Bradley Kelley and Timothy Hall thought they were following their towing company policy and city code when they asked for proof of ownership and identification before releasing three impounded cars to a group of men seeking the vehicles.

The cars, it turned out, were unmarked police cars. The men, two of whom wore police uniforms, were from Salem Police, Keizer Police and the U.S. Drug Enforcement Administration, according to a

But that's when Sgt. Andrew Roberts flashed his badge at the two tow-truck employees, telling them that it was all the identification he needed to get the cars, the complaint states. The employees soon found themselves arrested and handcuffed in the back of a patrol car.

The arrest is at the heart of a lawsuit filed in the fall by the two men and their employer alleging malicious prosecution, abuse of process and negligence by the officers and their agencies. Although a Polk County jury acquitted the tow-truck employees of obstruction of governmental administration, their employer spent thousands defending the two men in the yearlong prosecution, the complaint states.

The case is making its way through federal court with a hearing Tuesday. Lawyers for the city of Keizer are asking a judge to dismiss most of the claims against the lone officer from Keizer Police, saying he played

no role in the arrests or in initiating the Polk County prosecution.

The incident dates to January 2012, when a business owner noticed unauthorized cars in the lot at 4743 Lancaster Drive NE , the complaint states. The business owner left a note on the windshield and, the next day, spoke personally with one of the drivers who "responded with expletives" that they would not be moving the cars, the lawsuit states.

The business owner notified the property trustee, who then called Bales and Brady Towing West to haul the unauthorized vehicles away.

Employees Kelley and Hall arrived at the lot, saw the five cars but didn't see anyone around. They photographed the vehicles before starting to tow them.

After moving three of the vehicles to the tow lot, two officers arrived at the towing company office asking to retrieve the unmarked police cars. They were unable to provide license plate or the vehicle ID number or other proof of ownership, the complaint states, but one officer was

allowed to retrieve a bag that had his name on it from one of the cars. The two officers left, saying they would return with the necessary information, the complaint states.

Shortly after, a larger group of plainclothes and uniformed officers appeared, leading to the exchange with Roberts and their eventual arrest.

The officers lacked probable cause to arrest the two men, the lawsuit states, violating their constitutional right to due process and protection against unreasonable seizure. The officers did not tell them what crime they were accused of committing, the plaintiffs claim, and they also accuse Roberts of threatening their lawyer with arrest if he kept asking questions.

An assistant city attorney for Salem declined to comment on the lawsuit.

The employees, their boss and the company are seeking recovery of lost income and profits. The employees also are asking for $500,000 each in pain and suffering and are additionally seeking punitive damages due to the "reckless disregard" the officers showed for their constitutional rights, the lawsuit contends.

-- Helen Jung