Vermont H. 768: An act relating to increasing the amount available under the Down Payment Assistance Program

Bill Text

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VT LEG #386329 v.3
H.768 1
Introduced by Representatives Rachelson of Burlington and Southworth of 2
Walden 3
Referred to Committee on 4
Date: 5
Subject: Motor vehicles; involuntary towing and storage; consumer protection; 6
unclaimed property 7
Statement of purpose of bill as introduced: This bill proposes to establish 8
certain consumer protections related to the towing and storage of vehicles and 9
to require the net proceeds from the sale of an abandoned vehicle to be 10
distributed to the vehicle owner through the State’s unclaimed property system. 11
An act relating to consumer protections related to the towing and storage of 12
vehicles 13
It is hereby enacted by the General Assembly of the State of Vermont: 14
Sec. 1. 23 V.S.A. chapter 42 is added to read: 15
CHAPTER 42. TOWING OF MOTOR VEHICLES 16
§ 4251. SHORT TITLE 17
This chapter may be cited as the “Vermont Consumer Protection Towing 18
Act.” 19

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VT LEG #386329 v.3
§ 4252. PURPOSE 1
The purpose of the Vermont Consumer Protection Towing Act is to 2
establish minimum standards for towing and storage services and to promote 3
fair and honest practices in the towing industry. 4
§ 4253. DEFINITIONS 5
As used in this chapter: 6
(1) “Automobile club” means a legal entity that, in consideration of 7
dues, assessments, or periodic payments of money, promises its members or 8
subscribers to assist them in matters relating to motor travel or the operation, 9
use, or maintenance of a motor vehicle, including auto dealers and insurance 10
companies, by supplying services, which may include towing service, 11
emergency road service, and indemnification service. 12
(2) “Dealer” has the same meaning as in subdivision 4(8) of this title. 13
(3) “Drop fee” means a charge offered instead of a standard tow fee that 14
allows an owner or operator who arrives on the scene prior to a vehicle being 15
towed to stop a tow that is in process. 16
(4) “Emergency towing” means the towing of a vehicle due to a motor 17
vehicle crash, mechanical breakdown on a public highway, or other 18
emergency-related incident necessitating vehicle removal for public safety 19
with or without the owner’s or operator’s consent. 20

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VT LEG #386329 v.3
(5) “Government agency towing” means the towing of government-1
owned or government-controlled vehicles by the government agency that owns 2
or controls them. 3
(6) “Heavy-duty vehicle” means a motor vehicle with a gross vehicle 4
weight rating of 26,001 pounds or more. 5
(7) “Light-duty vehicle” means a motor vehicle with a gross vehicle 6
weight rating of not more than 10,000 pounds. 7
(8) “Medium-duty vehicle” means a motor vehicle with a gross vehicle 8
weight rating of at least 10,001 pounds and not more than 26,000 pounds. 9
(9) “Owner” means the person to whom a vehicle is registered or to 10
whom it is leased, if the terms of the lease require the lessee to maintain and 11
repair the vehicle. For the purposes of this chapter, a rental vehicle company is 12
the owner of a vehicle rented pursuant to a rental agreement. 13
(10) “Private property towing” means the towing of a vehicle, without 14
the owner’s or operator’s consent, from private property where it was illegally 15
parked, or for which some exigent circumstance necessitated its removal, to a 16
nearby location. 17
(11) “Rental vehicle company” means any person, including a 18
franchisee, in the business of renting vehicles to the public. 19

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(12) “Seizure towing” means the taking of a vehicle for law enforcement 1
purposes, such as the maintenance of the chain of custody of evidence, 2
forfeiture of assets, or unpaid parking tickets. 3
(13) “Storage services” means storing a towed vehicle at a towing-4
storage lot. 5
(14) “Tow truck” means a motor vehicle equipped to tow or pick up 6
vehicles, including damaged or disabled vehicles. 7
(15) “Towing company” means any person, partnership, company, firm, 8
or aggregation of individuals that exists to provide towing or storage services. 9
A towing company does not include an automobile club, dealer, or insurance 10
company. 11
(16) “Towing or storage services” means towing services or storage 12
services, or both. 13
(17) “Towing services” means towing or otherwise moving vehicles by 14
means of a tow truck. 15
(18) “Towing-storage lot” means a property used to store vehicles that 16
have been towed. 17
§ 4254. APPLICABILITY; RULEMAKING; COMPLAINTS 18
(a) Applicability. 19
(1) This chapter shall apply to any person engaging in, or offering to 20
engage in, the business of providing towing or storage services in Vermont. 21

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VT LEG #386329 v.3
This chapter shall not apply to vehicles towed into Vermont or towed through 1
Vermont, provided that the tow originates in another jurisdiction. 2
(2) Notw