Consumer Investigation: New York has few consumer towing protections

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Consumer Investigation: New York has few consumer towing protections

This consumer investigation takes a look at New York towing laws. There are perhaps few things more frustrating than walking outside to find that your car has been towed.  But News10NBC anchor Nikki Rudd was more than frustrated when she got the bill for almost $5,000 for a 33-mile tow. Is that legal?  That’s the question News10NBC consumer investigator set out to answer:
           
It was just after midnight on December 21, 2024. Nikki was driving home to Livingston County after having anchored the 11:00 p.m. news. 

“It was a snowy night. Everyone was going slow and in a single lane,” Rudd recalled. “Next thing I know a semi was passing, and you know when the road is snow-covered you can’t see the lanes.”

The semi hit her bumper, sending her sliding on the snow-slickened highway.

“And then I was kind of bouncing off his trailer,” said Rudd. “And that’s when I thought okay, this is how it all ends right?”

Fortunately, Rudd is still with us, but her car was clearly damaged. Rudd has AAA, so when she called 911, the dispatcher offered to call a AAA-service provider for her.

“And so dispatch called me back and said, ‘We can’t get a hold of any AAA tow truck drivers,’” Rudd recalled. “I said, ‘Okay, what am I supposed to do?’ And she said, ‘There is this one place, but you have to request it’. And I said, ‘Okay, I request it.’ And it was Bald Hill.”

What Nikki didn’t know is that Livingston County has an approved list of tow truck companies. The sheriff told News10NBC’s Deanna Dewberry that Bald Hill is not on that list because of past billing complaints.  So, in Livingston County, to get an unapproved tow truck company, the motorist must request it.

“My husband asked them to take it to a collision shop of our choosing, and they said, ‘No, we have to take it back to Bald Hill,’” said Rudd.

They had no idea that would cost $1,050 dollars in storage fees, and that’s not the half of it.

 “Next thing I know we’re getting a call that Bald Hill will not release my vehicle until my insurance pays a $4,000 bill.”

Her insurance company balked. Afterall, Bald Hill had charged $1,375 for a flatbed fee, $250 for accident recovery, another $250 night incentive fee, as well as a long list of $150 fees – an administrative fee, expressway fee, fuel surcharge, notification fee, gate fee, release fee and special equipment fee.

For days her insurer tried to negotiate a lower price. And with each day Bald Hill charged $175 storage fee. The grand total? $4,837.50.

 “And so, I mean, that’s one of the things that happens when there aren’t any caps on towing fees or storage fees,” said Teresa Murray, the Consumer Watchdog Director of the Public Interest Research Group.

In 2021, PIRG published a study on towing laws across the country, concluding that New York’s laws designed to protect consumers from predatory towing are woefully inadequate, with the Empire State having only two of 14 of its recommended measures in place.

 “New York did not, at least in 2021, have any kind of caps on towing rates, or the storage fees, or how late the storage place has to be open,” said Murray.

And in the last three years she says nothing has changed.

There are about a half a dozen states that have implemented new laws, but New York is not one of them,” said Murray.

So News10NBC’s Deanna Dewberry called Bald Hill with questions.

The owner argued that consensual towing is not regulated in the state of New York, so he can charge what he wants.  And by and large, he’s right.

When Deanna reached out to the DMV, a spokesman told her, “DMV does not regulate the towing industry; that happens at the local level.” The practice creates a confusing collection of differing rules across the state.

“The last towing regulation at the state level was passed in 2010,” said Jeremy Cooney, New York state senator of senate district 56. Senator Cooney chairs the state’s transportation committee.

When asked what his thoughts were about a bill of more than $4800 for a 33-mile tow, Cooney said, “That just seems outrageous!”

Outrageous? Perhaps. But in the absence of state regulations, perfectly legal.

“We need to re-evaluate this,” said Cooney. “As the new chair of the transportation committee, I’m absolutely committed to taking a look and offering legislation that would address this issue.”

For Rudd, state changes can’t come fast enough.

“He [Bald Hill owner] maybe thinks this is okay because he’s doing this to insurance companies. But we all pay for the insurance, and everyone ends up paying more because of stuff like this. Charge a reasonable rate,” she said.

If you’re towed, click here for advice from the Public Interest Research Group. PIRG isn’t the only consumer advocacy organization critical of New York’s lack of towing protections. The group, towinglaws.com has ranked states and New York ranks 40th out of 51 states, earning a D minus. But Senator Cooney promised to tackle the issue. And of course, we’ll be watching.