be taxed against the attorney general and reporter or the state in actions commenced under this heading; (F) Authorizes a rental vehicle company, the owner of the motor vehicle identified by the USDOT number, or the owner assigned to the registration plate issued and attached to the motor vehicle or a registration plate issued and attached to the trailer to seek relief under the TCPA, in addition to remedies provided under this heading; (G) Prohibits a garagekeeper from collecting any storage or related fees for any period of time in which the garagekeeper was in violation of (A) with respect to a motor vehicle or associated equipment; (H) Authorizes the commissioner of commerce and insurance to promulgate rules to effectuate the bill; (I) Establishes that the provisions under this heading do not apply to new or used licensed motor vehicle dealers; (J) Establishes that a person, firm, or entity does not have a right to a lien on a vehicle that has been towed in violation of state law. If the owner of the vehicle is not present, then within 15 minutes of a person, firm, or entity towing the vehicle pursuant to the bill, the person, firm, or entity must notify local law enforcement of the VIN, registration information, license plate number, and description of the vehicle. A violation of this (7) by a person, firm, or entity is a Class A misdemeanor. Local law enforcement must keep a record of such information, which must be available for public inspection; (K) Requires that any authorization made by a police department to tow a vehicle must be in writing. Such authorization must include (i) the name of the officer giving authorization; (ii) the year, make, model, and color of the vehicle to be towed; (iii) the reason for the tow; (iv) the license plate number, if any; and (v) the VIN, if it is ascertainable; (L) Requires the officer giving authorization to post a copy of the authorization with the vehicle and the copy of the authorization must remain with the vehicle until the vehicle is claimed by the owner; and (M) Establishes that a person, firm, or entity, unless licensed and regulated under state law relative to motor vehicle sales licenses does not have a right to a lien against a lienor, who is also the seller of such motor vehicle or who retains title under a title retention or conditional sale agreement, for repairs in excess of $250 made on such motor vehicle, unless the person, firm, or entity making the repairs has received a written authorization from the lienor or seller to make such repairs on the motor vehicle; UNFAIR OR DECEPTIVE PRACTICES PROHIBITED (72) Establishes that a violation of state law relative to forms of payment to be accepted by a company and posting of signage is not an unfair or deceptive practice; and (73) Establishes that violations of the following are unfair and deceptive practices: (i) the provisions under the heading "Booting and Towing Prohibited on Commercial Parking lots"; (ii) the provisions under the heading "Requirements of Commercial Parking Lots"; (iii) the provisions under the heading "Time for Towing"; and (iv) present law relative to a garagekeeper's or towing firm's lien. AMENDMENT #2 makes the following changes: (1) Adds to the definition of an "abandoned motor vehicle" by providing that an "abandoned motor vehicle" also means a motor vehicle that has remained on private residential property without the consent of the owner or person in control of the property; (2) Revises the provision in the bill that defines an "automatic license plate reader" to mean one or more mobile or fixed automated high-speed cameras used in combination with computer algorithms to convert images of license plates into computer-readable data by, instead, defining an "automatic license plate reader" to mean one or more mobile or fixed automated high-speed cameras used in combination with computer algorithms to convert images of vehicles or license plates into computer-readable data that can be used to determine the ownership of a motor vehicle; (3) Revises the provision in the bill that defines a "licensed parking lot" to mean a commercial parking lot licensed by a local government by, instead, defining a "licensed parking lot" to mean a commercial parking lot owner licensed by a local government; (4) Revises the provision in the bill requiring a licensed parking lot to post signage at the terminal end of each parking spot that is subject to being booted or towed bearing notice (i) that the parking policy for the property is strictly enforced; (ii) that a violator's vehicle will be immobilized with a vehicle immobilization device with the owner of the vehicle having to pay to have the device removed, if the licensed parking lot has been licensed by the local government to boot vehicles, towed at the owner's expense, if the licensed parking lot has been licensed by the local government to tow vehicles, or both, if the licensed parking lot has been licensed by the local government to boot and tow vehicles; (iii) of the name of the licensed parking lot, the licensed parking lot registration number issued by the local government, and the phone number of the licensed parking lot; and (iv) that the bill protects consumers from booting and towing violations and that violations may be reported to the attorney general and reporter and the phone number for the enforcement division of the local government by, instead, requiring a licensed parking lot to post signage in conspicuous locations on the property bearing the notice mentioned in (i)-(iv) above; (5) Revises the provision requiring that the signage required by (4) above be no less than 