Chapter 58 holds the rules for owners of yellow medallion taxicabs (and their agents): licensing, insurance, inspections, vehicle condition and equipment, taximeters and TPEP, lease caps and owner conduct. It replaced old Chapter 1 in April 2011 and is still in force.
Owner charged the leasing driver for maintaining the cab
Paragraph (1): for a lease of a taxi including the vehicle, service and maintenance are the owner/lessor's responsibility, and the cost of servicing and maintaining the vehicle may not be charged to the driver/lessee.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days, plus possible restitution to the driver (penalty box for §58-21(b)). Appearance required.
TLC caps what an owner or agent may charge a driver to lease a yellow taxi: per shift, per week, for a medallion only, or for a medallion plus a vehicle being bought. Only listed extras (gas surcharge, deposit, tolls, late fees, credit-card surcharge and a few others) are allowed. Charging more is a lease-cap overcharge.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Daily or weekly lease of taxi and vehicle above the standard cap
The standard lease cap for a medallion plus vehicle is $105 for a 12-hour day shift; $115 for a night shift Sunday–Tuesday; $120 Wednesday night; $129 Thursday–Saturday nights; $630 for a week of day shifts; $737 for a week of night shifts. Charging a driver more is an overcharge.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Lease overcharge: Sunday–Tuesday night shift above $115
Item (B) of the standard lease cap: an owner leasing a taxi with its vehicle may charge no more than $115 for a 12-hour night shift on Sunday, Monday or Tuesday.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Lease overcharge: Wednesday night shift above $120
Item (C) of the standard lease cap: an owner leasing a taxi with its vehicle may charge no more than $120 for the 12-hour night shift on Wednesday.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Lease overcharge: Thursday–Saturday night shift above $129
Item (D) of the standard lease cap: an owner leasing a taxi with its vehicle may charge no more than $129 for a 12-hour night shift on Thursday, Friday or Saturday.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Item (E) of the standard lease cap: a lease of a taxi and vehicle for day shifts for one week or longer may not be more than $630 a week.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Item (F) of the standard lease cap: a lease of a taxi and vehicle for night shifts for one week or longer may not be more than $737 a week.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Daily-lease driver charged more than the weekly total cap
A driver who leases a taxi and vehicle by the shift can't be charged more than $630 for six or more day shifts, or $737 for six or more evening (or mixed) shifts, in any seven days, unless the driver pays shift by shift, returns the cab after each shift and doesn't pay for shifts cancelled with notice.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Leasing driver made to pay the Commercial Motor Vehicle Tax
A driver who leases a medallion and vehicle by the shift or week under the standard lease cap is not responsible for paying the Commercial Motor Vehicle Tax; the owner may not pass it on.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Weekly lease not reduced when the cab was unavailable
For a driver on a weekly lease of a taxi and vehicle, if the cab can't be used during any part of the week for a reason that is not the driver's fault, the lease payment must be pro-rated (reduced).
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
For qualifying hybrid-electric and diesel taxis, the standard lease caps rise by $3 a shift ($21 a week): $108 day shift; $118, $123 or $132 for night shifts depending on the day; $648 for a week of day shifts; $755 for a week of night shifts. Charging more is an overcharge.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Hybrid taxi lease above the per-shift or weekly cap
Item (i) lists the caps for qualifying hybrid-electric and diesel taxis leased with the vehicle: $108 for a 12-hour day shift; $118 Sunday–Tuesday nights; $123 Wednesday night; $132 Thursday–Saturday nights; $648 a week for day shifts; $755 a week for night shifts. Most of these charges were heard Nov. 2013–Jan. 2014.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Item (A) of the hybrid/diesel lease cap: an owner may charge no more than $108 for any 12-hour day shift for a qualifying hybrid-electric or diesel taxi leased with its vehicle.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Item (F) of the hybrid/diesel lease cap: a lease of a qualifying hybrid-electric or diesel taxi and vehicle for night shifts for one week or longer may not be more than $755 a week.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Hybrid taxi: daily-lease driver charged above the weekly total
For qualifying hybrid or diesel taxis, a driver leasing by the shift can't be charged more than $648 for six or more day shifts, or $755 for six or more evening or mixed shifts, in any seven days, unless the driver pays shift by shift, returns the cab each shift and can cancel shifts with notice.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Hybrid taxi: over $755 for six or more night shifts in a week
Item (B) of the hybrid weekly total: a driver leasing a qualifying hybrid or diesel taxi by the shift can't be charged more than $755 in total for six or more evening shifts (or a mix of day and evening shifts) in any seven consecutive days.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Medallion-only lease of a hybrid taxi above $994 a week
Item (i) of the medallion-only lease cap: when an owner leases only the medallion (the driver supplies the car) and the car is a qualifying hybrid, the lease can't be more than $994 a week.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Medallion-only hybrid lease cap (item A not in the rule)
The medallion-only lease cap for a hybrid taxi ($994 a week) is item (c)(3)(i); it has no item (A). This code most likely refers to that cap, which limits what an owner can charge a driver who leases only the medallion and supplies a qualifying hybrid car.
