HOUSE BILL No. 4839

 

May 24, 2007, Introduced by Rep. Farrah and referred to the Committee on Transportation.

 

     A bill to amend 1949 PA 300, entitled

 

"Michigan vehicle code,"

 

by amending sections 11, 208c, 252a, 252d, 252e, 252f, 252g, and

 

252l (MCL 257.11, 257.208c, 257.252a, 257.252d, 257.252e, 257.252f,

 

257.252g, and 257.252l), section 11 as amended by 2003 PA 37,

 

section 208c as amended by 2004 PA 362, sections 252a, 252d, 252e,

 

and 252f as amended by 2004 PA 495, and section 252g as amended and

 

section 252l as added by 2004 PA 493.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 11. (1) Except as otherwise provided in this section,

 

"dealer" means a person who is 1 or more of the following:

 

     (a) A person who in a 12-month period did 1 or more of the

 

following:

 

     (i) Engaged in the business of purchasing, selling, exchanging,

 


brokering, leasing, or dealing in vehicles of a type required to be

 

titled under this act.

 

     (ii) Engaged in the business of purchasing, selling,

 

exchanging, brokering, or dealing in salvageable parts of 5 or more

 

vehicles.

 

     (iii) Engaged in the business of buying 5 or more vehicles to

 

sell vehicle parts or process into scrap metal.

 

     (b) A person engaged in the actual remanufacturing of engines

 

or transmissions.

 

     (2) There is a rebuttable presumption that a person who in a

 

12-month period buys and sells, exchanges, brokers, leases, or

 

deals in 5 or more vehicles, or buys and sells, exchanges, brokers,

 

or deals in salvageable parts for 5 or more vehicles, or buys 5 or

 

more vehicles to sell vehicle parts or to process into scrap metal

 

is engaged in a business of being a dealer as described in

 

subsection (1).

 

     (3) Dealer does not include any of the following:

 

     (a) A financial institution, as defined in section 10 of 1909

 

PA 99, MCL 129.40, or an entity wholly owned by 1 or more financial

 

institutions.

 

     (b) A bank holding company.

 

     (c) A person who buys or sells remanufactured vehicle engine

 

and transmission salvageable vehicle parts or who receives in

 

exchange used engines or transmissions if the primary business of

 

the person is the selling of new vehicle parts and the person is

 

not engaged in any other activity that requires a dealer license

 

under this act.

 


     (d) For purposes of dealer licensing, a person who negotiates

 

the lease of a vehicle of a type required to be titled under this

 

act for a lease term of less than 120 days.

 

     (e) A person whose business is the financing of the purchase,

 

sale, or lease of vehicles of a type required to be titled under

 

this act and that is not otherwise engaged in activities of a

 

dealer as described in subsection (1).

 

     (f) An employee or agent of a dealer acting in the scope of

 

his or her employment or agency.

 

     (g) An insurer, as defined in section 106 of the insurance

 

code of 1956, 1956 PA 218, MCL 500.106.

 

     (h) A person engaged in leasing vehicles solely for commercial

 

or other nonhousehold use.

 

     (i) A lessor selling 1 or more off lease vehicles.

 

     (j) A person engaged in the incidental sale of vehicles that

 

are considered abandoned as defined in section 252a(2) and are

 

valued at $2,500.00 or less.

 

     Sec. 208c. (1) Except as provided in this section and in

 

section 232, personal information in a record maintained under this

 

act shall not be disclosed, unless the person requesting the

 

information furnishes proof of identity satisfactory to the

 

secretary of state and certifies that the personal information

 

requested will be used for a permissible purpose identified in this

 

section or in section 232. However, highly restricted personal

 

information shall be used and disclosed only as expressly permitted

 

in section 307 or as otherwise expressly provided by law.

 

     (2) Personal information in a record maintained under this act

 


shall be disclosed by the secretary of state if required to carry

 

out the purposes of federal law or federal regulations.

 

     (3) Personal information in a record maintained under this act

 

may be disclosed by the secretary of state as follows:

 

     (a) For use by a federal, state, or local governmental agency,

 

including a court or law enforcement agency, in carrying out the

 

agency's functions, or by a private person or entity acting on

 

behalf of a governmental agency in carrying out the agency's

 

functions.

