(a) For the purposes of this section, “secured party's transfer statement” means a record signed by the secured party of record stating:
(1) That there has been a default on an obligation to the secured party of record secured by the vessel;
(2) The secured party of record is exercising or has exercised post-default remedies with respect to the vessel;
(3) By reason of the exercise, the secured party of record has the right to transfer the ownership interest of an owner, and the name of the owner;
(4) The name and last known mailing address of the owner of record and the secured party of record;
(5) The name of the transferee;
(6) Other information required by subsection (b) of section 15-207; and
(7) One of the following:
(A) The certificate of title is an electronic certificate of title;
(B) The secured party does not have possession of the written certificate of title created in the name of the owner of record; or
(C) The secured party is delivering the written certificate of title to the Department of Motor Vehicles with the secured party's transfer statement.
(b) Unless the department rejects a secured party's transfer statement for a reason stated in subsection (c) of section 15-208, after delivery to the department of the statement and payment of fees and taxes payable under the law of this state, other than sections 15-201 to 15-232, inclusive, in connection with the statement or the acquisition or use of the vessel, the department shall:
(1) Accept the statement;
(2) Amend the files of the department to reflect the transfer; and
(3) If the name of the owner whose ownership interest is being transferred is indicated on the certificate of title:
(A) Cancel the certificate of title even if the certificate of title has not been delivered to the department;
(B) Create a new certificate of title indicating the transferee as owner; and
(C) Deliver the new certificate of title or a record evidencing an electronic certificate of title.
(c) An application submitted under subsection (a) of this section or the creation of a certificate of title under subsection (b) of this section shall not in and of itself be a disposition of the vessel and shall not in and of itself relieve the secured party of its duties under article 9 of title 42a.
(P.A. 14-63, S. 18.)
History: P.A. 14-63 effective January 1, 2016.