DelawareHB 67153rd General Assembly (2024–2026)HouseWALLET

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO THE REMOVAL OF MOTOR VEHICLES FROM PRIVATE OR PUBLIC PROPERTY BY PRIVATE TOW COMPANIES.

Sponsored By: Edward S. Osienski (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 7 benefits, 0 costs, 0 mixed.

Drivers can recover unlawful towing costs

Owners or operators can recover all fees paid and actual retrieval damages when a tow starts or finishes unlawfully. Wrongful denial of access to personal items also makes companies liable for resulting losses. All involved tow companies and storage facilities share liability, so each can be held responsible for the full amount. Courts must award reasonable legal fees and costs when a rejected settlement offer is no greater than the final award. The offer must precede filing by at least 10 business days; no response within 10 business days counts as rejection. Violations are unlawful consumer practices enforceable by Delaware's Justice Department; supervisors of towing, storage, or parking operations cannot direct or knowingly allow violations.

Drivers can stop tows and fees

If you return before your vehicle is attached, the company cannot tow it or charge you. If you return before it leaves the parking area and request a stop, the company must stop. Any drop fee is capped at 50% of the otherwise applicable tow fee. If you request return before the vehicle reaches storage, the full tow fee can apply. Retrieval within 24 hours after towing begins carries no storage or other extra fees for that period.

Drivers gain protection against tow hunting

Tow companies cannot reward anyone with money or another benefit for information tied to private-property towing. Companies cannot patrol or watch parking areas for vehicles to tow without a specific owner or authorized government request. They must also have a contract and meet the pre-tow requirements for every vehicle. Private-property tows under this exception need written approval for each vehicle.

Drivers get access to stored vehicles

Storage offices must open 8 a.m. to 6 p.m., at least 5 days weekly, excluding holidays; normal-hours retrieval fees are banned. Facilities must be secure, with outdoor lighting from dusk to dawn. Owners, lessees, lienholders, and authorized representatives with valid identification can retrieve personal items free during normal hours. Companies must accept all major credit and debit cards or offer an operating ATM with reasonable fees. Reasonable after-hours access is required, with instructions posted outside, online, and in recorded phone messages; access or release fees cannot exceed $50. Storage and after-hours fees are barred for portions of days when release is unavailable within 90 minutes of following instructions during 8 a.m. to 6 p.m.

Drivers get towing and storage caps

For covered non-commercial vehicles and qualifying rental vehicles, towing costs no more than $250 and daily storage no more than $50. Companies cannot add other towing-related charges to those maximum fees. All covered towing and storage fees must be reasonable, and facilities must publicly post rates and required consumer notices. Fees are presumed excessive above 125% of the company's usual comparable consensual fee or 150% of comparable providers' fees in the county. An applicable local ordinance can set a lower maximum.

Drivers get towing notice and proof

These Delaware protections cover non-consensual parking-area tows of non-abandoned vehicles weighing 5,000 pounds or less. Police-directed tows, specified government-authorized tows, and abandoned-vehicle removals are excluded. Tow companies need written contracts, and parking areas must have required signs showing parking rules, fees, contacts, and retrieval details. Private entrance signs need letters at least 1 inch high; truck-door company names and phone numbers need 3-inch letters. Public roadway signs must be visible from the parked vehicle; paid-parking signs can be near payment points. Before towing, companies must photograph the vehicle and signs; public-facing private parking areas also require vehicle-specific written approval. Approval records include the authorizer's name, contact information, signature, and date and time. Tow companies and storage facilities must keep records for at least 2 years and provide them free, electronically if requested. Private parking owners and operators cannot permit tows that lack the required contract or signs.

Vehicle owners get notice before liens

Before seeking a lien for unpaid towing fees, the claimant must send notice within 30 days after the tow. Certified U.S. mail must go to the owner, lessor, and any lienholder. The notice must list each fee. It must explain that a lien can be asserted if the vehicle remains unclaimed and fees unpaid 60 days after delivery.

Sponsors & Cosponsors

Sponsor

Edward S. Osienski
Democratic • House

Cosponsors

Frank Burns
Democratic • House
Franklin D. Cooke
Democratic • House
Stephanie L. Hansen
Democratic • Senate
Kendra Johnson
Democratic • House
Kimberly Williams
Democratic • House
Larry Lambert
Democratic • House
Dave G. Lawson
Republican • Senate
S. Elizabeth Lockman
Democratic • Senate
Eric Morrison
Democratic • House
Josue O Ortega
Democratic • House
Brian Pettyjohn
Republican • Senate
Marie Pinkney
Democratic • Senate
Bryant L. Richardson
Republican • Senate
Cyndie Romer
Democratic • House
Melanie Ross Levin
Democratic • House
David P. Sokola
Democratic • Senate
Madinah Wilson-Anton
Democratic • House

Roll Call Votes

All Roll Calls

Yes: 44 • No: 14

Senate vote • 6/25/2025

Passed (SM required)

Yes: 21 • No: 0

House vote • 3/27/2025