CaliforniaAB 9872025-2026 Regular SessionHouseWALLET

Vehicles: storage and towing.

Sponsored By: LaShae Sharp-Collins (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 1 costs, 3 mixed.

Insurers pay reasonable towing after crashes

Insurers are responsible for ordinary, reasonable towing and storage charges when a vehicle is towed after an accident or a stolen‑vehicle recovery. They can pay the tow company directly or pay you to cover the bill; if you receive that payment, you owe the tow company those charges. Fees must be reasonable, usually matching what public agencies pay or what similar local facilities charge. The law also flags many extra fees as usually unreasonable in these cases and gives good‑faith tow operators limited immunity when they move vehicles at a police officer’s direction during emergencies, unless they act with gross negligence or willful misconduct. Insurers must follow the state claims‑handling rule (CCR 2695.8) when resolving these charges.

Tighter limits on tow and storage fees for owners

The law requires towing and storage fees charged to the legal owner to be reasonable and defines normal business hours as Monday to Friday, 8:00 a.m. to 5:00 p.m., except state holidays. It treats many add‑on fees as usually unreasonable, like admin, security, dolly, load/unload, pull‑out, most gate fees, after‑hours surcharges above 10% of the normal tow rate, and holiday storage above the posted daily rate. You can be billed for storage only during the first 15 days in possession, and after that only starting three days after a certified‑mail notice; charges can continue only up to the limits in Civil Code sections 3068 or 3068.1. If the car stays in storage for an indefinite time and notice was sent on or after day three, the holder may add the cost of that notice, and may do so if you refuse to claim the car. If you win a case over being charged for more days than allowed, you can recover reasonable lawyer fees up to $1,750; these rules do not apply to cars stored by a court‑ordered levy.

Police tows use contract fees

When a tow is started by a law enforcement agency and there is a written agreement with the towing or storage company, the agreed fees apply. This includes official police garages operating under a municipal police commission.

Legal shield for emergency road clearances

If police direct a tow operator to move a vehicle to the shoulder during a declared state or local emergency to clear the road, the operator acting in good faith is not liable for damage to personal property from that move. This protection does not cover gross negligence or willful or wanton misconduct.

Sponsors & Cosponsors

Sponsor

  • LaShae Sharp-Collins

    Democratic • House

Cosponsors

  • Laurie Davies

    Republican • House

  • Aisha Wahab

    Democratic • Senate

Roll Call Votes

All Roll Calls

Yes: 252 • No: 0

House vote 9/8/2025

Item 13 — Assembly AFLOOR

Yes: 79 • No: 0

Senate vote 9/3/2025

Item 223 — Senate SFLOOR

Yes: 40 • No: 0

legislature vote 7/8/2025

Vote in CS53

Yes: 13 • No: 0

legislature vote 6/24/2025

Vote in CS59

Yes: 14 • No: 0

House vote 5/19/2025

Item 88 — Assembly AFLOOR

Yes: 75 • No: 0

legislature vote 5/14/2025

Vote in CX25

Yes: 15 • No: 0

legislature vote 4/28/2025

Vote in CX22

Yes: 16 • No: 0

Actions Timeline

  1. Chaptered by Secretary of State - Chapter 345, Statutes of 2025.

    10/6/2025Senate
  2. Approved by the Governor.

    10/6/2025legislature
  3. Enrolled and presented to the Governor at 4:30 p.m.

    9/15/2025legislature
  4. Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 79. Noes 0. Page 3019.).

    9/8/2025House
  5. In Assembly. Concurrence in Senate amendments pending.

    9/3/2025House
  6. Read third time. Passed. Ordered to the Assembly. (Ayes 40. Noes 0. Page 2439.).

    9/3/2025Senate
  7. Read second time. Ordered to third reading.

    8/29/2025Senate
  8. Read third time and amended. Ordered to second reading.

    8/28/2025Senate
  9. Ordered to third reading.

    8/25/2025Senate
  10. From Consent Calendar.

    8/25/2025Senate
  11. Read second time. Ordered to Consent Calendar.

    8/20/2025Senate
  12. From committee: Be ordered to second reading file pursuant to Senate Rule 28.8 and ordered to Consent Calendar.

    8/19/2025Senate
  13. From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 13. Noes 0.) (July 8). Re-referred to Com. on APPR.

    7/9/2025Senate
  14. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on JUD.

    7/2/2025Senate
  15. From committee: Do pass and re-refer to Com. on JUD. with recommendation: To Consent Calendar. (Ayes 14. Noes 0.) (June 24). Re-referred to Com. on JUD.

    6/25/2025Senate
  16. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on TRANS.

    6/11/2025Senate
  17. Referred to Coms. on TRANS. and JUD.

    5/28/2025Senate
  18. In Senate. Read first time. To Com. on RLS. for assignment.

    5/20/2025Senate
  19. Read third time. Passed. Ordered to the Senate. (Ayes 75. Noes 0. Page 1607.)

    5/19/2025House
  20. Read second time. Ordered to third reading.

    5/15/2025House
  21. From committee: Do pass. (Ayes 15. Noes 0.) (May 14).

    5/14/2025House
  22. From committee: Do pass and re-refer to Com. on APPR. (Ayes 16. Noes 0.) (April 28). Re-referred to Com. on APPR.

    4/29/2025House
  23. Coauthors revised.

    4/29/2025House
  24. Re-referred to Com. on TRANS.

    4/23/2025House
  25. From committee chair, with author's amendments: Amend, and re-refer to Com. on TRANS. Read second time and amended.

    4/22/2025House

Bill Text

  • Chaptered

    10/6/2025

  • Enrolled

    9/10/2025

  • Amended Senate

    8/28/2025

  • Amended Senate

    7/2/2025

  • Amended Senate

    6/11/2025

  • Amended Assembly

    4/22/2025

  • Amended Assembly

    3/28/2025

  • Introduced

    2/20/2025

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