2026 Summary of important statutes for the towing industry in California
Disclaimer: Not legal advice; this is only general information.
22851 Vehicle Code. Lien on stored vehicle. Vehicle stored per 3068.1 Civil Code (towing impound). $4,000 or less value: maximum 60 days of storage. OVER $4,000 value: maximum 120 days of storage if lien application filed within 30 days.
3068 Civil Code. Mechanics & Self-service storage liens.(UPON WRITTEN STATEMENT PRESENTATION; LIEN ARISES; DAILY STORAGE BEGINS).
3068.1 Civil Code. Towing impound liens. (UPON POSSESSION; LIEN ARISES; DAILY STORAGE BEGINS). (OVER $4,000 value): Maximum 120 days of storage if lien application filed within 30 days. Otherwise, 60 days maximum storage. ($4,000 or less value) DMV vehicle record must be requested by the 15th day for storage to continue. 60 days maximum storage turns into 120 days maximum storage only if: 1) “Declaration of Opposition” filed; 2) it is an out-of-state vehicle; 3) VIN # altered; or 4) an interested party becomes known after the lien is mailed (a new lien must be started). ONE day storage during the first 24-hour period. After 24 hours, storage is calculated on a calendar basis.
3068.2 Civil Code. Deficiency claim. Towing company has a claim against registered owner for total towing, storage and lien fees, less the amount received from the sale of the vehicle. The transferred owner is responsible if they received a Notice of Transfer and are responsible for abandoning vehicle.
3074 Civil Code. Lien-sale Preparation Costs: Recovery. No charge before 72 hours of storage. ($4,000 or less value): $35.00 maximum when DMV vehicle record requested. $70.00 maximum when lien agent has mailed lien documents. (OVER $4,000 value): $50.00 maximum when DMV vehicle record requested. $100 maximum when lien agent has mailed lien documents (at least one month later when DMV authorizes the lien to be mailed).
10652.5 Vehicle Code. Notice to LEGAL owner (bank/lender). Storage to the LEGAL owner (bank/lender) does not continue past 15th day unless certified notice sent to LEGAL owner (bank/lender) by day 13. For mailing after day 13, storage to the LEGAL owner (bank/lender) resumes three days after certified notice sent. Cost can be added to bill, but no sooner than 72 hours from initial storage. (Accumulated daily storage charges to a LEGAL owner for a mechanics lien (CCC 3068) are usually capped @ $1025 or $1250).
14602.6 (d)(f)(2)(A), 14602.7 (e)(2)(A) & 23118 (e)(2)(A) Vehicle Code. 30 day holds, fleeing an officer, speed contest, and vehicles used by unlicensed repo agents. If LEGAL owner (bank/lender) repossesses vehicle, LEGAL owner (bank/lender) does not have to pay any lien fee within 15 days.
14602.8 (f)(2)(A) Vehicle Code. DUI (5 and 15 day impounds). If LEGAL owner (bank/lender) repossesses vehicle, LEGAL owner (bank/lender) does not have to pay any lien fee within 10 days.
22524.5 Vehicle Code. Insurance company responsibility to towing company. For accident or stolen recovery vehicles that have a covered policy, insurer is responsible to towing company for their charges. Insured or claimant responsible if paid directly by insurance company.
24007.5 Vehicle Code. Smog certificate on lien vehicles. Buyer is responsible for the smog certificate as long as buyer signs an agreement of responsibility and towing company files a Notice of Transfer.
22669 Vehicle Code (or local abatement code). Abandoned vehicles. To receive a REG. 462 (junk slip) from law enforcement, vehicle must be towed under this code (or local abatement code) and be valued at $500 or less (or have no vin#).
10650 Vehicle Code. Written record of stored vehicles. Any vehicle stored over 12 hours must have a written record available for inspection by law enforcement. Vehicle Storage Log: Tow Log
22850.3 Vehicle Code. Towing company is required to post a notice stating that for law enforcement impounds that are out of registration, proof of current registration must be presented to law enforcement before release. Notice must list the names and telephone numbers of all law enforcement agencies.
22651.07 Vehicle Code. Towing Fees, Access Notice, Tower Responsibilities. Towing Companies are required to: post in storage office (in plain view) the Towing & Storage fees and Access Notice; present an itemized statement of charges upon releasing a stored vehicle. These Fees and Notice must be furnished upon request to any owner or operator of a towed or stored vehicle. Must provide an itemized invoice that provides: “Upon request, you are entitled to receive a copy of the Towing and Storage Fees and Access Notice.” Allow pick up of personal property and inspection before retrieval; allow insurer to inspect. Accept credit cards.