As a young boy growing up in a towing family in Tennessee, I remember hearing Hank Snow’s baritone voice warbling over the AM radio in the shop: “I’m a-moving on.” Little did I realize then that “I’m Moving On” could be the theme song for many tow truck drivers.
Classifying a tow truck driver as an independent contractor is tempting. Independent contractors don’t require worker’s compensation insurance. Furthermore, employers don’t have to deduct withholding taxes, etc. from independent contractor’s paychecks. However, when it comes to classifying tow truck drivers as independent contractors, the towlawyer has some very simple advice: don’t do it.
Consumer complaints about the price of a tow bill are nothing new. Usually, it’s the tow company that is the target of the complaints. However, with the rise of administrative fees being charged by cities, some cities are also drawing the ire of the general public.
Towing companies that impound vehicles rarely collect their full charges on unclaimed vehicles. Even after deducting the proceeds from the auction sale of the abandoned vehicle, there is usually a large balance, or deficiency, still outstanding for towing, labor and storage fees.