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California State Legislature· SB 1338In Committee Process

Vehicles: repossession., the official text

Shown verbatim: the complete text as captured from the official bulk data posted by the California Legislature, fetched 2026-08-03. Nothing is edited or removed. The official bill page.
An act to amend Section 10856 of the Vehicle Code, relating to vehicles.

LEGISLATIVE COUNSEL'S DIGEST

Existing law prohibits a person from interfering with the transport of a vehicle to a storage facility, auction, or dealer by an individual who is employed by a repossession agency or is licensed as a repossession agency once repossession is complete, as provided. Under existing law, a violation of this provision is an infraction, punishable by specified fines.
This bill would double the fines, as specified.

The people of the State of California do enact as follows:

SECTION 1.
Section 10856 of the Vehicle Code is amended to read:
10856.
(a) (1) A person shall not interfere with the transport of a vehicle to a storage facility, auction, or dealer by an individual who is employed by a repossession agency or who is licensed pursuant to Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code once repossession is complete as provided in Section 7507.12 of the Business and Professions Code.
(2) A violation of this subdivision shall be punishable as an infraction, as follows:
(A) By a fine not exceeding two hundred dollars ($200).
(B) For a second infraction occurring within one year of a prior infraction that resulted in a conviction, a fine not exceeding four hundred dollars ($400).
(C) For a third or subsequent infraction occurring within one year of two or more prior infractions that resulted in convictions, a fine not exceeding five hundred dollars ($500).
(3) This subdivision shall not apply to a peace officer while acting in an official capacity.
(b) (1) Any tow yard, impounding agency, or governmental agency, or any person acting on behalf of those entities, shall not refuse to release a vehicle or other collateral to anyone that is legally entitled to that vehicle or other collateral.
(2) This subdivision shall not apply to a vehicle being held for evidence by law enforcement or a prosecuting attorney.
(c) For purposes of this section, “interfere” means to physically impede by obstructing, hindering, or preventing movement, including removing or disabling equipment used for transporting the vehicle.
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