S T A T E O F N E W Y O R K
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3722
2009-2010 Regular Sessions
I N A S S E M B L Y
January 28, 2009
___________
Introduced by M. of A. WEPRIN -- read once and referred to the Committee
on Transportation
AN ACT to amend the vehicle and traffic law, in relation to notification
to the commissioner of motor vehicles of transfers of title to vehi-
cles, and in relation to allowing bona fide transferors to rebut the
presumption of vehicle abandonment
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 2107 of the vehicle and traffic law is amended by
adding a new subdivision (d) to read as follows:
(D) THE COMMISSIONER SHALL FILE AND MAINTAIN A RECORD OF ALL COPIES OF
DOCUMENTS AND STATEMENTS AFFIRMING TRANSFER OF AN INTEREST IN A VEHICLE
MAILED OR DELIVERED TO HIM OR HER PURSUANT TO SUBDIVISION (A) OF SECTION
TWO THOUSAND ONE HUNDRED THIRTEEN OR SUBDIVISION (B) OF SECTION TWO
THOUSAND ONE HUNDRED FIFTEEN OF THIS ARTICLE, AND OF ALL STATEMENTS
AFFIRMING EXTINGUISHMENT OR TRANSFER OF AN INTEREST IN A VEHICLE MAILED
OR DELIVERED TO HIM OR HER PURSUANT TO SUBDIVISION (C) OF SECTION TWO
THOUSAND ONE HUNDRED FIFTEEN OF THIS ARTICLE. SUCH RECORD SHALL BE MAIN-
TAINED IN THE MANNER PROVIDED IN SUBDIVISION (B) OF THIS SECTION, AND
SUCH COPIES AND STATEMENTS SHALL BE RETAINED IN THE COMMISSIONER'S FILES
UNTIL THE COMMISSIONER ISSUES A NEW CERTIFICATE OF TITLE OR UNTIL THE
COMMISSIONER DETERMINES THAT THE VEHICLE ASSOCIATED WITH SUCH COPIES AND
STATEMENTS IS NO LONGER SUBJECT TO THE PROVISIONS OF THIS TITLE.
S 2. Subdivisions (a) and (c) of section 2113 of the vehicle and traf-
fic law, subdivision (a) as added by chapter 1134 of the laws of 1971
and subdivision (c) as amended by chapter 703 of the laws of 1989, are
amended to read as follows:
(a) If an owner transfers his OR HER interest in a vehicle, other than
by the creation of a security interest, he OR SHE shall, at the time of
the delivery of the vehicle[,]: (I) execute an assignment and warranty
of title to the transferee in the space provided therefor on the certif-
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06935-01-9
A. 3722 2
icate or as the commissioner prescribes[, and]; (II) CAUSE THE CERTIF-
ICATE AND ASSIGNMENT TO BE EXECUTED BY THE TRANSFEREE INDICATING, IN THE
SPACES PROVIDED THEREFOR ON THE CERTIFICATE OR AS THE COMMISSIONER
PRESCRIBES, THE TRANSFEREE'S CURRENT ADDRESS AND WHETHER THE TRANSFEREE
INTENDS TO USE THE VEHICLE FOR TRANSPORTATION OR FOR PARTS; (III) cause
the certificate and assignment to be mailed or delivered to the trans-
feree; AND (IV) MAIL OR DELIVER TO THE COMMISSIONER A COPY OF SUCH
ASSIGNMENT AND WARRANTY OF TITLE, OR A STATEMENT IN A FORM PRESCRIBED BY
THE COMMISSIONER AFFIRMING SUCH TRANSFER, WITHIN THIRTY DAYS AFTER THE
TRANSFER OF THE VEHICLE TO THE TRANSFEREE. The assignment and warranty
of title required by this section shall include a statement signed by
the transferor stating either[, (i)] any facts or information known to
him OR HER that could reasonably affect the validity of the title of the
vehicle[;] or[, (ii)] that no such facts or information are known to him
OR HER.
(c) Except as provided in section two thousand one hundred fourteen, a
transfer by an owner is not perfected so as to be valid against third
parties generally until the provisions of this section, OTHER THAN
PROVISIONS OF PARAGRAPHS (II) AND (IV) OF SUBDIVISION (A) OF THIS
SECTION, and section two thousand one hundred sixteen have been complied
with; however, an owner who has delivered possession of the vehicle to a
bona fide transferee and has complied with the provisions of this
section and section two thousand one hundred sixteen is not deemed an
owner within the provisions of section three hundred eighty-eight of
this chapter, and, notwithstanding any other provision of law, shall not
be presumed to have caused such vehicle to be abandoned for purposes of
subdivision seven of section twelve hundred twenty-four of this chapter
[if the owner has retained a copy of the assignment and warranty of
title]. Failure to [retain such copy] COMPLY WITH SUBDIVISION (A) OF
THIS SECTION shall not preclude such owner from rebutting any presump-
tion contained in [such subdivisions] SUBDIVISION SEVEN OF SECTION
TWELVE HUNDRED TWENTY-FOUR OF THIS CHAPTER.
