• Many towed vehicles were registered to addresses inside Camp Pendleton.
  • A federal attorney said he warned the company, and it continued regardless.
  • The DOJ is seeking damages and civil penalties under the SCRA for troops.

A towing company in San Clemente, California, is facing serious federal allegations after reportedly selling or disposing of vehicles belonging to nearly 150 members of the U.S. military. The U.S. Department of Justice has stepped in, accusing S & K Towing of violating the Servicemembers Civil Relief Act (SCRA).

According to a lawsuit filed by the federal government last Wednesday, the company allegedly sold or disposed of vehicles belonging to 148 service members between August 28, 2020, and April 15, 2025. Many of those vehicles were towed from Marine Corps Base Camp Pendleton.

Although S & K Towing holds a contract with Camp Pendleton, the SCRA requires towing companies to obtain a court order before selling or disposing of a vehicle owned by an active-duty service member.

“The men and women who serve in our nation’s military deserve peace of mind in knowing that their legal rights will be protected at home while they are away serving the United States,” said First Assistant United States Attorney Bill Essayli. “It is unacceptable and illegal for a business to sell or dispose of these vehicles without abiding by the laws that protect servicemembers.”

Read: CarMax Must Pay $15,000 For Every Car It Illegally Repossessed From American Troops

A Military Legal Assistance attorney contacted S & K Towing in May 2024, informing it that it was violating the SCRA. The firm appeared unconcerned, reportedly responding, “We do this all the time,” and continued towing vehicles belonging to active service members. Many of the vehicles were registered to addresses on Camp Pendleton, and in some cases, S & K allegedly auctioned them even after being informed that the owner was in the military.

The allegations go further, claiming some vehicles were sold with personal belongings still inside, including military equipment, awards, and uniforms.

What Happens Next?

Towing companies must respect and abide by the federal laws that protect members of our Armed Forces,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “Servicemembers are often absent for extended periods due to training and deployments and may not know that their vehicle has been towed. The SCRA provides critical protections, including notice and the opportunity to have towing and storage fees adjusted in light of their service.”

The Department of Justice is seeking damages for those service members who had their vehicles sold, in addition to civil penalties against S & K Towing.

 Tow Company Sold Deployed Troops’ Cars, Some With Their Uniforms And Awards Still Inside, DOJ Claims