Dan's City Used Cars, Inc. v. Pelkey , 133 S. Ct. 1769 ( 2013 )


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  • (Slip Opinion)              OCTOBER TERM, 2012                                       1
    Syllabus
    NOTE: Where it is feasible, a syllabus (headnote) will be released, as is
    being done in connection with this case, at the time the opinion is issued.
    The syllabus constitutes no part of the opinion of the Court but has been
    prepared by the Reporter of Decisions for the convenience of the reader.
    See United States v. Detroit Timber & Lumber Co., 
    200 U.S. 321
    , 337.
    SUPREME COURT OF THE UNITED STATES
    Syllabus
    DAN’S CITY USED CARS, INC., DBA DAN’S CITY AUTO
    BODY v. PELKEY
    CERTIORARI TO THE SUPREME COURT OF NEW HAMPSHIRE
    No. 12–52. Argued March 20, 2013—Decided May 13, 2013
    The Federal Aviation Administration Authorization Act of 1994
    (FAAAA) preempts state laws “related to a price, route, or service of
    any motor carrier . . . with respect to the transportation of property.”
    
    49 U.S. C
    . §14501(c)(1). This provision borrows from the Airline De-
    regulation Act of 1978 (ADA), which preempts state laws “related to a
    price, route, or service of an air carrier,” §41713(b)(1), but it adds the
    important qualification, “with respect to transportation of property.”
    Plaintiff-respondent Pelkey brought suit in New Hampshire Supe-
    rior Court, alleging that defendant-petitioner Dan’s City Used Cars
    (Dan’s City), a towing company, took custody of his car after towing it
    from his landlord’s parking lot without Pelkey’s knowledge, failed to
    notify him of its plan to auction the car, held an auction despite
    Pelkey’s notice that he wanted to reclaim the car, and eventually
    traded the car away without compensating Pelkey for the loss of his
    vehicle. In disposing of his car, Pelkey further alleged, Dan’s City did
    not meet the requirements contained in chapter 262 of the New
    Hampshire Revised Statutes Annotated, which regulates the disposal
    of abandoned vehicles by a “storage company.” Dan’s City’s miscon-
    duct, Pelkey charged, both violated New Hampshire’s Consumer Pro-
    tection Act and breached the towing company’s statutory and com-
    mon-law duties as a bailee to use reasonable care while in possession
    of a bailor’s property. The court granted summary judgment to Dan’s
    City, concluding that the FAAAA preempted Pelkey’s claims. The
    New Hampshire Supreme Court reversed. It held the FAAAA’s
    preemption clause inapplicable because Pelkey’s claims related to
    Dan’s City’s conduct in disposing of his car post-storage, not to con-
    duct concerning “the transportation of property,” or a towing com-
    pany’s “service.”
    2             DAN’S CITY USED CARS, INC. v. PELKEY
    Syllabus
    Held: Section 14501(c)(1) does not preempt state-law claims stemming
    from the storage and disposal of a towed vehicle. Pp. 7–13.
    (a) Where Congress has superseded state legislation by statute,
    this Court’s task is to “identify the domain expressly pre-empted,”
    Lorillard Tobacco Co. v. Reilly, 
    533 U.S. 525
    , 541, focusing first on
    the statutory language, CSX Transp., Inc. v. Easterwood, 
    507 U.S. 658
    , 664. In Rowe v. New Hampshire Motor Transp. Assn., 
    552 U.S. 364
    , 370, this Court’s reading of §14501(c)(1) was informed by deci-
    sions interpreting parallel language in the ADA’s preemption clause.
    Thus, the Court held, the phrase “related to” embraces state laws
    “having a connection with or reference to” carrier “ ‘rates, routes, or
    services,’ ” whether directly or indirectly. Ibid. At the same time, the
    breadth of the words “related to” does not mean that the preemption
    clause should be read with an “uncritical literalism.” New York State
    Conference of Blue Cross & Blue Shield Plans v. Travelers Ins. Co.,
    
    514 U.S. 645
    , 655–656. The Court has cautioned that §14501(c)(1)
