Dan's City Used Cars, Inc. v. Pelkey
133 S. Ct. 1769
| SCOTUS | 2013Background
- FAAAAs §14501(c)(1) preempts state law related to price, route, or service of a motor carrier with respect to transportation of property.
- Pelkey sued Dan’s City in NH court for disposal of his towed car, asserting NH Consumer Protection Act violations and bailee duties.
- NH Chapter 262 governs disposal of stored vehicles, including notices, liens, and sale procedures after towing ends.
- Dan’s City towed Pelkey’s car in 2007, held it in storage, unaware Pelkey could reclaim due to hospital stay, then auctioned and traded the car.
- NH Supreme Court held the storage/disposal claims are not preempted because they concern post-transportation conduct and not the transportation of property itself.
- The Supreme Court affirmed the NH court, ruling §14501(c)(1) does not preempt damages for storage and disposal of a towed vehicle.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether FAAAA preempts storage/disposal claims | Pelkey | Dan’s City | Not preempted |
| Whether storage/disposal falls within transportation or service | Pelkey | Dan’s City | Not within transportation/service; post-transportation |
| Role of exceptions to preemption | Pelkey | Dan’s City | Exceptions do not define scope; not preempted |
Key Cases Cited
- Rowe v. New Hampshire Motor Transp. Assn., 552 U.S. 364 (2008) (defined broad scope of 'related to' in preemption by reference to ADA language)
- Morales v. Trans World Airlines, Inc., 504 U.S. 374 (1992) (broad interpretation of 'related to' preemption)
- New York State Conference of Blue Cross & Blue Shield Plans v. Travelers Ins. Co., 514 U.S. 645 (1995) (caution against 'tenuous, remote or peripheral' preemption)
- Lorillard Tobacco Co. v. Reilly, 533 U.S. 525 (2001) (identify expressly pre-empted domain in statutory text)
- CSX Transp., Inc. v. Easterwood, 507 U.S. 658 (1993) (analyze statutory preemption by language and context)
- Ours Garage & Wrecker Service, Inc. v. Columbus, 536 U.S. 424 (2002) (preemption scope and purpose in motor carrier context)
