88R19540 DRS-D
 
  By: King of Uvalde H.B. No. 3478
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to mediation of certain fee disputes between towing
  companies and motor carriers.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 2303.154, Occupations Code, is amended
  by amending Subsection (a) and adding Subsection (a-1) to read as
  follows:
         (a)  Except as provided by Subsection (a-1), if [If] a
  vehicle is not claimed by a person permitted to claim the vehicle
  before the 10th day after the date notice is mailed or published
  under Section 2303.151 or 2303.152, the operator of the vehicle
  storage facility shall consider the vehicle to be abandoned and, if
  required by the law enforcement agency with jurisdiction where the
  vehicle is located, report the abandonment to the law enforcement
  agency.  If the law enforcement agency notifies the vehicle storage
  facility that the agency will send notices and dispose of the
  abandoned vehicle under Subchapter B, Chapter 683, Transportation
  Code, the vehicle storage facility shall pay the fee required under
  Section 683.031, Transportation Code.
         (a-1)  For purposes of this subsection, "motor carrier" has
  the meaning assigned by Section 643.001, Transportation Code. A
  motor vehicle operated by a motor carrier and held in a vehicle
  storage facility may not be considered abandoned under Subsection
  (a):
               (1)  until the 31st day after the date notice is mailed
  or published under Section 2303.151 or 2303.152; or
               (2)  if the operator of the vehicle storage facility
  receives notice:
                     (A)  under Section 2308.554(a)(1)(B) that the
  vehicle is the subject of a request for mediation under Subchapter
  L, Chapter 2308; or
                     (B)  under Section 2308.560(c) that the vehicle is
  the subject of a civil action brought by a party to the fee dispute
  that was the subject of a mediation under Subchapter L, Chapter
  2308.
         SECTION 2.  Subchapter D, Chapter 2303, Occupations Code, is
  amended by adding Section 2303.1541 to read as follows:
         Sec. 2303.1541.  SALE OR DISPOSAL OF VEHICLE PENDING
  MEDIATION PROHIBITED. A vehicle storage facility operator who
  receives notice under Section 2308.554(a)(1)(B) or Section
  2308.560(c) may not sell at a public sale or otherwise dispose of or
  report to a law enforcement agency under Section 683.031(c),
  Transportation Code, the vehicle that is the subject of the notice
  until the operator receives notice under Section 2308.560 that:
               (1)  the mediation has been resolved; and
               (2)  if a civil action related to the fee dispute that
  was the subject of the mediation was filed by a party after the end
  of the mediation process, the civil action has concluded.
         SECTION 3.  Chapter 2308, Occupations Code, is amended by
  adding Subchapter L to read as follows:
  SUBCHAPTER L. FEE DISPUTE MEDIATION
  BETWEEN TOWING COMPANY AND MOTOR CARRIER
         Sec. 2308.551.  DEFINITION. In this subchapter, "motor
  carrier" has the meaning assigned by Section 643.001,
  Transportation Code.
         Sec. 2308.552.  FEE DISPUTE MEDIATION REQUIRED ON MOTOR
  CARRIER REQUEST. (a) A motor carrier may request mediation under
  this subchapter in a dispute with a towing company relating to an
  incident management or other nonconsent tow for which towing and
  recovery fees exceed $20,000.
         (b)  A towing company must participate in mediation
  requested by a motor carrier under this subchapter.
         Sec. 2308.553.  REQUEST FOR MEDIATION. (a) A motor carrier
  may submit a request in the manner prescribed by the department not
  later than the 30th day after the later of the date the motor
  carrier:
               (1)  pays the towing and recovery charges; or
               (2)  receives notice from a vehicle storage facility
  under Section 2303.151.
         (b)  A motor carrier that does not timely submit a request
  under Subsection (a) waives the right to mediation under this
  subchapter.
         Sec. 2308.554.  NOTICE OF REQUEST; ORDER. (a) On receipt of
  a request for mediation under this subchapter, the department
  shall:
               (1)  give notice that the motor carrier has requested
  mediation to:
                     (A)  the towing company that towed the vehicle
  that is the subject of the request for mediation; and
                     (B)  the operator of the vehicle storage facility
  storing the vehicle that is the subject of the request for
  mediation; and
               (2)  order the parties to participate in mediation
  under this subchapter.
         (b)  A vehicle storage facility operator who receives notice
  under this section:
               (1)  may continue to charge a daily storage fee
  authorized by Section 2303.155(b)(3); and
               (2)  may not sell the vehicle at a public sale or
  otherwise dispose of the vehicle under Subchapter D, Chapter 2303,
  or report the vehicle to a law enforcement agency under Section
  683.031(c), Transportation Code, before the operator receives
  notice under Section 2308.560 that:
                     (A)  the mediation has been resolved; and
                     (B)  if a civil action related to the fee dispute
  that was the subject of the mediation was filed by a party after the
  end of the mediation process, the civil action has concluded.
         Sec. 2308.555.  MEDIATOR. (a) A person may not act as a
  mediator in the mediation program unless the person is qualified as
  an impartial third party under Section 154.052, Civil Practice and
  Remedies Code.
         (b)  The parties by agreement shall select and compensate a
  mediator from the list maintained by the department, except that
  the parties by written agreement may select a mediator not on the
  department's list.
         (c)  If the parties do not agree on a mediator by the 10th day
  after the date the department orders the parties to participate in
  the mediation:
               (1)  the motor carrier or the towing company shall
  notify the department that a mediator has not been selected; and
               (2)  the department shall select a mediator from the
  department's list of qualified mediators based on convenience to
  the location of each party.