    does not preempt state laws affecting carrier prices, routes, and ser-
    vices “in only a ‘tenuous, remote, or peripheral . . . manner.’ ” Rowe,
    552 U. S., at 371. Pp. 7–8.
    (b) Pelkey’s state-law claims escape preemption because they are
    “related to” neither the “transportation of property” nor the “service”
    of a motor carrier. Although §14501(c)(1) otherwise tracks the ADA’s
    air-carrier preemption provision, the FAAAA formulation’s one con-
    spicuous alteration—addition of the words “with respect to the trans-
    portation of property”—significantly limits the FAAAA’s preemptive
    scope. It is not sufficient for a state law to relate to the “price, route,
    or service” of a motor carrier in any capacity; the law must also con-
    cern a motor carrier’s “transportation of property.” Title 49 defines
    “transportation,” in relevant part, as “services related to th[e] move-
    ment” of property, “including arranging for . . . storage [and] han-
    dling.” §13102(23)(B). Pelkey’s Consumer Protection Act and negli-
    gence claims are not “related to th[e] movement” of his car. Chapter
    262 regulates the disposal of vehicles once their transportation—
    here, by towing—has ended. Pelkey seeks redress only for conduct
    occurring after the car ceased moving and was stored. Dan’s City
    maintains that because §13102(23)(B)’s definition of “transportation”
    includes “storage” and “handling,” Pelkey’s claims fall within
    §14501(c)(1)’s preemptive ambit. But “storage” and “handling” fit
    within §13102(23)(B)’s definition only when those services “relat[e] to
    th[e] movement” of property. Thus temporary storage of an item in
    transit en route to its final destination qualifies as “transportation,”
    but permanent storage does not. Here, no storage occurred in the
    course of transporting Pelkey’s vehicle.
    Pelkey’s claims are also unrelated to a “service” a motor carrier
    Cite as: 569 U. S. ____ (2013)                     3
    Syllabus
    renders its customers. The transportation service Dan’s City pro-
    vided—removal of Pelkey’s car from his landlord’s parking lot—did
    involve the movement of property, but that service ended months be-
    fore the conduct on which Pelkey’s claims are based. Because chapter
    262, on which Pelkey relies, addresses “storage compan[ies]” and
    “garage owner[s] or keeper[s],” not transportation activities, it has
    neither a direct nor an indirect connection to transportation services
    a motor carrier offers its customers. See Rowe, 552 U. S., at 371.
    The conclusion that state-law claims regarding disposal of towed
    vehicles are not preempted is in full accord with Congress’ purpose in
    enacting §14501(c)(1), which was to displace “a State’s direct substi-
    tution of its own governmental commands for ‘competitive market
    forces’ in determining . . . the services that motor carriers will pro-
    vide.” Id., at 372. The New Hampshire prescriptions Pelkey invokes
    hardly constrain participation in interstate commerce by requiring a
    motor carrier to offer services not available in the market. Nor do
    they “freez[e] into place services that carriers might prefer to discon-
    tinue in the future.” Ibid. Pp. 8–11.
    (c) Dan’s City’s additional arguments in favor of preemption are not
    persuasive. Dan’s City contends that because none of Pelkey’s claims
    fit within the exceptions to preemption detailed in 
    49 U.S. C
    .
    §§14501(c)(2), (3), and (5), his claims must be preempted. But excep-
    tions, while sometimes a helpful interpretive guide, do not in them-
    selves delineate the scope of the rule. Here, the exceptions identify
    matters a State may regulate when it would otherwise be precluded
    from doing so, but they do not control more than that.
    Dan’s City also maintains that Pelkey’s claims are “related to” its
    towing service because selling Pelkey’s car was the means by which
    Dan’s City obtained payment for the tow. If such state-law claims
    were preempted, no law would govern resolution of a non-contract-
    based dispute arising from a towing company’s disposal of a vehicle
    previously towed or afford a remedy for wrongful disposal. No such
    design can be attributed to a rational Congress. See Silkwood v.
    Kerr-McGee Corp., 
    464 U.S. 238
    , 251. Pp. 11–13.
    163 N. H. 483, 
    44 A.3d 480
    , affirmed.
    GINSBURG, J., delivered the opinion for a unanimous Court.
    Cite as: 569 U. S. ____ (2013)                              1
    Opinion of the Court
    NOTICE: This opinion is subject to formal revision before publication in the
    preliminary print of the United States Reports. Readers are requested to
    notify the Reporter of Decisions, Supreme Court of the United States, Wash-
    ington, D. C. 20543, of any typographical or other formal errors, in order
    that corrections may be made before the preliminary print goes to press.