Item (ii) of the medallion-only lease cap: for medallion-only leases of non-hybrid taxis (including accessible taxis) the cap is $952 a week. In the 2018 and later texts, owners required to put an accessible taxi into service must also give the driver a $77-a-week credit.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Lease-to-own (medallion plus car purchase) above the cap
Paragraph (4) covers a medallion lease combined with a conditional purchase of the vehicle from the owner, agent or a related business. One weekly cap covers both medallion and car payments, the driver gets title when the car is paid off, and the lease must include insurance, credit card fees and TLC and DMV fees.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Which leases count as lease-to-own (medallion plus vehicle purchase)
Item (i) defines a lease-to-own: a medallion lease plus a conditional purchase agreement for the car, where the car is sold to the driver by the owner, the owner's agent, their employees or a related business. Such leases must stay under the combined cap in item (ii).
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Lease-to-own of a non-hybrid taxi above the weekly cap
Item (ii)(B): in the 2018 text, a lease-to-own of a non-hybrid taxi was capped at $952 a week for the medallion plus $275 a week for the car purchase, with a $77 weekly credit for some accessible taxis. (In 2014 the combined cap was $1,227 a week.)
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
Owner charged the leasing driver an extra fee not allowed by TLC
On top of the lease cap, an owner or agent may not take any money or anything of value from a leasing driver except listed items: a gas surcharge (only if gas is supplied), the security deposit, discounted EZ-Pass tolls, capped late fees, a cancellation charge, parking and red-light tickets, MTA tax, credit card surcharge and a few others.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
An owner may add a gas surcharge to a daily or weekly lease only if the owner actually provides gasoline for the whole shift at no extra cost, and only up to the amount set by the TLC's gas-price index (for example $21 a shift or $126 a week in older texts).
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Security deposit or deductions above what TLC allows
One of the allowed extras is a security deposit, but the deposit and any deductions from it may not be more than §58-21(e) allows (generally no more than one lease term, or one week's lease).
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge also orders the owner to repay the driver the overcharge. Appearance required.
Owners may charge late fees only within limits: for daily or weekly vehicle leases, at most $25 for late return of the cab (per shift in 2014; per hour, capped at one shift's cost, in later texts); for medallion-only and lease-to-own leases, at most $50 per weekly payment paid more than 24 hours late.
Fine (published)
First violation: $500; second and later: $1,000 and/or suspension of the medallion up to 30 days. The judge can also order the owner to repay the driver the overcharge. Appearance required.
§58-21(D)(1)Code we couldn't match exactly17 charges
Unclear code: lease-cap review provision, not a driver or owner duty
In the 2011 rule book, §58-21(d)(1) only said the TLC could change lease caps at any time for policy reasons; it put no duty on owners. Since about 2012, subdivision (d) has been reserved (empty). The code may be a typing error for another part of §58-21, the TLC taxi leasing rules.
