Elizabeth, NJ Business Licensing & Operations: Towing Companies (2026)
Key Facts
- Mercantile license fee
- $300/year tower, $60/tow truck
- Max tow fee
- $100-$400 by vehicle weight
- Storage facility distance
- Within 1 mile of city
- Insurance required
- $1M liability, $1M property damage
- Vehicle release hours
- 7:00 a.m. to 11:59 p.m.
- Max penalty
- $1,000 fine or 90 days jail
Summary
Elizabeth requires every private-property tower to hold an annual mercantile license, cap towing fees at $100 to $400 by vehicle weight, post warning signs at every lot, and get police clearance before hooking a vehicle. The chief license inspector can suspend or revoke a tower's license after a hearing.
Each tower shall apply for and maintain a valid mercantile license annually, from division of licenses, which shall be prominently displayed at the storage lot or facility. Said mercantile license shall be issued for a year period from May 1 to April 30 of the next succeeding year.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 31).
Full Breakdown
Chapter 5.51 governs towers who remove vehicles from private lots under contract with the property owner. Each tower must maintain a storage facility within one mile of the city, staffed 24 hours a day or with someone on call, and keep a log, copies of towing contracts, and towed-vehicle reports on site (Section 5.51.020). Towers must hold a valid mercantile license running May 1 to April 30, displayed at the storage lot and carried in the tow truck, and cannot get one without $1,000,000 in public liability insurance and $1,000,000 in property damage insurance (Section 5.51.030).
Mercantile license fees are $300.00 annually for a towing company or operator, $300.00 for a licensed storage facility, and $60.00 per tow truck (Section 5.51.090). Lots must post at least two warning signs, sized between 2x3 feet (6 square feet) and 3x5 feet (15 square feet), listing the tower's name, a 24-hour phone number, the storage lot address, the words 'UNAUTHORIZED VEHICLES WILL BE TOWED,' and the towing fee (Section 5.51.040). No vehicle may be hooked, lifted, or removed without a report filed with the city police department first, and police must confirm the vehicle is not stolen or wanted before it can be towed (Section 5.51.050).
Maximum tow fees are $100.00 for vehicles under 6,000 pounds, $250.00 for 6,000 to 14,999 pounds, and $400.00 for 15,000 pounds and up, plus $35.00 for special equipment, with storage fees of $25.00 to $100.00 per day starting after the first 24 hours (Section 5.51.060). Vehicles can only be released between 7:00 a.m. and 11:59 p.m. (Section 5.51.070).
Violations & Fines
A tower found violating this chapter can have its mercantile license suspended or revoked after a hearing before the chief license inspector, and separately faces up to 90 days in the county jail or a fine up to $1,000.00, or both, with each day of a continuing violation counted as a separate offense (Section 5.51.100).
Frequently Asked Questions
How much can a tow company charge to tow my car from private property in Elizabeth?
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Sources & Official References
Other rules in Elizabeth
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