I seriously don't get how they are able to survive with how they operate.

The main problem I saw while I was a student there is they charge an outrageous amount, but just low enough it isn't actually worth spending countless hours going through court to get your money back. I saw countless friends, classmates, ward members, etc deal with them with similar stories to your daughter. I had my car totaled in an accident that had the parking pass on it and I was using a borrowed car for the night and parked it in my reserved parking spot only for me that I paid a monthly fee for and it was booted. I tried explaining that to the tow company, who didn't care, as well as my apartment management, who also didn't care.

I was convinced that most students could actually sue them and get their money back plus damages, but it really isn't worth the time and hassle, especially while trying to go to the school. That was the case for me and many of my friends. I wish the local government or someone would step in and put a stop to it, but I don't think anyone wants to spend the time and effort to do it.