WSR 07-13-082

PERMANENT RULES

DEPARTMENT OF LICENSING


[ Filed June 19, 2007, 8:16 a.m. , effective July 20, 2007 ]


Effective Date of Rule: Thirty-one days after filing.

Purpose: Rule making is required to clarify language of the rule.

Citation of Existing Rules Affected by this Order: Amending WAC 308-56A-210 and 308-93-440.

Statutory Authority for Adoption: RCW 46.01.110.

Adopted under notice filed as WSR 07-09-061 on April 16, 2007.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 2, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 2, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 2, Repealed 0.

Date Adopted: June 19, 2007.

Julie Knittle

Assistant Director

Vehicle Services

OTS-9650.1


AMENDATORY SECTION(Amending WSR 06-22-025, filed 10/25/06, effective 11/25/06)

WAC 308-56A-210   Ownership in doubt -- Bonded title or three-year registration without title.   (1) ((What does an applicant do when an acceptable release of interest or documentation as defined in WAC 308-56A-265 is not available? When an applicant is unable to provide an acceptable release of interest or documentation, the applicant may:

Apply for registration only or bonded title as described in this rule. The applicant must:

(a) Provide evidence of ownership of the vehicle such as, but not limited to, a bill of sale;

(b) Obtain a Washington state patrol vehicle identification number (VIN) inspection;

(c) Make a reasonable effort to determine ownership of the vehicle by writing to the agency that issued the last known certificate of ownership or registration. For purposes of this section, an individual purchaser or transferee of a vehicle may request the name and address of the owner(s) of record for that vehicle from the department by satisfying (b)(i) of this subsection and completing a form (Vehicle/Vessel disclosure request) approved by the department. When the department is satisfied the request is for obtaining proper release of interest, the department may disclose the name(s) and address of the last owner(s) of record for that vehicle.

(i) If a record is found, the applicant must send a certified or registered letter, return receipt requested, to each owner and secured party of record at the address shown on the last record. The letter must contain information regarding the sender's claim to ownership and a request for the released certificate of ownership or a notarized or certified release of interest.

(ii) If the previous owner does not respond within fifteen days after acknowledged receipt or the letter was returned unclaimed, the applicant must provide the form titled Application for Ownership in Doubt, explaining how the vehicle was acquired;

If no record is found, the applicant must provide the completed form titled, Application for Ownership in Doubt.

(d) Determine whether to apply for a bonded title or apply for registration only. A bonded title is required if the applicant is a Washington state vehicle dealer. A bond must be for a period of three years from the date of application and be in the amount of one and one-half times the value of the vehicle as determined by one of the following:

(i) Information provided by any guide book or other publication of recognized standing in the vehicle industry; or

(ii) A value that is agreeable to the applicant and verifiable by the authorized department agent or employee.

(2) Are there exceptions to the VIN inspection requirement? Yes, the following vehicles are exempt from a VIN inspection if there is a Washington vehicle record and the customer presents a certificate of ownership or registration certificate issued by Washington, or another state, or country, or if there is no Washington vehicle record (for proof of VIN) and the customer presents a title or registration certificate issued by Washington state or other state or country unless from a state or country that neither registers nor titles as described in WAC 308-56A-115:

(a) Moped;

(b) Trailer with scale weight less than 2,000 pounds;

(c) Off-road and nonhighway vehicles not originally manufactured for road use if model year is ten years old or older;

(d) Travel trailer if model year is ten years old or older;

(e) Camper model year is ten years old or older;

(f) Manufactured homes of any age.

(3) How can I provide proof of my vehicle's identification number? An Application for Ownership in Doubt form approved by the department must be completed:

(a) For a vehicle that has an embossed VIN:

(i) A VIN pencil or pen scraping for those vehicles listed above is required; or

(ii) An approved photograph of the VIN is provided; and

(b) For a vehicle that does not have an embossed VIN, the Application for Ownership in Doubt form stating the VIN and how the VIN is attached to the vehicle.

(c) In the absence of either (a) or (b) of this subsection, a VIN inspection is required.

