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PUBLIC CHAPTER NO. 457
SENATE BILL NO. 1068
By Johnson, Powers, Reeves, Jackson
Substituted for: House Bill No. 972
By McCalmon, Gant, Marsh, Travis, Russell
AN ACT to amend Tennessee Code Annotated, Title 4; Title 5; Title 6; Title 7; Title 39; Title 47; Title
48; Title 55; Title 56; Title 62; Title 66 and Title 67, relative to motor vehicles.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 55, Chapter 31, is amended by deleting the
chapter and substituting the following:
55-31-101. Short title.
This chapter is known and may be cited as the "Modernization of Towing,
Immobilization, and Oversight Normalization (MOTION) Act of 2025."
55-31-102. Chapter definitions.
As used in this chapter:
(1) "Abandoned motor vehicle" means a motor vehicle physically located in
this state that:
(A) Is left unattended on public property for more than ten (10) days;
(B) Is in an obvious state of disrepair and is left unattended on public
property for more than three (3) days;
(C) Has remained illegally on public property for a period of more than
forty-eight (48) hours;
(D) Is left unattended and interferes with or impedes the orderly flow of
traffic or is left unattended during or prior to inclement weather conditions;
(E) Is unattended by reason of the arrest of the driver of the motor
vehicle;
(F) Is creating a hazard, blocking access to public or private property,
or parked illegally;
(G) Has remained on private property without the consent of the owner
or person in control of the property for more than forty-eight (48) hours;
(H) Has remained on private residential property without the consent of
the owner or person in control of the property; or
(I) Has been stored, parked, or left in a garage, trailer park, or any type
of storage or parking lot for more than thirty (30) consecutive days;
(2) "Authorized agent" means:
(A) A person authorized to operate the motor vehicle;
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(B) A person in possession or control of private property; or
(C) For an insurer or lienholder, a person authorized to act on behalf of
the insurer or lienholder;
(3) "Automatic license plate reader" means one (1) or more mobile or fixed
automated high-speed cameras used in combination with computer algorithms to
convert images of motor vehicles or license plates into computer-readable data that
can be used to determine the ownership of a motor vehicle;
(4) "Boot" or "booting" means the act of installing a vehicle immobilization
device on a parked motor vehicle;
(5) "Commercial parking lot":
(A) Means a privately owned parking lot or parking garage used for the
temporary storage of motor vehicles, either for a fee or for use by customers
of the owner of the parking lot or parking garage; and
(B) Does not include:
(i) A public street;
(ii) A public right-of-way;
(iii) A publicly owned parking lot or parking garage;
(iv) A motor vehicle storage facility; or
(v) An establishment for the servicing, repair, or maintenance of
motor vehicles;
(6) "Commercial parking lot owner" means the owner or operator of a
commercial parking lot;
(7) "Contracted property" means private or public property, including a
commercial parking lot or property owned by a public institution of higher education,
that is located within the jurisdiction of a local government that has adopted an
ordinance, resolution, regulation, or rule in compliance with § 55-31-201(c), and for
which the owner or lessee of the property has entered into a contract with a licensed
parking enforcement vendor for the enforcement of parking rules or restrictions on the
property or a designated portion of the property;
(8) "Curbstoning" means selling, offering for sale, advertising for sale, or
soliciting the sale of:
(A) A motor vehicle without a properly endorsed certificate of title, as
required by§§ 55-3-118 and 55-3-127, by a person engaged primarily in the
sale of used motor vehicles if the person is not licensed as a motor vehicle
dealer pursuant to chapter 17, part 1 of this title; or
(B) More than five (5) motor vehicles in any twelve-month period when
the motor vehicles are titled in the person's name engaged primarily in the
sale of used motor vehicles if the person is not licensed as a motor vehicle
dealer pursuant to chapter 17, part 1 of this title;
(9) "Demolisher" means a person whose business is to convert a motor
vehicle into processed scrap or scrap metal, or to otherwise wreck or dismantle motor
vehicles;
(10) "Electronic tracking" means a system or method used by a national
delivery carrier that provides real-time or near real-time monitoring of the delivery
process, including:
(A) A unique tracking number assigned to each shipment;
(B) Recorded timestamps for key delivery events, including
acceptance, transit updates, and final delivery; and
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(C) Confirmation of receipt, which may include an electronic signature,
photograph of delivery, or other verifiable proof that the letter or package was
delivered to the intended recipient's address;
(11) "Employee" means a natural person who is required to file a federal form
W-2, wage and tax statement, with the federal internal revenue service for the
compensation the natural person receives for work performed;
(12) "Garagekeeper":
(A) Means:
(i) A towing company;
(ii) A motor vehicle storage facility; or
(iii) An establishment for the servicing, repair, or maintenance
of motor vehicles; and
(B) Does not include:
(i) A commercial parking lot;
(ii) A commercial parking lot owner; or
(iii) A publicly owned parking lot or parking garage;
(13) "Immobile motor vehicle" means a motor vehicle, trailer, semitrailer, or
combination or part of a motor vehicle, trailer, or semitrailer that is immobilized and
incapable of moving under its own power due to an accident, mechanical breakdown,
weather condition, or other emergency situation;
(14) "Law enforcement agency" means:
(A) The Tennessee highway patrol;
(B) The sheritrs department of any county;
(C) The police department of any municipality; or
(D) Any department, board, or commission designated by the
legislative body of any county with a metropolitan form of government to
perform the duties of a law enforcement agency specified in this chapter;
(15) "Licensed booting operator" means a natural person who:
(A) Is an employee of a licensed parking enforcement vendor;