    SUPREME COURT OF THE UNITED STATES
    _________________
    No. 12–52
    _________________
    DAN’S CITY USED CARS, INC., DBA DAN’S CITY AUTO
    BODY, PETITIONER v. ROBERT PELKEY
    ON WRIT OF CERTIORARI TO THE SUPREME COURT OF
    NEW HAMPSHIRE
    [May 13, 2013]
    JUSTICE GINSBURG delivered the opinion of the Court.
    This case concerns the preemptive scope of a provision
    of the Federal Aviation Administration Authorization Act
    of 1994 (FAAAA or Act) applicable to motor carriers. Codi-
    fied at 
    49 U.S. C
    . §14501(c)(1), the provision reads:
    “[A] State . . . may not enact or enforce a law, regula-
    tion, or other provision having the force and effect of
    law related to a price, route, or service of any motor
    carrier . . . with respect to the transportation of
    property.”
    Plaintiff-respondent Robert Pelkey brought suit under
    New Hampshire law against defendant-petitioner Dan’s
    City Used Cars (Dan’s City), a towing company. Pelkey al-
    leged that Dan’s City took custody of his car after towing
    it without Pelkey’s knowledge, failed to notify him of its
    plan to auction the car, held an auction despite Pelkey’s
    communication that he wanted to arrange for the car’s
    return, and eventually traded the car away without com-
    pensating Pelkey for the loss of his vehicle.
    Disposal of abandoned vehicles by a “storage company”
    is regulated by chapter 262 of the New Hampshire Revised
    2          DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    Statutes Annotated. See N. H. Rev. Stat. Ann. §§262:31 to
    262:40–c (West 2004 and 2012 West Cum. Supp.). Dan’s
    City relied on those laws to dispose of Pelkey’s vehicle
    for nonpayment of towing and storage fees. According to
    Pelkey, however, Dan’s City failed to comply with New
    Hampshire’s provisions governing the sale of stored vehi-
    cles and the application of sale proceeds. Pelkey charged
    that Dan’s City’s disposal of his car without following the
    requirements contained in chapter 262 violated the New
    Hampshire Consumer Protection Act, §358–A:2 (West
    2009), as well as Dan’s City’s statutory and common-law
    duties as bailee to exercise reasonable care while in pos-
    session of a bailor’s property.
    We hold, in accord with the New Hampshire Supreme
    Court, that state-law claims stemming from the storage
    and disposal of a car, once towing has ended, are not
    sufficiently connected to a motor carrier’s service with
    respect to the transportation of property to warrant pre-
    emption under §14501(c)(1). The New Hampshire law in
    point regulates no towing services, no carriage of prop-
    erty. Instead, it trains on custodians of stored vehicles
    seeking to sell them. Congress did not displace the State’s
    regulation of that activity by any federal prescription.
    I
    A
    The Airline Deregulation Act of 1978 (ADA), 92 Stat.
    1705, largely deregulated the domestic airline industry.
    In keeping with the statute’s aim to achieve “maximum
    reliance on competitive market forces,” id., at 1706, Con-
    gress sought to “ensure that the States would not undo
    federal deregulation with regulation of their own.” Mo-
    rales v. Trans World Airlines, Inc., 
    504 U.S. 374
    , 378
    (1992). Congress therefore included a preemption provi-
    sion, now codified at 
    49 U.S. C
    . §41713(b)(1), prohibiting
    States from enacting or enforcing any law “related to a
    Cite as: 569 U. S. ____ (2013)                    3
    Opinion of the Court
    price, route, or service of an air carrier.”
    Two years later, the Motor Carrier Act of 1980, 94
    Stat. 793, extended deregulation to the trucking industry.
