The U.S. Department of Justice filed suit on March 25 against S&K Towing Inc. of San Clemente, California, alleging the company auctioned or disposed of 148 vehicles belonging to active-duty servicemembers — many towed from Marine Corps Base Camp Pendleton — without obtaining court orders required by the Servicemembers Civil Relief Act, according to Military Times. According to the complaint, a company manager responded to a military legal assistance attorney's warning by saying 'We do this all the time.'
Operator takeaway
Review your SCRA compliance procedures before your next lien sale — verify military status on every vehicle through the DOD database or face federal liability.