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Storage lien

A towing or storage company's claim on a vehicle for unpaid fees, which can end in the car being sold.

A storage lien is a tow operator’s or storage lot’s legal claim against a vehicle for unpaid towing and storage charges. Daily fees keep adding up, and if they go unpaid the business can follow the state’s lien sale process to sell the car.

For an owner of a towed junk car, acting fast matters. Fees can soon exceed what the car is worth.

In California, when possession results from a public agency or private property impound, the lien arises when the vehicle is towed. For vehicles valued under $4,000 with towing, storage or labor liens, the lienholder must, in certain cases, begin lien sale proceedings within 15 days.1

References

  1. California DMV, Vehicle Industry Registration Procedures Manual 18.065, “Liens (CCC §§3068 through 3074)”, https://www.dmv.ca.gov/portal/handbook/vehicle-industry-registration-procedures-manual-2/lien-sales-abandoned-abated-vehicles/liens/ ↩

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