(B) Holds a valid license issued by a local government pursuant to an
ordinance, resolution, regulation, or rule adopted in compliance with § 55-31-
201 (c) and whose license has not expired, been suspended, or revoked; and
(C) Is employed to enforce parking rules or restrictions on contracted
property;
(16) "Licensed parking enforcement vendor" means a person, other than a
natural person, who:
(A) Holds a valid license issued by a local government pursuant to an
ordinance, resolution, regulation, or rule adopted in compliance with § 55-31-
201 (c) and whose license has not expired, been suspended, or revoked;
(B) Is contracted to engage in parking enforcement activities on
contracted property; and
(C) Has recorded the required surety bond with the register of deeds in
the county where the vendor operates as required by the local government
pursuant to an ordinance, resolution, rule, or regulation adopted in compliance
with§ 55-31-201(c); •
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(17) "Local government" means a municipality, county, or county having a
metropolitan form of government;
(18) "Motor vehicle" has the same meaning as defined in § 55-8-101 and
includes a tractor or trailer as those terms are defined in § 55-8-101;
(19) "Motor vehicle portal" means the electronic database or online platform
established by the department of revenue pursuant to§ 55-31-104;
(20) "Obvious state of disrepair" means a motor vehicle that:
(A) Is inoperable under its own power;
(8) Is without one (1) or more wheels or inflated tires;
(C) Is burned throughout; or
(D) Has more than one (1) broken window;
(21) "Person" includes a natural person, firm, association, corporation, or
partnership;
(22) "Release fee" means a fee charged by a towing company to release a
motor vehicle after the towing company has begun to tow the motor vehicle;
(23) "Self-releasing device" means a vehicle immobilization device that:
(A) Allows the vehicle owner or vehicle operator to remove the device
without third-party assistance;
(B) Is equipped with an automated or electronic release mechanism
that enables removal of the device immediately upon payment of the fees
described in§ 55-31-201(b)(5);
(C) Permits the electronic processing of payment of the fees listed in §
55-31-201 (b)(5) by credit card or debit card;
(D) Provides clear, written, and visual instructions for how to make
payment of fees and for device removal; and
(E) Ensures the device can be safely removed by the vehicle owner or
vehicle operator without damaging the vehicle or presenting a hazard;
(24) "Third-party service provider" means an entity that is approved by the
department of revenue to create and implement the motor vehicle portal in
compliance with§ 55-31-104;
(25) "Three-day delivery" means contracting with a national delivery carrier to
ship with electronic tracking a document or package to its intended recipient within
three (3) business days;
(26) "Towing company" means a person engaged in the business of towing
motor vehicles by use of a tow truck; and
(27) "Vehicle immobilization device" means a device that is designed or
adapted to be attached to a parked motor vehicle to prohibit the motor vehicle's usual
manner of movement or operation.
55-31-103. Penalties.
(a)(1) Except as otherwise provided in subdivision (a)(2):
(A) A violation of this chapter constitutes a violation of the Tennessee
Consumer Protection Act of 1977, compiled in title 47, chapter 18, part 1, is an
unfair or deceptive act or practice affecting trade or commerce, and is subject
to the penalties and remedies as provided in the Tennessee Consumer
Protection Act of 1977, in addition to any penalties and remedies established
under this chapter;
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(8) The attorney general and reporter has all of the investigative and
enforcement authority that the attorney general and reporter has under the
Tennessee Consumer Protection Act of 1977 relating to alleged violations of
this chapter. If the attorney general and reporter reasonably believes that a
person has violated this chapter, then the attorney general and reporter may
institute a proceeding under this section; and
(C) Costs of any kind or nature must not be taxed against the attorney
general and reporter or the state in actions commenced under this chapter.
(2) Subdivision (a)(1) does not apply to§ 55-31-104 or part 3 of this chapter.
(b)(1) Except as otherwise provided in subdivision (b)(2), in addition to the remedy
provided in subsection (a), a person injured as a result of a violation of this chapter is
entitled to maintain a private right of action for injunctive relief and to recover actual
damages, compensatory damages, punitive damages, and reasonable attorney's fees
against an alleged violator.
(2) Subdivision (b)(1) does not apply to§ 55-31-104 or part 3 of this chapter.
(c)(1) A violation of§ 55-31-201, § 55-31-204, § 55-31-205, or§ 55-31-206 is a Class
B misdemeanor.
(2) A violation of§ 55-31-201, § 55-31-204, § 55-31-205, or§ 55-31-206 for a
second or subsequent offense is a Class A misdemeanor.
55-31-104. Motor vehicle portal.
(a)(1) The department of revenue shall create and implement an electronic database
or online platform that allows a law enforcement agency or garagekeeper to input
abandoned or immobile vehicle information for public notice to be made through a
motor vehicle portal as required by§ 55-31-302. The department may contract with a
third-party service provider to create and implement the motor vehicle portal.
(2) The department of revenue shall:
(A) Begin the procureme'nt process to create and implement the motor
vehicle portal described in subdivision (a)(1) no later than July 1, 2025; and
(8) Implement the motor vehicle portal required under subdivision
(a)(1) no later than October 1, 2026.
(b) On and after the ninetieth day after the motor vehicle portal created pursuant to
this section is operational and available for use, the department of revenue may charge a
user of the portal, other than a law enforcement agency, a fee for entering information or
sending notification through the portal, but a fee must not be charged for conducting a public
search on the motor vehicle portal. The fee must be charged in an amount to cover the cost
of creating, administering, and maintaining the motor vehicle portal created pursuant to this
section.
