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SF 3082

2nd Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to motor vehicles; permitting sale of impounded vehicles and contents
after voluntary title transfer; providing for notice of impound, right to reclaim
contents, and waiver of right; establishing right to retrieve contents without
charge in certain cases; limiting deficiency claim; providing for permit for
oversize and overweight tow trucks in certain cases; providing for disclosure
of damage to older vehicles; amending Minnesota Statutes 2006, sections
168B.051, subdivision 2; 168B.06, subdivisions 1, 3; 168B.07, by adding a
subdivision; 168B.08, subdivision 1; 168B.087, subdivision 1; 169.86, by adding
a subdivision; 325F.6644.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 168B.051, subdivision 2, is amended to
read:


Subd. 2.

Sale after 45 daysnew text begin or title transfernew text end .

deleted text begin Andeleted text end new text begin (a) If an unauthorized vehicle is
impounded, other than by the city of Minneapolis or the city of St. Paul, the
new text end impounded
vehicle is eligible for disposal or sale under section 168B.08, new text begin the earlier of:
new text end

new text begin (1) new text end 45 days after notice to the ownerdeleted text begin , if the vehicle is determined to be an
unauthorized vehicle that was not impounded by the city of Minneapolis or the city of
St. Paul
deleted text end new text begin ; or
new text end

new text begin (2) the date of a voluntary written title transfer by the registered owner to the
impound lot operator
new text end .

new text begin (b) A voluntary written title transfer constitutes a waiver by the registered owner of
any right, title, and interest in the vehicle.
new text end

Sec. 2.

Minnesota Statutes 2006, section 168B.06, subdivision 1, is amended to read:


Subdivision 1.

deleted text begin Contents;deleted text end new text begin Waiver of right to reclaim vehicle; written new text end notice deleted text begin given
within five days
deleted text end new text begin of impoundnew text end .

new text begin (a) new text end When an impounded vehicle is taken into custody, the
unit of government or impound lot operator taking it into custody shall give new text begin written new text end notice
of the taking within five daysnew text begin to the registered vehicle owner and any lienholders. The
failure of the registered owner or lienholders to exercise the right to reclaim the vehicle
before the expiration of the waiting periods provided under section 168B.051 constitutes a
waiver of all right, title, and interest in the vehicle and a consent to the transfer of title to,
and disposal or sale of, the vehicle under section 168B.08. The failure of the registered
owner to exercise the right provided under section 168B.07, subdivision 3, constitutes a
waiver of all right, title, and interest in the contents and a consent to the transfer of title to,
and disposal or sale of, the contents under section 168B.08
new text end .

new text begin (b) new text end The notice deleted text begin shalldeleted text end new text begin must:
new text end

(1) set forth the date and place of the takingdeleted text begin ,deleted text end new text begin ;
new text end

new text begin (2) provide new text end the year, make, modelnew text begin ,new text end and serial number of the impounded motor
vehiclenew text begin ,new text end if such information can be reasonably obtainednew text begin ,new text end and the place where the vehicle
is being helddeleted text begin ,deleted text end new text begin ;
new text end

deleted text begin (2)deleted text end new text begin (3)new text end inform the owner and any lienholders of their right to reclaim the vehicle
under section 168B.07deleted text begin , anddeleted text end new text begin ;
new text end

deleted text begin (3)deleted text end new text begin (4)new text end state that failure of the owner or lienholders tonew text begin :
new text end

new text begin (i) new text end exercise their right to reclaim the vehicle deleted text begin and contentsdeleted text end within the appropriate time
allowed under section 168B.051, subdivision 1, 1a, or 2, deleted text begin shall be deemeddeleted text end new text begin and under the
conditions set forth in section 168B.07, subdivision 1, constitutes
new text end a waiver by them of all
right, title, and interest in the vehicle deleted text begin and contentsdeleted text end and a consent to the transfer of title to
and disposal or sale of the vehicle deleted text begin and contentsdeleted text end pursuant to section 168B.08new text begin ; or
new text end

