Can a Tow Company Purchase a Municipal Towing Contract from Another Company?

Many tow companies have municipal towing contracts which can be valuable assets.  Depending on the value of the contract, tow companies that possess these contracts are often solicited by other companies who wish to purchase the tow company and its contracts.  In recent years, this has been a particularly common strategy here in Kansas City where municipal tow contracts have become extremely competitive and have been awarded to companies of all shapes and sizes. 

By |2019-08-09T09:39:33-05:00August 9th, 2019|Other Legal Issues|0 Comments

Refusal to Return Recovered Stolen Vehicle to Owner Results in Criminal Conviction for Tennessee Tow Operator

Back in 2013, Morristown towing company owner James Morgan unwittingly got involved in a stolen car ring.   Morgan, a one-truck operator, received a request to impound several dilapidated vehicles. The person requesting the tows indicated that he had bought the vehicles from their owners. It turned out that, in fact, he had not purchased some of the vehicles. He was using Morgan’s towing service to steal the cars.

By |2019-07-11T20:29:04-05:00July 11th, 2019|Other Legal Issues|0 Comments

Read the Fine Print of your Service Agreements

I bet at the very end of most every agreement your tow company signs, there is a bunch of legal mumbo jumbo that you don’t feel like reading. This is understandable. Truth be told, when I am hired to read contracts, I don’t particularly enjoy reading the fine print either. But you should.

By |2019-01-18T14:01:35-05:00January 18th, 2019|Other Legal Issues|0 Comments

Happy New Year & Best Wishes for 2019!

As the year comes to a close, it is time again to reflect back on another great year of being a part of the towing community. It is a pleasure working with everyone and we thank you for the opportunity. We are looking forward to 2019, as TowLawyer is planning on some new endeavors to further serve our members. Best wishes and Happy New Year!

By |2018-12-30T21:22:30-05:00December 30th, 2018|Other Legal Issues|0 Comments

Is a Non-Compete Agreement Worth the Paper It Is Written On?

When it comes to the tow business, the answer is…it depends. I would say as a general rule, courts disfavor “restrictive covenants” in the workplace. A restrictive covenant is, by definition, something that restricts another from doing something. A covenant not to compete is one example of a restrictive covenant. Typically, they are introduced at the inception of one’s employment and, as a condition of accepting employment, the prospective employee agrees to a number of post-employment conditions, such as non-competing with the company, not soliciting the company’s customers, and otherwise not using the customer’s confidential information.

By |2018-11-15T20:17:47-05:00November 15th, 2018|Other Legal Issues|0 Comments

Minority and Woman Owned Businesses May Have an Advantage When Bidding for Municipal Tow Contracts

Cities throughout the United States receive incentives for doing business with a minority-owned or woman-owned business. This includes minority-owned or woman-owned tow businesses. The law defines these types of businesses as socially and/or economically disadvantaged. So what does this mean for a tow business?

By |2018-11-02T09:44:43-05:00November 2nd, 2018|Other Legal Issues|0 Comments

Carmack Amendment Claims

Clever insurance companies occasionally point to the Carmack Amendment as another avenue to collect from tow companies who have damaged motor vehicles in their possession. For those unfamiliar with these types of claims, the Carmack Amendment is a federal law that may create liability for tow companies transporting motor vehicles across the state lines. Unlike conventional liability claims, if applicable, the Carmack Amendment imposes liability on tow companies if the claimant can show that the goods were originally in an undamaged condition and were later damaged.

By |2018-10-11T21:34:38-05:00October 11th, 2018|Other Legal Issues|0 Comments

Tragedy and the Heat of Passion in Watertown, Massachusetts

There was a truly tragic story this month involving a tow truck driver in Watertown, Massachusetts.  68-year-old Benita Horner was involved in a fatal accident that allegedly resulted in Ms. Horner being struck and pinned beneath a tow truck while crossing an intersection.  Moments later, the victim’s 38-year-old son, who witnessed his mother being run over, jumped into the tow truck and allegedly repeatedly stabbed the driver, who sustained critical injuries.  The victim’s son, who is reporting as having a history of mental health issues, was arrested and charged with attempted murder, assault and battery, and resisting arrest.  Meanwhile, no charges have been announced against the tow truck driver.

By |2018-09-24T09:26:20-05:00September 24th, 2018|Other Legal Issues|0 Comments

The Uber Case: When Your Competitor Ignores The Rules

At TowLawyer.com we often get calls from subscribers frustrated over the lack of enforcement of laws and regulations that apply to their local towing operations. Nothing is more infuriating that seeing a flagrant violation of a towing ordinance or police department regulation by a competitor that goes unenforced. For example, a local ordinance requires all tow trucks to carry a fire extinguisher and broom but none of your competitor’s trucks have that equipment. Or the police department rotation rules require a 10-foot chain-link fence capped with strands of barbed-wire but your competition only has a rickety 6-foot fence patched up with chicken wire and pieces of tin.

By |2018-09-07T10:06:16-05:00September 7th, 2018|Other Legal Issues|0 Comments