Kickback / Financial Interest Between Lot Owner and Tow Company
Texas Occupations Code §§ 2308.401–2308.402 make it ILLEGAL for a parking facility owner to accept ANY thing of value from a towing or booting company in connection with tows or boots, and bar tow/boot companies from having a financial interest in lots they tow from. Violation gives the vehicle owner a civil cause of action under § 2308.404 — including damages, full refund of fees, AND if intentional/knowing/reckless, $1,000 + 3× the fees charged. Many apartment complexes and shopping centres have informal arrangements (free signs, share of release fees, contractor 'incentives') that can be uncovered through deposition or an open-records request to TDLR.
Legal basis
Texas Occupations Code §§ 2308.401, 2308.402, 2308.404
Sample appeal wording
Pursuant to Tex. Occ. Code §§ 2308.401–2308.402, I allege that [PARKING FACILITY OWNER] received a thing of value from [TOWING COMPANY] in connection with my vehicle's removal, in violation of § 2308.401(a). I request the court issue a subpoena duces tecum for the towing-services contract between these parties and any 'cooperation,' 'rebate,' or 'incentive' agreements. Pursuant to § 2308.404(c), I request damages of $1,000 plus three times the amount of fees assessed, plus court costs and attorney's fees under § 2308.458(e)(1).
Replace [PARKING DATE], [NtK DATE] etc. with your own dates before sending.
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- Texas Occupations Code §§ 2308.401-2308.404
- Texas Department of Licensing and Regulation enforcement records