(4) If I have a bonded title, how can I get a certificate of ownership (title) without the bonded notation? In order to get a certificate of ownership without the bonded notation:

(a) Submit the properly endorsed certificate of ownership or a satisfactory release of interest and make application to the department anytime during the three-year period; or

(b) After the three-year period, make application to the department.

(5) If I have a three-year registration only, how can I obtain a certificate of ownership? To receive a certificate of ownership:

(a) Submit the properly endorsed certificate of ownership or a satisfactory release of interest and make application to the department anytime during the three-year period; or

(b) After the three-year period, make application to the department.

(6) May I sell a vehicle with a bonded title or a three-year registration only? Yes. A bonded title may be released and provided to the buyer the same as any other certificate of ownership. There is a possibility that a Washington bonded title may not be accepted by another state. If the other state has a similar program, they may issue their own type of bonded certificate of ownership. If there is a registration only, provide the buyer with a notarized or certified release of interest. The new owner may either provide a judgment from a district or superior court of Washington or wait until the expiration of the time remaining on the previous ownership in doubt period and then make application for the certificate of ownership. If a notarized/certified release of interest cannot be obtained from the current registered owner, the new owner must start over with a new three-year bonded or registration only process.

Licensed vehicle dealers cannot lawfully sell vehicles that are registration only.)) What is ownership in doubt? Ownership in doubt is when a vehicle owner(s) is unable to obtain satisfactory evidence of ownership or releases of interest as described in WAC 308-56A-265.

(2) What options are available in an ownership in doubt situation? When in an ownership in doubt situation, the owner may:

(a) Apply for three-year registration without title; or

(b) Apply for a bonded title described in RCW 46.12.151; or

(c) Petition any district or superior court of any county of this state to receive a judgment awarding ownership of the vehicle. This is required if ownership of the vehicle is contested after the applicant makes application for ownership in doubt and before the three-year ownership in doubt period has lapsed.

(3) What documents are required when applying for a bonded title or three-year registration without title? Required documents when applying for a bonded title or three-year registration include:

(a) The originals or copies of letters sent by registered or certified mail to the registered and legal owners of record, including the return receipt. The letters must include information regarding the applicant's claim to ownership and a request for the released certificate of ownership (title) or a notarized or certified release of interest.

(i) Registered and legal owner information will be released under WAC 308-56A-090 for applications needing that information.

(ii) If there is no Washington record, (a) of this subsection does not apply.

(iii) If the owners of record do not respond before submitting their application, the applicant must wait fifteen days from acknowledged receipt of the letter.

(iv) If the letter is returned unclaimed, the applicant must submit the letter, unopened, with the application.

(b) A bonded title or a three-year registration without title affidavit completed by the applicant and signed by all persons to be shown as a registered owner.

(c) Washington state patrol inspection, unless the vehicle is specifically exempt under subsection (4) of this section. For vehicles exempt from the Washington state patrol inspection under subsection (4) of this section, the following documents are also required:

(i) A bonded title or three-year registration without title affidavit for vehicles exempt from the Washington state patrol inspection completed and signed by a person to be shown as a registered owner; and

(ii) A legible etching or photograph of the VIN as proof of the VIN.

(d) Application for certificate of ownership (title).

(e) A bond as described in RCW 46.12.151, if the applicant is applying for a bonded title.

(f) Other documents that may be required by law or rule.

(4) Are there exemptions from the Washington state patrol inspection? Yes.

(a) Certain vehicles are exempt from the Washington state patrol inspection if:

(i) There is a Washington record; or

(ii) There is no Washington record, but the vehicle owner has a title or registration certificate issued by Washington or another jurisdiction.

(b) Vehicles exempt from the Washington state patrol inspection include:

(i) Mopeds;

(ii) Trailers with a scale weight less than two thousand pounds;

(iii) Not eligible for road use (NEFRU) vehicles as defined in WAC 308-56A-500 when the model year is ten years old or older;

(iv) Travel trailers and park model trailers when the model year is ten years old and older;

(v) Campers when the model year is ten years old and older;

(vi) Manufactured and mobile homes are exempt at all times.

