A1’s Towing and Hauling has reached a settlement with a trio of trucking companies in a federal lawsuit, putting one of the most notorious towing companies in the Memphis, Tenn., area on notice … again.
Predatory towing has been an issue for truck drivers across the country. The problem has gotten so out of hand in some states that lawmakers are trying to do something about it.
In Missouri, the Owner-Operator Independent Drivers Association is backing a bill that shields truckers from predatory towing. The Association also supports similar efforts in Connecticut.
Despite state and local statutes, predatory towing persists, forcing trucking companies to resort to legal action. In Charlotte, N.C., A1 Towing was ordered to pay $30,000 and has been restricted on how it conducts business to end a lawsuit filed by the state attorney general.
Now, a Memphis-area towing company that has been the target of state and local government officials has settled a predatory towing lawsuit filed by three trucking companies.
A1’s Towing’s alleged ‘outrageous’ predatory towing scheme
For years, truck drivers stopped in the Memphis area have complained about one infamous towing company’s practice of towing legally parked trucks: A1’s Towing and Hauling. Although the name is nearly identical to the Charlotte towing company, the Memphis company is not related.
At the center of the operation is Colton Ahmed Cathey, owner of several companies, including S-Line and A1’s Towing. S-Line, a company providing security and parking services, would direct A1’s Towing to boot or tow legally parked trucks and hold them for ransom, according to the lawsuit.
Trucking companies claim that Cathey’s companies “predatorily lured and entrapped” truck drivers and would “illegally harass, intimidate, assault, batter, hijack and/or hold hostage” trucks and truck drivers until a ransom was paid.
S-Line contracted with gas stations, truck stops and paid parking lots frequented by truck drivers. S-Line would either give the appearance of open parking by failing to post property as private or off-limits for truck parking. In some cases, A1’s Towing would go after legally parked trucks. Other cases involved towing trucks despite the driver having paid for the spot.
S-Line parking signs seen at some locations operated by the company. (Source: court documents)
According to the lawsuit, A1’s Towing would literally trap trucks in lots with their vehicles or dismantle a victim’s truck. Tow workers proceed to use force through intimidation (bulletproof vests, guns and badges), threats of bodily harm or “outright assault and battery” when towing a truck or demanding up to thousands of dollars.
Trucks were taken to storage facilities, even after truckers paid the fees. Sometimes, the truck driver was still inside the truck. Despite payment, release of the truck was delayed to further drive up storage costs.
In one example, a truck driver was booted at 5510 East Shelby Drive in Memphis by A1’s Towing. The driver was not given the opportunity to pay and go before being towed, a violation of city ordinance and state law. After being instructed to stay inside the truck, the driver called Memphis police, who could not do anything since the incident was on private property.
The trucking company ended up buying two-day parking through S-Line’s sign so the driver could get some rest in the sleeper berth. A1’s Towing employees then began honking horns and rocking the truck to keep the trucker awake. This time, Memphis police told the tow workers to stop. After police left, the harassment resumed.
The next morning, the trucking company offered $7,500 to release the truck, which A1’s Towing reportedly refused. After Memphis police and Shelby County Sheriff’s Office determined nothing can be done, the Tennessee Highway Patrol got involved. Once they arrived, tow employees fled the scene. Highway Patrol let the truck driver cut the boot off.
Five days later, another truck driver for the same carrier paid for parking at a Capital Fuels truck stop in West Memphis, Ark. Unbeknownst to him, that lot was also operated by S-Line. A similar situation played out, including A1’s Towing demanding nearly $3,000 to remove a boot.
Numerous similar stories were included in the lawsuit.
A1’s Towing’s ‘no touch’ order
Rather than go to trial, A1’s Towing and the trucking companies reached a settlement that includes an order for the towing company to leave the carriers alone.
According to court documents, A1’s Towing is prohibited from “ticketing, booting, towing, driving, storing or otherwise touching” a truck owned by any of the plaintiff companies.
Additionally, Cathey’s companies must provide those carriers with a list of all the locations they operate or service. They must also provide information on any new locations they may acquire. Parking rules cannot be enforced at new locations on the plaintiff trucking companies until two weeks after receipt of the written notice.
For their part, the trucking companies must make an effort to avoid those properties. If they do park at any lot that Cathey oversees, the “no touch” provision remains intact. A1’s Towing can only charge $250 per illegal parking incident per 24-hour period. If a truck is parked in a hazard zone, it can be towed at a rate of no more than $960. Storage fees will be capped at $30 per day, which cannot begin accruing until after seven business days.
A1’s Towing is not allowed to interact with truck drivers in any way. Communications will be through a designated email address only. Violations of any of the provisions will cost $10,000 per incident.
Although the settlement terms apply only to the three trucking companies that filed the lawsuit, the case could serve as a template for other trucking companies targeted by A1’s Towing.
A1’s Towing history of complaints
This isn’t A1’s Towing first run-in with the law.
Since 2002, the Tennessee Attorney General’s Division of Consumer Affairs has received numerous complaints against A1’s Towing. At the local level, the City of Memphis investigation, prompted by nearly a dozen complaints from truckers across the country, found the towing company violated city ordinances. Subsequently, the city suspended its towing and booting permits.
In September 2023, the owner of a Shell truck stop off Interstate 40 in Fayette County, Tenn., was granted an emergency injunction prohibiting A1’s Towing from entering his property after it illegally booted and towed trucks multiple times. The truck stop owner said the unauthorized tows caused substantial harm to his business.
At least six employees of Cathey’s companies have been arrested for towing incidents in just the two years prior to the filing of the lawsuit, including robbery and carjacking. LL
Credit: Source link
