1 | 1 | | 88R19540 DRS-D |
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2 | 2 | | By: King of Uvalde H.B. No. 3478 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to mediation of certain fee disputes between towing |
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8 | 8 | | companies and motor carriers. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Section 2303.154, Occupations Code, is amended |
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11 | 11 | | by amending Subsection (a) and adding Subsection (a-1) to read as |
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12 | 12 | | follows: |
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13 | 13 | | (a) Except as provided by Subsection (a-1), if [If] a |
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14 | 14 | | vehicle is not claimed by a person permitted to claim the vehicle |
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15 | 15 | | before the 10th day after the date notice is mailed or published |
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16 | 16 | | under Section 2303.151 or 2303.152, the operator of the vehicle |
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17 | 17 | | storage facility shall consider the vehicle to be abandoned and, if |
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18 | 18 | | required by the law enforcement agency with jurisdiction where the |
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19 | 19 | | vehicle is located, report the abandonment to the law enforcement |
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20 | 20 | | agency. If the law enforcement agency notifies the vehicle storage |
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21 | 21 | | facility that the agency will send notices and dispose of the |
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22 | 22 | | abandoned vehicle under Subchapter B, Chapter 683, Transportation |
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23 | 23 | | Code, the vehicle storage facility shall pay the fee required under |
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24 | 24 | | Section 683.031, Transportation Code. |
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25 | 25 | | (a-1) For purposes of this subsection, "motor carrier" has |
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26 | 26 | | the meaning assigned by Section 643.001, Transportation Code. A |
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27 | 27 | | motor vehicle operated by a motor carrier and held in a vehicle |
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28 | 28 | | storage facility may not be considered abandoned under Subsection |
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29 | 29 | | (a): |
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30 | 30 | | (1) until the 31st day after the date notice is mailed |
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31 | 31 | | or published under Section 2303.151 or 2303.152; or |
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32 | 32 | | (2) if the operator of the vehicle storage facility |
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33 | 33 | | receives notice: |
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34 | 34 | | (A) under Section 2308.554(a)(1)(B) that the |
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35 | 35 | | vehicle is the subject of a request for mediation under Subchapter |
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36 | 36 | | L, Chapter 2308; or |
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37 | 37 | | (B) under Section 2308.560(c) that the vehicle is |
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38 | 38 | | the subject of a civil action brought by a party to the fee dispute |
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39 | 39 | | that was the subject of a mediation under Subchapter L, Chapter |
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40 | 40 | | 2308. |
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41 | 41 | | SECTION 2. Subchapter D, Chapter 2303, Occupations Code, is |
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42 | 42 | | amended by adding Section 2303.1541 to read as follows: |
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43 | 43 | | Sec. 2303.1541. SALE OR DISPOSAL OF VEHICLE PENDING |
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44 | 44 | | MEDIATION PROHIBITED. A vehicle storage facility operator who |
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45 | 45 | | receives notice under Section 2308.554(a)(1)(B) or Section |
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46 | 46 | | 2308.560(c) may not sell at a public sale or otherwise dispose of or |
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47 | 47 | | report to a law enforcement agency under Section 683.031(c), |
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48 | 48 | | Transportation Code, the vehicle that is the subject of the notice |
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49 | 49 | | until the operator receives notice under Section 2308.560 that: |
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50 | 50 | | (1) the mediation has been resolved; and |
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51 | 51 | | (2) if a civil action related to the fee dispute that |
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52 | 52 | | was the subject of the mediation was filed by a party after the end |
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53 | 53 | | of the mediation process, the civil action has concluded. |
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54 | 54 | | SECTION 3. Chapter 2308, Occupations Code, is amended by |
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55 | 55 | | adding Subchapter L to read as follows: |
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56 | 56 | | SUBCHAPTER L. FEE DISPUTE MEDIATION |
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57 | 57 | | BETWEEN TOWING COMPANY AND MOTOR CARRIER |
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58 | 58 | | Sec. 2308.551. DEFINITION. In this subchapter, "motor |
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59 | 59 | | carrier" has the meaning assigned by Section 643.001, |
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60 | 60 | | Transportation Code. |
