Enacts new Article 7C, Nonconsensual Booting and Towing, to GS Chapter 20. Provides for seven defined terms including tow, nonconsensual tow (towing without the prior consent or authorization by the owner or operator of the motor vehicle), and boot. Specifies that Article 7C doesn’t apply to the towing of a vehicle at the direction of law enforcement or any other towing subject to Article 7A of GS Chapter 20 (concerning post-towing procedures). 

Establishes, in new GS 20-219.40, a nine-member Towing and Recovery Commission (Commission) within the Department of Public Safety (DPS). Tasks the Commission with six responsibilities, including:

• To issue permits to nonconsensual towing businesses.
• To annually establish the maximum fees that a nonconsensual towing business may charge for booting, towing, storage, and the handling of commercial cargo.
• To maintain a nonconsensual towing business database.
• To record reports from the public of suspected noncompliance with the Article and any resolutions of those complaints.
• To administer new Article 7C.

Requires the Commission, starting with the 2027 calendar year, to submit an annual report to the specified NCGA committee covering four listed topics, including reports from the public on noncompliance. Sets out the Commission’s membership along with appointing authority in new GS 20-219.45. Specifies that members will serve three-year terms except for those appointed to initial terms, which will be comprised of members serving one-year and two-year terms. Provides for a chair and requires at least two meetings each year. Prohibits compensation but allows Commission members to be reimbursed for necessary expenses, including travel. Provides for filling of vacancies.

Adds new GS 20-219.50, requiring every consensual and nonconsensual towing business to obtain a permit from the Commission before operating in the State, which must be annually renewed. Provides for permit fees and permit forms. Requires the Commission to issue or renew a permit if: (1) the application is complete and (2) the applicant demonstrates the willingness and ability to comply with the requirements of the Article and other applicable laws. Provides for appeal of denial of initial or renewed permit. Specifies that engaging in the practice of nonconsensual booting or towing without a valid permit is an unfair trade practice.  

Adds GS 20-219.55, requiring the Commission to develop and maintain a searchable statewide database accessible to members of the public. Requires the database to: (1) allow members of the public to report suspected noncompliance with the Article, (2) allow permit searches by the owner or operator of a towed vehicle by number or license plate so that they can learn where the vehicle was towed, and (3) allow for nonconsensual towing businesses to log in and to input the required information pertaining to the vehicle and towing location within one hour of towing or booting a vehicle. Sets out information that a nonconsensual towing business must put into the database after booting or towing a vehicle.

Requires private property owners to provide prominent posting and display of signage warning of nonconsensual towing at their parking lot entrances or areas where parking prohibitions apply in new GS 20-219.60. Prohibits a vehicle from being booted or nonconsensually towed on private property that does not have signs posted at the time of the booting or towing and at least 24 hours prior. Gives property owners 15 days to correct or remove any sign with incorrect information upon learning the signage is incorrect. Makes a private property owner that violates this section guilty of an infraction and allows the court to order the property owner to make restitution to the owner or operator of the improperly booted or towed motor vehicle in an amount equal to the fees for the booting, towing, and storage of the motor vehicle. Makes a nonconsensual tow truck driver guilty of an infraction subject to a penalty of not more than $100, with a second violation within 12 months of the first violation punished as an infraction with a penalty of not more than $200 and a third or subsequent violation within 12 months of the first violation punished as a Class 3 misdemeanor. Excludes owners of private residential property that consists of four or fewer residential units.

Adds new GS 20-219.65, listing towing and booting practices, including (1) that any vehicle removed from a parking lot or area on private property cannot be transported for storage more than 25 miles from the place of removal, unless there is no storage area within 25 miles from the place of removal suitably sized to store the motor vehicle; (2) barring occupied vehicles from being booted, towed, or attempted to be booted or towed; (3) prohibiting nonconsensual towing businesses from impeding or blocking occupied vehicles not yet booted that are attempting to leave the parking lot; (4) prohibiting booting a commercial vehicle; and (5) notice requirements for booting. Specifies that violation of GS 20-219.65 is an unfair trade practice.

Adds new GS 20-219.70, providing for nonconsensual towing fees (fees). Requires fees to be reasonable and not excessive and not to exceed the maximums established by the Commission. Prevents a nonconsensual towing business from charging storage or handling fees for: (1) cargo contained in a trailer or semitrailer and (2) days when the business is not open from at least 9:00 am to 4:00 pm. Specifies, that for nonconsensual towing of cargo, if there is a dispute, if the cargo is attached to the trailer and cannot be removed from the trailers, the parties must execute a trailer swap where the swapped trailer is of equal or better condition than the original towed trailer and owned, leased, or operated by the same company. Requires the business to wait at least one business day since the towed vehicle could first be recovered before charging a storage fee, unless it is open 24 hours per day. Requires a nonconsensual towing business to accept credit cards, debit cards and cash. Provides for a limit on payment processing fees. Specifies that charging a fee in violation of GS 20-219.70 is an unfair and deceptive trade practice. Allows for the sale of a truck tractor, trailer, or semitrailer that remains in storage more than 60 days after it is towed upon written notice to the owner by registered or certified mail, return receipt requested, addressed to the property owner at the address on the vehicle registration records maintained by the Division of Motor Vehicles (DMV). Gives property owner 30 days to respond. Directs that sale proceeds must first go towards paying outstanding towing, recovery, or storage fees and the remainder returned to the property owner. Requires billing by standardized form. 

Authorizes DPS to adopt rules to implement the Article.

Requires the Commission, beginning February 15, 2030, and every four years thereafter, to report to the specified NCGA Committee recommending either (1) that the Commission continue existing or (2) that the Commission should sunset and its responsibilities be absorbed by the Department of Public Safety.

Requires the Commission to create the permit process discussed above and issue permits by July 1, 2026.

Makes conforming change to GS 20-219.20 (concerning the requirement to give notice of vehicle towing) to account for new Article 7C, effective July 1, 2026.

Statutes concerning the Commission and its membership and meetings are effective January 1, 2026. Statutes concerning permits, the database, towing and booting practices, and nonconsensual towing fees are effective July 1, 2026. The statute concerning required signage applies to offenses committed on or after July 1, 2026. Remaining statutes (definitions, limitations, and DPS authority to adopt rules) in the new Article are effective when the act becomes law.