(c) At a minimum, the motor vehicle portal must:
(1) Provide the public with real-time access to locate motor vehicles that have
been towed pursuant to this chapter;
(2) Provide retrieval information and requirements of motor vehicles that have
been towed pursuant to this chapter;
(3) Provide the fee amounts and payment methods for motor vehicles that
haye been towed pursuant to this chapter; •
(4) Consolidate statewide towing data into one (1) searchable, centralized
database available to the public to be searched;
(5) Allow and enable a towing company to submit detailed reports;
(6) Store data relevant to this chapter securely in a centralized database and
allow access to law enforcement agencies and the public;
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(7) Send notices via mail to the last known registered owner of a motor vehicle
and all lienholders of record that a vehicle has been taken into custody;
(8) Provide application programming interface-accessible endpoints for
retrieving data by other systems and for integration with other systems; and
(9) Be capable of comparing information input into the portal with vehicle
registration, ownership, or other relevant data to determine ownership of a motor
vehicle.
(d) The commissioner of revenue is authorized to promulgate rules to effectuate this
section. The rules must be promulgated in accordance with the Uniform Administrative
Procedures Act, compiled in title 4, chapter 5.
(e) The commissioner of revenue shall:
(1) Place a notice on the department of revenue's website that notifies the
public of the date the motor vehicle portal is operational and available for use and
what date is the ninetieth day following such date; and
(2) Notify the Tennessee code commission in writing of the date that the motor
vehicle portal is operational and available for use and what date is the ninetieth day
following such date.
(f) All revenues received from the fees must be earmarked and used for the
administration and maintenance of the motor vehicle portal. All funds generated pursuant to
this section must be deposited into a special account earmarked solely for the purposes set
forth in this section, and any unexpended funds do not revert to the general fund and must
be held in the account for use in accordance with this section.
55-31-105. Removal of firearms from stored vehicles.
A garagekeeper may remove and secure a firearm left in a stored motor vehicle if the
firearm can be removed without causing damage to the motor vehicle. If removed, the
firearm must be tagged or logged in a manner to tie it to the vehicle from which it was
removed, and the firearm must be stored at the business in a firearm safe or other type of
secure storage. The business shall notify the owner of the vehicle when a firearm is removed
and secured, and such notice must include information regarding how the firearm may be
retrieved.
55-31-201. Booting.
(a) It is an offense for any person to boot a motor vehicle, including, but not limited to,
a tractor or trailer, as those terms are defined in§ 55-8-101, in this state, if the motor vehicle
is clearly identifiable by:
(1) A United States department of transportation (USDOT) number issued by
the federal motor carrier safety administration (FMCSA);
(2) A registration plate issued and attached to the motor vehicle described in §
55-4-113(a)(2); or
(3) A registration plate issued and attached to a trailer described in § 55-4-
113(a)(5).
(b) It is an offense for any person to boot any other motor vehicle not described in
subsection (a) unless:
(1) The vehicle immobilization device is a self-releasing device;
(2) The motor vehicle is located on a commercial parking lot or on contracted
property;
(3) The person attaching the vehicle immobilization device 1s an employee of a
commercial parking lot owner or is a licensed booting operator;
(4) The commercial parking lot or contracted property posts signage in
conspicuous locations on the commercial parking lot or contracted property bearing
notice that:
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(A) Any motor vehicle not authorized to park on the lot or property is
subject to booting;
(8) Is designed and placed in a manner that ensures clear visibility and
readability by consumers parking on the lot or property;
(C) Is located at each designated entrance and exit of the lot or
property;
(D) Contains:
(i) The phone number that a consumer can call for support with
removing the vehicle immobilization device and that is monitored by a
natural person twenty-four (24) hours per day, seven (7) days per
week; and
(ii) The license number issued by the local government to the
licensed parking enforcement vendor contracted to boot on the lot or
property, if any; and
(E) This chapter protects consumers from booting violations and that
violations may be reported to the attorney general and reporter;
(5) The cost to remove the vehicle immobilization device is not greater than
the actual cost of the parking fees owed that led to the attachment of the vehicle
immobilization device, if any; plus a vehicle immobilization device removal fee of not
greater than seventy-five dollars ($75.00); and
(6) A fee is not charged to remove a vehicle immobilization device to a person
who had paid to park and who was improperly booted.
(c)(1) On or after the effective date of this act, a local government may adopt an
ordinance, resolution, regulation, or rule to provide for the licensure of licensed
booting operators and licensed parking enforcement vendors; provided, that the
ordinance, resolution, regulation, or rule complies with subdivision (c)(2).
(2) An ordinance, resolution, regulation, or rule adopted pursuant to
subdivision (c)(1) must:
(A) Require the annual licensure of licensed booting operators and
licensed parking enforcement vendors;
(8) Establish minimum identification standards for licensed booting
operators to ensure that a person attaching a vehicle immobilization device to
motor vehicles can be clearly identified as licensed by the local government;
(C) Issue a unique license number to each licensed booting operator
and each licensed parking enforcement vendor;
(D) Establish a method by which consumers may file and track
complaints against a licensed booting operator or licensed parking
enforcement vendor;
(E) Provide for the suspension or revocation of a license for good
cause shown;
(F) Require timely investigation of consumer complaints;
(G) Require, as a condition of licensure, that a licensed parking
enforcement vendor file a surety ·bond in an amount of no less than two
hundred fifty thousand dollars ($250,000) with the local government, which
must be recorded with the register of· deeds in the county where the vendor
operates;
(H) Ensure that each commercial parking lot or contracted property
complies with the signage requirements of subdivision (b)(4);
(I) Provide for referral of any licensee to the attorney general and
reporter, a law enforcement agency, or both, for a suspected violation of this
chapter; and
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(J) Maintain a publicly accessible registry of all licensed booting
operators and licensed parking enforcement vendors, including license
number, license status, and contact information.
