§ 27-101-1013 — Certificate of title with beneficiary - Definitions

Arkansas § 27-101-1013

• Jurisdiction: Arkansas
• Title: 27

Text

(a) As used in this section: (1) (A) "Beneficiary" means one (1) person designated to become the owner of a motorboat upon the death of the current owner as indicated on the certificate of title issued under this chapter. (B) "Beneficiary" does not include a business, firm, partnership, corporation, association, or any other legally created entity; (2) "Certificate of title with beneficiary" means a certificate of title for a motorboat issued under this subchapter that indicates the present owner of the motorboat and designates a beneficiary as provided under this section; and (3) (A) "Owner" means a person who holds legal title to a motorboat and may include more than one (1) person but not more than three (3) people. (B) "Owner" does not include a business, firm, partnership, corporation, association, or any other legally created entity. (b) (1) The owner or joint owners of a motorboat may submit a transfer-on-death application to the Office of Motor Vehicle to request the issuance of a certificate of title with beneficiary or a change to a certificate of title with beneficiary which directs the Office of Motor Vehicle to transfer the certificate of title upon the death of the owner or upon the death of all joint owners to the beneficiary named on the certificate of title with beneficiary. (2) A transfer-on-death application shall contain: (A) A statement as to whether the applicant seeks to add, remove, or change a beneficiary; (B) The full legal name of the beneficiary; (C) The Social Security number of the beneficiary; (D) The address of the beneficiary; (E) The hull identification number of the motorboat and, where applicable, the engine or motor serial number; (F) The year, make, model, and body type of the motorboat; (G) The printed full legal name of the owner of the motorboat; (H) The driver's license or identification card number for the owner of the motorboat; and (I) The signature of the owner of the motorboat. (3) The applicant shall include the following with the transfer-on-death application: (A) The certificate of title for the motorboat issued under this chapter; (B) A certificate of title fee in the amount of two dollars ($2.00); (C) The certificate of title application fee in the amount of eight dollars ($8.00); and (D) The certificate of title with beneficiary processing fee in the amount of ten dollars ($10.00). (4) The proceeds collected under subdivision (b)(3)(C) of this section shall be distributed as set out in § 27-101-1004(d) . (5) (A) The certificate of title with beneficiary processing fee remitted under subdivision (b)(3)(D) of this section shall be deposited into the State Central Services Fund for the benefit of the Revenue Division of the Department of Finance and Administration. (B) The fee shall be credited as supplemental and in addition to all other funds as may be deposited for the benefit of the division. (C) The fee shall not be considered or credited to the Office of Motor Vehicle as direct revenue. (c) (1) The Office of Motor Vehicle shall not issue a certificate of title with beneficiary to an owner of a motorboat if: (A) The motorboat is encumbered by a lien; or (B) The owner holds his or her interest in the motorboat as a tenant in common with another person. (2) If a lien request is made for a certificate of title with beneficiary, the beneficiary shall be removed and the lien added upon payment of all fees required under this chapter. (d) The certificate of title with beneficiary issued by the Office of Motor Vehicle shall include after the name of the owner the words "transfer on death to" or the abbreviation "TOD" followed by the name of the beneficiary. (e) During the lifetime of the owner or before the death of the last surviving joint owner: (1) The signature or consent of the beneficiary is not required for any transaction relating to the motorboat for which a certificate of title with beneficiary has been issued; and (2) The certificate of title with beneficiary is revoked by: (A) Selling the motorboat with proper assignment and delivery of the certificate of title to another person; or (B) Filing an application with the Office of Motor Vehicle to remove or change a beneficiary as provided under subsection (b) of this section. (f) Except as provided in subsection (e) of this section, the designation of the beneficiary in a certificate of title with beneficiary shall not be changed or revoked absent receipt of a court order requiring a change in the designation of beneficiary. (g) The interest of the beneficiary in a motorboat on the death of the owner or on the death of the last surviving joint owner is subject to any contract of sale, assignment, or security interest to which the owner of the motorboat was subject to during his or her lifetime. (h) (1) (A) Upon the death of the owner, the Office of Motor Vehicle shall issue a new certificate of title for the motorboat to the surviving owner or, if there is no surviving owner, to the beneficiary if the surviving owner or beneficiary presents the following: (i) Proof of death of the owner that includes a death certificate issued by the state or a political subdivision of the state; (ii) Surrender of the outstanding certificate of title with beneficiary; and (iii) An application and payment of all fees required under this chapter. (B) A certificate of title issued under this subsection is subject to any existing security interest. (2) If the surviving owner or beneficiary chooses, he or she can submit a completed certificate of title with beneficiary application as provided under this section, which shall be accompanied by all required fees, at the time of the application for a new certificate of title. (3) (A) The transfer under this subsection is a transfer by operation of law, and § 27-101-1022 applies to the extent practicable and not in conflict with this section. (B) The transfer of a motorboat upon the death of the owner under this section is not testamentary and is not subject to administration under the Probate Code. (i) The procedures and fees under §§ 27-101-1004 and 27-101-1029 shall apply for obtaining a duplicate certificate of title with beneficiary.

Legislative History

Added by Act 2019, No. 733,§ 16, eff. 7/24/2019.