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61 | 61 | | Sec. 2308.552. FEE DISPUTE MEDIATION REQUIRED ON MOTOR |
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62 | 62 | | CARRIER REQUEST. (a) A motor carrier may request mediation under |
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63 | 63 | | this subchapter in a dispute with a towing company relating to an |
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64 | 64 | | incident management or other nonconsent tow for which towing and |
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65 | 65 | | recovery fees exceed $20,000. |
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66 | 66 | | (b) A towing company must participate in mediation |
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67 | 67 | | requested by a motor carrier under this subchapter. |
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68 | 68 | | Sec. 2308.553. REQUEST FOR MEDIATION. (a) A motor carrier |
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69 | 69 | | may submit a request in the manner prescribed by the department not |
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70 | 70 | | later than the 30th day after the later of the date the motor |
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71 | 71 | | carrier: |
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72 | 72 | | (1) pays the towing and recovery charges; or |
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73 | 73 | | (2) receives notice from a vehicle storage facility |
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74 | 74 | | under Section 2303.151. |
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75 | 75 | | (b) A motor carrier that does not timely submit a request |
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76 | 76 | | under Subsection (a) waives the right to mediation under this |
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77 | 77 | | subchapter. |
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78 | 78 | | Sec. 2308.554. NOTICE OF REQUEST; ORDER. (a) On receipt of |
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79 | 79 | | a request for mediation under this subchapter, the department |
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80 | 80 | | shall: |
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81 | 81 | | (1) give notice that the motor carrier has requested |
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82 | 82 | | mediation to: |
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83 | 83 | | (A) the towing company that towed the vehicle |
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84 | 84 | | that is the subject of the request for mediation; and |
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85 | 85 | | (B) the operator of the vehicle storage facility |
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86 | 86 | | storing the vehicle that is the subject of the request for |
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87 | 87 | | mediation; and |
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88 | 88 | | (2) order the parties to participate in mediation |
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89 | 89 | | under this subchapter. |
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90 | 90 | | (b) A vehicle storage facility operator who receives notice |
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91 | 91 | | under this section: |
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92 | 92 | | (1) may continue to charge a daily storage fee |
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93 | 93 | | authorized by Section 2303.155(b)(3); and |
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94 | 94 | | (2) may not sell the vehicle at a public sale or |
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95 | 95 | | otherwise dispose of the vehicle under Subchapter D, Chapter 2303, |
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96 | 96 | | or report the vehicle to a law enforcement agency under Section |
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97 | 97 | | 683.031(c), Transportation Code, before the operator receives |
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98 | 98 | | notice under Section 2308.560 that: |
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99 | 99 | | (A) the mediation has been resolved; and |
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100 | 100 | | (B) if a civil action related to the fee dispute |
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101 | 101 | | that was the subject of the mediation was filed by a party after the |
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102 | 102 | | end of the mediation process, the civil action has concluded. |
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103 | 103 | | Sec. 2308.555. MEDIATOR. (a) A person may not act as a |
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104 | 104 | | mediator in the mediation program unless the person is qualified as |
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105 | 105 | | an impartial third party under Section 154.052, Civil Practice and |
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106 | 106 | | Remedies Code. |
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107 | 107 | | (b) The parties by agreement shall select and compensate a |
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108 | 108 | | mediator from the list maintained by the department, except that |
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109 | 109 | | the parties by written agreement may select a mediator not on the |
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110 | 110 | | department's list. |
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111 | 111 | | (c) If the parties do not agree on a mediator by the 10th day |
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112 | 112 | | after the date the department orders the parties to participate in |
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113 | 113 | | the mediation: |
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114 | 114 | | (1) the motor carrier or the towing company shall |
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115 | 115 | | notify the department that a mediator has not been selected; and |
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116 | 116 | | (2) the department shall select a mediator from the |