Subdivision (e) controls security deposits on taxi leases: what can be withheld (unpaid lease, damage if the lease says so, parking and red-light tickets, MTA tax), deposit limits, written receipts and itemization, return within 30 days, and keeping deposits in a separate interest-bearing account.
Fine (published)
Depends on the paragraph: (e)(3) $250 first, $350 second, $500 third and/or medallion suspension up to 30 days; (e)(4) $200; (e)(5)–(7) $50 each, plus restitution where stated.
Security deposit withholding beyond the allowed items
When a lease ends, an owner may keep money from the driver's security deposit only for listed items. Item (iii) allows deductions for parking tickets issued during the lease; a charge citing it usually means the owner withheld deposit money in a way the list does not allow.
An owner must not require a security deposit larger than the rate for one lease term, or one week's lease for longer leases (example: a $500-a-week lease allows up to a $500 deposit). Lease-to-own deals may hold up to $5,000, credited back over the lease.
Fine (published)
$200, plus restitution to the driver of the amount charged in violation (restitution line added in later texts). Appearance not required.
Driver's security deposit kept more than 30 days after the lease
Item (i): the owner must return the security deposit no later than 30 days after the end of the lease term. This is the usual charge when a driver complains the deposit was never returned.
Fine (published)
$50, plus restitution to the driver of the amount not returned (penalty box for §58-21(e)(6)). Appearance not required.
Security deposit not kept in a separate interest-bearing account
An owner who takes a security deposit must keep it in an interest-bearing account at a bank or credit union in New York City, used only for deposits and not mixed with the owner's own money. Interest belongs to the driver (the owner may keep 1%).
Fine (published)
$50 (penalty box for §58-21(e)(7)). Appearance not required.
Credit card fares not paid to the leasing driver daily
For a daily or weekly lease of a taxi with its vehicle, the owner or agent must pay the driver every day all credit card and other non-cash fares from that shift (minus the Taxicab Improvement Surcharge), at no cost to the driver. Weekly lessees may choose weekly payment.
Fine (published)
$100, plus restitution to the driver of the cost to the driver (penalty box for §58-21(f)(1)&(2)). Appearance not required.
Credit card fares not paid to the driver at least weekly
For any lease other than a daily or weekly taxi-and-vehicle lease (for example, a medallion-only lease), the owner or agent must pay the driver at least weekly the total of all credit card and other non-cash fares, minus the Taxicab Improvement Surcharge, at no cost to the driver.
Fine (published)
$100, plus restitution to the driver (penalty box for §58-21(f)(1)&(2)). Appearance not required.
Owner kept credit card fees or a pass-along from the driver's fares
An owner or agent must not hold back any credit card 'pass-along', fee or charge from the credit card fares owed to the driver. (The 2011 text allowed up to 5%; since about 2012 no deduction is allowed beyond the lease's credit card surcharge.)
Fine (published)
First violation $200; second $300; third $500; plus restitution to the driver of the excess. Appearance required.
No written receipt for a lease payment or deduction
An owner or agent must give the driver a written receipt for every payment or deduction under the lease, showing the driver's name, medallion number, date, recipient, amount, purpose and the rule allowing it (and, for lease-to-own deals, the car-payment balance).
Fine (published)
$200 (2017 and later rule books). The 2011–2015 rule books set $50 plus the driver gets a free shift.
Taxi lease not in writing or no signed copy given to the driver
Every taxi lease (and any change to it) must be in writing and signed by the owner or the owner's authorized person and by each leasing driver; electronic signatures are allowed. The driver must get a copy of the fully signed lease. This was a very common charge in 2013–2019.
Paragraph (1): every taxi operating lease, including amendments, must be in writing and signed by the owner (or someone authorized for the owner) and by the leasing driver or drivers.
Fine (published)
$500 (penalty box for §58-21(h)). Appearance not required.
Every taxi lease must state: the type and term (start and end date and time), the total cost itemized (medallion, vehicle, deposit, gas surcharge, other charges), the TLC rule that allows each charge, a notice that overcharging is illegal with the 311 complaint route, cancellation-charge terms, and deposit information.
