(a)

1. (1) A tow business shall obtain from the Arkansas Towing and Recovery Board and renew annually the appropriate licenses, endorsements, enhancements, and permits to engage in towing, recovery, storage, vehicle immobilization, and related services.
2. (2) A nonconsent towing license includes the authority to perform vehicle immobilization, repossession, storage, and consent towing services.
3. (3) A consent tow service is required to obtain a consent registration and permit for each tow vehicle through the board.
4. (4) A repossession company is allowed to do consent towing and must obtain a repossession license and repossession permit for each tow vehicle.

(b)

1. (1) Any tow vehicle as defined in Arkansas Code § 27-50-1201 et seq., and this part that is not exempt under the provisions of 27 CAR § 170-101 and is being operated on Arkansas’s public roadways is required to have a valid tow vehicle safety permit displayed in the lower left corner of the windshield and a business license number permanently placed on both sides of the tow vehicle near the business name issued by the board.

2. (2)

   1. (A) Any tow vehicle used to provide nonconsent towing and related services shall display a nonconsent tow business license number and an annual tow vehicle safety permit issued by the board.
   2. (B) Such tow vehicle may also be used to provide repossession and consent towing and related services.

3. (3)

   1. (A) Any tow vehicle used to provide only consent towing and related services shall display a consent registration number and an annual tow vehicle safety permit issued by the board.
   2. (B) Such vehicle shall not be used to provide repossession or nonconsent towing and related services.

4. (4)

   1. (A) Any tow vehicle used to provide repossession towing and related services shall display a repossession tow business license number and an annual tow vehicle safety permit issued by the board.
   2. (B) Such tow vehicle may also be used to provide consent towing and related services.
5. (5) The tow vehicle safety permit shall be placed on the tow vehicle for which it is intended immediately upon receipt.

6. (6) Failure to comply with this section could result in:

   1. (A) A civil penalty of up to five thousand dollars ($5,000);
   2. (B) The suspension or revocation of the tow vehicle permit; or
   3. (C) Both.

(c)

1. (1) Upon proper application reflecting that the qualifications required by the board in this part are met, the Director of the Arkansas Towing and Recovery Board shall issue the appropriate license, registration, endorsement, enhancement, or permit for towing, recovery, repossession, vehicle immobilization, or storage.
2. (2) No license, registration, endorsement, enhancement, or permit for towing, recovery, repossession, vehicle immobilization, or storage shall be issued until a complete application is filed with the board.

3. (3) For purposes of this part and except as otherwise provided or supplemented, a complete application for a towing business license, registration, endorsement, enhancement, or permit for towing, recovery, repossession, vehicle immobilization, or storage shall include as applicable, all requirements of the board and this part, including without limitation:

   1. (A) Business application provided by the board completed in its entirety;
   2. (B) Current certificate or certificates of insurance reflecting minimum insurance coverage as prescribed by the board in 27 CAR § 170-109, which must include:

(i) The physical address for which the tow business is licensed;

1. (ii) The legal name or names of the tow business; and

   1. (iii) A complete description and vehicle identification number of each tow vehicle with on-hook coverage;
   2. (C) Fees as prescribed by the board;

   3. (D)

      1. (i) A copy of the current maximum rate sheet for each towing, recovery, and storage service.
      2. (ii) The acceptance of a copy of the rate sheet does not constitute or imply approval of fees or rates;

   4. (E) Proof of compliance with all signage requirements, including without limitation:

      1. (i) Complaint notification process;
      2. (ii) Exterior business location signage; and
      3. (iii) Tow rate schedule; and
   5. (F) Any other proof or documents needed to comply with the requirements, if applicable, for an enhanced nonconsent heavy-duty tow license under 27 CAR § 170-115.

2. (4)

   1. (A) A tow vehicle safety permit authorizing operation of a tow vehicle on public roadways in the State of Arkansas shall not be issued until a complete tow vehicle safety permit application is filed with the board.

   2. (B) For purposes of this part a complete tow vehicle safety permit application shall include:

      1. (i) An updated business application if needed;
      2. (ii)

(b) (b) If the tow vehicle fails any part of the inspection, deficient items must be noted on the Tow Vehicle Safety Inspection Form and forwarded to the board.