 

     (b) For use in connection with matters of motor vehicle and

 

driver safety or auto theft; motor vehicle emissions; motor vehicle

 

product alterations, recalls, or advisories; performance monitoring

 

of motor vehicles; motor vehicle market research activities,

 

including survey research; and the removal of nonowner records from

 

the original records of motor vehicle manufacturers.

 

     (c) For use in the normal course of business by a legitimate

 

business, including the agents, employees, and contractors of the

 

business, but only to verify the accuracy of personal information

 

submitted by an individual to the business or its agents,

 

employees, or contractors, and if the information as so submitted

 

is no longer correct, to obtain the correct information, for the

 

sole purpose of preventing fraud by pursuing legal remedies

 

against, or recovering on a debt against, the individual.

 

     (d) For use in connection with a civil, criminal,

 

administrative, or arbitration proceeding in a federal, state, or

 

local court or governmental agency or before a self-regulatory

 

body, including use for service of process, investigation in

 


anticipation of litigation, and the execution or enforcement of

 

judgments and orders, or pursuant to an order of a federal, state,

 

or local court, an administrative agency, or a self-regulatory

 

body.

 

     (e) For use in legitimate research activities and in preparing

 

statistical reports for commercial, scholarly, or academic purposes

 

by a bona fide research organization, if the personal information

 

is not published, redisclosed, or used to contact individuals.

 

     (f) For use by an insurer or insurance support organization,

 

or by a self-insured entity, or its agents, employees, or

 

contractors, in connection with claims investigating activity,

 

antifraud activity, rating, or underwriting.

 

     (g) For use in providing notice to the owner of an abandoned,

 

towed, or impounded vehicle or for use by the custodian of a

 

vehicle that is considered abandoned as defined in section 252a(2),

 

for the sole purpose of disposing of that vehicle.

 

     (h) For use either by a private detective or private

 

investigator licensed under the private detective license act, 1965

 

PA 285, MCL 338.821 to 338.851, or by a private security guard

 

agency or alarm system contractor licensed under the private

 

security business and security alarm act, 1968 PA 330, MCL 338.1051

 

to 338.1083, only for a purpose permitted under this section.

 

     (i) For use by an employer, or the employer's agent or

 

insurer, to obtain or verify information relating either to the

 

holder of a commercial driver license that is required under

 

federal law or to the holder of a chauffeur's license that is

 

required under chapter 3.

 


     (j) For use by a car rental business, or its employees,

 

agents, contractors, or service firms, for the purpose of making

 

rental decisions.

 

     (k) For use in connection with the operation of private toll

 

transportation facilities.

 

     (l) For use by a news medium in the preparation and

 

dissemination of a report related in part or in whole to the

 

operation of a motor vehicle or public safety. "News medium"

 

includes a newspaper, a magazine or periodical published at regular

 

intervals, a news service, a broadcast network, a television

 

station, a radio station, a cablecaster, or an entity employed by

 

any of the foregoing.

 

     (m) For any use by an individual requesting information

 

pertaining to himself or herself or requesting in writing that the

 

secretary of state provide information pertaining to himself or

 

herself to the individual's designee. A request for disclosure to a

 

designee, however, may be submitted only by the individual.

 

     (4) Medical and disability information in a record maintained

 

under this act may be used and disclosed for purposes of subsection

 

(3)(a), (d), or (m).

 

     Sec. 252a. (1) A person shall not abandon a vehicle in this

 

state. It is presumed that the last titled owner of the vehicle is

 

responsible for abandoning the vehicle unless the person provides a

 

record of sale as that term is defined in section 240. A person who

 

violates this subsection and who fails to redeem the vehicle before

 

disposition of the vehicle under section 252g is responsible for a

 

civil infraction and shall be ordered to pay a civil fine of

 


$50.00.

 

     (2) As used in this section and sections 252a through 252l,

 

"abandoned vehicle" means either of the following:

 

     (a) A vehicle that has remained on private property without

 

the consent of the owner.

 

     (b) A vehicle that has remained on public property for a

 

period of not less than 48 hours, or on a state trunk line highway

 

as described in section 1 of 1951 PA 51, MCL 247.651, as follows:

 

     (i) If a valid registration plate is affixed to the vehicle,

 

for a period of not less than 18 hours.

 

     (ii) If a valid registration plate is not affixed to the

 

vehicle.