    Congress completed the deregulation 14 years thereafter,
    in 1994, by expressly preempting state trucking regula-
    tion. Congress did so upon finding that state governance
    of intrastate transportation of property had become “un-
    reasonably burden[some]” to “free trade, interstate com-
    merce, and American consumers.” Columbus v. Ours Ga-
    rage & Wrecker Service, Inc., 
    536 U.S. 424
    , 440 (2002)
    (citing FAAAA §601(a)(1), 108 Stat. 1605). Borrowing
    from the ADA’s preemption clause, but adding a new
    qualification, §601(c) of the FAAAA supersedes state laws
    “related to a price, route, or service of any motor carrier
    . . . with respect to the transportation of property.” 108
    Stat. 1606, now codified at 
    49 U.S. C
    . §14501(c)(1) (em-
    phasis added).1 The Act exempts certain measures from
    its preemptive scope, including state laws regulating
    motor vehicle safety, size, and weight; motor carrier in-
    surance; and the intrastate transportation of household
    goods. §§14501(c)(2)(A)–(B). Also exempted from preemp-
    tion are state laws “relating to the price” of “vehicle trans-
    portation by a tow truck,” if towing occurs without prior
    consent of the vehicle owner. §14501(c)(2)(C).
    This case involves the interaction between the FAAAA’s
    preemption clause and the State of New Hampshire’s
    regulation of the removal, storage, and disposal of aban-
    doned motor vehicles. Chapter 262 of the New Hampshire
    Revised Statutes Annotated establishes procedures by
    ——————
    1 The term “motor carrier” is defined as “a person providing motor
    vehicle transportation for compensation.” 
    49 U.S. C
    . §13102(14) (2006
    ed., Supp. V). We have previously recognized that tow trucks qualify
    as “motor carriers” under §14501(c)(1). Columbus v. Ours Garage &
    Wrecker Service, Inc., 
    536 U.S. 424
    , 430 (2002). Dan’s City’s qualifica-
    tion as a motor carrier under the FAAAA is uncontested by the parties.
    See Brief for Petitioner i; Brief for Respondent 18.
    4           DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    which an “authorized official” or the “owner . . . of any
    private property . . . on which a vehicle is parked without
    permission” may arrange to have the vehicle towed and
    stored. N. H. Rev. Stat. Ann. §§262:31 to 262:34, 262:40–
    a(I). It generally makes the owner of a towed vehicle
    responsible for reasonable removal and storage fees. See
    §262:33(I) (reasonable removal and storage charges “shall
    be a lien against the vehicle which shall be paid by the
    owner”); §262:33(II) (owner entitled to recover vehicle
    after “payment of all reasonable towing and storage
    charges”); §262:40–a(II) (owner of a vehicle towed from a
    parking lot or parking garage is responsible for “removal
    and storage charges” when the lot or garage conspicuously
    posts notice of parking restrictions).
    Under chapter 262, the custodian of a car that remains
    unclaimed for 30 days following a tow may dispose of the
    vehicle upon compliance with notice requirements.
    §§262:36–a(I), (II). A “garage owner or keeper” must post
    notices of an impending sale in public places and provide
    mail notice to the vehicle owner whenever the owner’s
    address may “be ascertained . . . by the exercise of reason-
    able diligence.” §262:38. If a towed vehicle is not fit
    for legal use, its custodian need not provide individual
    or public notice prior to disposal, and sale of the vehicle
    may occur upon written notice to and approval from
    New Hampshire’s Department of Public Safety. §262:36–
    a(III).2
    On compliance with the statutory requirements, the
    custodian of a stored vehicle may sell the vehicle by public
    auction at its place of business. §262:37. The storage
    company may use the sale proceeds to pay “the amount
    of the liens and the reasonable expenses incident to the
    ——————
    2 Section 262:36–a has been amended since April 2007, when Dan’s
    City’s alleged misconduct occurred. The amendments do not bear on
    the outcome of this case.
    Cite as: 569 U. S. ____ (2013)            5
    Opinion of the Court
    sale.” §262:39 (West 2004). Remaining proceeds are
    payable “to the [vehicle’s] owner . . . if claimed at any time
    within one year from the date of sale.” Ibid.
    B
    The landlord of the apartment complex in which Pelkey
    lived required tenants to remove their cars from the park-
    ing lot in the event of a snowstorm, so that the snow could
    be cleared. Pelkey’s 2004 Honda Civic remained in the
    lot during and after a February 2007 snowstorm. At the
    landlord’s request, Dan’s City towed and stored the vehi-
    cle. Confined to his bed with a serious medical condition,
    Pelkey did not know his car had been towed. Soon after
    removal of his car, Pelkey was admitted to the hospital for
    a procedure to amputate his left foot, during which he
    suffered a heart attack. He remained under hospital care
    until his discharge on April 9, 2007.