1. (c) (c) All items noted as deficient must be corrected and reinspected by the same law enforcement agency or board staff before a permit can be issued for that tow vehicle;

   1. (iii) Photographs clearly showing the following views:

(b) (b) Driver side view of the towing vehicle showing both the name and phone number of the business; and

1. (c) (c) Passenger side view of the towing vehicle showing both the name and phone number of the business;

   1. (iv) Tow vehicle safety permit fee prescribed by the board; and

      1. (v) Current certificate or certificates of insurance reflecting minimum insurance coverage as prescribed by the board in 27 CAR § 170-109.

2. (5)

   1. (A) No vehicle immobilization business license authorizing the use of vehicle immobilization in the State of Arkansas shall be issued until a complete application is filed with the board.

   2. (B) For purposes of this part a complete application shall include:

      1. (i)

(b) (b) Up to ten (10) immobilization devices can be used on one (1) inspection form for license; and

1. (ii) Photographs showing the following views:

(b) (b) A view of the vehicle immobilization device showing the serial number, name, and phone number of the business.

1. (6)

   1. (A) No showing of public convenience or necessity need be made in support of an application for any license, registration, endorsement, enhancement, or permit.
   2. (B) It shall be the responsibility of the licensee to post the tow business license at the place of business and in a prominent location, viewable by the public.
   3. (C) It shall be the responsibility of the licensee to affix the tow vehicle safety permit to the lower portion, driver’s side, of the windshield in the tow vehicle for which the board issued the permit immediately upon receipt.

   4. (D) It shall be the responsibility of the tow business to post a sign notifying customers of the consumer complaint process under Arkansas Code § 27-50-1218.

      1. (d)

2. (1) Business licenses, business license numbers, consent registrations, and tow vehicle safety permits are nontransferable:

   1. (A) From one (1) owner to another; and
   2. (B) From one (1) tow vehicle to another.

3. (2)

   1. (A) If a licensee ceases to be involved in the towing business or vehicle immobilization business, the business license issued to that business shall be returned to the board within ten (10) days of ceasing business.
   2. (B) Any change in ownership of a towing business or vehicle immobilization business nullifies the license issued to the previous owner.

4. (3)

   1. (A) Any tow vehicle safety permit holder who sells, disposes of, or takes a tow vehicle out of service shall remove and submit the permit to the board’s staff via United States mail and notify the board’s staff that the tow vehicle is removed from its fleet within ten (10) days of the removal.
   2. (B) A tow vehicle safety permit shall only be displayed on a tow vehicle owned by the towing business to which the board issued the permit.
5. (4) Any nonconsent towing business or vehicle immobilization service safety licensee that takes a vehicle immobilization device out of service shall notify the board the device has been removed from their inventory within ten (10) days of the removal.

(e)

1. (1) A vehicle immobilization, towing, recovery, repossession, or storage license, registration, endorsement, enhancement, or permit shall be issued only to a legal entity that owns the tow business and shall not be issued solely to a fictitious name under which the tow business operates. Example: Bob Smith owns a wrecker service. Bob Smith’s Wrecker Service does not constitute a legal entity. Bob Smith, or Bob Smith dba Bob Smith’s Wrecker Service, or Bob Smith’s Wrecker Service, Inc. (if legally incorporated), does constitute a legal entity in that Bob Smith is identified as legal owner of the wrecker service.
2. (2) Each separate business location of a towing business shall require a separate license, registration, endorsement, enhancement, or permit.
3. (3) The name in which a towing business is registered with the board shall correspond with the name of the insured as identified on the certificate or certificates of insurance issued to the board for the towing business.

(g)

1. (1) Except as provided in subdivision (g)(2) of this section, if a final judgment rendered by a court of competent jurisdiction against a towing business or an owner or employee thereof, arising from ownership or operation of the towing business, including, but not limited to, towing, uprighting, recovery, transporting, immobilizing, and storage of vehicles, is not satisfied within thirty (30) calendar days, any or all of the towing business’s licenses, registrations, endorsements, enhancements, or tow vehicle safety permits may be suspended until the judgment is satisfied.

2. (2) If approved by the board and in its discretion:

   1. (A) A release or written agreement signed by the judgment creditor shall reinstate eligibility; and
   2. (B) If the judgment is covered by insurance up to the amount and to the extent required by the board, a suspension under subdivision (g)(1) of this section may be waived.