§ 42-4-1809 — Proceeds of sale

Colorado § 42-4-1809

• Jurisdiction: Colorado
• Title 42: Vehicles and
• Art.: Regulation of Vehicles and Traffic

Text

(1) If the sale of any motor vehicle, personal
property, and its attached accessories or equipment under the provisions of section
42-4-1805 produces an amount less than or equal to the sum of all charges of the
operator who has perfected his or her lien, then the operator shall have a valid claim
against the owner for the full amount of such charges, less the amount received
upon the sale of such motor vehicle. Failure to register such vehicle in accordance
with this title shall constitute a waiver of such owner's right to be notified pursuant
to this part 18 for the purposes of foreclosure of the lien pursuant to section 42-4-1808. Such charges shall be assessed in the manner provided for in paragraph (a) of
subsection (2) of this section.

(2) If the sale of any motor vehicle and its attached accessories or equipment
under section 42-4-1805 produces an amount greater than the sum of all charges
of the operator who has perfected his or her lien:

(a) The entity receiving the proceeds shall first satisfy the operator's
reasonable fee arising from the sale of the motor vehicle and the cost and fees of
towing and storing the abandoned motor vehicle, subject to a maximum charge
specified in rules promulgated by the public utilities commission that govern
nonconsensual tows by towing carriers.

(b) Any balance remaining after payment pursuant to paragraph (a) of this
subsection (2) shall be paid to the responsible law enforcement agency to satisfy
the cost of mailing notices, having an appraisal made, advertising and selling the
motor vehicle, and any other costs of the responsible law enforcement agency
including administrative costs, taxes, fines, and penalties due.

(b.5) In the case of the sale of an abandoned motor vehicle described in
section 42-4-1802 (1)(d), any balance remaining after payment pursuant to
paragraph (b) of this subsection (2) shall be paid to the law enforcement agency
that is owed a fee for the court-ordered placement of an immobilization device on
the motor vehicle pursuant to section 42-4-1105.

(c) Any balance remaining after payment pursuant to paragraphs (b) and
(b.5) of this subsection (2) shall be forwarded to the department, and the
department may recover from such balance any taxes, fees, and penalties due and
payable to it with respect to such motor vehicle.

(d) Any balance remaining after payment pursuant to paragraph (c) of this
subsection (2) shall be paid by the department: First, to any lienholder of record as
the lienholder's interest may appear upon the records of the department; second, to
any owner of record as the owner's interest may so appear; and then to any person
submitting proof of such person's interest in such motor vehicle upon the
application of such lienholder, owner, or person. If such payments are not requested
and made within one hundred twenty days after the sale of the abandoned motor
vehicle, the balance shall be transmitted to the state treasurer, who shall credit the
same to the highway users tax fund for allocation and expenditure as specified in
section 43-4-205 (5.5)(e), C.R.S.

(3) The provisions of paragraphs (a) and (b) of subsection (2) of this section
shall not apply to a responsible law enforcement agency operating under a towing
contract.

Legislative History

Source: L. 2002: Entire part amended with relocations, p. 474, � 1, effective July 1. L. 2005: (2)(d) amended, p. 150, � 28, effective April 5. L. 2006: (2)(b.5) added and (2)(c) amended, p. 172, � 3, effective July 1. L. 2014: IP(2) and (2)(a) amended, (HB 14-1031), ch. 14, p. 126, � 2, effective August 6.