Fine (published)
First violation $500; second and later $1,000 and/or suspension of the medallion up to 30 days; plus restitution of any excess or unauthorized charge. Appearance required.
Paragraph (2): the lease must state the total lease amount and itemize it, including the medallion and vehicle portions, any security deposit, any gas surcharge, lease-to-own car price and fees, and any other cost the driver will be charged.
Fine (published)
First violation $500; second and later $1,000 and/or medallion suspension up to 30 days; plus restitution (penalty box for §58-21(i)). Appearance required.
Lease does not cite the TLC rule allowing each charge
Item (3)(i): for each itemized cost in the lease, the lease must name the TLC rule that allows the owner to charge it, and must either quote the rule or give the TLC web page where it is published.
Fine (published)
First violation $500; second and later $1,000 and/or medallion suspension up to 30 days; plus restitution (penalty box for §58-21(i)). Appearance required.
Item (5)(ii) limits lease cancellation charges. In the 2014–2019 texts a cancellation charge had to be reasonable and allowed only if the lease said the owner can't charge it unless the driver is behind on payments; today it also can't exceed one lease term's rate (one week at most).
Fine (published)
First violation $500; second and later $1,000 and/or medallion suspension up to 30 days; plus restitution (penalty box for §58-21(i)). Appearance required.
Owner retaliated against a driver for a lease complaint
An owner must not retaliate against a driver for making a good-faith complaint that the owner broke the leasing rules. Retaliation is read broadly: any bad consequence imposed on the driver, or any benefit taken away.
Fine (published)
$1,000 plus restitution to the driver for losses for a first offense; $10,000 plus restitution for a second offense within five years. Appearance not required.
Retaliation against a driver who complained about leasing
Paragraph (1): an owner must not retaliate against any driver for making a good-faith complaint against an owner for breaking the leasing rules in §58-21.
Fine (published)
$1,000 plus restitution to the driver for losses for a first offense; $10,000 plus restitution for a second offense within five years (penalty box for §58-21(j)). Appearance not required.
Trip records not collected electronically through the taxi system
Every taxi's trip records (medallion and driver numbers, pickup and drop-off times and places, passengers, miles, itemized fare and payment type) must be collected and stored electronically through the taxi's Technology System (T-PEP). Paper records are allowed only during the 48 hours a broken system may still operate.
Each medallion owner must designate a mailing address for TLC notices. It can be the agent's address but not a P.O. box, and TLC mail sent there counts as delivered.
Fine (published)
$100 (penalty box for §58-23(a)(1)–(4)). Appearance not required.
Owner's personal address, email or phone not on file with TLC
An individual medallion owner must also file and keep current with the TLC their personal mailing address, email address (current text) and a phone number where they can be reached directly.
Fine (published)
$100 (penalty box for §58-23(a)(1)–(4)). Appearance not required.
A medallion owner must keep on file with the TLC a current phone number with an answering machine or service, a pager, or similar, so the TLC can reach the owner 24 hours a day.
Owner reporting requirements (section not specified)
This section requires a medallion owner to report a change of mailing address or office in person within 72 hours, report a lost, stolen or destroyed taximeter within 48 hours, and (in the current text) file an annual financial statement by June 15. The summons did not say which part.
Change of mailing address or office not reported in person within 72 hours
When a medallion owner changes mailing address or office of record, the owner must appear in person at the TLC within 72 hours (not counting weekends and holidays) to report it, bringing the Rate Cards for all their taxis.
Fine (published)
$100 (penalty box for §58-25(a)). Appearance not required.
Lost, stolen or destroyed taximeter not reported within 48 hours
If a taxi's meter is lost, stolen or damaged beyond repair, the owner must notify the TLC and the police within 48 hours (not counting weekends and holidays) and give any affidavit or information the TLC requires.
Subdivision (b) sets the flat fare between JFK Airport and Manhattan ($52 plus tolls in 2014; $70 plus tolls, a $5 weekday rush-hour surcharge and MTA tax today), shows how to charge multiple stops, and says trips to other boroughs use the meter. The meter must show the trip as a flat-rate fare.