(d) Notwithstanding subdivision (b)(5), if a vehicle owner or operator intentionally
damages a vehicle immobilization device or fails to return the vehicle immobilization device
to a clearly designated on-site storage location, the vehicle owner or operator may be subject
to an additional fee not to exceed one hundred dollars ($100).
(e) If an employee of a commercial parking lot owner or a licensed booting operator
removes or causes the removal of a vehicle immobilization device from a vehicle that has
been immobilized on the commercial parking lot or contracted property for the purpose of
having the motor vehicle towed from the commercial parking lot or contracted property, then
the motor vehicle owner or operator must not be assessed the vehicle immobilization device
removal fee permitted pursuant to subdivision (b)(5). This subsection (e) does not prohibit a
towing company from charging the owner or operator of the motor vehicle any fee authorized
by this chapter.
(f) In addition to the remedies in § 55-31-103, a person injured as a result of a
violation of this section by a licensed booting operator or licensed parking enforcement
vendor may file a claim against the surety bond required under subdivision (c)(2)(G) to
recover actual damages incurred as a result of the violation. The surety must be liable up to
the amount of the bond for any damages shown to have been caused by a licensee's
unlawful or negligent conduct while acting within the scope of parking enforcement activities
on a commercial parking lot or contracted property...
55-31-202. Automatic license plate readers.
A commercial parking lot owner shall not utilize an automatic license plate reader to
enforce the commercial parking lot owner's parking requirements without first posting
signage that:
(1) Is designed and placed in a manner that ensures clear visibility and
readability by consumers parking in the commercial parking lot;
(2) Contains the language LICENSE_ PLATE READER IN USE;
(3) Is located at each designated entrance to the property, if a dedicated
entrance to the commercial parking lot exists; and
(4) Is located on each level of the commercial parking lot, if the commercial
parking lot has more than one (1) level.
55~31-203. Parking fees.
(a) A commercial parking lot owner shall not charge a penalty for nonpayment of
parking fees unless:
(1) The commercial parking lot owner posts signage that:
(A) Is designed and placed iri a manner that ensures clear visibility and
readability by consumers parking in the commercial parking lot;
(B) Provides notice that motor vehicle owners who leave the
commercial parking lot without paying parking fees will be subject to a penalty
if the parking fees are not paid within seventy-two (72) hours from the time of
the commercial parking lot owner's discovery of the nonpayment of parking
fees; and
(C) Is ·located at each designated entrance and exit of the commercial
parking lot;
(2) The actual cost of parking fees owed remains unpaid after seventy-two
(72) hours from the time of the commercial parking lot owner's discovery of the
nonpayment of parking fees; and
(3)(A) If the actual cost of parking fees owed remains unpaid for thirty (30)
days or less from the date of the commercial parking lot owner's discovery of
the nonpayment of parking fees, the fee is not greater than fifty dollars
($50.00); or
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(8) If the actual cost of parking fees owed remains unpaid for greater
than thirty (30) days from the date of the commercial parking lot owner's
discovery of the nonpayment of parking fees, the fee is not greater than
seventy-five dollars ($75.00).
(b) If an entity requires on-site payment from a consumer for the parking of a motor
vehicle on the entity's property, and the entity only accepts payment by use of a quick
response (QR) code or a credit or debit card machine, then, in the event the QR code or the
credit or debit card machine fails to operate correctly to process the payment transaction, the
entity must:
(1 )(A) Accept payment from the consumer by cash or check, or through a
system that allows the consumer to provide the consumer's credit or debit
card information over the phone; or
(8) Allow the consumer to leave the property without providing
payment at the time; and
(2) Not charge a penalty or late fee for nonpayment until at least seven (7)
business days have passed from the date that the QR machine failed to operate and
the individual left the property without paying.
(c)(1) The entity may provide information to a consumer enabling the consumer to
mail payment to the entity, or provide the consumer's credit or debit card information
over the phone for payment of the services at a later date.
(2) If the entity does not provide the information described in subdivision
(c)(1 ), then the consumer is not required to· provide payment at ·a later date for the
service.
(d) For a parking lot that is temporarily or continuously unattended, the entity shall
provide notice of the alternative forms of payment accepted on a prominent sign located at
each site on the entity's property where payment is taken.
(e) A county, municipality, or other political subdivision of this state shall not enact or
enforce an ordinance, resolution, rule, or other requirement that regulates parking in a
manner that conflicts with this section.
(f) As used in this section:
(1) "Entity" includes a person, commercial parking lot owner, and this state or
a political subdivision of this state;
(2) "On-site" means on an entity's property where parking services are
provided; and
(3) "Property" includes, but is not limited to, a publicly owned parking lot or
parking garage and a public street.
55-31-204. Towing.
(a) Notwithstanding any other law to the contrary, a person shall not tow a motor
vehicle without express written authorization by the owner or authorized agent of the owner
of the motor vehicle unless:
(1 )(A) An owner or authorized agent of the owner of a commercial parking lot
or other private property open to the public has authorized the towing of the
motor vehicle left unattended and the owner has posted notice as pr9vided in
subdivision (a)(1 )(8); and
(8) The notice required by subdivision (a)(1 )(A):
(i) Pmvides notice that any motor vehicle not authorized to park
on the private property is subject to towing;
(ii) Is designed and placed in a manner that ensures clear
visibility and readability by consumers parking on the pri\,~ate property;
(iii) Is located at each designated entrance and exit of the
private property; and
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(iv) Contains the following information:
(a) The name of the garagekeeper authorized to tow the
vehicle; and
(b) The phone number of the garagekeeper authorized
to tow the vehicle;
(2) An owner or authorized agent of the owner of a commercial parking lot or
other private property open to the public has authorized the towing of a motor vehicle
that:
(A) Has been unattended for more than twelve (12) hours; or
(B) Is creating a hazard, blocking access to public or private property,
or parked illegally;
(3) An owner or authorized agent of the owner of private property not open to
the public has authorized the towing of a motor vehicle left unattended; or
(4) A law enforcement officer with appropriate jurisdiction requests that the
motor vehicle be towed pursuant to§ 55-31-301.
