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SB2724 • 2026

Towing companies; revise notice provisions to owners and lienholder, authorize civil penalty.

AN ACT TO AMEND SECTION 85-7-251, MISSISSIPPI CODE OF 1972, TO REVISE THE NOTICE REQUIREMENT REQUIRED TO BE GIVEN BY TOWING COMPANIES TO AN OWNER OR LIENHOLDER OF A TOWED VEHICLE; TO AUTHORIZE A CIVIL PENALTY IMPOSED BY THE DEPARTMENT OF INSURANCE FOR FAILURE TO MAKE A GOOD FAITH EFFORT TO COMPLY WITH THE REQUIREMENTS OF THIS SECTION; AND FOR RELATED PURPOSES.

Did Not Pass

The latest official action shows that this bill did not move forward in that session.

Sponsor
England
Last action
2026-02-03
Official status
Dead
Effective date
July 1, 20

Plain English Breakdown

Checked against official source text during the last sync.

Towing Companies; New Notice Rules

This bill changes how towing companies must notify vehicle owners and lienholders about towed vehicles and sets penalties for not following these rules.

What This Bill Does

  • Changes the way towing companies have to tell car owners and people with liens on cars about their vehicles being towed.
  • Requires towing companies to find out who owns or has a lien on a towed vehicle within five business days, unless the owner contacts them first.
  • Makes it mandatory for towing companies to use an approved email service to notify lienholders.
  • Adds rules for towing companies to make good faith efforts to locate owners and lienholders if they can't find this information easily.
  • Sets fines of $1,000 for the first offense and $2,000 for each subsequent offense by towing companies that do not follow these new requirements.

Who It Names or Affects

  • Towing companies
  • Vehicle owners and lienholders

Terms To Know

Lienholder
A person or company with a legal claim on the vehicle, usually because they provided a loan to buy it.
Good faith effort
An honest and sincere attempt to do something required by law.

Limits and Unknowns

  • The bill did not pass during its session.
  • It would have taken effect on July 1, 2026, but since it didn't pass, this date is no longer relevant.

Bill History

  1. 2026-02-03 Mississippi Legislative Bill Status System

    02/03 (S) Died In Committee

  2. 2026-01-19 Mississippi Legislative Bill Status System

    01/19 (S) Referred To Judiciary, Division A

Official Summary Text

Towing companies; revise notice provisions to owners and lienholder, authorize civil penalty.

Current Bill Text

Read the full stored bill text 
S. B. No. 2724 *SS08/R888* ~ OFFICIAL ~ G1/2
26/SS08/R888
PAGE 1 (icj\kr)

To: Judiciary, Division A
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Senator(s) England

SENATE BILL NO. 2724

AN ACT TO AMEND SECTION 85-7-251, MISSISSIPPI CODE OF 1972, 1
TO REVISE THE NOTICE REQUIREMENT REQUIRED TO BE GIVEN BY TOWING 2
COMPANIES TO AN OWNER OR LIENHOLDER OF A TOWED VEHICLE; TO 3
AUTHORIZE A CIVIL PENALTY IMPOSED BY THE DEPARTMENT OF INSURANCE 4
FOR FAILURE TO MAKE A GOOD FAITH EFFORT TO COMPLY WITH THE 5
REQUIREMENTS OF THIS SECTION; AND FOR RELATED PURPOSES. 6
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 7
SECTION 1. Section 85-7-251, Mississippi Code of 1972, is 8
amended as follows: 9
85-7-251. (1) The owner of a motor vehicle that has been 10
towed at his request or at the direction of a law enforcement 11
officer, or towed upon request of a real property owner upon whose 12
property a vehicle has been left without permission of the real 13
property owner, shall be liable for the reasonable price of towing 14
and storage of such vehicle; and the towing company to whom the 15
price of such labor and storage costs may be due shall have the 16
right to retain possession of such motor vehicle until the price 17
is paid. 18
(2) Within twenty-four (24) hours, the towing company shall 19
report to the local law enforcement agency having jurisdiction any 20
S. B. No. 2724 *SS08/R888* ~ OFFICIAL ~
26/SS08/R888
PAGE 2 (icj\kr)

vehicle that has been towed unless the vehicle was towed at the 21
request of the owner of the vehicle. * * * Within five (5) 22
business days of the initial tow, the towing company shall obtain 23
from the appropriate authority the names and addresses of any 24
owner and lienholder unless the owner of a towed vehicle contacts 25
the towing company. The towing company within five (5) business 26
days shall notify the lienholder using email through a vendor 27
approved by the Mississippi Department of Revenue. If the 28
information from the appropriate authority fails to disclose the 29
owner or lienholder, a good faith effort shall be made by the 30
towing company to locate ownership, including a check for tag 31
information, inspection sticker, or any papers in the vehicle that 32
may indicate ownership. Upon location of the owner and 33
lienholder, the towing company shall notify them by registered 34
mail of the amount due for towing, postmarked no later than 35
the * * * seventh day following the initial tow. If such amount 36
shall not be paid within * * * twenty (20) days from the initial 37
tow, the towing company to whom such charges are payable shall 38
notify by certified mail any legal owner and holder of any lien, 39
as disclosed by the motor vehicle title records or other 40
investigation, of notice of sale of the property. If such 41
property has not been redeemed within * * * twenty (20) days after 42
the mailing of the certified letter, the towing company may 43
commence sale of the property at public auction. The towing 44
company shall publish for two (2) consecutive weeks a notice of 45
S. B. No. 2724 *SS08/R888* ~ OFFICIAL ~
26/SS08/R888
PAGE 3 (icj\kr)

sale in the newspaper having circulation in the county where the 46
vehicle was initially towed, and during that time period, shall 47
notify any owner, if known, or lienholder by email through the 48
vendor approved by the Department of Revenue for third-party 49
notification. The proceeds of the sale of such property in excess 50
of the amount needed to pay the towing, reasonable storage and 51
necessary expenses of the procedures required by this section 52
shall be held by the towing company for a period of six (6) 53
months, and, if not reclaimed by the owner thereof within such 54
time, shall become the property of the county and be paid to the 55
chancery clerk of the county in which the sale was held to be 56
deposited into the county general fund, subject, however, to any 57
rights of the recorded lienholder. 58
(3) The failure to make a good faith effort to comply with 59
the requirements of this section shall preclude the imposition of 60
any storage charges or towing charges against the towed vehicle 61
and subject the towing company to a civil penalty imposed by the 62
Department of Insurance of One Thousand Dollars ($1,000.00) for 63
the first occurrence and Two Thousand Dollars ($2,000.00) for the 64
second and subsequent offenses. 65
(4) Every towing company shall maintain accurate records for 66
a period of three (3) years, which records shall identify the 67
vehicles it has towed and stored and all procedures that it has 68
taken to comply with the provisions of this chapter. 69
S. B. No. 2724 *SS08/R888* ~ OFFICIAL ~
26/SS08/R888
PAGE 4 (icj\kr)
ST: Towing companies; revise notice provisions
to owners and lienholder, authorize civil
penalty.
SECTION 2. This act shall take effect and be in force from 70
and after July 1, 2026. 71