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117 | 117 | | department's list of qualified mediators based on convenience to |
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118 | 118 | | the location of each party. |
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119 | 119 | | (d) Sections 154.053 and 154.055, Civil Practice and |
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120 | 120 | | Remedies Code, apply to a mediator under this subchapter. |
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121 | 121 | | Sec. 2308.556. LOCATION AND SCHEDULE OF MEDIATION. (a) The |
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122 | 122 | | parties by agreement shall select a venue and schedule for |
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123 | 123 | | mediation under this subchapter. If the parties are unable to agree |
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124 | 124 | | on a venue and schedule, the mediator shall select a venue and |
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125 | 125 | | schedule. |
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126 | 126 | | (b) Mediation must be completed not later than the 30th day |
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127 | 127 | | after the date the department orders the parties to mediate, except |
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128 | 128 | | that the deadline may be extended by agreement of all parties. |
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129 | 129 | | Sec. 2308.557. APPLICABLE LAW. Section 154.073, Civil |
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130 | 130 | | Practice and Remedies Code, and Rule 408, Texas Rules of Evidence, |
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131 | 131 | | apply to mediation under this subchapter. |
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132 | 132 | | Sec. 2308.558. DURATION AND COSTS OF MEDIATION. (a) The |
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133 | 133 | | fee for a mediator employed under this subchapter may not exceed: |
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134 | 134 | | (1) $750 per party, for a half-day mediation; or |
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135 | 135 | | (2) $1,500 per party, for a full-day mediation. |
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136 | 136 | | (b) A mediation may not exceed one day unless the parties |
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137 | 137 | | agree to extend the mediation. |
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138 | 138 | | (c) The department is not liable for compensation paid or to |
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139 | 139 | | be paid to a mediator employed under this subchapter. |
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140 | 140 | | (d) Without regard to the outcome of mediation or subsequent |
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141 | 141 | | regulatory or judicial proceedings, costs incurred by a party in |
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142 | 142 | | mediation required by this subchapter may not be imposed on the |
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143 | 143 | | opposing party. |
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144 | 144 | | Sec. 2308.559. MATTERS CONSIDERED IN MEDIATION; AGREED |
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145 | 145 | | RESOLUTION. In a mediation under this subchapter, the parties |
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146 | 146 | | shall evaluate, without limitation, whether the amount charged by |
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147 | 147 | | the towing company is excessive. If the parties determine that the |
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148 | 148 | | amount charged is excessive, the parties shall determine the |
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149 | 149 | | appropriate charges for services rendered. |
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150 | 150 | | Sec. 2308.560. OUTCOME OF MEDIATION; CIVIL ACTION. (a) Not |
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151 | 151 | | later than the 15th day after the date the mediation concludes, the |
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152 | 152 | | mediator shall report to the department whether mediation resolves |
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153 | 153 | | the dispute. The department shall notify the operator of the |
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154 | 154 | | vehicle storage facility where the vehicle that is the subject of |
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155 | 155 | | the mediation is being stored of the outcome of the mediation. |
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156 | 156 | | (b) If mediation does not resolve the dispute, either party |
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157 | 157 | | may file a civil action. A party in a mediation under this |
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158 | 158 | | subchapter may not bring a civil action before the conclusion of the |
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159 | 159 | | mediation process under this subchapter. This subsection does not |
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160 | 160 | | prohibit a motor carrier from filing a request for a hearing under |
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161 | 161 | | Subchapter J before the conclusion of mediation. |
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162 | 162 | | (c) If a party in mediation brings a civil action related to |
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163 | 163 | | the fee dispute that was the subject of the mediation after the |
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164 | 164 | | conclusion of the mediation process, the party bringing the action |
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165 | 165 | | shall give notice to the operator of the vehicle storage facility |
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166 | 166 | | storing the vehicle that is the subject of the action of the |
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167 | 167 | | initiation and conclusion of the action. Notice under this |