(b) The authorization required pursuant to subdivision (a)(4) must include all
information required by§ 66-19-103(d).
(c) A person attempting to tow a motor vehicle shall immediately release the vehicle
that the person has begun to tow if:
(1) The motor vehicle has not left the original parking location; and
(2) The owner or operator of the motor vehicle pays a release fee.
(d)(1) Prior to ninety (90) days after the motor vehicle portal created pursuant to § 55-
31-104 is operational and available for use, if the owner of a motor vehicle is not
present at the time the motor vehicle is_ towed, then within one (1) hour of a person
towing the motor vehicle pursuant to this chapter, such person must notify the law
enforcement agency with jurisdiction over the location from which the motor vehicle
was towed of the vehicle identification number (VIN), license plate number, a
description of the vehicle, the location of the tow, and the location where the motor
vehicle will be stored. A law enforcement agen_cy shall keep a record of all information
required by this subsection (d) and must make the information available for public
inspection.
(2) On or after ninety (90) days after the motor vehicle portal created pursuant
to§ 55-31-104 is operational and available for use, if the owner of a motor vehicle is
not present at the time the motor vehicle is towed, then within one (1) hour of a
person towing the motor vehicle pursuant to this chapter, such person must enter the
VIN, license plate number, a description ofthe vehicle, the location of the tow, and
the location where the motor vehicle will be stored into the motor vehicle portal.
55-31-205. Storage of vehicles.
(a) Notwithstanding this part or title 66, chapter 19, part 1, a garagekeeper shall not
store a motor vehicle unless the garagekeeper first obtains the express written authorization
for storage of the motor vehicle from a law enforcement officer with appropriate jurisdiction,
the owner of the motor vehicle or authorized agent of the owner of the motor vehicle, or the
owner or the authorized agent of the owner of the private property from which the motor
vehicle was towed. The authorization must include all of the information required by§ 66-19-
103(d).
(b) This section and § 66-19-103(b) do not apply to new or used motor vehicle
dealers licensed under chapter 17 of this title.
55-31-206. Towing firm referral fees.
(a) Notwithstanding this chapter to the contrary, a towing company shall not make,
confer, or offer any payment or other pecuniary benefit to an owner or manager of property
from which the company has towed a motor vehicle with the intent of rewarding the owner or
manager for referring the vehicle for towing.
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(b) Notwithstanding this chapter to the contrary, an owner or manager of property
from which a towing company has towed a motor vehicle shall not solicit or receive any
payment or other pecuniary benefit from a towing company in exchange for referring a
vehicle for towing to the company.
55-31-207. Fees.
(a) Except as otherwise provided in this section, a garagekeeper shall not charge the
owner or lienholder of a stored motor vehicle a storage fee for a period exceeding twenty-one
(21) days without the consent of the owner or lienholder, unless the owner or lienholder has
been notified that the motor vehicle is available to be released from the garagekeeper and
the owner or lienholder refuses to retrieve the motor vehicle.
(b) A garagekeeper shall not charge a storage fee for any day on which the motor
vehicle is not available for release to the owner, lienholder, or insurer, unless the failure to
release is based on a hold placed on the motor vehicle by law enforcement.
(c) Upon provision of documentation from an insurer or lienholder showing its right to
take custody of a motor vehicle, a garagekeeper shall release the motor vehicle to the
insurer or lienholder, or an authorized agent or representative for such insurer or lienholder,
upon the insurer's or lienholder's payment of reasonable charges due, without requiring
additional consent from the owner of the motor vehicle. The insurer or lienholder shall
indemnify and hold harmless the releasing person from any action, cause of action, claim,
judgment, loss, liability, damage, or cost that it may incur due to wrongful release of the
motor vehicle to an authorized agent or representative of the insurer or lienholder.
(d)(1) Prior to ninety (90) days after the motor vehicle portal created pursuant to§ 55-
31-104 is operational and available for use, a garagekeeper may charge a storage
fee for a period exceeding twenty-one (21) days if the last known registered owner of
the motor vehicle and all lienholders of record are notified using three-day delivery of
the intent to charge a storage fee for a period to exceed twenty-one (21) days. The
notice must be sent at least ten (10) days prior to the imposition of any additional
storage fee.
(2) On or after ninety (90) days after the motor vehicle portal created pursuant
to § 55-31-104 is operational and available for use, a garagekeeper may charge a
storage fee for a period exceeding twenty-one (21) days if the garagekeeper notifies
all registered owners of the motor vehicle and all lienholders of record of the intent to
charge a storage fee for a period to exceed twenty-one (21) days via the online motor
vehicle portal.
(e) A garagekeeper, whether as the principal business of the garagekeeper or
incidental to the garagekeeper's principal business, shall not charge a person for the towing
or storage of a motor vehicle that was towed or stored# without the express written
authorization of the owner of the motor vehicle to tow or store:
(1) A fee charged at a higher rate than the maximum fee that has been
approved by the Tennessee highway patrol district to be charged for the same
service by persons engaged in a business described in this section;
(2) A gate, access, or release fee during normal business hours for any day
during which daily storage is also being charged; or
(3) A release fee of more than one hundred doilars ($100).
(f) Subsections (a) and (d) do not apply to a motor vehicle that was t_owed or stored
by _a garagekeeper for the purpose of repairing the motor vehicle; provided, that the
garagekeeper first obtained the authorization of the owner for the repairs and the owner of
the motor vehicle has been notified that the repairs have been completed.
