§19-506(b)(2): Operating Beyond Your TLC License

In short: §19-506(b)(2) is the "wrong kind of service" charge. The vehicle has a TLC license, but it was operated or offered for hire "in a manner that is beyond the scope of the activities permitted by such vehicle's license." At OATH the civil penalty is $200 to $1,500 per violation. It is still unlicensed activity, so the vehicle can be seized if the owner has a recent prior violation.

The difference from §19-506(b)(1) is simple: (b)(1) means the vehicle has no TLC license; (b)(2) means it has the wrong one for what it was doing.

What the law says

Admin Code §19-506(b)(2): "Any person who shall permit another to operate or who shall knowingly operate or offer to operate for hire any vehicle licensed as a taxicab, coach, wheelchair accessible van, HAIL vehicle or for-hire vehicle in the city in a manner that is beyond the scope of the activities permitted by such vehicle's license shall be guilty of a violation." Like (b)(1), it "shall apply to the owner of such vehicle and, if different, to the operator."

Each license type allows a specific service. A few examples from the law and TLC rules:

• Only a licensed taxicab may accept street hails everywhere in the city (Admin Code §19-504(a)(1)).
• A street hail livery (SHL, the green "Boro Taxi") may take hails only in the Hail Zone, not in Manhattan south of East 96th and West 110th Streets or at the airports (TLC rule 51-03 definitions; rule 82-13).
• A for-hire vehicle (FHV) may only take trips prearranged through a base that can dispatch it (TLC rule 80-19(c)(1)).

Using a licensed vehicle outside those limits is what (b)(2) is about.

How often it appears

There is no catalog dataset for this code, so the chart below uses counts we pulled directly from OATH's public dataset (first-listed charge only, all issuing agencies).

The 2015 spike stands out: 6,292 summonses that year, then a few dozen a year since 2017. The public data does not explain the change, so we won't guess. What it does show is that (b)(2) is rare today. If you received one, read the description on your summons carefully, because the exact conduct alleged will shape the case.

Penalties and seizure

• Seizure. §19-506(h)(1) lets TLC and police seize a vehicle on probable cause of a (b)(2) violation. TLC rule 68-17(a) adds a condition: the owner must have at least one prior §19-506(b), (c) or (k) violation in the past 36 months.
• Forfeiture. Two or more violations of §19-506(b)(1), (b)(2), (c) or (k) within 36 months can make the owner's interest in the vehicle subject to forfeiture after a court decision (§19-506(h)(2); rule 68-18).
• Fees. The removal fee is $185; storage is set by the agency storing the car (rule 68-19).
• Separate TLC charges. The same stop can also produce TLC rule charges (for example under chapter 80 for the driver). Ask whether the charges overlap.

Common situations

Settling, paying or contesting

You have three paths, and they are not all available for every summons:

• Settle with TLC. TLC's summons page says settlement offers may arrive by mail, and you can ask for one by email at Settlements@tlc.nyc.gov or in person at TLC in Long Island City. Settlements come from TLC, not OATH. See TLC settlement offers.
• Plead guilty and pay. Some summonses can be paid online through TLC's LARS system; others give their own instructions.
• Contest it at OATH. You or a representative explain your side by phone, online written defense (if eligible) or in person on request.

If you are found guilty, TLC's rules say fines are due within 30 days of the decision. If you don't pay, TLC sends a notice that your license will be suspended in 10 business days until the fine is paid. An appeal filed on time defers payment until 30 days after the appeal decision. More in paying TLC fines.

Points to discuss with your lawyer

General information only:

• What does the vehicle's license actually allow? The answer depends on the license type and, for SHLs, on where the pickup happened.
• Was there an offer for hire? As with (b)(1), the law covers offers, but TLC still has to prove one.
• Prior violations. Seizure and forfeiture turn on prior findings within 36 months.
• Overlapping charges. Admin Code §19-507.1(e) says a taxi or FHV driver should not face duplicate points or penalties where the same act violates both TLC rules and other law and the violations are substantively the same.

Use our lookup to check the summons status, and read what TLC must prove at a hearing.