Introduction to Iowa Towing Laws
Private property towing laws in Iowa play a crucial role in regulating when and how property owners can remove unauthorized vehicles from their property. A vehicle is generally considered "unauthorized" if at the time it is issued a citation for the parking violation, the vehicle’s owner did not have property owner’s permission to park the vehicle on the property. Both property owners and vehicle owners should have a basic understanding of how laws affect their rights.
In Iowa, private property towing regulations are designed with the primary goal of preventing unwanted trespassers from utilizing private property, specifically private parking areas for the use of tenants, residents, visiting guests, and/or lawfully invited individuals. In addition, such laws provide private property owners and/or tenants with efficient and effective methods to ensure that such areas are not occupied without permission, and that they are available for the purpose of which they were intended.
Under certain circumstances, a private property owner and/or tenant has the legal power to remove a vehicle that is parked in a designated area without permission or is unauthorized in some other manner . However, the private property owner cannot simply remove the vehicle and dispose of it how he or she desires—Iowa law sets out specific requirements that must be met before removing a vehicle, as well as distinct steps that must be taken after the vehicle is removed.
Both private property owners and vehicle owners should familiarize themselves with pertinent laws regarding private property towing. While some of these laws require only that you comply with certain rules before towing a vehicle, failure to comply with these laws can become extremely costly. Any person or entity that violates the laws may be subject to certain penalties, including civil fines and the towing of any vehicle owned by such violator.
For example, if a private property owner rents a space to store rental trucks and refuses to allow access to any truck, a violation of the laws could be considered to exist, and the owner could ultimately pay for the misdeed.
In addition, there are specific notifications that a person must give prior to towing. Failure to provide these notifications could result in the person being responsible for relocating the vehicle, and the owner being able to seek damages for the relocation expense.
The following sections of this article provide a brief overview of the laws governing private property towing and each of the thresholds and penalties set forth in Iowa Code section 321J.23.
Iowa Private Property Towing Requirements
In the absence of a local law, section 321.206 applies to the removal of illegally parked vehicles on private property. A private person may have an illegally parked vehicle removed if certain criteria are met. A common resulting scenario is if a vehicle parks blocking a business’ parking lot or is not an allowed tenant at an apartment complex. A property owner may have such a vehicle removed and restrict its return by registering the property with the state and having the vehicle towed pursuant to 321.206. The property owner must exhibit the required signage and have a written contract with a towing operator. The Iowa Department of Transportation maintains a list of companies that provide towing services in the state. A private property owner may contract with an operator of the owner’s choice if the operator is included in the list. A private property owner may terminate any existing contract with an operator at any time. This law prevents predatory towing operators. It also helps reduce confusion regarding the applicability of the law and allows private property owners to choose which operator will provide the service.
Iowa Laws for Towing Companies
The towing companies that provide the functional services of towing and impounding cars must also be aware that certain legal obligations are required in doing so. Iowa code section 321.129, Iowa Code 1993 §321.129 amended by 2000 Iowa Acts, ch 1052, §30, 2005 Iowa Acts, ch 174, §2, 2005 Iowa Acts, ch 179, §131 (codified as Iowa Code § 321.129), in conjunction with private property owners, requires that all vehicles towed from private property be accompanied by a permit issued by the local authority. The local authority being the local police department or sheriff’s office. Mandatory permits and operational provisions for companies must be applied for and obtained after payment of any requisite fees. The resulting permit is only valid if either signed by the local authority or validating police or sheriff’s department seal is attached.
The local police or sheriff’s departments have 24 hours to either approve or deny the permit; the UST has been informed that as long as sufficient information is provided in support of the application, approval of the permit is presumptively granted after 24 hours.
Localities may revoke without hearing the permit of any person who violates any of the three requirements outlined below. Any complaining party may bring an action seeking injunctive relief to enforce the statute, and are entitled to reasonable attorney fees in actions in which relief is granted. Private property owners may also bring an action for damages as well. Further, no owner, lessee, or agent of the property may charge the owner of the vehicle more than the amount listed on the price schedule provided to the local authorities. Such price list must be submitted along with the application for the permit. No such price schedule shall contain a variable dollar amount nor shall any person be charged an amount greater than the rate posted at the location of the impoundment. The price schedule must contain a telephone number designated to handle inquiries about towing practices to which the public has access at all times. The location of such schedule shall be deemed kept at the official place of business of the company, but in no event shall any person be required to retain such schedule at the office address published in the telephone directory. The price schedule is to be made available to any law enforcement officer or public official having jurisdiction over towing permits and enforcement at the time and place of impoundment of a vehicle.
Iowa Rights Complaints against the Big Guys
The law provides certain rights and protections to the owners of vehicles that are subject to private property tow removal. If a properly licensed tow company is called to remove a vehicle from a residential or commercial property, and that vehicle is then damaged while in the hands of the tow operator, the owner may have a claim for conversion, which, depending on the circumstances, can be in a matter of a few hundred dollars to a matter in excess of one hundred thousand dollars. Exemplar cases include the tow company fixing or destroying a transmission, not properly repairing an oil leak, and smacking off the rear bumper of an older Jaguar while attempting to back it onto a flatbed trailer. If the person calling for the tow has no legal right to do so, then the situation may give rise to a claim for trespass, which can also be brought against the property owner. Vehicle owners are protected from overly high towing fees, since Chapter 321G(2) imposes a maximum fee amount that is based upon the weight of the vehicle. In addition, the parking policies of the property owner must be made public, by posting the same at the point of entry to the parking area. In short, these are legal policies that can cause even small damages to a vehicle to be monetarily evaluated in amounts approaching the six figure range if the damage is more than ordinary wear and tear.
