In August 2024, the U.S. Justice Department filed a lawsuit against the company Tony’s Auto Center Inc., which operates as Tony’s Auto Center in Chula Vista, California. The company allegedly auctioned off a Navy lieutenant’s car.
This action is a violation of the Servicemembers Civil Relief Act (SCRA). The SCRA stipulates that towing companies are prohibited from auctioning active duty members’ properties unless they have a court order.
The lawsuit filed in the Southern District of California said that Tony’s Auto Center had auctioned off the service member’s 2011 Mazda 6 while he was deployed at sea. He had the car containing his personal belongings parked in front of his friend’s house.
The vehicle was impounded for expired registration, and that’s how it ended up in the hands of Tony’s Auto Center. It was auctioned without the required court approval.
Per the complaint, in March 2023, the Lieutenant returned from active duty service and found out his car had been towed. He contacted Tony’s Auto Center, but the vehicle had already been sold. He still had to pay up to $2,500 for it.
Assistant Attorney General Kristen Clarke of the Civil Rights Division said service members face severe financial consequences when towing companies ignore their SCRA rights. This case would hopefully set an example for other companies to review their policies and ensure they respect SCRA rights.
The case is ongoing, and there is no update yet on Tony’s Auto Center’s consequences. However, in most cases, guilty parties must spend tens of thousands to compensate for the trouble service members undergo.
Cases like this demonstrate how fundamental it is to confirm one’s active duty status. SCRACVS can help both service members and companies adhere to SCRA rules. Click here to sign up at SCRAVS and verify an individual’s active duty status.