 

     (3) If a vehicle has remained on public property for the

 

period of time described in subsection (2)(b) so that it qualifies

 

as abandoned, a police agency having jurisdiction over the vehicle

 

or the agency's designee shall determine whether the vehicle has

 

been reported stolen and may affix a written notice to the vehicle.

 

The written notice shall contain the following information:

 

     (a) The date and time the notice was affixed.

 

     (b) The name and address of the police agency taking the

 

action.

 

     (c) The name and badge number of the police officer affixing

 

the notice.

 

     (d) The date and time the vehicle may be taken into custody

 

and stored at the owner's expense or scrapped if the vehicle is not

 

removed.

 

     (e) The year, make, and vehicle identification number of the

 


vehicle, if available.

 

     (4) If the vehicle is an abandoned vehicle, the police agency

 

or the agency's designee may have the towing agency take the

 

vehicle into custody.

 

     (5) A police agency that has received a vehicle taken into

 

custody as abandoned shall do all of the following:

 

     (a) Recheck to determine if the vehicle has been reported

 

stolen.

 

     (b) Within 24 hours after the vehicle is taken into custody,

 

enter the vehicle as abandoned into the law enforcement information

 

network, and notify the secretary of state through the law

 

enforcement information network that the vehicle has been taken

 

into custody as abandoned. Each notification shall contain the

 

following information:

 

     (i) The year, make, and vehicle identification number of the

 

vehicle, if available.

 

     (ii) The address or approximate location from which the vehicle

 

was taken into custody.

 

     (iii) The date on which the vehicle was taken into custody.

 

     (iv) The name and address of the police agency that had the

 

vehicle taken into custody.

 

     (v) The name and business address of the custodian of the

 

vehicle.

 

     (vi) The name of the court that has jurisdiction over the case.

 

     (c) Within 7 days after receiving notice under subdivision (b)

 

that the vehicle has been taken into custody, the secretary of

 

state shall do both of the following:

 


     (i) Send to the last titled owner and secured party, as shown

 

by the records of the secretary of state as described in section

 

221 or 237, by first-class mail or personal service, notice that

 

the vehicle is considered abandoned. The form for the notice shall

 

be furnished by the secretary of state. Each notice form shall

 

contain the following information:

 

     (A) The year, make, and vehicle identification number of the

 

vehicle if available.

 

     (B) The address or approximate location from which the vehicle

 

was taken into custody.

 

     (C) The date on which the vehicle was taken into custody.

 

     (D) The name and address of the police agency that had the

 

vehicle taken into custody.

 

     (E) The name and business address of the custodian of the

 

vehicle.

 

     (F) The procedure to redeem the vehicle.

 

     (G) The procedure to contest the fact that the vehicle is

 

considered abandoned or the reasonableness of the towing fees and

 

daily storage fees.

 

     (H) A form petition that the owner may file in person or by

 

mail with the specified court that requests a hearing on the police

 

agency's action.

 

     (I) A warning that the failure to redeem the vehicle or to

 

request a hearing within 20 days after the date of the notice may

 

result in the sale of the vehicle and the termination of all rights

 

of the owner and the secured party to the vehicle or the proceeds

 

of the sale.

 


     (ii) Enter the information described in subparagraph (i) on a

 

website maintained by the department for public use in locating

 

vehicles that are removed under this section as abandoned. The

 

department shall maintain the data on the website for 1 year or

 

until the vehicle is disposed of under this act, whichever occurs

 

first.

 

     (6) The owner may contest the fact that the vehicle is

 

considered abandoned or the reasonableness of the towing fees and

 

daily storage fees by requesting a hearing. A request for a hearing

 

shall be made by filing a petition with the court specified in the

 

notice described in subsection (5)(c) within 20 days after the date

 

of the notice. If the owner requests a hearing, the matter shall be

 

resolved after a hearing conducted under sections 252e and 252f. An

 

owner who requests a hearing may obtain release of the vehicle by

 

posting a towing and storage bond in an amount equal to the $40.00

 

plus the accrued towing and storage fees with the court. The owner

 

of a vehicle who requests a hearing may obtain release of the

 

vehicle by paying a fee of $40.00 to the court and the accrued

 

towing and storage fees instead of posting the towing and storage

 

bond.

 

     (7) If the owner does not request a hearing under subsection

 

(6), he or she may obtain the release of the vehicle by paying a

 

fee of $40.00 and the accrued towing and storage fees to the

 

custodian of the vehicle. The custodian of the vehicle shall

 

forward $25.00 of the fee to the secretary of state within 30 days

 

after receipt in a manner prescribed by the secretary of state, who

 

shall deposit the fee into the abandoned vehicle fund created in

 


section 252h.