(5) When is a bond required? A bond is required in ownership in doubt situations when:

(a) The applicant is a Washington state licensed vehicle dealer; or

(b) The Washington record shows there is an existing lien.

(6) How is a vehicle value determined for filing a bond? Vehicle value may be determined from one of the following sources:

(a) The department's automated valuing system; or

(b) A published appraisal guide; or

(c) Appraisal from a licensed vehicle dealer or appraisal company. The appraisal must be on company letterhead and have the business card attached; or

(d) Insured amount; or

(e) Consideration or payment plus estimated repairs by a bona fide mechanic; or

(f) Other valuing sources approved by the department.

(7) May I transfer ownership on a vehicle with a bonded title or three-year registration without title? Yes.

(a) Owners releasing interest in a vehicle with a bonded title or three-year registration without title must provide a release of interest described in WAC 308-56A-265;

(b) The new owners must submit an application for title as described in this chapter and complete the time remaining on the current ownership in doubt period.

[Statutory Authority: RCW 46.01.110. 06-22-025, 308-56A-210, filed 10/25/06, effective 11/25/06; 03-05-081, 308-56A-210, filed 2/19/03, effective 3/22/03; 99-01-014, 308-56A-210, filed 12/7/98, effective 1/7/99. Statutory Authority: RCW 42.17.250(1), 46.01.110, 46.12.151 and 46.12.380. 96-03-047, 308-56A-210, filed 1/11/96, effective 2/11/96; Order MV 208, 308-56A-210, filed 7/31/74.]

OTS-9651.1


AMENDATORY SECTION(Amending WSR 03-07-076, filed 3/18/03, effective 4/18/03)

WAC 308-93-440   Ownership in doubt -- Bonded title or three-year registration without title.   (1) ((What does an applicant do if an acceptable release of interest as defined in WAC 308-93-460 is not available? When an applicant is unable to provide an acceptable release of interest for a vessel, the applicant may:

(a) Petition any district or superior court of any county of this state to receive a judgment awarding ownership of the vessel; such judgment is required if ownership of the vessel is contested after the applicant makes application for ownership in doubt and before the three-year ownership in doubt period has lapsed; or

(b) Apply for "registration only" or bonded certificate of ownership as described in this rule if a judgment is unavailable as described in (a) of this subsection. The applicant must:

(i) Provide evidence of ownership of the vessel including, but not limited to, a bill of sale;

(ii) Make a reasonable effort to determine ownership of the vessel by writing to the agency that issued the last known certificate of ownership or registration. For purposes of this section, an individual purchaser or transferee of a vessel may request the name and address of the owner(s) of record for that vessel from the department by satisfying (b)(i) of this subsection and completing a form approved by the department. When the department is satisfied the request is for obtaining proper release of interest, the department may disclose the name(s) and address of the last owner(s) of record for that vessel.

(A) If a record is found, the applicant must send a certified or registered letter, return receipt requested, to each owner and secured party of record at the address shown on the last record. The letter must contain information regarding the sender's claim to ownership and a request for the released certificate of ownership or a notarized or certified release of interest.

(B) If the previous owner does not respond within fifteen days after acknowledged receipt or the letter was returned unclaimed, the applicant must provide a completed affidavit of request for bonded title or registration, explaining how the vessel was acquired;

If no record is found, the applicant must provide the completed form titled, Affidavit of Request for Bonded Title or Registration Without Title.

(iii) Determine whether to bond the vessel and apply for a certificate of ownership or apply for registration only. A bond is required if the seller of the vessel is a Washington state vessel dealer or in lieu of the judgment described in (a) of this subsection if there is evidence of a security agreement on the last record found. A bond will be for a period of three years from the date of application and be in the amount of one and one-half times the value of the vessel as determined by one of the following:

(A) Information provided by a value guide book or other publication of recognized standing in the vessel industry; or

(B) A value that is agreeable to the applicant and verifiable by the authorized department agent or employee.

(2) If I have a bonded certificate of ownership for my vessel, how can I get a certificate of ownership without the bonded notation? In order to get a certificate of ownership without the bonded notation, you may:

(a) Submit a properly endorsed certificate of ownership or a satisfactory release of interest and make application to the department anytime during the three-year period; or

(b) After the three-year period, make application to the department.