    Unaware of Pelkey’s identity or illness, Dan’s City
    sought permission from New Hampshire’s Department of
    Public Safety to sell the Honda at auction without notice.
    In response, the department identified Pelkey as the last
    known owner of the vehicle. Dan’s City wrote to Pelkey,
    notifying him that it had towed and was storing his car.
    When the post office returned the letter, checking the box
    “moved, left no address,” Dan’s City scheduled an auction
    for April 19. Meanwhile, in the days following Pelkey’s
    discharge from the hospital, his attorney learned from
    counsel for the apartment complex that the car had been
    towed by Dan’s City and was scheduled to be sold at pub-
    lic auction. On April 17, Pelkey’s attorney informed
    Dan’s City that Pelkey wanted to pay any charges owed and
    reclaim his vehicle. Dan’s City nevertheless proceeded
    with the auction. Attracting no bidders, Dan’s City later
    disposed of the car by trading it to a third party. Pelkey
    was not notified in advance of the trade, and has received
    no proceeds from the sale.
    6            DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    Pelkey brought suit against Dan’s City in New Hamp-
    shire Superior Court. He alleged that Dan’s City violated
    the New Hampshire Consumer Protection Act, N. H.
    Rev. Stat. Ann. §358–A:2, by failing to comply with chap-
    ter 262’s requirements for disposal of stored vehicles, mak-
    ing false statements about the condition and value of his
    Honda, and proceeding with the auction despite notice
    that Pelkey wanted to reclaim the car.3 He also alleged
    that Dan’s City negligently breached both statutory and
    common-law duties as a bailee to use reasonable care in
    disposing of the car. Granting summary judgment to
    Dan’s City, the New Hampshire Superior Court concluded
    that Pelkey’s claims were preempted by the FAAAA.
    The New Hampshire Supreme Court reversed. It held
    the FAAAA’s preemption clause, 
    49 U.S. C
    . §14501(c)(1),
    inapplicable because Pelkey’s claims related to Dan’s
    City’s conduct in disposing of his Honda post-storage, not
    to conduct concerning “the transportation of property.”
    163 N. H. 483, 490–493, 
    44 A.3d 480
    , 487–489 (2012)
    (emphasis deleted). Alternatively, the court ruled that,
    even if Pelkey’s claims could be said to concern the trans-
    portation of property, they did not “sufficiently relat[e] to a
    towing company’s ‘service’ to be preempted.” Id., at 493,
    
    44 A. 3d
    , at 490.
    We granted certiorari to resolve a division of opinion in
    state supreme courts on whether 
    49 U.S. C
    . §14501(c)(1)
    preempts a vehicle owner’s state-law claims against a
    towing company regarding the company’s post-towing
    ——————
    3 The
    Consumer Protection Act makes it unlawful for “any person to
    use any unfair method of competition or any unfair or deceptive act or
    practice in the conduct of any trade or commerce within” New Hamp-
    shire. N. H. Rev. Stat. Ann. §358–A:2 (West 2009). It authorizes a
    private claim for damages and equitable relief; for a willful or knowing
    violation, the Act allows the plaintiff to recover “as much as 3 times,
    but not less than 2 times,” actual damages. §358–A:10(I) (2012 West
    Cum. Supp.).
    Cite as: 569 U. S. ____ (2013)             7
    Opinion of the Court
    disposal of the vehicle. 568 U. S. ___ (2012). Compare 163
    N. H. 483, 
    44 A.3d 480
     (this case), with Weatherspoon v.
    Tillery Body Shop, Inc., 
    44 So. 3d 447
    , 458 (Ala. 2010)
    (§14501(c)(1) preempts state statutory and common-law
    claims arising out of storage and sale of a towed vehicle).
    II
    A
    Where, as in this case, Congress has superseded state
    legislation by statute, our task is to “identify the domain
    expressly pre-empted.” Lorillard Tobacco Co. v. Reilly, 
    533 U.S. 525
    , 541 (2001). To do so, we focus first on the
    statutory language, “which necessarily contains the best
    evidence of Congress’ pre-emptive intent.” CSX Transp.,
    Inc. v. Easterwood, 
    507 U.S. 658
    , 664 (1993).