Challenging an Illegal Tow
In the event a property owner has had a vehicle towed from his or her own property and does not have the appropriate signage, the vehicle owner may have an unlawful private property tow claim. This type of claim could also potentially exist, for example, if a second vehicle had been parked on that space and towed even though a towing company had been called out by a property manager.
If you are the person whose vehicle was towed, and the vehicle is released after claiming compensation, your claim for compensation could be for either the money that you were charged or for money that you paid to the towing company. If you have any sort of documentation as to the amount paid, or the receipt (for example) for any call to the towing company, that can help prove your damages.
The point is to evaluate whether you can recover for damages suffered or whether you simply want the money that you paid to the tow company. This will affect the amount of damages in a lawsuit , but could also affect how the case is handled. In story above, for instance, the client was charged a fee for the tow but it was essentially billed to the management. The amount of that fee therefore became relevant to a potential "damages" case against the property manager and/or management company. In some cases there are causes of actions for unjust enrichment.
Keep in mind that there are limits in Iowa as to liability for this type of unlawful private property tow. For example, as noted above, the tow is unlawful, so the parking company may have had some liability, but it was more likely that the management company had liability because the people themselves did not actually intend to have the vehicle towed. In other words, since it was not illegal to tow the car, there was no wrongdoing on the part of the property managers.
Recent Updates to Towing Laws
In the last Legislative Session, there were some additional changes to Iowa Code relating to private property towing. The biggest change involves the need for proper signage, and that the Iowa Department of Transportation shall, by December 31, 2019, adopt rules and set a fee for the issuance of towing permits. It remains to be seen if the Iowa Department of Transportation will adopt its own rules, or simply adopt any rules issued by municipalities.
In the meantime, there are two Iowa statutes to consider when implementing private property signs. The first is I.C. 321.260. This statute essentially provides for the sign requirements of a motor vehicle to be towed pursuant to Iowa Code Section 321.216. This statute requires that any vehicle parked in violation of the posted requirements (including a properly placed sign), may be removed. Further, this statute goes on to address the right of the towing company to possession and lien rights. For example, Section 321.260(9) provides: A person who removes a motor vehicle from the real property of another person under this section shall notify the person from whom the motor vehicle is towed that the person removing the vehicle has a lien over the vehicle for all charges of the removal. The person from whom the motor vehicle is towed shall become the legal owner of the motor vehicle subject to the lien and shall have no cause of action against the person removing the motor vehicle for the costs of the removal. The person from whom the motor vehicle is towed may present a report of the circumstances of the violation to any peace officer.
I.C. 321.260(10) also provides a mechanism for a vehicle owner to contest towed under this section. This statute makes it clear that any vehicle owner can contest the actual towing of the vehicle prior to payment of any towing fees.
The second statute is 321.486. This statute essentially requires that an automobile be in violation of the posted municipal sign to be within the scope of this statute. This statute is similar to I.C. 321.260, however, it includes provisions for the right to remove a motorcycle or special truck. A special truck is defined as a truck having more than one rear axle, a dump truck, or a truck with a manufacturer’s gross weight rating of eight tons or more.
The last legislative change to towing involved Chapter 80 of the Iowa Code – Uniform Law Violations Bureaus. This includes several Keokuk City Ordinances in regard to the duties of a towing company related to notification and record keeping requirements. These changes are noted in the linked article above under Chapter 80.
Tips for Property Owners
To avoid conflicts and ensure compliance, property owners must stay informed about the scope of Iowa private property law and practical techniques needed to tow offending vehicles in compliance with those laws. In general, property owners should place an emphasis on clear communication with their tenants and other property users about the consequences of violating parking rules on private property. This is part of the general trend in the law toward the principle that property owners have a duty to effectively communicate the boundaries of what is and what is not permitted when it comes to particular and important property restrictions. To be sure, the law does not require owners to prohibit all illegal activities. Instead, owners must be careful to effectively communicate the boundaries and consequences of actions that are prohibited. Because proving the existence and contents of parking regulations can be difficult to do in court, tangible and visual forms of communication mostly take the form of well-placed signage. It is always best to err on the side of placing too much signage instead of not placing enough signage, as unclear signage is worse than no signage at all. For any area subject to restriction, it is best to place at least one clear sign on each side of the area. Where practical, make sure that there is clear visibility to those signs from any angle. These important practical tips are included in a new publication from the Department of Transportation and are helpful for further understanding Iowa’s private property towing laws.
Conclusion
This article has discussed the nature of private property towing laws in Iowa, including the permit requirements and exceptions. The article also noted the requirement of an independent witness or evidence of a violation to independently verify the parking ticket to satisfy the bond requirement. Towing companies who comply with the legal requirements of private property towing law are safeguarded against potential violations .
Property owners and employers should be aware of their rights and requirements under Iowa State Code in order to secure the necessary permits and follow the requirements for posting signs on private property.
Drivers and vehicle owners who are subject to private property towing should be equally as familiar with their rights, including what to do if a property owner has removed your vehicle without following proper due process.