 

     (8) If the owner does not redeem the vehicle or request a

 

hearing within 20 days after the date of the notice described in

 

subsection (5)(c), the secured party may obtain the release of the

 

vehicle by paying a $40.00 fee plus the accrued charges to the

 

custodian of the vehicle. The custodian of the vehicle shall

 

forward $25.00 of the fee to the secretary of state, who shall

 

deposit the fee into the abandoned vehicle fund created in section

 

252h.

 

     (9) If a vehicle has remained on private property without the

 

consent of the property owner, the owner of the private property

 

may have the vehicle taken into custody as an abandoned vehicle by

 

contacting a local towing agency.

 

     (10) Before removing the vehicle from private property, the

 

towing agency shall notify provide reasonable notice by telephone,

 

or otherwise, to a police agency having jurisdiction over the

 

vehicle that the vehicle is being removed. The police agency shall

 

determine if the vehicle has been reported stolen and have enter

 

the vehicle entered into the law enforcement information network as

 

an abandoned vehicle.

 

     (11) Within 24 hours after taking the abandoned vehicle into

 

custody, the police agency shall notify the secretary of state

 

through the law enforcement information network that the vehicle

 

has been taken into custody as abandoned. Each notification shall

 

contain the following information:

 

     (a) The year, make, and vehicle identification number of the

 

vehicle if available.

 


     (b) The address or approximate location from which the vehicle

 

was taken into custody.

 

     (c) The date on which the vehicle was taken into custody.

 

     (d) The name and address of the police agency that had the

 

vehicle taken into custody.

 

     (e) The name and business address of the custodian of the

 

vehicle.

 

     (f) The name of the court that has jurisdiction over the case.

 

     (12) Within 7 days after being notified under subsection (11),

 

the secretary of state shall do both of the following:

 

     (a) Send to the owner and secured party, as shown by the

 

records of the secretary of state, by first-class mail or personal

 

service, notice that the vehicle is considered abandoned. The form

 

for the notice shall be furnished by the secretary of state. Each

 

notice form shall contain the following information:

 

     (i) The year, make, and vehicle identification number of the

 

vehicle if available.

 

     (ii) The location from which the vehicle was taken into

 

custody.

 

     (iii) The date on which the vehicle was taken into custody.

 

     (iv) The name of the towing agency that had the vehicle taken

 

into custody.

 

     (v) The business address of the custodian of the vehicle.

 

     (vi) The procedure to redeem the vehicle.

 

     (vii) The procedure to contest the fact that the vehicle is

 

considered abandoned or the reasonableness of the towing fees and

 

daily storage fees.

 


     (viii) A form petition that the owner may file in person or by

 

mail with the specified court that requests a hearing on the

 

custodian's action.

 

     (ix) A warning that the failure to redeem the vehicle or to

 

request a hearing within 20 days after the date of the notice may

 

result in the sale of the vehicle and the termination of all rights

 

of the owner and the secured party to the vehicle or the proceeds

 

of the sale.

 

     (b) Enter the information described in subdivision (a) on a

 

website maintained by the department for public use in locating

 

vehicles that are removed under this section as abandoned.

 

     (13) The owner may contest the fact that the vehicle is

 

abandoned or, unless the towing fees and daily storage fees are

 

established by contract with the local governmental unit or local

 

law enforcement agency and comply with section 252i, the

 

reasonableness of the towing fees and daily storage fees by

 

requesting a hearing. A request for a hearing shall be made by

 

filing a petition with the court specified in the notice within 20

 

days after the date of the notice. If the owner requests a hearing,

 

the matter shall be resolved after a hearing conducted under

 

section 252f. An owner who requests a hearing may obtain release of

 

the vehicle by posting with the court a towing and storage bond in

 

an amount equal to $40.00 plus the accrued towing and storage fees.

 

The owner of a vehicle who requests a hearing may obtain release of

 

the vehicle by paying a fee of $40.00 to the court plus the towing

 

and storage fees instead of posting the towing and storage bond.

