Exclusions From Issuance of Certificate of Title

  1. Law
  2. Georgia Code
  3. Motor Vehicles and Traffic
  4. Certificates of Title, Security Interests, and Liens
  5. General Provisions
  6. Exclusions From Issuance of Certificate of Title

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No certificate of title shall be obtained for:

  1. A vehicle owned by the United States unless it is registered in this state;
  2. A vehicle owned by a manufacturer of or dealer in vehicles and held for sale, even though incidentally used on the highway or used for purpose of testing or demonstration; a vehicle owned by a manufacturer headquarters or its affiliate and registered and licensed pursuant to Code Section 40-2-38; a vehicle owned by a dealer in vehicles but used by any Georgia public or private school for driver education purposes; or a vehicle used by a manufacturer solely for testing; except that all dealers acquiring new vehicles after July 1, 1962, from a manufacturer for resale shall obtain such evidence of origin of title from the manufacturer as the commissioner shall by rule and regulation prescribe;
  3. A vehicle owned by a nonresident of this state and not required by law to be registered in this state;
  4. A vehicle regularly engaged in the interstate transportation of persons or property for which a currently effective certificate of title has been issued in another state;
  5. A vehicle moved solely by human or animal power;
  6. An implement of husbandry;
  7. Special mobile equipment;
  8. A self-propelled wheelchair or invalid tricycle;
  9. A pole trailer;
  10. Motor buses used for the transportation of persons by a street railroad or other company engaged in the operation of an urban transit system over fixed routes;
  11. A boat trailer;
  12. A homemade trailer;
  13. A device used exclusively upon stationary rails or tracks or which obtains motive power from fixed overhead electric wires;
    1. A vehicle, other than a mobile home or crane, the model year of which is prior to 1986.
    2. The owner of any vehicle which has a valid certificate of title and which becomes subject to the exclusion provided in subparagraph (A) of this paragraph may retain the certificate of title. Each subsequent transferee of any vehicle covered by subparagraph (A) of this paragraph, for which the certificate of title has been retained, may obtain a certificate of title by complying with Code Section 40-3-32. However, the failure of any subsequent transferee to comply with Code Section 40-3-32 shall preclude transferees subsequent to that transferee from obtaining a certificate of title. The department shall maintain such records as may be necessary to allow owners to obtain a certificate of title under this subparagraph. No certificate of title authorized to be issued under this subparagraph shall be issued under Code Section 40-3-28.
      1. A security interest in or lien against a vehicle which is subject to the exclusion provided for in subparagraph (A) of this paragraph and which arises after such vehicle becomes subject to the operation of subparagraph (A) of this paragraph may be perfected in the same manner as such security interests and liens are perfected on vehicles required by this chapter to have certificates of title.
      2. The transferee of any vehicle which is subject to the exclusion provided for in subparagraph (A) of this paragraph, regardless of whether that vehicle has a certificate of title issued pursuant to subparagraph (B) of this paragraph, shall take such vehicle subject to any security interest or lien perfected under this paragraph;
    1. Except as provided in subparagraph (B) of this paragraph, a trailer with an unladen gross weight of 2,000 pounds or less.
    2. The exclusion provided in subparagraph (A) of this paragraph shall not apply to a travel trailer or camper, regardless of its unladen gross weight;
  16. A vehicle which is not sold for the purpose of lawful highway use;
  17. A vehicle with a model year prior to 1963;
  18. A moped; or
  19. A personal transportation vehicle.

(Ga. L. 1961, p. 68, § 4; Ga. L. 1962, p. 79, § 2; Ga. L. 1964, p. 178, § 2; Ga. L. 1980, p. 518, § 2; Ga. L. 1981, p. 617, § 1; Ga. L. 1985, p. 1271, § 1; Ga. L. 1987, p. 655, § 2; Ga. L. 1990, p. 2048, § 3; Ga. L. 1993, p. 1260, § 5; Ga. L. 1994, p. 97, § 40; Ga. L. 1994, p. 741, § 1; Ga. L. 1997, p. 143, § 40; Ga. L. 1997, p. 1515, § 1; Ga. L. 1998, p. 1179, §§ 31, 32; Ga. L. 1999, p. 334, § 3; Ga. L. 2000, p. 951, § 4-2; Ga. L. 2002, p. 506, § 4; Ga. L. 2002, p. 512, § 8; Ga. L. 2014, p. 745, § 3/HB 877; Ga. L. 2015, p. 1219, § 3/HB 202.)

Code Commission notes.

- Pursuant to Code Section 28-9-5, in 1987, "tracks" was substituted for "trucks" in paragraph (13).

The amendment of this Code section by Ga. L. 2002, p. 506, § 4, irreconcilably conflicted with and was treated as superseded by Ga. L. 2002, p. 512, § 8. See County of Butts v. Strahan, 151 Ga. 417 (1921).