EZ-Pass requirements for taxi owners (section not specified)
This section requires every medallion owner to keep an MTA EZ-Pass account with enough balance, equip each taxi with an EZ-Pass tag (or let the driver use their own), and handle toll money and driver replenishment accounts properly. The summons did not say which part.
Every medallion owner must take part in the EZ-Pass New York program by keeping a current account with the MTA Bridges and Tunnels (Triborough Bridge and Tunnel Authority).
Fine (published)
$100 and suspension until compliance. Appearance required.
Taxi not equipped with an EZ-Pass tag or account short of funds
Owners must either fit every taxi with an MTA EZ-Pass tag attached as MTA requires, or let the driver use a personal tag; must have at least one MTA tag for each medallion; and must keep enough money in the EZ-Pass account.
Fine (published)
$100 and suspension until compliance. Appearance required.
Item (b)(1)(i): the owner must equip each taxi with an MTA Bridges and Tunnels EZ-Pass tag, attached the way MTA requires (unless the driver is allowed to use a personal tag instead).
Fine (published)
$100 and suspension until compliance (penalty box for §58-27(b)). Appearance required.
Paragraph (c)(1) says a driver may choose to use their own EZ-Pass tag. In that case the driver keeps the toll money passengers pay, or is reimbursed for tolls paid by card. A charge here likely means the owner didn't respect the driver's choice or reimbursement.
Cash tolls with the owner's EZ-Pass not handled as required
When the owner supplies the EZ-Pass tag, toll money paid by passengers belongs to the owner. Item (i) says that when a passenger pays cash, the driver forwards that toll money to the owner at the end of the shift or lease.
Fine (published)
$250 (penalty box for §58-27(d)(1)). Appearance not required.
Lost property a passenger leaves in a taxi must be taken without delay to the police precinct where the garage is located, unless it can be returned to its owner within a reasonable time.
This section requires that a new or replacement taxi be inspected and approved by the TLC before it works for hire, and that every taxi be inspected every four months at the time the TLC sets. A late inspection leads to summary suspension. The summons did not say which part.
A medallion owner must have the taxi inspected every four months on the date and time the TLC sets, and at any other time the TLC requires. The owner's license is summarily suspended if the inspection isn't done on time, and the penalty grows the longer it is overdue. This is the most common owner charge.
Fine (published)
Cumulative: 0–30 days past due $100 and suspension until compliance; 31–60 days $100–$250 and suspension; 61–120 days $250–$500 and suspension; more than 120 days $500 and/or revocation. Appearance required.
This section requires all taxi equipment (brakes, tires, lights, signals) to work and meet state and TLC standards, owners to obey notices to fix defects, and owners to repair or replace a cab the TLC finds unsafe. The summons did not say which part.
While a taxi is in operation, all of its equipment, including brakes, tires, lights and signals, must be in good working order and meet the New York State Vehicle and Traffic Law and TLC rules. Inspectors write this when they find a defect on the street or at inspection.
Fine (published)
$150 if you plead guilty before a hearing; $200 if found guilty following a hearing. Appearance not required.
Unsafe taxi not repaired or replaced after TLC order
When the TLC decides a taxi is unsafe or unfit and orders it out of service, the owner must repair or replace it and surrender the medallion and Rate Card for storage; the license is summarily suspended meanwhile.
Fine (published)
$100–$350 and/or suspension up to 30 days; suspension until compliance.
A medallion owner must keep the taxi clean both outside and inside (seats, floors, windows and body). TLC and Port Authority inspectors write this to the owner when the cab is dirty.
Fine (published)
$50 if you plead guilty before a hearing; $75 if found guilty following a hearing. Appearance not required.
All seat belts and shoulder belts in a taxi must be clearly visible, easy for passengers to reach, and in good working order (for example, not tucked under the seat or with a broken buckle).
TLC Help is not a law firm and is not affiliated with the NYC Taxi & Limousine Commission or OATH. Explanations on this site are general information, not legal advice. Legal representation is provided by independent attorneys and OATH-registered representatives in our network.