    The FAAAA’s preemption clause prohibits enforcement
    of state laws “related to a price, route, or service of any
    motor carrier . . . with respect to the transportation of
    property.” 
    49 U.S. C
    . §14501(c)(1). In Rowe v. New
    Hampshire Motor Transp. Assn., 
    552 U.S. 364
    , 370 (2008),
    our reading of this language was informed by decisions
    interpreting the parallel language in the ADA’s preemp-
    tion clause. The phrase “related to,” we said, embraces
    state laws “having a connection with or reference to”
    carrier “ ‘rates, routes, or services,’ ” whether directly or
    indirectly. Ibid. (quoting Morales, 504 U. S., at 384; em-
    phasis deleted). See also id., at 383 (“ordinary meaning of
    . . . words [‘related to’] is a broad one,” thus ADA’s use of
    those words “expresses a broad pre-emptive purpose”).
    At the same time, the breadth of the words “related to”
    does not mean the sky is the limit. We have refused to
    read the preemption clause of the Employee Retirement
    Income Security Act of 1974, 
    29 U.S. C
    . §1144(a), which
    supersedes state laws “relate[d] to any employee benefit
    plan,” with an “uncritical literalism,” else “for all practical
    purposes pre-emption would never run its course.” New
    8            DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    York State Conference of Blue Cross & Blue Shield Plans
    v. Travelers Ins. Co., 
    514 U.S. 645
    , 655–656 (1995) (inter-
    nal quotation marks omitted). And we have cautioned
    that §14501(c)(1) does not preempt state laws affecting
    carrier prices, routes, and services “in only a ‘tenuous,
    remote, or peripheral . . . manner.’ ” Rowe, 552 U. S., at
    371 (quoting Morales, 504 U. S., at 390).
    B
    The New Hampshire Supreme Court concluded that
    Pelkey’s state-law claims are “related to” neither the
    “transportation of property” nor the “service” of a motor
    carrier. We agree.
    Pelkey’s claims escape preemption, we hold, because
    they are not “related to” the service of a motor carrier
    “with respect to the transportation of property.”
    §14501(c)(1). Although §14501(c)(1) otherwise tracks the
    ADA’s air-carrier preemption provision, see Rowe, 552
    U. S., at 370, the FAAAA formulation contains one con-
    spicuous alteration—the addition of the words “with re-
    spect to the transportation of property.” That phrase
    “massively limits the scope of preemption” ordered by the
    FAAAA. Ours Garage, 536 U. S., at 449 (SCALIA, J., dis-
    senting).4 As the New Hampshire Supreme Court correctly
    understood, for purposes of FAAAA preemption, it is not
    sufficient that a state law relates to the “price, route, or
    service” of a motor carrier in any capacity; the law must
    also concern a motor carrier’s “transportation of property.”
    See 163 N. H., at 490, 
    44 A. 3d
    , at 487.
    Title 49 defines “transportation,” in relevant part, as
    “services related to th[e] movement” of property, “includ-
    ing arranging for, receipt, delivery, elevation, transfer in
    transit, refrigeration, icing, ventilation, storage, handling,
    ——————
    4 Although this statement appears in the Ours Garage dissent, noth-
    ing in the Court’s opinion in that case is in any way inconsistent with
    the dissent’s characterization of §14501(c)(1).
    Cite as: 569 U. S. ____ (2013)           9
    Opinion of the Court
    packing, unpacking, and interchange of passengers and
    property.” §13102(23)(B). Pelkey’s Consumer Protection
    Act and negligence claims are not “related to th[e] move-
    ment” of his car. Ibid. (emphasis added). He charges
    Dan’s City with failure to comply with chapter 262 and
    neglect of its statutory and common-law duties of care as
    a bailee of his stored vehicle. Chapter 262 does not limit
    when, where, or how tow trucks may be operated. The
    Chapter regulates, instead, the disposal of vehicles once
    their transportation—here, by towing—has ended. Pelkey
    does not object to the manner in which his car was moved
    or the price of the tow; he seeks redress only for conduct
    subsequent to “transportation,” conduct occurring after
    the car ceased moving and was stored.