         (d)  Sections 154.053 and 154.055, Civil Practice and
  Remedies Code, apply to a mediator under this subchapter.
         Sec. 2308.556.  LOCATION AND SCHEDULE OF MEDIATION. (a) The
  parties by agreement shall select a venue and schedule for
  mediation under this subchapter. If the parties are unable to agree
  on a venue and schedule, the mediator shall select a venue and
  schedule.
         (b)  Mediation must be completed not later than the 30th day
  after the date the department orders the parties to mediate, except
  that the deadline may be extended by agreement of all parties.
         Sec. 2308.557.  APPLICABLE LAW. Section 154.073, Civil
  Practice and Remedies Code, and Rule 408, Texas Rules of Evidence,
  apply to mediation under this subchapter.
         Sec. 2308.558.  DURATION AND COSTS OF MEDIATION. (a) The
  fee for a mediator employed under this subchapter may not exceed:
               (1)  $750 per party, for a half-day mediation; or
               (2)  $1,500 per party, for a full-day mediation.
         (b)  A mediation may not exceed one day unless the parties
  agree to extend the mediation.
         (c)  The department is not liable for compensation paid or to
  be paid to a mediator employed under this subchapter.
         (d)  Without regard to the outcome of mediation or subsequent
  regulatory or judicial proceedings, costs incurred by a party in
  mediation required by this subchapter may not be imposed on the
  opposing party.
         Sec. 2308.559.  MATTERS CONSIDERED IN MEDIATION; AGREED
  RESOLUTION. In a mediation under this subchapter, the parties
  shall evaluate, without limitation, whether the amount charged by
  the towing company is excessive. If the parties determine that the
  amount charged is excessive, the parties shall determine the
  appropriate charges for services rendered.
         Sec. 2308.560.  OUTCOME OF MEDIATION; CIVIL ACTION. (a) Not
  later than the 15th day after the date the mediation concludes, the
  mediator shall report to the department whether mediation resolves
  the dispute. The department shall notify the operator of the
  vehicle storage facility where the vehicle that is the subject of
  the mediation is being stored of the outcome of the mediation.
         (b)  If mediation does not resolve the dispute, either party
  may file a civil action. A party in a mediation under this
  subchapter may not bring a civil action before the conclusion of the
  mediation process under this subchapter. This subsection does not
  prohibit a motor carrier from filing a request for a hearing under
  Subchapter J before the conclusion of mediation.
         (c)  If a party in mediation brings a civil action related to
  the fee dispute that was the subject of the mediation after the
  conclusion of the mediation process, the party bringing the action
  shall give notice to the operator of the vehicle storage facility
  storing the vehicle that is the subject of the action of the
  initiation and conclusion of the action. Notice under this
  subsection must be given:
               (1)  on filing the petition with the court, if the motor
  carrier is the party filing the action; or
               (2)  on service of citation on the motor carrier.
         (d)  A vehicle storage facility operator who receives notice
  of a civil action from a party under this section:
               (1)  may continue to charge a daily storage fee
  authorized by Section 2303.155(b)(3); and
               (2)  may not sell the vehicle at a public sale or
  otherwise dispose of the vehicle under Subchapter D, Chapter 2303,
  before the party bringing the action gives the operator notice that
  the action is concluded in favor of the towing company.
         Sec. 2308.561.  FORMS AND PROCEDURES; REQUEST PORTAL. The
  department shall:
               (1)  adopt forms and procedures necessary to administer
  this subchapter;
               (2)  establish a portal on the department's Internet
  website through which a request to participate in the mediation
  program may be submitted; and
               (3)  maintain a list of qualified mediators on the
  department's Internet website.
         SECTION 4.  Section 683.031, Transportation Code, is amended
  by amending Subsection (a) and adding Subsection (a-1) to read as
  follows:
         (a)  Except as provided by Subsection (a-1), a [A] motor
  vehicle is abandoned if the vehicle is left in a storage facility
  operated for commercial purposes after the 10th day after the date
  on which:
               (1)  the garagekeeper gives notice by registered or
  certified mail, return receipt requested, to the last known
  registered owner of the vehicle and to each lienholder of record of
  the vehicle under Chapter 501 to remove the vehicle;
               (2)  a contract for the vehicle to remain on the
  premises of the facility expires; or
               (3)  the vehicle was left in the facility, if the
  vehicle was left by a person other than the registered owner or a
  person authorized to have possession of the vehicle under a
  contract of use, service, storage, or repair.
         (a-1)  For purposes of this subsection, "motor carrier" has
  the meaning assigned by Section 643.001.  A motor vehicle operated
  by a motor carrier and held at a vehicle storage facility may not be
  considered abandoned under this subchapter:
               (1)  until the 31st day after the date described by
  Subsection (a); or
               (2)  if the operator of the vehicle storage facility
  receives notice:
                     (A)  under Section 2308.554(a)(1)(B), Occupations
  Code, that the vehicle is the subject of a request for mediation
  under Subchapter L, Chapter 2308, Occupations Code; or
                     (B)  under Section 2308.560(c), Occupations Code,
  that the vehicle is the subject of a civil action brought by a party
  to the fee dispute that was the subject of a mediation under
  Subchapter L, Chapter 2308, Occupations Code.
         SECTION 5.  This Act takes effect September 1, 2023.