SHB 1130 -
By Senators Nelson, Hobbs, Benton
ADOPTED 04/24/2013
Strike everything after the enacting clause and insert the following:
"Sec. 1 RCW 46.55.120 and 2009 c 387 s 3 are each amended to read
as follows:
(1)(a) Vehicles or other items of personal property registered or
titled with the department that are impounded by registered tow truck
operators pursuant to RCW 46.55.080, 46.55.085, 46.55.113, or 9A.88.140
may be redeemed only ((under the following circumstances)) by the
following persons or entities:
(((a) Only)) (i) The legal owner((,));
(ii) The registered owner((,));
(iii) A person authorized in writing by the registered owner ((or
the vehicle's insurer,));
(iv) The vehicle's insurer or a vendor working on behalf of the
vehicle's insurer;
(v) A third-party insurer that has a duty to repair or replace the
vehicle, has obtained consent from the registered owner or the owner's
agent to move the vehicle, and has documented that consent in the
insurer's claim file, or a vendor working on behalf of a third-party
insurer that has received such consent; provided, however, that at all
times the registered owner must be granted access to and may reclaim
possession of the vehicle. For the purposes of this subsection,
"owner's agent" means the legal owner of the vehicle, a driver in
possession of the vehicle with the registered owner's permission, or an
adult member of the registered owner's family;
(vi) A person who is determined and verified by the operator to
have the permission of the registered owner of the vehicle or other
item of personal property registered or titled with the department((,
or one)); or
(vii) A person who has purchased a vehicle or item of personal
property registered or titled with the department from the registered
owner who produces proof of ownership or written authorization and
signs a receipt therefor((, may redeem an impounded vehicle or items of
personal property registered or titled with the department)).
(b) In addition, a vehicle impounded because the operator is in
violation of RCW 46.20.342(1)(c) shall not be released until a person
eligible to redeem it under (a) of this subsection (((1)(a))) satisfies
the requirements of (((e))) (f) of this subsection, including paying
all towing, removal, and storage fees, notwithstanding the fact that
the hold was ordered by a government agency. If the department's
records show that the operator has been convicted of a violation of RCW
46.20.342 or a similar local ordinance within the past five years, the
vehicle may be held for up to thirty days at the written direction of
the agency ordering the vehicle impounded. A vehicle impounded because
the operator is arrested for a violation of RCW 46.20.342 may be
released only pursuant to a written order from the agency that ordered
the vehicle impounded or from the court having jurisdiction. An agency
shall issue a written order to release pursuant to a provision of an
applicable state agency rule or local ordinance authorizing release on
the basis of the following:
(i) Economic or personal hardship to the spouse of the operator,
taking into consideration public safety factors, including the
operator's criminal history and driving record; or
(ii) The owner of the vehicle was not the driver, the owner did not
know that the driver's license was suspended or revoked, and the owner
has not received a prior release under this subsection or RCW
46.55.113(3).
In order to avoid discriminatory application, other than for the
reasons for release set forth in (((a))) (b)(i) and (ii) of this
subsection, an agency shall, under a provision of an applicable state
agency rule or local ordinance, deny release in all other circumstances
without discretion.
If a vehicle is impounded because the operator is in violation of
RCW 46.20.342(1) (a) or (b), the vehicle may be held for up to thirty
days at the written direction of the agency ordering the vehicle
impounded. However, if the department's records show that the operator
has been convicted of a violation of RCW 46.20.342(1) (a) or (b) or a
similar local ordinance within the past five years, the vehicle may be
held at the written direction of the agency ordering the vehicle
impounded for up to sixty days, and for up to ninety days if the
operator has two or more such prior offenses. If a vehicle is
impounded because the operator is arrested for a violation of RCW
46.20.342, the vehicle may not be released until a person eligible to
redeem it under (a) of this subsection (((1)(a))) satisfies the
requirements of (((e))) (f) of this subsection, including paying all
towing, removal, and storage fees, notwithstanding the fact that the
hold was ordered by a government agency.
(((b))) (c) If the vehicle is directed to be held for a suspended
license impound, a person who desires to redeem the vehicle at the end
of the period of impound shall within five days of the impound at the
request of the tow truck operator pay a security deposit to the tow
truck operator of not more than one-half of the applicable impound
storage rate for each day of the proposed suspended license impound.