 

     (14) If the owner does not request a hearing, he or she may

 


obtain the release of the vehicle by paying a fee of $40.00 plus

 

the accrued charges to the custodian of the vehicle. The custodian

 

shall forward $25.00 of the fee collected under this subsection to

 

the secretary of state within 30 days after receipt in a manner

 

prescribed by the secretary of state, who shall deposit the fee

 

into the abandoned vehicle fund created in section 252h.

 

     (15) If the owner does not redeem the vehicle or request a

 

hearing within 20 days after the date of the notice, the secured

 

party may obtain the release of the vehicle by paying a fee of

 

$40.00 and the accrued towing and storage fees to the custodian of

 

the vehicle. The custodian shall forward $25.00 of the fee

 

collected under this subsection to the secretary of state within 30

 

days after receipt in a manner prescribed by the secretary of

 

state, who shall deposit the fee into the abandoned vehicle fund

 

created in section 252h.

 

     (16) Not less than 20 days after the disposition of the

 

hearing described in subsection (6) or, if a hearing is not

 

requested, not less than 20 days after the date of the notice, the

 

police agency if the abandoned vehicle is found on public property,

 

or the custodian of the vehicle if the vehicle is found on private

 

property, shall offer the vehicle for sale at a public sale under

 

section 252g.

 

     (17) If the ownership of a vehicle that is considered

 

abandoned under this section cannot be determined either because of

 

the condition of the vehicle identification numbers or because a

 

check with the records of the secretary of state as described in

 

section 221 or 237 does not reveal ownership, the police agency may

 


sell the vehicle at public sale as provided in section 252g not

 

less than 30 days after public notice of the sale has been

 

published.

 

     (18) The secretary of state shall release a vehicle for

 

disposition under section 252b or 252g within 45 days after the

 

vehicle is entered into the law enforcement information network as

 

an abandoned vehicle.

 

     Sec. 252d. (1) A police agency or a governmental agency

 

designated by the police agency may provide for the immediate

 

removal of a vehicle from public or private property to a place of

 

safekeeping at the expense of the registered owner of the vehicle

 

in any of the following circumstances:

 

     (a) If the vehicle is in such a condition that the continued

 

operation of the vehicle upon the highway would constitute an

 

immediate hazard to the public.

 

     (b) If the vehicle is parked or standing upon the highway in

 

such a manner as to create an immediate public hazard or an

 

obstruction of traffic.

 

     (c) If a vehicle is parked in a posted tow away zone.

 

     (d) If there is reasonable cause to believe that the vehicle

 

or any part of the vehicle is stolen.

 

     (e) If the vehicle must be seized to preserve evidence of a

 

crime, or if there is reasonable cause to believe that the vehicle

 

was used in the commission of a crime.

 

     (f) If removal is necessary in the interest of public safety

 

because of fire, flood, storm, snow, natural or man-made disaster,

 

or other emergency.

 


     (g) If the vehicle is hampering the use of private property by

 

the owner or person in charge of that property or is parked in a

 

manner which impedes the movement of another vehicle.

 

     (h) If the vehicle is stopped, standing, or parked in a space

 

designated as parking for persons with disabilities and is not

 

permitted by law to be stopped, standing, or parked in a space

 

designated as parking for persons with disabilities.

 

     (i) If the vehicle is located in a clearly identified access

 

aisle or access lane immediately adjacent to a space designated as

 

parking for persons with disabilities.

 

     (j) If the vehicle is interfering with the use of a ramp or a

 

curb-cut by persons with disabilities.

 

     (k) If the vehicle has been involved in a traffic crash and

 

cannot be safely operated from the scene of the crash.

 

     (2) If the owner or other person who is legally entitled to

 

possess the vehicle arrives at the location where a vehicle is

 

located before the actual towing or removal of the vehicle, the

 

vehicle shall be disconnected from the tow truck, and the owner or

 

other person who is legally entitled to possess the vehicle may

 

take possession of the vehicle and remove it without interference

 

upon the payment of the reasonable service fee, for which a receipt

 

shall be provided.

 

     (3) A police agency that authorizes the removal of a vehicle

 

under subsection (1) shall do all of the following:

 

     (a) Check to determine if the vehicle has been reported stolen

 

prior to authorizing the removal of the vehicle.

 

     (b) Follow Except for vehicles impounded under subsection

 


(1)(d), (e), or (k), a police agency shall enter the vehicle into

 

the law enforcement information network as abandoned not less than

 

7 days after authorizing the removal and follow the procedures set

 

forth in section 252a.