new text begin (ii) exercise their right to reclaim the contents of the vehicle within the appropriate
time allowed and under the conditions set forth in section 168B.07, subdivision 3,
constitutes a waiver by them of all right, title, and interest in the contents and consent to
sell or dispose of the contents under section 168B.08; and
new text end

new text begin (5) new text end new text begin state that a vehicle owner who provides to the impound lot operator
documentation from a government or nonprofit agency or legal aid office that the owner
is homeless, receives relief based on need, is eligible for legal aid services, or has a
household income at or below 50 percent of state median income has the unencumbered
right to retrieve any and all contents without charge
new text end .

Sec. 3.

Minnesota Statutes 2006, section 168B.06, subdivision 3, is amended to read:


Subd. 3.

Unauthorized vehicle; new text begin second new text end notice.

If an unauthorized vehicle remains
unclaimed after 30 days from the date the notice was sent under subdivision 2, a second
notice deleted text begin shalldeleted text end new text begin must new text end be sent by certified mail, return receipt requested, to the registered owner,
if any, of the unauthorized vehicle and to all readily identifiable lienholders of record.

Sec. 4.

Minnesota Statutes 2006, section 168B.07, is amended by adding a subdivision
to read:


new text begin Subd. 3. new text end

new text begin Retrieval of contents. new text end

new text begin (a) For purposes of this subdivision:
new text end

new text begin (1) "contents" does not include any permanently affixed mechanical or
nonmechanical automobile parts; automobile body parts; or automobile accessories,
including audio or video players; and
new text end

new text begin (2) "relief based on need" includes, but is not limited to, receipt of MFIP
and Diversionary Work Program, medical assistance, general assistance, general
assistance medical care, emergency general assistance, Minnesota supplemental aid,
MSA-emergency assistance, MinnesotaCare, Supplemental Security Income, energy
assistance, emergency assistance, Food Stamps, earned income tax credit, or Minnesota
working family tax credit.
new text end

new text begin (b) A unit of government or impound lot operator shall establish reasonable
procedures for retrieval of vehicle contents, and may establish reasonable procedures to
protect the safety and security of the impound lot and its personnel.
new text end

new text begin (c) At any time before the expiration of the waiting periods provided in section
168B.051, a registered owner who provides documentation from a government or
nonprofit agency or legal aid office that the registered owner is homeless, receives relief
based on need, is eligible for legal aid services, or has a household income at or below 50
percent of state median income has the unencumbered right to retrieve any and all contents
without charge and regardless of whether the registered owner pays incurred charges or
fees, transfers title, or reclaims the vehicle.
new text end

new text begin (d) At any time before the expiration of the waiting periods provided in section
168B.051, a registered owner other than a registered owner described in paragraph (c)
has the unencumbered right to retrieve the following contents: medicine; medical-related
items and equipment; clothing; eyeglasses; educational materials; and legal documents,
including, but not limited to, a driver's license, identification, passports, insurance
documents, any other documents related to a pending or concluded judicial or
administrative proceeding, tax returns, and documents indicating receipt of or eligibility
for public benefit programs. This provision does not prohibit the return of other contents
at the discretion of the impound lot operator.
new text end

new text begin (e) An impound lot operator is not required to return any contents to a person who is
not the registered owner of the impounded vehicle, other than legal documents. Legal
documents include, but are not limited to, driver's license, identification, passports,
insurance documents, any other documents related to a pending or concluded judicial or
administrative proceeding, and tax returns. An impound lot operator is not required to
return any contents to a person who is not the registered owner after the expiration of
the waiting periods provided in section 168B.051, or if the registered owner voluntarily
transfers title to the impound lot operator under section 168B.051, subdivision 2.
new text end

Sec. 5.

