Expanded Texas Towing Laws 2025-2026: Unlicensed Drivers, Impounds, and What Parents Need to Know

Texas enacted significant changes to its towing and impound laws effective September 1, 2025. These changes expand police authority to impound vehicles operated by unlicensed drivers and create new responsibilities for vehicle owners—including parents whose children may drive without a license. Understanding these changes is essential for families, fleet operators, and anyone who allows others to use their vehicles.

The New Unlicensed Driver Impound Rules

Under the expanded law, police officers now have broader authority to impound vehicles when the driver cannot produce a valid driver’s license. Previously, officers had discretion in many situations. The new rules create mandatory impound requirements in certain circumstances, particularly for repeat offenders and situations involving other traffic violations.

Key provisions include:

Mandatory impound for repeat unlicensed drivers: If the driver has prior citations for driving without a license, impound is now required rather than discretionary

Extended impound periods: Vehicles may be held longer in cases involving additional violations

Owner notification requirements: New procedures for notifying registered vehicle owners

Release conditions: Specific requirements that must be met before a vehicle can be released

What This Means for Parents

The “parental responsibility” implications of these changes cannot be overstated. If a minor child drives the family vehicle without a license and the vehicle is impounded, the parent—as the registered owner—faces direct financial consequences.

Parents should understand:

Storage fees accumulate daily: Every day the vehicle remains impounded adds to the cost

Release requires documentation: Parents must appear with ownership documents to retrieve the vehicle

Insurance implications: An impound on the vehicle’s record may affect insurance rates

Potential civil liability: If the unlicensed minor driver causes an accident, the vehicle owner may face liability

Impact on Fleet Operators and Employers

Businesses that provide vehicles to employees face new risks under the expanded laws. If an employee operates a company vehicle without proper licensure, the vehicle can be impounded regardless of the employer’s knowledge.

Best practices for fleet operators:

Verify licenses at hire and periodically thereafter: Annual or semi-annual verification is now industry standard

Implement monitoring systems: Services that alert employers to license suspensions or expirations

Update vehicle use policies: Clear policies prohibiting vehicle operation without valid credentials

Document compliance efforts: Maintain records demonstrating due diligence

Retrieving an Impounded Vehicle

If your vehicle is impounded under these expanded laws, prompt action minimizes costs. The retrieval process typically requires:

Proof of vehicle ownership (title or registration)

Valid photo identification

Proof of insurance

Payment of all accrued towing and storage fees

In some cases, a licensed driver to remove the vehicle from the facility

Vehicle storage facilities must accept multiple payment methods under Texas law. They cannot require cash-only payment.

Challenging an Improper Impound

Not every impound is lawful. If you believe your vehicle was impounded improperly—for example, if the driver actually had a valid license that wasn’t recognized, or if proper procedures weren’t followed—you have the right to challenge the impound through a tow hearing.

The 14-day deadline to request a tow hearing applies regardless of the reason for the impound. Act quickly to preserve your rights.

Conclusion

Texas’s expanded towing laws reflect a tougher stance on unlicensed driving. For vehicle owners, this means greater vigilance about who operates your vehicles and clearer understanding of the consequences when unlicensed individuals take the wheel.

Parents should have direct conversations with their children about these new laws. Fleet operators should review and strengthen their driver verification procedures. And anyone facing an impound situation should understand both the retrieval process and their right to challenge improper actions.

Need Help With a Vehicle Impound Issue? The Walters Firm assists vehicle owners and businesses with towing disputes, impound challenges, and compliance questions. Contact us to discuss your situation.