SB 319 Modifies the manner in which lien titles for motor vehicles, trailers, outboard motors, aircrafts, and vessels are issued
Sponsor: Lembke
LR Number: 1709L.01I Fiscal Note: 1709-01
Committee: Financial and Governmental Organizations and Elections
Last Action: 3/2/2009 - SCS Voted Do Pass S Financial and Governmental Organizations and Elections Committee (1709L.03C) Journal Page:
Title: Calendar Position:
Effective Date: August 28, 2009

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SCS/SB 319 - This act modifies the manner in which lien titles for motor vehicles, trailers, outboard motors, aircrafts, and vessels are issued.

Currently, if the item is not redeemed within three months of the completion of labor, the lienholder may apply to the director of revenue for a certificate of ownership or certificate of title. This act changes that time period to 45 days.

Currently, if the charges are for storage or the service of towing and the item has not been redeemed three months after the charges for storage have commenced, the lienholder shall notify the owner and any lienholder of record that an application for a lien title will be made unless the owner or lienholder makes satisfactory arrangements within 45 days. This act changes those time periods to 45 days and 30 days respectively.

Lienholders may apply for a lien title if the notice has been returned "not forwardable" or "Addressee unknown".

The lienholder affidavit required to be submitted with the application shall be accompanied by a copy of the notice and a copy of the certified mail receipt evidencing the notice was sent.

Currently, the Director of Revenue is required to notify the owner and any lien holder of record of a motor vehicle, trailer, outboard motor, aircraft, or vessel, when an application is made for a lien title on such item. Lienholders or owners have 30 days to redeem the item. This act repeals these requirements and allows the director to issue a certificate of ownership immediately upon receipt of the application.

CHRIS HOGERTY