Tow truck operators warned to comply

Tow truck operators unwittingly break the law by selling vehicles in parts, running the risk of $20,000 fines

By Samantha Freestone | April 23, 2010

Tow truck owners have been warned to follow the law when on-selling vehicles after claims operators were unwittingly breaching their obligations.

Queensland Fair Trading Minister Peter Lawlor has asked operators to make sure they have relevant licences when selling their vehicles in parts.

He says a maximum $20,000 penalty can be issued to operators who break-down and sell vehicles in parts to either consumers, motor dealers or motor dealer wreckers without holding a motor wrecking licence.

The licence is also required if an individual acquired the title to any vehicle they remove or tow.

"The Office of Fair Trading is seeking to increase awareness among Queensland tow truck drivers of the need to hold special licences if they are on-selling vehicles or parts, following reports that many drivers were unaware of this requirement," a spokeswoman for Lawlor says.

Selling vehicles in parts falls under the Property Agents and Motor Dealers Act and the Second Hand Dealers Act.

Lawlor says there are three licence categories that tow truck drivers may need to hold depending on how they operate their business.

The Office of Fair Trading has recently received numerous calls from tow truck operators issued with penalties from police.

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