S 3. Subdivision (a) of section 2114 of the vehicle and traffic law,
as amended by chapter 521 of the laws of 1972, is amended to read as
follows:
(a) If a dealer buys a vehicle and holds it for resale and procures
the certificate of title from the owner within ten days after delivery
to him OR HER of the vehicle, he OR SHE need not send the certificate to
the commissioner but, upon transferring the vehicle to another person
other than by the creation of a security interest, shall promptly
execute the assignment and warranty of title by a dealer, showing the
names and addresses of the transferee and of any lienholder holding a
security interest created or reserved at the time of the resale, in the
spaces provided therefor on the certificate or as the commissioner
prescribes, and mail or deliver the certificate to the commissioner with
the transferee's application for a new certificate. The assignment and
warranty of title by a dealer required by this section shall include a
statement, signed by the dealer stating either (i) any facts or informa-
tion known to him OR HER that could reasonably affect the validity of
the title of the vehicle, or (ii) that no such facts or information are
known to him OR HER. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, IF THE
DEALER HAS MAILED SUCH CERTIFICATE, ASSIGNMENT AND WARRANTY OF TITLE TO
THE COMMISSIONER IN COMPLIANCE WITH THIS SUBDIVISION, THE DEALER SHALL
NOT BE PRESUMED TO HAVE CAUSED SUCH VEHICLE TO BE ABANDONED FOR THE
PURPOSES OF SUBDIVISION SEVEN OF SECTION TWELVE HUNDRED TWENTY-FOUR OF
THIS CHAPTER. FAILURE TO COMPLY WITH THIS SUBDIVISION SHALL NOT PRECLUDE
A. 3722 3
SUCH DEALER FROM REBUTTING ANY PRESUMPTION CONTAINED IN SUBDIVISION
SEVEN OF SECTION TWELVE HUNDRED TWENTY-FOUR OF THIS CHAPTER.
S 4. Subdivisions (b) and (c) of section 2115 of the vehicle and traf-
fic law, subdivision (b) as amended by chapter 196 of the laws of 1974
and subdivision (c) as added by chapter 1134 of the laws of 1971, are
amended to read as follows:
(b) If the interest of the owner is terminated or the vehicle is sold
under a security agreement by a lienholder, the transferee shall prompt-
ly mail or deliver to the commissioner the last certificate of title if
available to him OR HER, his OR HER application for a new certificate in
the form the commissioner prescribes, and an affidavit made by or on
behalf of the lienholder that the vehicle was repossessed and that the
interest of the owner was lawfully terminated or sold pursuant to the
terms of the security agreement. If the lienholder succeeds to the
interest of the owner and holds the vehicle for resale, he OR SHE need
not secure a new certificate of title but, upon transfer to another
person, shall promptly mail or deliver to the transferee the certif-
icate, if available, affidavit and other documents required to be sent
to the commissioner by the transferee. SUCH LIENHOLDER SHALL ALSO
PROMPTLY MAIL OR DELIVER TO THE COMMISSIONER EITHER COPIES OF SUCH
CERTIFICATE, AFFIDAVIT AND OTHER DOCUMENTS, OR A STATEMENT, IN A FORM
PRESCRIBED BY THE COMMISSIONER, AFFIRMING SUCH A TRANSFER. NOTWITHSTAND-
ING ANY OTHER PROVISION OF LAW, WHEN THE COMMISSIONER HAS RECEIVED SUCH
COPIES OR SUCH STATEMENT PRIOR TO THE DATE OF DISCOVERY OF THE ALLEGED
ABANDONMENT OF SUCH VEHICLE, SUCH LIENHOLDER AND SUCH OWNER TO WHOSE
INTEREST SUCH LIENHOLDER HAS SUCCEEDED SHALL NOT BE PRESUMED TO HAVE
CAUSED SUCH VEHICLE TO BE ABANDONED FOR PURPOSES OF SUBDIVISION SEVEN OF
SECTION TWELVE HUNDRED TWENTY-FOUR OF THIS CHAPTER. FAILURE TO MAIL OR
DELIVER SUCH COPIES OR SUCH STATEMENT SHALL NOT PRECLUDE SUCH LIENHOLDER
OR OWNER FROM REBUTTING ANY PRESUMPTION CONTAINED IN SUCH SUBDIVISION.