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168 | 168 | | subsection must be given: |
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169 | 169 | | (1) on filing the petition with the court, if the motor |
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170 | 170 | | carrier is the party filing the action; or |
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171 | 171 | | (2) on service of citation on the motor carrier. |
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172 | 172 | | (d) A vehicle storage facility operator who receives notice |
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173 | 173 | | of a civil action from a party under this section: |
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174 | 174 | | (1) may continue to charge a daily storage fee |
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175 | 175 | | authorized by Section 2303.155(b)(3); and |
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176 | 176 | | (2) may not sell the vehicle at a public sale or |
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177 | 177 | | otherwise dispose of the vehicle under Subchapter D, Chapter 2303, |
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178 | 178 | | before the party bringing the action gives the operator notice that |
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179 | 179 | | the action is concluded in favor of the towing company. |
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180 | 180 | | Sec. 2308.561. FORMS AND PROCEDURES; REQUEST PORTAL. The |
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181 | 181 | | department shall: |
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182 | 182 | | (1) adopt forms and procedures necessary to administer |
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183 | 183 | | this subchapter; |
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184 | 184 | | (2) establish a portal on the department's Internet |
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185 | 185 | | website through which a request to participate in the mediation |
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186 | 186 | | program may be submitted; and |
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187 | 187 | | (3) maintain a list of qualified mediators on the |
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188 | 188 | | department's Internet website. |
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189 | 189 | | SECTION 4. Section 683.031, Transportation Code, is amended |
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190 | 190 | | by amending Subsection (a) and adding Subsection (a-1) to read as |
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191 | 191 | | follows: |
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192 | 192 | | (a) Except as provided by Subsection (a-1), a [A] motor |
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193 | 193 | | vehicle is abandoned if the vehicle is left in a storage facility |
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194 | 194 | | operated for commercial purposes after the 10th day after the date |
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195 | 195 | | on which: |
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196 | 196 | | (1) the garagekeeper gives notice by registered or |
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197 | 197 | | certified mail, return receipt requested, to the last known |
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198 | 198 | | registered owner of the vehicle and to each lienholder of record of |
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199 | 199 | | the vehicle under Chapter 501 to remove the vehicle; |
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200 | 200 | | (2) a contract for the vehicle to remain on the |
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201 | 201 | | premises of the facility expires; or |
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202 | 202 | | (3) the vehicle was left in the facility, if the |
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203 | 203 | | vehicle was left by a person other than the registered owner or a |
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204 | 204 | | person authorized to have possession of the vehicle under a |
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205 | 205 | | contract of use, service, storage, or repair. |
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206 | 206 | | (a-1) For purposes of this subsection, "motor carrier" has |
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207 | 207 | | the meaning assigned by Section 643.001. A motor vehicle operated |
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208 | 208 | | by a motor carrier and held at a vehicle storage facility may not be |
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209 | 209 | | considered abandoned under this subchapter: |
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210 | 210 | | (1) until the 31st day after the date described by |
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211 | 211 | | Subsection (a); or |
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212 | 212 | | (2) if the operator of the vehicle storage facility |
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213 | 213 | | receives notice: |
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214 | 214 | | (A) under Section 2308.554(a)(1)(B), Occupations |
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215 | 215 | | Code, that the vehicle is the subject of a request for mediation |
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216 | 216 | | under Subchapter L, Chapter 2308, Occupations Code; or |
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217 | 217 | | (B) under Section 2308.560(c), Occupations Code, |
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218 | 218 | | that the vehicle is the subject of a civil action brought by a party |
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219 | 219 | | to the fee dispute that was the subject of a mediation under |
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220 | 220 | | Subchapter L, Chapter 2308, Occupations Code. |
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221 | 221 | | SECTION 5. This Act takes effect September 1, 2023. |
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