    Dan’s City maintains that because §13102(23)(B)’s
    definition of “transportation” includes “storage” and “han-
    dling,” Pelkey’s claims, which do concern the storage and
    handling of his car, fall within §14501(c)(1)’s preemp-
    tive ambit. Dan’s City overlooks, however, that under
    §13102(23)(B), services such as “storage” and “handling”
    fit within the definition of “transportation” only when
    those services “relat[e] to th[e] movement” of property.
    Temporary storage of an item in transit en route to its
    final destination relates to the movement of property and
    therefore fits within §13102(23)(B)’s definition. But prop-
    erty stored after delivery is no longer in transit. Cf. 49
    CFR §375.609 (2012) (distinguishing between “storage-in-
    transit” and “permanent storage” (regulation of Federal
    Motor Carrier Safety Administration)). Here, no storage
    occurred in the course of transporting Pelkey’s vehicle.
    Dan’s City’s storage of Pelkey’s car after the towing job
    was done, in short, does not involve “transportation” with-
    in the meaning of the federal Act.
    Pelkey’s claims also survive preemption under
    §14501(c)(1) because they are unrelated to a “service” a
    motor carrier renders its customers. The transportation
    10           DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    service Dan’s City provided was the removal of Pelkey’s
    car from his landlord’s parking lot. That service, which
    did involve the movement of property, ended months
    before the conduct on which Pelkey’s claims are based.
    His claims rely on New Hampshire’s abandoned vehicle
    disposal regime, prescribed in chapter 262, for the rules
    governing Dan’s City’s conduct.5 Chapter 262 addresses
    “storage compan[ies]” and “garage owner[s] or keeper[s],”
    not transportation activities.       See N. H. Rev. Stat.
    Ann. §§262:36–a, 262:38. Unlike Maine’s tobacco delivery
    regulations at issue in Rowe, chapter 262 has neither a
    direct nor an indirect connection to any transportation
    services a motor carrier offers its customers. See 552
    U. S., at 371. We need not venture an all-purposes defini-
    tion of transportation “service[s]” in order to conclude that
    state-law claims homing in on the disposal of stored vehi-
    cles fall outside §14501(c)(1)’s preemptive compass.
    Our conclusion that state-law claims regarding disposal
    of towed vehicles are not preempted is in full accord
    with Congress’ purpose in enacting §14501(c)(1). Concerned
    that state regulation “impeded the free flow of trade,
    traffic, and transportation of interstate commerce,” Con-
    gress resolved to displace “certain aspects of the State
    regulatory process.” FAAAA §601(a), 108 Stat. 1605 (em-
    phasis added). The target at which it aimed was “a State’s
    direct substitution of its own governmental commands for
    competitive market forces in determining (to a signifi-
    cant degree) the services that motor carriers will pro-
    vide.” Rowe, 552 U. S., at 372 (internal quotation marks
    omitted).
    Pelkey’s claims are far removed from Congress’ driving
    ——————
    5 The parties dispute whether, as Pelkey alleges, conduct that violates
    chapter 262 may qualify as an unfair or deceptive act or practice
    proscribed by New Hampshire’s Consumer Protection Act. This dispute
    turns on interpretation of state law, a matter on which we express no
    opinion.
    Cite as: 569 U. S. ____ (2013)           11
    Opinion of the Court
    concern. He sued under state consumer protection and
    tort laws to gain compensation for the alleged unlawful
    disposal of his vehicle. The state laws in question hardly
    constrain participation in interstate commerce by requir-
    ing a motor carrier to offer services not available in the
    market. Nor do the state laws invoked by Pelkey “freez[e]
    into place services that carriers might prefer to discon-
    tinue in the future.” Ibid. New Hampshire’s laws on dis-
    posal of stored vehicles, moreover, will not open the way for
    “a patchwork of state service-determining laws, rules, and
    regulations.” Id., at 373. As Dan’s City concedes, aban-
    doned vehicle laws like chapter 262 “do not hamper the
    operations of tow truckers” and “are not the kind of bur-
    densome state economic regulation Congress sought to
    preempt.” Reply Brief 21.