Minnesota Statutes 2006, section 168B.08, subdivision 1, is amended to read:


Subdivision 1.

Auction or sale.

(a) If an abandoned or unauthorized vehicle deleted text begin and
contents
deleted text end taken into custody by a unit of government or any impound lot is not reclaimed
under section 168B.07, new text begin subdivision 1, new text end it may be disposed of or sold at auction or sale
when eligible pursuant to sections 168B.06 and 168B.07. new text begin If the contents of an abandoned
or unauthorized vehicle taken into custody by a unit of government or any impound lot
are not reclaimed under section 168B.07, subdivision 3, it may be disposed of or sold at
auction or sale when eligible pursuant to sections 168B.06 and 168B.07.
new text end

(b) The purchaser shall be given a receipt in a form prescribed by the registrar of
motor vehicles which shall be sufficient title to dispose of the vehicle. The receipt shall
also entitle the purchaser to register the vehicle and receive a certificate of title, free and
clear of all liens and claims of ownership. Before such a vehicle is issued a new certificate
of title it must receive a motor vehicle safety check.

Sec. 6.

Minnesota Statutes 2006, section 168B.087, subdivision 1, is amended to read:


Subdivision 1.

Deficiency claim.

(a) The deleted text begin nonpublicdeleted text end impound lot operator has a
deficiency claim against the registered owner of the vehicle for the reasonable costs of
services provided in the towing, storage, and inspection of the vehicle minus the proceeds
of the sale or auctionnew text begin , except as provided in paragraph (c)new text end .

(b) The claim for storage costs may not exceed the costs of:

(1) 25 days storage, for a vehicle described in section 168B.051, subdivision 1; deleted text begin and
deleted text end

(2) new text begin 15 days storage, for a vehicle described in section 168B.051, subdivision 1a; and
new text end

new text begin (3) new text end 55 days storage, for a vehicle described in section 168B.051, subdivision 2.

new text begin (c) A public impound lot operator is prohibited from:
new text end

new text begin (1) filing a deficiency claim against a registered owner whom the operator knows:
new text end

new text begin (i) is homeless;
new text end

new text begin (ii) receives relief based on need, as defined in section 168B.07; or
new text end

new text begin (iii) has a household income at or below 50 percent of state median income; or
new text end

new text begin (2) recovering a deficiency from a registered owner who demonstrates that the
owner, at the time the deficiency claim was filed:
new text end

new text begin (i) was homeless;
new text end

new text begin (ii) received relief based on need, as defined in section 168B.07; or
new text end

new text begin (iii) had a household income at or below 50 percent of state median income.
new text end

Sec. 7.

Minnesota Statutes 2006, section 169.86, is amended by adding a subdivision
to read:


new text begin Subd. 8. new text end

new text begin Tow truck. new text end

new text begin A tow truck or towing vehicle, when towing a disabled or
damaged vehicle to a place of repair or to a place of safekeeping, may exceed the length
and weight limitations of this chapter, subject to a $300 annual permit fee and any other
conditions prescribed by the commissioner.
new text end

Sec. 8.

Minnesota Statutes 2006, section 325F.6644, is amended to read:


325F.6644 APPLICATION.

new text begin Subdivision 1. new text end

new text begin Damage disclosure. new text end

deleted text begin Sectionsdeleted text end new text begin Sectionnew text end 325F.6641 deleted text begin and 325F.6642 dodeleted text end new text begin
does
new text end not apply to vehicles that are six years old or older as calculated from the first day
of January of the designated model year or to commercial motor vehicles with a gross
vehicle new text begin weight new text end rating of 16,000 pounds or more or to motorcycles.

new text begin Subd. 2. new text end

new text begin Title branding. new text end

new text begin Section 325F.6642 does not apply to commercial motor
vehicles with a gross vehicle weight rating of 16,000 pounds or more or to motorcycles,
other than reconstructed vehicles, as defined in section 168A.01, subdivision 16.
new text end