STAND. COM. REP. NO.  35-20


Honolulu, Hawaii

                , 2020


RE:   H.B. No. 2162

      H.D. 1





Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii




     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 2162 entitled:




begs leave to report as follows:


     The purpose of this measure is to curb certain predatory towing practices by:


     (1)  Clarifying fees that may be charged in association with towing services;


     (2)  Clarifying the duty of a tow company when an owner appears on the scene prior to the tow truck leaving the scene;


     (3)  Removing a tow company's ability to provide an automated teller machine in lieu of accepting payments by credit card;


     (4)  Specifying that persons who violate the State's towing laws have engaged in unfair or deceptive acts or practices and are subject to certain penalties; and


     (5)  Adding definitions for clarity.


     Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs, Hawaii Insurers Council, Young Progressives Demanding Action, and two individuals.


     Your Committee finds that predatory towing practices can result in unfair and excessive charges to a vehicle owner.  This measure addresses several deficiencies in the existing towing law, which will improve the overall towing statute and diminish ambiguities that have caused unreasonable barriers for vehicle owners whose vehicles have been towed.


     Your Committee has amended this measure by:


     (1)  Reverting to existing statutory language that enables an insurer or a representative to pick up an owner's vehicle from a towing company;


     (2)  Clarifying that violations of the towing laws are subject to all penalties and remedies under the State's unfair or deceptive acts or practices law;


     (3)  Changing the effective date to July 1, 2050, to encourage further discussion; and


     (4)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.


     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2162, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2162, H.D. 1, and be referred to your Committee on Judiciary.



Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,