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New rules established for vehicle immobilization companies in Colorado

March 25, 2025 | Introduced Bills, House Bills, 2025 Bills, Colorado Legislation Bills, Colorado


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New rules established for vehicle immobilization companies in Colorado
House Bill 1117, introduced in the Colorado State Legislature on March 25, 2025, aims to reform vehicle immobilization practices across the state, addressing long-standing concerns about transparency and fairness in the towing industry. The bill mandates that immobilization companies adhere to strict guidelines, ensuring that vehicle owners are adequately informed and protected from potential abuses.

At the heart of House Bill 1117 is a requirement for immobilization companies to provide clear, legible signage that must be visible from at least fifty feet away, with letters no smaller than three inches tall. This provision seeks to enhance public awareness of immobilization policies on private properties, aiming to prevent unwarranted immobilizations that can lead to frustration and financial strain for vehicle owners.

Additionally, the bill introduces significant limitations on how and when vehicles can be immobilized. It stipulates that no vehicle can be immobilized without explicit, documented permission from the property owner or a legal authority within twenty-four hours prior to the action. This change is designed to curb the practice of automated or pre-approved immobilizations, which have often left vehicle owners in the dark about their rights.

Notably, House Bill 1117 also addresses the issue of multiple immobilization devices being applied to a single vehicle. It prohibits companies from charging more than once for the removal of all immobilization devices, a move that advocates argue will prevent exploitative practices by towing companies.

The bill has sparked debates among lawmakers and industry stakeholders. Proponents argue that these reforms are essential for consumer protection and will foster a more equitable towing environment. Critics, however, express concerns that the new regulations could hinder the effectiveness of immobilization companies and lead to increased disputes over vehicle immobilization.

As House Bill 1117 progresses through the legislative process, its implications could reshape the landscape of vehicle immobilization in Colorado, potentially setting a precedent for similar reforms in other states. With public sentiment leaning towards greater accountability in the towing industry, the bill's future remains a focal point of discussion among lawmakers and citizens alike.

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