Bay Towing, Inc. v. Broderick

49 Misc. 2d 657, 268 N.Y.S.2d 108, 1966 N.Y. Misc. LEXIS 2129
CourtNew York Supreme Court
DecidedMarch 7, 1966
StatusPublished
Cited by5 cases

This text of 49 Misc. 2d 657 (Bay Towing, Inc. v. Broderick) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bay Towing, Inc. v. Broderick, 49 Misc. 2d 657, 268 N.Y.S.2d 108, 1966 N.Y. Misc. LEXIS 2129 (N.Y. Super. Ct. 1966).

Opinion

Lester Holtzman, J.

This is a proceeding pursuant to article 78 of the CPLR “ (1) directing that the determination by respondents by which petitioner was issued a restricted automobile towing license be annulled; (2) that respondents be directed to issue to petitioner an unrestricted automobile towing license; (3) that respondents be restrained and enjoined from interfering in any manner with the conduct by petitioner of its business particularly in towing cars from public highways; (4) that respondents be held liable to petitioner for all damages which petitioner may have sustained by reason of respondents’ failure to issue to petitioner an unrestricted automobile towing license.”

Petitioner is in the business of towing disabled or damaged automobiles. Prior to January 1, 1966, there was one type of license issued annually to such businesses by the Police Commissioner and such a license was issued to the petitioner. By an amendment effective January 1, 1966 to section 436 of the Administrative Code of the City of New York, a new system of towing licenses was enacted which provides for issuance of restricted and unrestricted licenses. Petitioner applied for an “ unrestricted license ” but was issued a restricted license.

The distinction between a restricted license and the license issued to the petitioner prior to January 1, 1966 is an important one. Subdivision d of section 436-7.0 of the Administrative Code of the City of New York provides that: “ It shall be unlawful for any person other than a licensed tow car driver in a licensed towing car with an unrestricted towing car license to solicit the person in charge of a vehicle involved in an accident at the scene of such accident ”.

That section further provides that it shall be ‘ ‘ unlawful for any person other than a licensed tow car driver in a licensed tow car with an unrestricted towing car license, at the scene of an accident where towing is required, to make an estimate of the cost of repairs * * * or to offer to make repairs, although no charge is imposed or to be imposed for towing.” A restricted license is narrower in scope than the licenses issued prior to the amendment since a restricted license does not permit solicitation for business and an unrestricted license is broader than the prior license since it allows the use of special radios.

[659]*659Section 436-7.0 (subd. d, par. 1) also provides that an unrestricted license is to be issued to the owners of towing cars who, inter alia, “maintain and continue to operate facilities which are adequate for the repair of vehicles requiring body or collision work, in accordance with such reasonable standards as may be prescribed by the commissioner.” Pursuant to this subdivision, the Commissioner issued comprehensive regulations wherein it is provided in section C.2(c) that “ The licensee must also supply a Certificate of Motor Vehicle Repair Shop Permit from the Fire Department, as well as a Certificate of Occupancy from-the Building Department indicating that the premises may be used as an auto body shop.”

In a memorandum issued by the Police Department on January 12, 1966, after this action had already been commenced, it was stated that petitioner’s application for an unrestricted license was denied because:

“ (a) The Certificate of Occupancy submitted by Bay Towing calls for the premises to be used as a salesroom and carpenter shop.

“ (b) They did not have a Certificate of Motor Vehicle Repair Shop Permit from the Fire Department but instead submitted a copy of their application for said permit which was dated December 29, 1965.”

In its affidavits in support of this petition, the petitioner also states that the application was denied for these reasons but argues that the denial was improper since the Department of Buildings has not yet acted on petitioner’s application for a modification of the certificate of occupancy and because petitioner has also filed an application with the Fire Department for a certificate of motor vehicle repair shop permit which has not been acted upon by the Fire Department,

Petitioner argues that its application to this court should be granted because (1) it was not given a hearing on the application which is required by the due process clause of the United States Constitution; (2) the regulations promulgated by respondent are unlawful because they are not within the scope of the powers delegated to him by the Administrative Code and (3) since section 436 of the New York City Charter enumerates the Police Commissioner’s “ Powers over certain trades ” in the absence of a specific enumeration in the charter of the Police Commissioner’s power to regulate towing cars, the power to administer the regulations of the towing car business cannot be delegated to the respondent.

It is a fundamental principle of constitutional law that in certain instances where a petitioner has an important interest [660]*660in an administrative determination that will adversely affect him, the administrative agency must provide him with a hearing even where the statute which authorizes the administrative action does not require a hearing. In the past, the decisions involving whether a petitioner for a license is required to be given an opportunity to be heard have been couched in the language of whether the license is a privilege or a right. This doctrine, however, is in the process of being eroded by the courts which now view the question as one of whether the petitioner’s interests in the determination are so important as to require the procedural safeguards prescribed in the due process clause of the Federal Constitution. In Matter of Hecht v. Monaghan (307 N. Y. 461, 468) the court held that: ‘ ‘ Although the statutes empowering the hack bureau and the commissioner to grant, suspend or revoke a hack driver’s license do not expressly require that those licenses may be withdrawn only upon notice and an opportunity to be heard, it is not necessary that they do so. Where the exercise of a statutory power adversely affects property rights — as it does in the present case — the courts have implied the requirement of notice and hearing, where the statute was silent (see Wong Yang Sung v. McGrath, 339 U. S. 33; Clarksburg-Columbus Short Route Bridge Co. v. Woodring, 89 F. 2d 788, 790; Anti-Fascist Committee v. McGrath, 341 U. S. 123; Railroad Comm. v. Pacific Gas Co., 302 U. S. 388; Bauer v. Acheson, 106 F. Supp. 445; People ex rel. Copcutt v. Board of Health of City of Yonkers, 140 N. Y. 1, 6-7).” In Matter of Brown v. Murphy (34 Misc 2d 151) the court held that since the opportunity to work as a tow truck driver is a right and not a privilege, the application for such a license cannot be rejected without affording the applicant an opportunity to be heard.

The proper rule is that a hearing must be afforded on an application for a license where the nature of the administrative determination is adjudicative and concerns adjudicative facts aud where the applicant has a sufficient stake in the administrative determination. (See, 1 Davis, Administrative Law, ch. 7.)

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Bluebook (online)
49 Misc. 2d 657, 268 N.Y.S.2d 108, 1966 N.Y. Misc. LEXIS 2129, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bay-towing-inc-v-broderick-nysupct-1966.