1250 Broadway, 27th Floor New York, NY 10001



When its tow-truck license wasn’t renewed by City of New York, Runway Towing Corp. filed a special proceeding [pursuant to CPLR Article 78] with the New York County State Supreme Court to have that determination reviewed and vacated. And when a judge found in the company’s favor (and directed that the licensing issue be reconsidered), an appeal to the Appellate Division, First Department, followed.

Because the company had charged towing and storage fees which were “excessive,” and “impermissible” under NYC law, the AD1 thought that the renewal’s denial did “not shock the conscience” of the court. Nor was the outcome disproportionate to the company’s wrongful conduct, which allegedly consisted of “numerous overcharges over a two-year period.”

As for its arguments that a monetary fine would have been sufficient, or that its constitutional rights had been violated, the AD1 noted:

Runway's claim that 6 RCNY 6-36 limits [the agency] to issuing only monetary fines for violations of the applicable statutes is incorrect …. 6 RCNY § 6-36 allows for revocation of a license following a third violation of the rate-setting statutes. Furthermore, Runway's due process arguments fail because ‘there is no property interest in the renewal of an expired license and no constitutional due process right to a hearing’”

Think that ran away from them?

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Matter of Runway Towing Corp., Inc. v New York City Dept. of Consumer & Worker Protection