55-31-301. Law Enforcement - abandoned or immobile motor vehicle - motor vehicle
used in curbstoning.
(a) A law enforcement agency may take into custody, or utilize a garagekeeper to
take into custody, a motor vehicle found abandoned, immobile, or used in curbstoning, or the
agency may provide notice that the motor vehicle is abandoned, immobile, or being used in
curbstoning prior to taking the motor vehicle into custody, or utilizing a garagekeeper to take
the motor vehicle into custody; provided, that a motor vehicle used in curbstoning on
residential property must not be taken into custody unless the law enforcement agency
provides notice on the motor vehicle at least forty-eight (48) hours prior to the seizure.
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(b)(1 )(A) Prior to ninety (90) days after the motor vehicle portal created pursuant to §
55-31-104 is operational and available for use, a law enforcement agency or other
public agency taking possession, or causing possession to be taken through the use
of a garagekeeper, of a motor vehicle pursuant to this section must:
(i) Within three (3) business days after taking the motor vehicle
into custody, verify ownership of the motor vehicle through the
Tennessee Information Enforcement System (TIES). If a law
enforcement agency or other public agency attempts to verify
ownership information through TIES and the response is Not on File,
then the agency shall contact the department of revenue title and
registration division, which must search records not contained in TIES
for the ownership information. If the title and registration division
locates ownership information through this search, then the division
must notify the appropriate public agency and the agency must
distribute the information as provided in this subdivision (b)(1 ); and
(ii) If a law enforcement agency or other public agency utilizes
a garagekeeper to take possession of the motor vehicle, then provide
the ownership information obtained in subdivision (b)(1 )(A) to the
garagekeeper responsible for towing or storing the motor vehicle; and
(B) Within three (3) business days after receiving verification of
ownership pursuant to subdivision (b)(1 )(A)(i) or (ii), the law enforcement
agency, other public agency, or the garagekeeper that was responsible for
towing the motor vehicle shall send notice using three-day delivery to the last
known registered owner of the motor vehicle and all lienholders of record that
the vehicle has been taken into custody.
(2) On or after ninety (90) days after the motor vehicle portal created pursuant
to§ 55-31-104 is operational and available for use, a law enforcement agency, other
public agency, or garagekeeper taking possession of a motor vehicle pursuant to this
section must, within one (1) hour after taking the motor vehicle into custody, enter the
vehicle identification number, license plate number, a description of the vehicle, the
location of the tow, and the location where the motor vehicle will be stored into the
motor vehicle portal.
(c)(1) The owner or lienholder of an abandoned or immobile motor vehicle may
appeal a determination that a motor vehicle is abandoned or immobile. If the owner or
lienholder of an abandoned or immobile motor vehicle fails to appeal an action or
determination or fails to remove the motor vehicle within twenty (20) days from receipt
of the notice that a motor vehicle is abandoned or immobile, then the law
enforcement agency or other public agency may take the motor vehicle into custody
at any time, including by utilizing a garagekeeper to take the motor vehicle into
custody, and no other notice is required.
(2) If the owner or lienholder of an abandoned or immobile motor vehicle that
has not been taken into custody by a law enforcement agency pursuant to subdivision
(c)(1) appeals, then the law enforcement agency shall not take the motor vehicle into
custody while the appeal is pending.
(d) Any notice required by subsection (a) must:
(1) Be written in plain language;
(2) Contain the year, make, model, and vehicle identification number of the
motor vehicle, if ascertainable;
(3) Provide the location of the motor vehicle if the motor vehicle has been
taken into custody, or provide a statement advising the owner that the law
enforcement agency will take the abandoned, immobile, or unattended vehicle into
custody in no less than twenty (20) days from the date of receipt of the notice, unless
the owner appeals the determination by the law enforcement agency that the vehicle
is abandoned or immobile, or the owner removes the vehicle from the property within
the twenty-day period;
(4) Inform the owner and any lienholders of the right to reclaim the motor
vehicle within twenty (20) days after the date of receipt of the notice, upon payment of
all towing, preservation, and storage charges resulting from placing the vehicle in
custody; and
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(5) State that the failure of the owner or lienholders to exercise the right to
reclaim the vehicle will be deemed a waiver by the owner and all lienholders of all
right, title, and interest in the vehicle and consent to the demolition of the vehicle or its
sale at a public auction.
(e) A law enforcement agency may employ its own personnel, equipment, and
facilities or hire persons, equipment, and facilities for the purpose of removing, preserving,
and storing motor vehicles that are abandoned, immobile, unattended, or used in
curbstoning.
(f) A motor vehicle used in curbstoning is subject to seizure and forfeiture in the same
manner as provided by law for seizure and forfeiture of other items under title 40, chapter 33.
(g) Notwithstanding another law to the contrary, this section does not limit a local
government's initiative for more restrictive requirements regarding the sale of curbstoned
vehicles.
(h) A law enforcement agency requesting another person to tow a motor vehicle
pursuant to this section must provide the authorization required pursuant to § 55-31-
204(a)(3) to the person to tow prior to requesting the tow.
55-31-302. Notice.
(a)(1) Prior to ninety (90) days after the motor vehicle portal created pursuant to§ 55-
31-104 is operational and available for use, when any person other than a law
enforcement agency or other public agency takes possession of a motor vehicle
found abandoned or immobile, the action must be reported immediately to the
department of revenue taxpayer and vehicle services division for verification of
ownership on a form prescribed and provided by the registrar of motor vehicles.
(2) On or after ninety (90) days after the motor vehicle portal created pursuant
to§ 55-31-104 is operational and available for use, when any person other than a law
enforcement agency or other public agency takes possession of a motor vehicle
found abandoned or immobile, the action must be reported to the online motor vehicle
portal.