JUDICIAL DECISIONS

Automobile dealers and certificates of title.

- Effect of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4) is that the only way to create security interests in automobiles now is by the method provided in that section, which does not apply to or affect dealers holding automobiles for sale, which automobiles not only need not have a certificate of title, but also pass to buyers in the ordinary course of trade free of the security interest. Sun Ins. Office, Ltd. v. First Nat'l Bank & Trust Co., 113 Ga. App. 782, 149 S.E.2d 753, rev'd on other grounds, 222 Ga. 559, 150 S.E.2d 803 (1966).

1990 camper did not qualify for exclusion.

- Current version of O.C.G.A. § 40-3-4(14)(A) provides that no certificate of title is needed for vehicles manufactured prior to 1986. The camper here was a 1990 model and therefore the camper did not qualify under the exclusion; according to the statute as revised, a certificate of title would be required for a 1990 camper. In re Blair, Bankr. (Bankr. S.D. Ga. June 2, 2005).

Casual vehicle use.

- Term "incidentally," embraced in the qualification of the exclusion from Ga. L. 1961, p. 68 (see now O.C.G.A. Ch. 3, T. 40) expressed in paragraph (2) of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4) indicates a use which is merely casual and not the prime purpose of the holding for sale. First Nat'l Bank & Trust Co. v. Smithloff, 119 Ga. App. 284, 167 S.E.2d 190 (1969).

Holding not subject to leasehold interest.

- Notwithstanding that a lease is a sale of a leasehold interest, the phrase "held for sale" should not be construed to mean a holding subject to a lease hold interest, which would contemplate regular, not incidental, use on the highway. First Nat'l Bank & Trust Co. v. Smithloff, 119 Ga. App. 284, 167 S.E.2d 190 (1969).

Vehicles subject to mechanics liens.

- Vehicles referred to in Ga. L. 1969, p. 68, § 23 (see now O.C.G.A. § 40-3-54) as being subject to mechanics liens which may be asserted by retention of the vehicle are those which are required to have certificates of title. Peoples, Inc. v. DeVane, 114 Ga. App. 597, 152 S.E.2d 649 (1966).

Motor cranes propelled by the separate motor on a truck are not special mobile equipment within the meaning of paragraph (7) of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4). Citizens & S. Nat'l Bank v. Georgia Steel, Inc., 25 Bankr. 796 (Bankr. M.D. Ga. 1982).

When vehicle is 15 model years old.

- Evidence in the form of a letter and accompanying tables from the Georgia Department of Revenue indicated a 1978 vehicle became 15 model years old as of September 1, 1991, and a 1979 vehicle became 15 model years old as of September 1, 1992. Perkins v. Gilbert, 169 Bankr. 455 (Bankr. M.D. Ga. 1994).

Lapsing of security interest prevented by bankruptcy.

- Although secured creditor's security interest was due to expire on date the vehicle became 15 model years old, the filing of the debtor's bankruptcy petition prevented any lapse of the security interest. Perkins v. Gilbert, 169 Bankr. 455 (Bankr. M.D. Ga. 1994).

Cited in First Nat'l Bank & Trust Co. v. McElmurray, 120 Ga. App. 134, 169 S.E.2d 720 (1969); Rockwin Corp. v. Kincaid, 124 Ga. App. 570, 184 S.E.2d 509 (1971); United Carolina Bank v. Capital Auto. Co., 163 Ga. App. 796, 294 S.E.2d 661 (1982); Furches v. Ring, 171 Ga. App. 19, 318 S.E.2d 762 (1984); Owensboro Nat'l Bank v. Jenkins, 173 Ga. App. 775, 328 S.E.2d 399 (1985).

OPINIONS OF THE ATTORNEY GENERAL

Obtaining title in foreign state.

- Vehicle owner whose vehicle is engaged in interstate transportation may, at the owner's option, elect not to title the vehicle in Georgia, but may rely on the permissive exemptions and title the vehicle in some other state. 1963-65 Op. Att'y Gen. p. 425.

Perfecting special mobile equipment's security interest.

- Security interest must first be perfected in accordance with the Uniform Commercial Code (see now O.C.G.A. T. 11), and then in accordance with Ga. L. 1961, p. 68 (see now O.C.G.A. Ch. 3, T. 40), for special mobile equipment. 1965-66 Op. Att'y Gen. No. 66-109.

RESEARCH REFERENCES

Am. Jur. 2d.

- 7A Am. Jur. 2d, Automobiles and Highway Traffic, §§ 36 et seq., 68, 84 et seq.

C.J.S.

- 60 C.J.S., Motor Vehicles, §§ 29 et seq., 96 et seq.

U.L.A.

- Uniform Motor Vehicle Certificate of Title and Anti-Theft Act (U.L.A.) § 2.

ALR.

- Construction and application of exemption or exception provisions of statutes requiring registration of motor vehicle, 91 A.L.R. 422.


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