Suit filed against Newport Beach

Deepa Bharath

NEWPORT BEACH -- A repossession agency operator has filed a lawsuit

against the city alleging that he was charged illegal fees when he tried

to recover an impounded vehicle.

Louis Dean filed the suit at Orange County Superior Court in Santa Ana

on Feb. 4. As an operator of a state-licensed automobile repossession

agency, Dean represents legal owners of vehicles that include banks and

financial institutions.

Dean contends that the California Vehicle Code allows cities to charge

administrative fees relating to an impounded vehicle only to the

registered owner of the vehicle -- the person actually driving or using

the car -- not the legal owner.

City officials said Tuesday that they had not received a copy of the

lawsuit yet.

The city refunded Dean the administrative fee he was charged as soon

as officials realized they had made a mistake, Revenue Manager Glen

Everroad said.

“It was a new law that was passed recently,” he said. “As soon as we

became aware of it, we refunded the money.”

Everroad said Dean was given back the $29 charged by the Police

Department as administrative fees for a “release form” that identifies

the owner and confirms there are no outstanding warrants on the vehicle.

But Dean, in his lawsuit, states the amount he was charged illegally as

$100.15.

Dean submitted a claim to the city in January 2001 trying to recover

the money. That claim was denied by the city, the lawsuit states.

The suit also says Dean wishes to represent all legal owners and

representatives who have paid these illegal impound fees to the city of

Newport Beach. The total amount, it states, is more than $25,000.

Dean filed the lawsuit because “he was sick and tired of cities

violating the law,” said his attorney Michael Geller, based in Moreno

Valley.

“We have seen several cities do this, including Los Angeles,” he said.

“In some cases they are ignorant, and in other cases they simply choose

to ignore the law.”

* Deepa Bharath covers public safety and courts. She may be reached at

(949) 574-4226 or by e-mail at o7 deepa.bharath@latimes.comf7 .