The tow truck operator shall credit this amount against the final bill
for removal, towing, and storage upon redemption. The tow truck
operator may accept other sufficient security in lieu of the security
deposit. If the person desiring to redeem the vehicle does not pay the
security deposit or provide other security acceptable to the tow truck
operator, the tow truck operator may process and sell at auction the
vehicle as an abandoned vehicle within the normal time limits set out
in RCW 46.55.130(1). The security deposit required by this section may
be paid and must be accepted at any time up to twenty-four hours before
the beginning of the auction to sell the vehicle as abandoned. The
registered owner is not eligible to purchase the vehicle at the
auction, and the tow truck operator shall sell the vehicle to the
highest bidder who is not the registered owner.
(((c))) (d) Notwithstanding (((b))) (c) of this subsection, a
rental car business may immediately redeem a rental vehicle it owns by
payment of the costs of removal, towing, and storage, whereupon the
vehicle will not be held for a suspended license impound.
(((d))) (e) Notwithstanding (((b))) (c) of this subsection, a motor
vehicle dealer or lender with a perfected security interest in the
vehicle may redeem or lawfully repossess a vehicle immediately by
payment of the costs of removal, towing, and storage, whereupon the
vehicle will not be held for a suspended license impound. A motor
vehicle dealer or lender with a perfected security interest in the
vehicle may not knowingly and intentionally engage in collusion with a
registered owner to repossess and then return or resell a vehicle to
the registered owner in an attempt to avoid a suspended license
impound. However, this provision does not preclude a vehicle dealer or
a lender with a perfected security interest in the vehicle from
repossessing the vehicle and then selling, leasing, or otherwise
disposing of it in accordance with chapter 62A.9A RCW, including
providing redemption rights to the debtor under RCW 62A.9A-623. If the
debtor is the registered owner of the vehicle, the debtor's right to
redeem the vehicle under chapter 62A.9A RCW is conditioned upon the
debtor obtaining and providing proof from the impounding authority or
court having jurisdiction that any fines, penalties, and forfeitures
owed by the registered owner, as a result of the suspended license
impound, have been paid, and proof of the payment must be tendered to
the vehicle dealer or lender at the time the debtor tenders all other
obligations required to redeem the vehicle. Vehicle dealers or lenders
are not liable for damages if they rely in good faith on an order from
the impounding agency or a court in releasing a vehicle held under a
suspended license impound.
(((e))) (f) The vehicle or other item of personal property
registered or titled with the department shall be released upon the
presentation to any person having custody of the vehicle of
commercially reasonable tender sufficient to cover the costs of towing,
storage, or other services rendered during the course of towing,
removing, impounding, or storing any such vehicle, with credit being
given for the amount of any security deposit paid under (((b))) (c) of
this subsection. In addition, if a vehicle is impounded because the
operator was arrested for a violation of RCW 46.20.342 or 46.20.345 and
was being operated by the registered owner when it was impounded under
local ordinance or agency rule, it must not be released to any person
until the registered owner establishes with the agency that ordered the
vehicle impounded or the court having jurisdiction that any penalties,
fines, or forfeitures owed by him or her have been satisfied.
Registered tow truck operators are not liable for damages if they rely
in good faith on an order from the impounding agency or a court in
releasing a vehicle held under a suspended license impound.
Commercially reasonable tender shall include, without limitation, cash,
major bank credit cards issued by financial institutions, or personal
checks drawn on Washington state branches of financial institutions if
accompanied by two pieces of valid identification, one of which may be
required by the operator to have a photograph. If the towing firm
cannot determine through the customer's bank or a check verification
service that the presented check would be paid by the bank or
guaranteed by the service, the towing firm may refuse to accept the
check. Any person who stops payment on a personal check or credit
card, or does not make restitution within ten days from the date a
check becomes insufficient due to lack of funds, to a towing firm that
has provided a service pursuant to this section or in any other manner
defrauds the towing firm in connection with services rendered pursuant
to this section shall be liable for damages in the amount of twice the
towing and storage fees, plus costs and reasonable attorney's fees.
(2)(a) The registered tow truck operator shall give to each person
who seeks to redeem an impounded vehicle, or item of personal property
registered or titled with the department, written notice of the right
of redemption and opportunity for a hearing, which notice shall be
accompanied by a form to be used for requesting a hearing, the name of
the person or agency authorizing the impound, and a copy of the towing
and storage invoice. The registered tow truck operator shall maintain
a record evidenced by the redeeming person's signature that such
notification was provided.
(b) Any person seeking to redeem an impounded vehicle under this
section has a right to a hearing in the district or municipal court for
the jurisdiction in which the vehicle was impounded to contest the
validity of the impoundment or the amount of towing and storage
charges. The district court has jurisdiction to determine the issues
involving all impoundments including those authorized by the state or
its agents. The municipal court has jurisdiction to determine the
issues involving impoundments authorized by agents of the municipality.
