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AB-2437 • 2026

Impounded vehicles.

Impounded vehicles.

Crime Education
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Chen
Last action
2026-05-27
Official status
Referred to Com. on TRANS.
Effective date
Not listed

Plain English Breakdown

The bill summary and digest text did not provide specific details about the timing of implementation for new rules.

Impounded Vehicles Law Changes

The bill updates the rules about impounding vehicles, requiring acceptance of debit cards and additional proof of ownership documents.

What This Bill Does

  • Requires storage facilities to accept debit card payments for towing and storage fees without charging extra fees.
  • Prohibits refusing to release a vehicle if someone asks for it using only the specified proof of ownership documents.
  • Adds current registration as an additional document needed when releasing impounded vehicles.
  • Makes other small changes to clarify existing laws about impounding vehicles.

Who It Names or Affects

  • People who have their cars impounded by police.
  • Storage facilities that hold impounded vehicles.
  • Legal owners or agents of impounded vehicles.

Terms To Know

Impound
To take and keep a vehicle because someone broke traffic laws.
Storage facility
A place where impounded cars are kept until they can be released.

Limits and Unknowns

  • The bill does not specify when the new rules will start.
  • It is unclear how this law will affect people who do not have debit cards or bank accounts.

Bill History

  1. 2026-05-27 California Legislative Information

    Referred to Com. on TRANS.

  2. 2026-05-14 California Legislative Information

    In Senate. Read first time. To Com. on RLS. for assignment.

  3. 2026-05-14 California Legislative Information

    Read third time. Passed. Ordered to the Senate. (Ayes 77. Noes 0.)

  4. 2026-05-07 California Legislative Information

    Read second time. Ordered to Consent Calendar.

  5. 2026-05-06 California Legislative Information

    From committee: Do pass. To Consent Calendar. (Ayes 14. Noes 0.) (May 6).

  6. 2026-04-21 California Legislative Information

    From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 15. Noes 0.) (April 20). Re-referred to Com. on APPR.

  7. 2026-04-13 California Legislative Information

    Re-referred to Com. on TRANS.

  8. 2026-04-09 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to Com. on TRANS. Read second time and amended.

  9. 2026-03-17 California Legislative Information

    Re-referred to Com. on TRANS.

  10. 2026-03-16 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to Com. on TRANS. Read second time and amended.

  11. 2026-03-16 California Legislative Information

    Referred to Com. on TRANS.

  12. 2026-02-21 California Legislative Information

    From printer. May be heard in committee March 23.

  13. 2026-02-20 California Legislative Information

    Read first time. To print.

Official Summary Text

AB 2437, as amended, Chen.
Impounded vehicles.
Under existing law, whenever a peace officer determines, among other things, that a person was driving without a license or while their driving privilege was suspended or revoked, the peace officer is authorized to remove and seize that vehicle. Existing law requires the law enforcement agency and the impounding agency, including any storage facility acting on behalf of the law enforcement agency or impounding agency, to comply with specified provisions. Existing law
prescribes requirements and procedures for the release of impounded vehicles to a legal owner or the legal owner
requires that a vehicle be released to the legal owner of the vehicle or the legal owner’s agent prior to the end of 30 days’ impoundment if specified conditions are met, including, among other things, that the legal owner or the
legal owner’s agent pays all towing and storage fees related to the seizure of the vehicle and presents specified documents showing proof of legal ownership. With regards to the payment of the fees, existing law requires a person operating or in charge of a storage facility where vehicles are stored to accept a valid bank credit card or cash for payment by a legal or registered owner or the owner’s agent claiming the vehicle. Existing law prohibits any tow yard, impounding agency, or governmental agency, or any person acting on behalf of those entities, from refusing to release a vehicle or other collateral to anyone that is legally entitled to that vehicle or other collateral.
Existing law prohibits a legal owner or legal owner’s agent from releasing the recovered vehicle to the registered owner or the person who was listed as the registered owner when the vehicle was impounded until the registered owner or that owner’s agent presents their valid driver’s license or valid temporary driver’s license to the legal owner or the legal owner’s
agent.
A violation of any provision of the Vehicle Code is punishable as a crime, unless otherwise specified.
This bill would additionally require the acceptance of debit cards, as defined, for the payment of the fees described
above and would prohibit charging any fee for the use of a debit card.
above.
The bill would provide that requiring any documents to show proof of ownership other than those specified in the provisions described above constitutes a refusal to release under the prohibition described above.
The bill would prohibit a legal owner or legal owner’s agent from releasing a recovered vehicle to the registered owner or the
person who was listed as the registered owner when the vehicle was impounded until the registered owner or that owner’s agent also presents current registration to the legal owner or the legal owner’s agent.
The bill would also make other technical, clarifying, and conforming changes. By expanding the scope of existing crimes and creating a new crime, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.

Current Bill Text

Read the full stored bill text
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