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Deregulation of the Towing Industry
“The
Proliferation of Bandit Tow Truck Operators”
In 1995, vast deregulation of
the towing industry occurred as part of the Federal Aviation
Administration Act. The lion’s share of the act focused on the
airlines industry but certain sections dramatically affected
both interstate trucking and the towing industry. Since then,
federal laws seeking to deregulate the trucking industry have
been interpreted by the courts to mean that the states’
authority to regulate tow truck companies is relatively limited.
Today, state consumer protection
laws are more difficult to enforce against tow truck companies
in the face of federal preemption by the Motor Carrier Safety
Act (“MCSA”). As a consequence, local law enforcement in
California cannot regulate so-called “bandit tow truck
operators.” Most complaints against bandit tow truck operators
are now a civil matter.
Only Official Police Garages (OPGs)
are regulated in Los Angeles.
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