(c) A person holding a certificate of title whose interest in the
vehicle has been extinguished or transferred other than by voluntary
transfer shall mail or deliver the certificate to the commissioner upon
request of the commissioner. The delivery of the certificate pursuant
to the request of the commissioner does not affect the rights of the
person surrendering the certificate, and the action of the commissioner
in issuing a new certificate of title as provided herein is not conclu-
sive upon the rights of an owner or lienholder named in the old certif-
icate. A PERSON HOLDING A CERTIFICATE OF TITLE WHOSE INTEREST IN THE
VEHICLE HAS BEEN EXTINGUISHED OR TRANSFERRED OTHER THAN BY VOLUNTARY
TRANSFER MAY MAIL OR DELIVER TO THE COMMISSIONER A STATEMENT, IN A FORM
PRESCRIBED BY THE COMMISSIONER, AFFIRMING SUCH EXTINGUISHMENT OR TRANS-
FER. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, IF THE COMMISSIONER HAS
RECEIVED SUCH A STATEMENT PRIOR TO THE DATE OF DISCOVERY OF THE ALLEGED
ABANDONMENT OF SUCH VEHICLE, SUCH PERSON SHALL NOT BE PRESUMED TO HAVE
CAUSED SUCH VEHICLE TO BE ABANDONED FOR PURPOSES OF SUBDIVISION SEVEN OF
SECTION TWELVE HUNDRED TWENTY-FOUR OF THIS CHAPTER. FAILURE TO MAIL OR
DELIVER SUCH A STATEMENT TO THE COMMISSIONER SHALL NOT PRECLUDE SUCH
PERSON FROM REBUTTING ANY PRESUMPTION CONTAINED IN SUCH SUBDIVISION.
S 5. Paragraph 3 of subdivision (a) of section 2125 of the vehicle and
traffic law, as amended by section 1-b of part A of chapter 63 of the
laws of 2005, is amended to read as follows:
(3) for a duplicate certificate of title, twenty dollars[.];
S 6. Subdivision (a) of section 2125 of the vehicle and traffic law is
amended by adding a new paragraph 4 to read as follows:
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(4) FOR EACH SET OF COPIES OF DOCUMENTS OR STATEMENTS AFFIRMING TRANS-
FER OF A VEHICLE MAILED OR DELIVERED TO THE COMMISSIONER PURSUANT TO
SUBDIVISION (A) OF SECTION TWO THOUSAND ONE HUNDRED THIRTEEN OR SUBDIVI-
SION (B) OF SECTION TWO THOUSAND ONE HUNDRED FIFTEEN OF THIS ARTICLE,
AND FOR EACH STATEMENT AFFIRMING EXTINGUISHMENT OR TRANSFER OF AN INTER-
EST IN A VEHICLE MAILED OR DELIVERED TO THE COMMISSIONER PURSUANT TO
SUBDIVISION (C) OF SECTION TWO THOUSAND ONE HUNDRED FIFTEEN OF THIS
ARTICLE, TEN DOLLARS.
S 7. Paragraph 4 of subdivision (a) of section 2130 of the vehicle and
traffic law, as amended by chapter 703 of the laws of 1989, is amended
to read as follows:
(4) Uses a false or fictitious name or address, or makes a material
false statement, or fails to disclose a security interest, or conceals
any other material fact, in an application for a certificate of title,
or in any copy of an assignment and warranty of title retained and
produced for the purpose of negating any presumption contained in subdi-
vision seven of section twelve hundred twenty-four of this chapter, OR
IN ANY OTHER DOCUMENT OR COPY THEREOF MAILED OR DELIVERED TO THE COMMIS-
SIONER PURSUANT TO SUBDIVISION (A) OF SECTION TWO THOUSAND ONE HUNDRED
THIRTEEN OR SUBDIVISION (B) OF SECTION TWO THOUSAND ONE HUNDRED FIFTEEN
OF THIS ARTICLE, OR IN A STATEMENT AFFIRMING EXTINGUISHMENT OR TRANSFER
OF AN INTEREST IN A VEHICLE MAILED OR DELIVERED TO THE COMMISSIONER
PURSUANT TO SUBDIVISION (C) OF SECTION TWO THOUSAND ONE HUNDRED FIFTEEN
OF THIS ARTICLE, is guilty of a felony; or
S 8. This act shall take effect on the one hundred eightieth day after
it shall have become a law, except that any rules and regulations neces-
sary for the timely implementation of this act on its effective date
shall be promulgated on or before such date.