Section 5387.
Cal. Public Utilities Code - PUC § 5387.
in effect(a)
It is unlawful for the owner of a charter-party carrier of passengers to permit the operation of a vehicle upon a public highway for compensation without (1) having obtained from the commission a certificate or permit pursuant to this chapter, (2) having complied with the vehicle identification requirements of Section 5385, and (3) having complied with the accident liability protection requirements of Section 5391.
(b)
A person who drives a bus for a charter-party carrier without having a current and valid driver’s license of the proper class, a passenger
vehicle endorsement, or the required certificate shall be suspended from driving a bus of any kind, including, but not limited to, a bus, schoolbus, school pupil activity bus, or transit bus, with passengers for a period of five years pursuant to Section 13369 of the Vehicle Code.
(c)
(1)
A charter-party carrier shall have its authority to operate as a charter-party carrier permanently revoked by the commission or be permanently barred from receiving a permit or certificate from the commission if it commits any of the following acts:
(A)
Operates a bus without having been issued a permit or certificate from the commission.
(B)
Operates a bus with a permit that was suspended by the commission pursuant to Section 5378.5.
(C)
Commits
three or more liability insurance violations within a two-year period for which it has been cited.
(D)
Operates a bus with a permit that was suspended by the commission during a period that the charter-party carrier’s liability insurance lapsed for which it has been cited.
(E)
Knowingly employs a busdriver who does not have a current and valid driver’s license of the proper class, a passenger vehicle endorsement, or the required certificate to drive a bus.
(F)
Has one or more buses improperly registered with the Department of Motor Vehicles.
(2)
The commission shall not issue a new permit or certificate to operate as a charter-party carrier if any officer, director, or owner of that charter-party carrier was an officer, director, or owner of a
charter-party carrier that had its authority to operate as a charter-party carrier permanently revoked by the commission or that was permanently barred from receiving a permit or certificate from the commission pursuant to this subdivision.
(d)
A peace officer, as designated pursuant to Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, may impound a bus or limousine of a charter-party carrier of passengers for 30 days pursuant to Section 14602.9 of the
Vehicle Code if the peace officer determines that any of the following violations occurred while the driver was operating the bus or limousine
of the charter-party carrier:
(1)
The driver was operating the bus or limousine of a charter-party carrier of passengers when the charter-party carrier of passengers did not have a permit or certificate issued by the commission.
(2)
The driver was operating the bus or
limousine of a charter-party carrier
of passengers when the charter-party carrier of passengers was operating with a suspended permit or certificate from the commission.
(3)
The driver was operating the bus or limousine of a charter-party carrier of passengers without having a current and valid driver’s license of the proper class, a passenger vehicle endorsement, or the required certificate.
(e)
This section does not authorize the impoundment of privately owned personal vehicles that are not common carriers nor the impoundment of vehicles used in transportation for compensation by charter-party carriers of passengers that are not required to carry individual permits.
References
referencesCal. Vehicle Code - VEH § 13369.
referencesCal. Penal Code - PEN § 830.
referencesCal. Vehicle Code - VEH § 14602.9.
referencesCal. Public Utilities Code - PUC § 5385.
referencesCal. Public Utilities Code - PUC § 5391.
referencesCal. Public Utilities Code - PUC § 5378.5.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026