Towing licence

A buyer of a towing or vehicle storage firm meets this term because the work cannot lawfully continue without the right certificate. This entry covers Ontario only; check the rules where you are.

Ontario’s three certificates

The Towing and Storage Safety and Enforcement Act, 2021 provides for a tow certificate for a tow operator, a tow driver certificate for a driver, and a vehicle storage certificate for a vehicle storage operator. It says no person shall, except under the authority of a tow certificate and in accordance with the Act and regulations, provide or offer to provide towing services, though that rule does not apply to a person who drives a tow truck only on behalf of a tow operator; parallel rules cover tow truck drivers and vehicle storage. The Ministry of Transportation page confirms that a certificate is required to provide towing or vehicle storage services in Ontario.

What it means in a sale

The Act says a certificate is not transferable or assignable. A buyer should therefore ask what the seller holds, whether drivers and storage sites hold their own certificates, and what the buyer must apply for in its own name, since the Director may refuse to issue or renew a certificate in the circumstances the Act sets out.

The wider checklist is in what licences and permits transfer when I buy a business. Compare the motor vehicle dealer registration.