New Jersey Senate Bill S3222

New Jersey 2022-2023 Regular Session

• Introduced: 10/27/22
• Refer: 10/27/22

Caption

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

Impact

The enactment of S3222 is anticipated to have significant implications for state laws governing towing practices. By mandating that fees be covered by insurance providers or, in the absence of insurance, the State Motor Vehicle Commission, the bill shifts the financial responsibility away from vehicle owners. This legislative change is positioned to directly support victims of vehicle theft, ensuring that recovering their stolen property does not come with additional financial stress.

Summary

Senate Bill S3222 aims to amend the existing 'Predatory Towing Prevention Act' by prohibiting towing companies from charging owners of stolen vehicles fees for the release of their recovered vehicles from storage facilities, provided they present a police report confirming their vehicle was stolen. This law seeks to alleviate the financial burden on owners who might face hardship when attempting to recover their stolen property. The bill explicitly allows for a 72-hour window after law enforcement contacts the vehicle owner regarding the recovery of their car, during which they can retrieve their vehicle without incurring any fees.

Contention

Despite its supportive intentions, S3222 has faced criticisms relating to potential loopholes and the impact on towing companies. Opponents of the bill argue that the measure could incentivize fraudulent claims of vehicle theft, as individuals might improperly use the fee waiver benefits. Additionally, there are concerns regarding how towing companies will manage the costs associated with maintaining storage for potentially lengthy durations if vehicles are not reclaimed within the stipulated 72 hours and how local municipalities might be affected if towing companies reduce services or fees due to changes in revenue structures.