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Bill > A6281
NJ A6281
NJ A6281Requires towing companies accept electronically transmitted authorization of vehicle release to third party.
summary
Introduced
12/18/2025
12/18/2025
In Committee
12/18/2025
12/18/2025
Crossed Over
Passed
Dead
01/12/2026
01/12/2026
Introduced Session
2024-2025 Regular Session
Bill Summary
This bill requires a towing company to accept electronic authorization for a towed vehicle or its contents to be released to a third party. This bill supplements the "Predatory Towing Prevention Act," P.L.2007, c.193, to require a towing company registered with the Division of Consumer Affairs to accept electronically transmitted written authorization from a person whose vehicle has been towed to permit the release of the vehicle, or property within the vehicle, to a third party. The bill defines a "third party" as an insurance company, a collision repair company, or any other person the owner or operator of the towed vehicle designates. The bill requires the Director of the Division of Consumer Affairs to issue or amend guidelines to implement the provisions of the bill, ensuring the legal transfer of property. A violation of the "Predatory Towing Prevention Act" is an unlawful practice under the consumer fraud act, P.L.1960, c.39, which is punishable by a monetary penalty of not more than $10,000 for a first offense and not more than $20,000 for any subsequent offense. In addition, a violation can result in cease and desist orders issued by the Attorney General, the assessment of punitive damages, and the awarding of treble damages and costs to the injured party. State law currently does not prohibit a person other than the owner or operator of a towed vehicle from retrieving a vehicle from a towing company. However, towing companies often require the owner or operator of a towed vehicle to appear in person for the release of the vehicle, even when the vehicle is declared a total loss by the insurer or is being transferred to a collision repair facility. It is the sponsor's intent to simplify the release of a towed vehicle when it is not necessary for the owner or operator to appear in person.
AI Summary
This bill requires towing companies registered with the Division of Consumer Affairs to accept electronically transmitted written authorization from a vehicle owner or operator to release their towed vehicle or its contents to a third party, which is defined as an insurance company, a collision repair company, or any person designated by the vehicle's owner or operator. The legislation aims to simplify the process of vehicle release, particularly in situations where the vehicle is a total loss or being transferred to a repair facility, by removing the requirement for the owner or operator to appear in person. The bill mandates that the Director of Consumer Affairs issue or amend guidelines to ensure the lawful transfer of property, with the new law taking effect seven months after enactment. Violations of this requirement would be treated as unlawful practices under the consumer fraud act, potentially resulting in monetary penalties up to $10,000 for a first offense and $20,000 for subsequent offenses, as well as potential cease and desist orders, punitive damages, and treble damages.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Introduced, Referred to Assembly Consumer Affairs Committee (on 12/18/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/A6281 |
| BillText | https://pub.njleg.gov/Bills/2024/A6500/6281_I1.HTM |
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