 

     (4) A vehicle impounded under subsection (1)(d), (e), or (k)

 

must first be released by the police agency that authorized the

 

removal prior to the towing agency or custodian releasing the

 

vehicle to the vehicle owner.

 

     (5) Not less than 20 days but not more than 30 days after a

 

vehicle has been released under subsection (4), the towing agency

 

or custodian shall notify the police agency to enter the vehicle as

 

abandoned and the police agency shall follow the procedures set

 

forth in section 252a if the impounded vehicle has not been

 

redeemed.

 

     Sec. 252e. (1) The following courts have jurisdiction to

 

determine if a police agency, towing agency or custodian, or

 

private property owner has acted properly in reporting or

 

processing a vehicle under section 252a, 252b(6) to (11), or 252d:

 

     (a) The district court.

 

     (b) A municipal court.

 

     (2) The court specified in the notice prescribed in section

 

252a(5)(b) or 252b(7) or as provided in section 252d(3)(b) shall be

 

the court that has territorial jurisdiction at the location from

 

where the vehicle was removed or deemed considered abandoned. Venue

 

in the district court shall be governed by section 8312 of the

 

revised judicature act of 1961, 1961 PA 236, MCL 600.8312.

 

     (3) If the owner fails to pay the accrued towing and storage

 


fees, the towing and storage bond posted with the court to secure

 

release of the vehicle under section 252a, 252b, or 252d shall be

 

used to pay the towing and storage fees.

 

     Sec. 252f. (1) Upon the filing of a petition prescribed in

 

section 252a, 252b, or 252d, signed by the owner of the vehicle

 

which has been taken into custody, the court shall do both of the

 

following:

 

     (a) Schedule a hearing within 30 days for the purpose of

 

determining whether the police agency, towing agency or custodian,

 

or private property owner acted properly.

 

     (b) Notify the owner, towing service, agency or custodian, of

 

the vehicle, and police agency or if the vehicle was removed from

 

private property, notify the private property owner also of the

 

time and place of the hearing.

 

     (2) At the hearing specified in subsection (1), the police

 

agency, towing agency or custodian, or, if the vehicle was removed

 

from private property, the private property owner shall have the

 

burden of showing by a preponderance of the evidence that it has

 

complied with the requirements of this act in reporting or

 

processing the abandoned vehicle or vehicle removed under section

 

252d.

 

     (3) After the hearing, the court shall make a decision that

 

includes 1 or more of the following:

 

     (a) A finding that the police agency complied with the

 

procedures established for the processing of an abandoned vehicle

 

or a vehicle removed under section 252a, 252b, or 252d, and an

 

order providing a period of 20 days after the decision for the

 


owner to redeem the vehicle. If the owner does not redeem the

 

vehicle within 20 days, the police agency shall dispose of the

 

vehicle under section 252b or 252g. The court shall forward $25.00

 

of the fee collected under section 252b or 252g to the secretary of

 

state within 30 days after the court's decision in a manner

 

prescribed by the secretary of state. The towing and storage fees

 

and $15.00 of the fee collected under section 252b or 252g shall be

 

forwarded to the towing agency.

 

     (b) A finding that the police agency did not comply with the

 

procedures established for the processing of an abandoned vehicle

 

or a vehicle removed under section 252a, 252b, or 252d. After

 

making the finding, the court shall issue an order directing that

 

the vehicle immediately be released to the owner, and that the

 

police agency is responsible for the accrued towing and storage

 

charges. The court shall also order any fee or bond posted by the

 

owner to be returned to the owner.

 

     (c) A finding that the towing fees and daily storage fees were

 

reasonable.

 

     (d) A finding that the towing fees and daily storage fees were

 

unreasonable and issue an order directing the towing agency or

 

custodian of the vehicle to provide the last titled owner of the

 

vehicle with an appropriate reduction or refund.

 

     (e) A finding that the owner of the real property complied

 

with the provisions of section 252k or 252l.

 

     (f) A finding that the owner of the real property did not

 

comply with the provisions of section 252k or 252l, and issue an

 

order requiring the owner of the real property to reimburse the

 


last titled owner of the vehicle for the accrued towing and storage

 

charges.

 

     (g) A finding that the towing agency did not comply with the

 

procedures established for the proper removal and reporting of an

 

abandoned vehicle removed under section 252a(10), 252b, or 252d.