(b)(1) In addition to the notification requirements of§ 55-31-301 and subsection (a), a
garagekeeper that has in its possession an abandoned or immobile motor vehicle
taken into custody by any person shall, within three (3) business days after the motor
vehicle is taken into its possession, verify ownership of the motor vehicle. The
garagekeeper shall, within three (3) business days after receiving verification of
ownership, provide notice to the last known registered owner of the motor vehicle and
all lienholders of record. The notification requirements included in § 55-31-301 and
subsection (a) apply to the notice required to be provided by a garagekeeper
pursuant to this subdivision (b)(1 ).
(2) A garagekeeper that does not verify ownership of a motor vehicle within
three (3) business days after taking possession of the motor vehicle pursuant to this
section or that does not notify in the manner required by subsection (a) the owner of
the motor vehicle within three (3) business days after receiving verification of
ownership from the appropriate state department or agency shall not receive more
than six (6) days of storage-related expenses. A garagekeeper that is found by a
court of competent jurisdiction to have failed to release a motor vehicle upon the
presentment of payment for towing and storage expenses is subject to civil liability to
the motor vehicle owner, secured creditor, lessor, or lienholder who prevails in an
action brought under this section for reasonable costs and attorney's fees incurred by
the person instituting the action.
(3) If the owner of the motor vehicle or the owner's agent is present at the time
a garagekeeper commences towing the owner's or agent's motor vehicle, then this
subsection (b) does not apply to the. garagekeeper; provided, however, that this
subdivision (b)(3) does not exempt the garagekeeper from any other notification
requirements under this section or another provision of law.
55-31-303. Auctions and auctioneers.
(a) If an abandoned or immobile motor vehicle has not been reclaimed as provided
for in § 55-31-301 or§ 55-31-302, then the law enforcement agency or garagekeeper must
sell the abandoned or immobile motor vehicle at a public auction.
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(b) The purchaser of the motor vehicle takes title to the motor vehicle free and clear of
all liens and claims of ownership, must receive a sales receipt from the law enforcement
agency or garagekeeper, and, upon presentation of the sales receipt, the department of
revenue shall issue a certificate of title to the purchaser.
(c) The sales receipt only is sufficient title for purposes of transferring the motor
vehicle to a demolisher for demolition, wrecking, or dismantling, and, in this case, further
titling of the motor vehicle is not necessary.
(d) The proceeds of the sale of an abandoned or immobile motor vehicle must be
used for payment of the expenses of the auction, the costs of towing, preserving, and storing
the abandoned or immobile motor vehicle, and all notice and publication costs, including
costs to post the motor vehicle on the motor vehicle portal, incurred pursuant to§ 55-31-301
or § 55-31-302.
(e) Any remainder from the proceeds of a sale must be held by the law enforcement
agency or garagekeeper for the owner of the motor vehicle or entitled lienholder for sixty (60)
days from the date of the sale, and then must be deposited in a special fund that must
remain available for the payment of auction, towing, preserving, storage, and all notice and
publication costs, including costs to post the motor vehicle on the motor vehicle portal, that
result from placing other abandoned or immobile vehicles in custody, whenever the proceeds
from a sale of other abandoned or immobile motor vehicles are insufficient to meet these
expenses and costs.
55-31-304. Garagekeepers.
(a) Notwithstanding this chapter to the contrary, the law enforcement agency through
its chief officer, after complying with§ 55-31-301, may execute a written waiver of its right to
sell a vehicle taken into custody under this chapter in favor of a garagekeeper in whose
possession the vehicle was lawfully placed by the law enforcement agency under this
chapter. If a garagekeeper has made repairs to a vehicle for which a waiver has been
executed, then the garagekeeper may proceed to enforce the lien as provided in § 66-19-
103. If the garagekeeper has not made repairs to a vehicle for which a waiver has been
executed, then the garagekeeper may proceed to sell the vehicle in accordance with the
procedure established in § 55-31-303.
(b) As to third-party purchasers, the sale of the abandoned or immobile vehicle is
valid, butthe garagekeeper shall sell the vehicle in a commercially reasonable manner.
(c) A person injured as a result of a violation of subsection (b} is entitled to maintain a
private right of action for injunctive relief c;1nd to recover actual damages, compensatory
damages, punitive damages, and reasonable attorney's fees against an alleged violator.
55-31-305. Demolishers.
(a) A person upon whose property or in whose possession is found an abandoned or
immobile motor vehicle, or a person being the owner of a motor vehicle whose title certificate
is faulty, lost, or destroyed, may apply to the law enforcement agency of the jurisdiction in
which the vehicle is situated for authority to sell, give away, or dispose of the vehicle to a
demolisher.
(b) The application must set out the name and address of the applicant, the year,
make, model, and vehicle identification number of the motor vehicle, if ascertainable,
together with any other identifying features, and must contain a concise statement of the
facts surrounding the abandonment, or that the title of the motor vehicle is lost or destroyed,
or the reasons for the defect of title. The applicant must execute an affidavit stating that the
facts alleged therein are true and that no material fact has been withheld.
(c) If the law enforcement agency finds that the application is executed in proper form
and shows that the motor vehicle has been abandoned or immobile upon the property of the
applicant, or if it shows that the motor vehicle is not reported stolen and is not abandoned or
immobile but that the applicant appears to be the rightful owner, then the law enforcement
agency shall follow the notification procedures set forth in§ 55-31-301 or§ 55-31-302.
