GENERAL ASSEMBLY OF NORTH CAROLINA
1997 SESSION
S.L. 1997-327
AN ACT TO PROVIDE THAT DEALERS HAVE TEN WORKING DAYS TO SEND MOTOR VEHICLE FEES TO THE STATE.
The General Assembly of North Carolina enacts:
Section 1. G.S. 20-79.1(d) reads as rewritten:
"(d) A dealer
shall not issue, assign, transfer, or deliver temporary registration plates or
markers to anyone other than a bona fide purchaser or owner of a vehicle being
sold by such dealer, nor shall a dealer issue a temporary registration plate or
marker without first obtaining from said purchaser or owner a written
application for the titling and registration of the purchased vehicle with the
prescribed fees therefor, which application and fees the said dealer shall
immediately forward to the Division by mail or messenger or by messenger to a
local license agency; nor shall a dealer issue a temporary registration plate
to anyone purchasing a vehicle that has unexpired registration plates, which registration
plates are to be transferred to such purchaser; nor shall a dealer lend to
anyone or use on any vehicle that he may own, temporary registration plates or
markers: Provided that dealers are hereby authorized to issue temporary markers
to nonresidents for the purpose of removing a vehicle purchased in this State,
without collecting a registration fee or requiring an application for titling
and registration. It shall be unlawful for any person to issue any
temporary registration plate or marker containing any misstatement of fact or
knowingly insert any false information upon the face thereof.
(d) A dealer shall:
(1) Not issue, assign, transfer, or deliver temporary registration plates or markers to anyone other than a bona fide purchaser or owner of a vehicle which he has sold.
(2) Not issue a temporary registration plate or marker without first obtaining from the purchaser or owner a written application for titling and registration of the vehicle and the applicable fees.
(3) Within 10 working days, mail or deliver the application and fees to the Division or deliver the application and fees to a local license agency for processing. Delivery need not be made if the contract for sale has been rescinded in writing by all parties to the contract.
(4) Not deliver a temporary registration plate to anyone purchasing a vehicle that has an unexpired registration plate that is to be transferred to the purchaser.
(5) Not lend to anyone, or use on any vehicle that he may own, any temporary registration plates or markers.
A dealer may issue temporary markers, without obtaining the written application for titling and registration or collecting the applicable fees, to nonresidents for the purpose of removing the vehicle from the State."
Section 2. G.S. 20-79.1(e) reads as rewritten:
"(e) Every dealer who
issues temporary plates or markers shall insert write clearly and
indelibly on the face of each the temporary registration plate or
marker marker:
(1) the date The
dates of issuance and expiration, expiration;
(2) the The
make, motor number, and serial numbers of the vehicle for which
issued and vehicle; and
(3) such Any
other information as that the Division may require.
It shall be unlawful for any person to issue a temporary registration plate or marker containing any misstatement of fact or to knowingly write any false information on the face of the plate or marker."
Section 2.1. G.S. 20-75 reads as rewritten:
"§ 20-75. When transferee is dealer or insurance company.
When the transferee of a vehicle registered under this
Article is is:
(1) a A dealer
who is licensed under Article 12 of this Chapter and who holds the vehicle for resale
or is an resale; or
(2) An insurance
company taking such the vehicle for sale or disposal for salvage
purposes where such the title is taken as a part of a bona fide
claim settlement transaction and only for the purpose of resale,
such the transferee shall not be
required to register such the vehicle nor forward the certificate
of title to the Division as provided in G.S. 20-73.
To assign or transfer title or interest in the vehicle, the
dealer or insurance company shall execute execute, in the
presence of a person authorized to administer oaths oaths, a
reassignment and warranty of title on the reverse of the certificate of title
in the form approved by the Division, including which shall include in
such reassignment the name and address of the transferee, and transferee.
The title to such the vehicle shall not pass or vest until such
the reassignment is executed and the motor vehicle delivered to the
transferee.
The dealer transferring title or interest in a motor vehicle
shall deliver the certificate of title duly assigned in accordance with the
foregoing provision to the transferee at the time of delivering the vehicle, except
except:
(1) that where Where
a security interest in the motor vehicle is obtained from the transferee in
payment of the purchase price or otherwise, the dealer shall deliver the
certificate of title to the lienholder and the lienholder shall forward the
certificate of title together with the transferee's application for new
certificate of title and necessary fees to the Division within 20 days. days;
or
(2) Where the transferee has the option of cancelling the transfer of the vehicle within 10 days of delivery of the vehicle, the dealer shall deliver the certificate of title to the transferee at the end of that period. Delivery need not be made if the contract for sale has been rescinded in writing by all parties to the contract.
Any person who delivers or accepts a certificate of title assigned in blank shall be guilty of a Class 2 misdemeanor.
The title to a salvage vehicle shall be forwarded to the Division as provided in G.S. 20-109.1."
Section 3. This act is effective when it becomes law.
In the General Assembly read three times and ratified this the 14th day of July, 1997.
s/ Dennis A. Wicker
President of the Senate
s/ Harold J. Brubaker
Speaker of the House of Representatives
s/ James B. Hunt, Jr.
Governor
Approved 10:50 a.m. this 25th day of July, 1997