(3) If I have a three-year vessel registration only, how can I obtain a certificate of ownership? In order to receive a certificate of ownership, you may:

(a) Submit the properly endorsed certificate of ownership or a satisfactory release of interest and make application to the department anytime during the three-year period; or

(b) After the three-year period, make application to the department.

(4))) What is ownership in doubt? Ownership in doubt is when a vessel owner(s) is unable to obtain satisfactory evidence of ownership or release of interest described in WAC 308-93-460.

(2) What options are available in an ownership in doubt situation? When in an ownership in doubt situation, the owner may:

(a) Apply for three-year registration without title; or

(b) Apply for a bonded title as described in vehicle law RCW 46.12.151; or

(c) Petition any district or superior court of any county of this state to receive a judgment. This is required if ownership of the vessel is contested after the applicant makes application for ownership in doubt and before the three-year ownership in doubt period has lapsed.

(3) What documents are required when applying for a bonded title or three-year registration without title? Required documents when applying for a bonded title or three-year registration include:

(a) The originals or copies of letters sent by registered or certified mail to the registered and legal owners of record, including the return receipt. The letters must include information regarding the applicant's claim to the ownership and request for the released certificate of ownership (title) or a notarized or certified release of interest.

(i) Registered and legal owner information will be released under WAC 308-93-087 for applicants needing that information.

(ii) If there is no Washington record, (a) of this subsection does not apply.

(iii) If the owners of record do not respond before submitting the application, the applicant must wait fifteen days from acknowledged receipt of the letter.

(iv) If the letter is returned unclaimed, the applicant must submit the letter, unopened, with the application.

(b) A bonded title or three-year registration without title affidavit completed by the applicant and signed by all persons to be shown as registered owner(s).

(c) Application for certificate of ownership (title).

(d) A bond as described in vehicle law RCW 46.12.151, if the applicant is applying for a bonded title.

(e) Other documents that may be required by law or rule.

(4) How is a vessel value determined for filing a bond? Vessel value may be determined from one of the following sources:

(a) The department's automated valuing system; or

(b) A published appraisal guide; or

(c) Appraisal from a licensed vessel dealer or appraisal company. The appraisal must be on company letterhead and have the business card attached; or

(d) An appraisal from the department of revenue; or

(e) Insured amount; or

(f) Consideration or payment plus estimated repairs by a bona fide repair facility; or

(g) Other valuing sources approved by the department.

(5) May I sell or release my interest in the vessel during the three-year ownership ((in doubt)) without title period? Yes. A bonded certificate of ownership may be released and provided to the buyer in the same way as any other certificate of ownership. The Washington bonded ((certificate of ownership)) title may not be accepted by another state. If the other state has a similar program, they may issue their own type of bonded certificate of ownership. For three-year registration ((only)) without title, provide the buyer with a notarized or certified release of interest. The new owner may either provide a judgment ((as described in subsection (1)(a) of this section)) from a district or superior court of Washington or wait until the expiration of the time remaining on the previous ownership in doubt period and then make application for the certificate of ownership. If a notarized((/)) or certified release of interest cannot be obtained from the current registered owner, the new owner must start over with a new three-year bonded or three-year registration ((only)) without title process.

[Statutory Authority: RCW 88.02.070, 88.02.100. 03-07-076, 308-93-440, filed 3/18/03, effective 4/18/03; 00-23-028, 308-93-440, filed 11/7/00, effective 12/8/00. Statutory Authority: RCW 88.02.070. 98-09-023, 308-93-440, filed 4/8/98, effective 5/9/98. Statutory Authority: RCW 88.02.070, 88.02.100 and 46.12.380. 96-03-046, 308-93-440, filed 1/11/96, effective 2/11/96. Statutory Authority: 1983 c 7 20 and 1983 2nd ex.s. c 3 46. 83-23-076 (Order 736-DOL), 308-93-440, filed 11/18/83.]

Washington State Code Reviser's Office