 

After making the finding, the court shall issue an order directing

 

that the vehicle immediately be released to the owner and that the

 

towing agency is responsible for the accrued towing and storage

 

charges. The court shall also order any fee or bond posted by the

 

owner to be returned to the owner.

 

     Sec. 252g. (1) Subject to section 252a(16), a public sale for

 

a vehicle and its contents that has been determined to be abandoned

 

under section 252a or removed under section 252d shall be conducted

 

in the following manner:

 

     (a) It shall be under the control of the police agency or the

 

agency's designee or the custodian of the vehicle or the

 

custodian's designee.

 

     (b) It shall be open to the public and consist of open auction

 

bidding or bidding by sealed bids. If sealed bids are received, the

 

person submitting the bid shall receive a receipt for the bid from

 

the police agency or the agency's designee or, if the vehicle is

 

being sold under section 252a(16), the custodian of the vehicle.

 

     (c) Except as otherwise provided in sections 252a(17) 252a(16)

 

and (17) and 252b(7), it shall be held not less than 5 days after

 

public notice of the sale has been published.

 

     (d) The public notice shall be published at least once in a

 

newspaper having a general circulation within the county in which

 


the vehicle was abandoned. The public notice shall give a

 

description of the vehicle for sale and shall state the time, date,

 

and location of the sale.

 

     (2) The money received from the public sale of the vehicle

 

shall be applied in the following order of priority:

 

     (a) Towing and storage charges.

 

     (b) Expenses incurred by the police agency or the custodian of

 

the vehicle.

 

     (c) Payment of the $40.00 abandoned vehicle fee described in

 

section 252f(3)(a).

 

     (d) Any extra money shall be sent to the department of

 

treasury's unclaimed property division to be disbursed as follows:

 

     (i) To the secured party, if any, in the amount of the debt

 

outstanding on the vehicle.

 

     (ii) Remainder to the owner. A reasonable attempt shall be made

 

to mail the remainder to the last titled owner. If delivery of the

 

remainder cannot be accomplished, the remainder shall become the

 

property of the unit of government governing the location from

 

which the vehicle was towed.

 

     (3) If there are no bidders on the vehicle, the police agency

 

or the custodian of the vehicle may do 1 of the following:

 

     (a) Turn the vehicle over to the towing firm or the custodian

 

of the vehicle to satisfy charges against the vehicle. However, if

 

the value of the vehicle does not satisfy the towing fees and

 

accrued daily storage fees, the custodian of the vehicle may

 

collect the balance of those unpaid fees from the last titled

 

owner, subject to section 252i.

 


     (b) Obtain title to the vehicle for the police agency or the

 

unit of government the police agency represents, by doing the

 

following:

 

     (i) Paying the towing and storage charges.

 

     (ii) Applying for title to the vehicle.

 

     (c) Hold another public sale under subsection (1).

 

     (4) A person who acquires ownership of a vehicle under

 

subsection (1) or (3) that has been designated as a distressed

 

vehicle shall apply for a salvage certificate of title within 15

 

days after obtaining the vehicle.

 

     (5) Upon disposition of the vehicle, the police agency or

 

towing agency or custodian shall provide the secretary of state and

 

the police agency, if that police agency did not conduct the sale,

 

with the vehicle's disposition and the name of the agency that

 

disposed of it and the police agency shall cancel the entry in the

 

law enforcement information network.

 

     (6) Not less than 25 days after the date of notice required

 

under section 252a, if the police agency does not provide a copy of

 

the bill of sale by the police agency for the abandoned vehicle to

 

the towing agency or custodian or police agency's designee, the

 

towing agency or custodian or police agency designee may obtain an

 

original of the bill of sale by submitting an application to the

 

secretary of state in a form as determined by the secretary of

 

state.

 

     Sec. 252l. Section 252k does not apply to either any of the

 

following:

 

     (a) Real property that is appurtenant to and obviously part of

 


a single- or dual-family residence.

 

     (b) An instance when notice is personally given to the owner

 

or other legally entitled person in control of a vehicle that the

 

area where the vehicle is parked is reserved or otherwise

 

unavailable to unauthorized vehicles and that the vehicle is

 

subject to towing or removal from the private real property without

 

the consent of the owner or other legally entitled person in

 

control of the vehicle.

 

     (c) A vehicle removed from private property under section

 

252d.