    C
    Dan’s City advances two further arguments in favor of
    preemption. First, Dan’s City contends that Congress’
    enumeration of exceptions to preemption, detailed in 
    49 U.S. C
    . §§14501(c)(2), (3), and (5), permits state regula-
    tion of motor carriers only when the State’s law comes
    within a specified exception. Because Pelkey’s claims do
    not fit within any exception to preemption, Dan’s City
    urges, those claims must be preempted. This argument
    exceeds sensible bounds. Exceptions to a general rule,
    while sometimes a helpful interpretive guide, do not in
    themselves delineate the scope of the rule. The exceptions
    to §14501(c)(1)’s general rule of preemption identify mat-
    ters a State may regulate when it would otherwise be
    precluded from doing so, but they do not control more than
    that.
    An example may clarify the point. Section 14501(c) does
    not exempt zoning regulations. Such laws, however, “are
    peculiarly within the province of state and local legislative
    authorities.” Warth v. Seldin, 
    422 U.S. 490
    , 508, n. 18
    12            DAN’S CITY USED CARS, INC. v. PELKEY
    Opinion of the Court
    (1975). It is hardly doubtful that state or local regulation
    of the physical location of motor-carrier operations falls
    outside the preemptive sweep of §14501(c)(1). That is so
    because zoning ordinances ordinarily are not “related to
    a price, route, or service of any motor carrier . . . with re-
    spect to the transportation of property.” §14501(c)(1). The
    same is true of New Hampshire’s regulation of the dis-
    posal of stored vehicles.
    Dan’s City, in a second argument, urges otherwise.
    Pelkey’s claims, Dan’s City maintains, are “related to” the
    towing service it rendered because selling Pelkey’s car was
    the means by which Dan’s City obtained payment for the
    tow. But if such state-law claims are preempted, no law
    would govern resolution of a non-contract-based dispute
    arising from a towing company’s disposal of a vehicle
    previously towed or afford a remedy for wrongful disposal.
    Federal law does not speak to these issues.6 Thus, not
    only would the preemption urged by Dan’s City leave
    vehicle owners without any recourse for damages, it would
    eliminate the sole legal authorization for a towing com-
    pany’s disposal of stored vehicles that go unclaimed. No
    such design can be attributed to a rational Congress. See
    Silkwood v. Kerr-McGee Corp., 
    464 U.S. 238
    , 251 (1984)
    (“It is difficult to believe that Congress would, without
    comment, remove all means of judicial recourse for those
    injured by illegal conduct.”).
    In sum, Dan’s City cannot have it both ways. It cannot
    rely on New Hampshire’s regulatory framework as author-
    ization for the sale of Pelkey’s car, yet argue that Pelkey’s
    claims, invoking the same state-law regime, are preempted.
    ——————
    6 There is an exception to Congress’ silence, but it is of no aid to Dan’s
    City: The Act spares from preemption laws “relating to the price of for-
    hire motor vehicle transportation by a tow truck, if such transportation
    is performed [as it was here] without the prior consent or authorization
    of the owner or operator of the motor vehicle.”                  
    49 U.S. C
    .
    §14501(c)(2)(C).
    Cite as: 569 U. S. ____ (2013)         13
    Opinion of the Court
    New Hampshire’s legislation on abandoned vehicles gave
    rise to Pelkey’s debt and established the conditions under
    which Dan’s City could collect on that debt by selling
    Pelkey’s Honda. See N. H. Rev. Stat. Ann. §§262:33,
    262:36–a, 262:40–a; supra, at 3–5. Pelkey’s claims, at-
    tacking Dan’s City’s conduct in disposing of the vehicle,
    rest on the very same provisions. See Brief for Petitioner
    41 (“All of the alleged wrongful conduct of Dan’s City was
    part of the state sanctioned and regulated process for
    disposing of abandoned vehicles under Ch. 262.”).
    *    *  *
    For the reasons stated, we hold that 
    49 U.S. C
    .
    §14501(c)(1) does not preempt state-law claims for dam-
    ages stemming from the storage and disposal of a towed
    vehicle. The judgment of the New Hampshire Supreme
    Court is therefore affirmed.
    It is so ordered.
    

Document Info

Docket Number: 12–52.

Citation Numbers: 185 L. Ed. 2d 909, 133 S. Ct. 1769, 569 U.S. 251, 2013 U.S. LEXIS 3520, 24 Fla. L. Weekly Fed. S 184, 81 U.S.L.W. 4287, 2013 WL 1942398

Judges: Ginsburg

Filed Date: 5/13/2013

Precedential Status: Precedential

Modified Date: 10/19/2024

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