(d) If an abandoned or immobile motor vehicle is not reclaimed in accordance with §
55-31-301 or § 55-31-302, then the law enforcement agency shall give the applicant a
certificate of authority to sell the motor vehicle to.any demolisher for demolition, wrecking, or
dismantling. The demolisher shall.accept the certificate in lieu of the certificate of title to the
motor vehicle. •
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(e) Notwithstanding this part to the contrary, a person upon whose property or in
whose possession is found an abandoned or immobile motor vehicle, or the owner of a motor
vehicle whose title certificate is faulty, lost, or destroyed, may dispose of the motor vehicle to
a demolisher without the motor vehicle's title and without the notification procedures of § 55-
31-301 or§ 55-31-302, if the motor vehicle is over ten (10) years old and has no engine or is
otherwise totally inoperable.
(f)(1) If a vehicle has an engine, and is properly licensed but otherwise fits the
description of this section, then such vehicle left on a public highway or street and
towed at the direction of local or state law enforcement officials must be held at least
ten (10) days. If, at the end of that period, no claim has been received for the vehicle,
then the vehicle may be disposed of in accordance with this section.
(2) Subdivision (f)(1) does not apply in counties with a metropolitan form of
government, in which counties subsection (e) remains in full force and effect.
55-31-306. Demolishers - Surrender of certificate of title or auction sales receipt for
cancelation - Records and recordation.
(a) A demolisher who purchases or otherwise acquires a motor vehicle for purposes
of wrecking, dismantling, or demolition is not required to obtain a certificate of title for the
motor vehicle in the demolisher's name. After the motor vehicle has been demolished,
processed, or changed so that it physically is no longer a motor vehicle, the demolisher shall
make the required notification to the National Motor Vehicle Title Information System and
surrender for cancelation the certificate of title or auction sales receipt. The department of
revenue taxp_ayer and vehicle services division shall issue forms and rules governing the
surrender of auction sales receipts and certificates of title as are appropriate.
(b) A demolisher shall keep an accurate and complete record of all motor vehicles
purchased or received in the course of the demolisher's business. The records must contain
the name and address of the person from whom each motor vehicle was purchased or
received, the date when the purchase or receipt occurred, and the date reported to the
National Motor Vehicle Title Information System. The demolisher shall make the records
open for inspection by any law enforcement agency at any time during normal business
hours. A record required by this section must be kept by the demolisher for at least one (1)
year after the date of the transaction to which it applies.
SECTION 2. Tennessee Code Annotated, Section 66-14-104, is amended by designating the
current language as subsection (a) and adding the following language:
(b) On or after ninety (90) days after the motor vehicle portal created pursuant to §
55-31-104 is operational and available for use, in the event the good is a motor vehicle or
another good requiring a certificate of title pursuant to title 55, the newspaper advertisement
is not required, and the public sale notice must be, posted through the on line motor vehicle
portal created pursuant to § 55-31-104 and must contain the year; make; model; license
plate number; vehicle identification number, if applicable; and the time and date of the sale of
the motor vehicle.
SECTION 3. Tennessee Code Annotated, Section 66-19-103, is amended by deleting
subsection (a) and substituting: •
(a) As used in this section:
(1) "Garagekeeper" has the same meaning as defined in§ 55-31-102;
(2) "Rental vehicle company" means a person or entity, or a subsidiary or
affiliate of a person or entity, including a franchisee, in the business of renting motor
vehicles to the public; and
(3) "Three-day deljvery" has the same meaning as defined in§ 55-31-102.
SECTION 4. Tennessee Code Annotated, Section 66-19-103(b)(1)(A), is amended by
deleting subdivision (i) and substituting:
(i) Is only required to advertise the sale on the motor vehicle portal developed
pursuant to§ 55-31-104; and
SECTION 5. Tennessee Code Annotated, Section 66-19-103(b)(1)(8), is amended by
deleting the language "a nationally recognized overnight delivery carrier, other than the United
States postal service, requesting proof of delivery" and substituting instead "three-day delivery".
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SECTION 6. Tennessee Code Annotated, Section 66-19-103(b)(6), is amended by deleting
"§ 55-32-308" and substituting "§ 55-31-205".
SECTION 7. Tennessee Code Annotated, Section 66-19-103(c), is amended by deleting
"chapter 32" and substituting "chapter 31 ".
SECTION 8. Tennessee Code Annotated, Section 47-18-104(b)(65), is amended by deleting
"§ 55-31-204" and substituting"§ 55-31-202".
SECTION 9. Tennessee Code Annotated, Section 47-18-104(b)(66), is amended by deleting
"§ 55-31-307" and substituting"§ 55-31-204".
SECTION 10. Tennessee Code Annotated, Section 47-50-120, is amended by deleting the
section.
SECTION 11. The headings in this act are for reference purposes only and do not constitute
a part of the law enacted by this act. However, the Tennessee Code Commission is requested to
include the headings in any compilation or publication containing this act.
SECTION 12. Upon receipt by the Tennessee Code Commission of the written notice from
the Commissioner of Revenue pursuant to§ 55-31-104(f), which includes the date that is ninety (90)
days after the motor vehicle portal becomes operational and available for use, the Commission is
requested to update the Code to reflect that date in §§ 55-31-104(b), 55-31-204(d), 55-31-207(d),
55-31~301(b), 55-31-302(a) and 66-14-104(b).
SECTION 13. This act takes effect upon becoming a law, the public welfare requiring it.
16
SENATE BILL NO. 1068
PASSED: April 22, 2025
ALLY
SPEAKER OF THE SENATE
?d_,
CAMERONSEXTON,SPEAKER
HOUSE OF REPRESENTATIVES
q-tt- APPROVED this day o f ~ 2025
~ U.,.,
BILL LEE, GOVERNOREvery fact on this page links to its source, starting with the official bill record.