Any request for a hearing shall be made in writing on the form provided
for that purpose and must be received by the appropriate court within
ten days of the date the opportunity was provided for in ((subsection
(2)))(a) of this subsection and more than five days before the date of
the auction. At the time of the filing of the hearing request, the
petitioner shall pay to the court clerk a filing fee in the same amount
required for the filing of a suit in district court. If the hearing
request is not received by the court within the ten-day period, the
right to a hearing is waived and the registered owner is liable for any
towing, storage, or other impoundment charges permitted under this
chapter. Upon receipt of a timely hearing request, the court shall
proceed to hear and determine the validity of the impoundment.
(3)(a) The court, within five days after the request for a hearing,
shall notify the registered tow truck operator, the person requesting
the hearing if not the owner, the registered and legal owners of the
vehicle or other item of personal property registered or titled with
the department, and the person or agency authorizing the impound in
writing of the hearing date and time.
(b) At the hearing, the person or persons requesting the hearing
may produce any relevant evidence to show that the impoundment, towing,
or storage fees charged were not proper. The court may consider a
written report made under oath by the officer who authorized the
impoundment in lieu of the officer's personal appearance at the
hearing.
(c) At the conclusion of the hearing, the court shall determine
whether the impoundment was proper, whether the towing or storage fees
charged were in compliance with the posted rates, and who is
responsible for payment of the fees. The court may not adjust fees or
charges that are in compliance with the posted or contracted rates.
(d) If the impoundment is found proper, the impoundment, towing,
and storage fees as permitted under this chapter together with court
costs shall be assessed against the person or persons requesting the
hearing, unless the operator did not have a signed and valid
impoundment authorization from a private property owner or an
authorized agent.
(e) If the impoundment is determined to be in violation of this
chapter, then the registered and legal owners of the vehicle or other
item of personal property registered or titled with the department
shall bear no impoundment, towing, or storage fees, and any security
shall be returned or discharged as appropriate, and the person or
agency who authorized the impoundment shall be liable for any towing,
storage, or other impoundment fees permitted under this chapter. The
court shall enter judgment in favor of the registered tow truck
operator against the person or agency authorizing the impound for the
impoundment, towing, and storage fees paid. In addition, the court
shall enter judgment in favor of the registered and legal owners of the
vehicle, or other item of personal property registered or titled with
the department, for the amount of the filing fee required by law for
the impound hearing petition as well as reasonable damages for loss of
the use of the vehicle during the time the same was impounded against
the person or agency authorizing the impound. However, if an
impoundment arising from an alleged violation of RCW 46.20.342 or
46.20.345 is determined to be in violation of this chapter, then the
law enforcement officer directing the impoundment and the government
employing the officer are not liable for damages if the officer relied
in good faith and without gross negligence on the records of the
department in ascertaining that the operator of the vehicle had a
suspended or revoked driver's license. If any judgment entered is not
paid within fifteen days of notice in writing of its entry, the court
shall award reasonable attorneys' fees and costs against the defendant
in any action to enforce the judgment. Notice of entry of judgment may
be made by registered or certified mail, and proof of mailing may be
made by affidavit of the party mailing the notice. Notice of the entry
of the judgment shall read essentially as follows:
TO: . . . . . .
YOU ARE HEREBY NOTIFIED JUDGMENT was entered against you in the . . . . . . Court located at . . . . . . in the sum of $. . . . . ., in an action entitled . . . . . ., Case No. . . . . YOU ARE FURTHER NOTIFIED that attorneys fees and costs will be awarded against you under RCW . . . if the judgment is not paid within 15 days of the date of this notice.
DATED this . . . . day of . . . . . ., (year) . . .
SHB 1130 -
By Senators Nelson, Hobbs, Benton
ADOPTED 04/24/2013
On page 1, line 1 of the title, after "vehicles;" strike the remainder of the title and insert "and amending RCW 46.55.120."
EFFECT: Authorizes a third-party insurer, or a vendor working on
behalf of the third-party insurer, to redeem a vehicle from impound if
it has a duty to repair or replace the vehicle, has obtained consent
from the registered owner or the owner's agent to move the vehicle, and
has documented that consent in the insurer's claim file; provided,
however, that at all times the registered owner must be granted access
to and may reclaim possession of the vehicle.
Defines "owner's agent" as the legal owner of the vehicle, a driver
in possession of the vehicle with the registered owner's permission, or
an adult member of the registered owner's family.