2016 Arkansas Code
Title 27 - Transportation
Subtitle 4 - Motor Vehicular Traffic
Chapter 50 - Penalties and Enforcement
Subchapter 12 - -- Removal or Immobilization of Unattended or Abandoned Vehicles
§ 27-50-1216. Moving a total-loss vehicle from a storage facility

AR Code § 27-50-1216 (2016) What's This?

(a) As used in this section, "storage facility" means a facility where a wrecked or inoperable vehicle is stored that charges storage fees to a vehicle owner as a result of the claim from the wrecked or inoperable vehicle.

(b) (1) (A) If an insurance company determines that a vehicle is a total loss claim, the insurance company may authorize its agent to move the vehicle to a location of its choosing without:

(i) The approval of the storage facility; and

(ii) A release document from the owner.

(B) Instead of a release document, the insurance company shall obtain a verbal release from the vehicle owner to move the total loss vehicle as provided under this section and document the verbal release in the claim file.

(2) (A) To authorize the moving of the vehicle, the insurance company shall submit notice by regular mail, hand-delivery, facsimile, or electronic transmission to the storage facility on company letterhead of the intent to move the vehicle.

(B) The notice shall include:

(i) A description of the vehicle, including its identification number;

(ii) The identification of the agent who is to move the vehicle;

(iii) The date the owner of the vehicle authorized release of the vehicle to the insurance company; and

(iv) A statement that the insurance company will indemnify and hold harmless the storage facility for all liability and costs it incurs defending itself in any civil or criminal claim arising from moving the vehicle without a release document from the owner.

(C) The owner and any lienholder of the vehicle shall receive a copy of the notice by regular mail.

(c) The storage facility shall make the vehicle available for immediate release and removal during regular business hours of the storage facility upon receipt of:

(1) The letter described under subdivision (b)(2) of this section;

(2) The release of any law enforcement or other official hold; and

(3) Settlement of all fees incurred up to and including the date of removal.

(d) (1) If an insurance company or its agent moves a vehicle as provided under this section, the insurance company shall indemnify and hold harmless the storage facility for liability and all expenses associated with civil or criminal claims arising from moving the vehicle without a release document from the owner.

(2) In any action in which a storage facility prevails against an insurance company for indemnification under this subsection, in addition to any damages suffered, the storage facility shall be awarded attorney's fees and costs incurred.

(e) This section shall not be construed to restore or grant any right, title, or interest in the vehicle or its contents as may have been waived under § 27-50-1209(a).

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