24 inches in height and 18 inches in width and contain lettering that is no less than two inches in height and be viewable from the driver's seat of an average motor vehicle parked in the parking spot by, instead, requiring the signage required by (4) above be no less than 36 inches in height and 24 inches in width and contain lettering that is no less than two inches in height and be located at each designated entrance to the property where parking prohibitions are to be effective, if a dedicated entrance to the licensed parking lot exists, and be erected so as to be clearly visible from each parking space; (6) Revises the provision in the bill requiring that immediately upon booting a vehicle, the licensed parking attendant must place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat by, instead, requiring that immediately upon booting a vehicle, the licensed parking attendant must place a notice conspicuously displayed on the driver's side window of the motor vehicle immediately in front of the driver's seat; (7) Revises the provision of the bill requiring a licensed parking lot to have a licensed parking attendant arrive at the licensed parking lot within 30 minutes of a call requesting the removal of a vehicle immobilization device and immediately remove the device upon satisfactory payment of any parking fee and vehicle immobilization device removal fee by, instead, requiring the licensed parking attendant to arrive at the licensed parking lot within 45 minutes; (8) Revises the provision in the bill providing that the bill does not prohibit a local government from booting a motor vehicle that is located on public property. However, if the local government boots a motor vehicle on public property, then the local government must immediately, upon booting the motor vehicle, place a notice conspicuously displayed on the windshield of the motor vehicle immediately in front of the driver's seat by, instead, requiring the local government to immediately, upon booting the motor vehicle, place a notice conspicuously displayed on the driver's side window of the motor vehicle immediately in front of the driver's seat; (9) Requires a local ordinance passed pursuant to the bill to, at a minimum require that all active parking rates must be available online and provided to consumers digitally at the licensed parking lot; (10) Revises the provision in the bill prohibiting a commercial parking lot owner in this state from utilizing an automatic license plate reader to enforce the lot owner's parking requirements without first posting a sign that (i) contains red lettering that is no less than six inches in height displayed on a white background; (ii) contains the language "LICENSE PLATE READER IN USE"; and (iii) is located at each designated entrance to the property, or if there is no designated entrance, is erected in a place that is clearly visible from each parking space by, instead, prohibiting a commercial parking lot owner in this state from utilizing an automatic license plate reader to enforce the lot owner's parking requirements without first posting signage that: (i) contains red lettering that is no less than six inches in height displayed on a white background; (ii) contains the language "LICENSE PLATE READER IN USE"; (iii) is located at each designated entrance to the property, if a dedicated entrance to the commercial parking lot exists; and (iv) is erected so as to be clearly visible from each parking space; (11) Revises the provision in the bill that prohibits a commercial parking lot owner in this state from charging a penalty for non-payment of parking fees for a first violation in excess of the actual cost of the unpaid cost to park. However, a commercial parking lot owner may charge a late fee of up to $50 in addition to the actual cost of the unpaid cost to park if the actual cost of the unpaid cost to park is not paid within 30 calendar days by, instead, prohibiting a commercial parking lot owner from charging a penalty for non-payment of parking fees unless: (A) The commercial parking lot posts signage that (i) contains red lettering that is no less than six inches in height displayed on a white background; (ii) provides notice that motor vehicle owners who leave the commercial parking lot without paying parking fees will be subject to a late fee if the parking fees are not paid within 72 hours; and (iii) is located at each designated exit of the commercial parking lot; (B) The actual cost of parking owed remains unpaid after 72 hours from the time the motor vehicle exited the commercial parking lot; and (C) (i) If the actual cost of parking owed remains unpaid for 30 days or less from the time the motor vehicle exited the commercial parking lot, the fee is not greater than $50; or (ii) if the actual cost of parking owed remains unpaid for greater than 30 days from time the motor vehicle exited the commercial parking lot, the fee is not greater than $75; and (12) Requires all revenues received from the fees to be earmarked and used for the administration and maintenance of the motor vehicle portal. All funds generated pursuant to the provisions relevant to the motor vehicle portal must be deposited into a special account earmarked solely for the purposes set forth in such provisions and any unexpended funds do not revert to the general fund and must be held in the account for use in accordance with this such provisions.

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Sponsor

Unknown

Details

Session

113th General Assembly

Introduced

January 9, 2024

Subjects

101048233300

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