Collateral recovery.

Existing law, the Collateral Recovery Act, provides for the licensure and regulation of repossession agencies by the Bureau of Security and Investigative Services under the supervision and control of the Director of Consumer Affairs. Any person who violates these provisions is guilty of a crime punishable by fine and imprisonment. Existing law requires an applicant for a qualification certificate or for an initial registration or reregistration to submit an application to the bureau and include certain personal information in the application that is confidential and is prohibited from being disclosed to the public. This bill would specify that a repossession agency is also prohibited from disclosing that personal information, including the cell phone number, of an applicant for a qualification certificate or for an initial registration or reregistration. Existing law requires the bureau to give examinations and reexaminations for a qualification certificate every other month. This bill would instead require those examinations to be given every 3 months. Existing law prohibits a person from performing the duties of a registrant for a licensed repossession agency unless the person has in his or her possession a valid repossessor registration card or evidence of a valid temporary registration or registration renewal. This bill would authorize a person to perform the duties of a registrant for a licensee pending receipt of a registration card if the person has been approved by the bureau and carries on his or her person a hardcopy printout of the bureau's approval from the bureau's Internet Web site. Existing law requires a repossession agency to keep and maintain adequate records of all transactions, including assignment forms. Existing law authorizes an assignment form to be an original, photocopy, facsimile copy, or a copy stored in electronic format. This bill would also authorize an assignment form to be a copy stored in an e-mail or text message. Existing law requires a repossession agency to inventory the personal effects removed from recovered collateral and authorizes those personal effects to be disposed of after being held for at least 60 days. Existing law requires the inventory to be filed in the permanent records of the licensee. Existing law establishes that the inventory is a confidential document and prohibits the disclosure of the contents of the inventory except under specified circumstances. This bill would provide that the inventory of personal effects is only required to be filed in the permanent records of the licensee for a period of 4 years. The bill would require out-of-state license plates to be removed from collateral and inventoried. The bill would provide that disclosing the existence of an inventory and any associated fees is also prohibited except under specified circumstances. Existing law provides a repossession of certain collateral that is subject to vehicle registration is complete when the repossessor gains entry to the collateral or when the collateral becomes connected to a tow truck or the repossessors tow vehicle. This bill would also provide that a repossession of that collateral is complete when the repossessor moves, pushes, or gains control of the collateral. Existing law authorizes a peace officer or certain employees, who are engaged in directing traffic or enforcing parking laws and regulations, of a city, county, or jurisdiction of a state agency in which a vehicle is located, to remove a vehicle under specified circumstances, including, among other circumstances, when a vehicle is found or operated upon a highway, public land, or an offstreet parking facility with a registration card that is fraudulent or not for that vehicle or with a registration expiration date in excess of 6 months before the date the vehicle is found or operated. Existing law authorizes these removed vehicles to be released to the owner or person in control of the vehicle after the owner or person furnishes the storing law enforcement agency with proof of current registration and a currently valid driver's license to operate the vehicle. Existing law authorizes the impoundment of a removed vehicle, or a vehicle found upon a highway or public land, that has been issued 5 or more notices of parking violations to which the owner or person in control of the vehicle has not responded, or if the registered owner of the vehicle is known to have been issued 5 or more notices for failure to pay or failure to appear in court for traffic violations, as specified. Existing law authorizes these impounded vehicles to be released to the legal owner if certain conditions have been satisfied, including, among other things, that the legal owner completes a specified affidavit. This bill would, for a vehicle removed for having a fraudulent or expired registration, authorize the vehicle to be released to the legal owner or the legal owner's agent without proof of current registration if the vehicle will only be transported to a repossessor's storage facility, and from the storage facility to the legal owner or a licensed motor vehicle auction, as specified. The bill would also delete the requirement that a legal owner complete an affidavit in order to release a vehicle impounded for failure to respond to parking violation notices or for failure to pay or appear in court for traffic violations. Because a violation of the bill's provisions under the Collateral Recovery Act would be a crime, the 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.