§ 42-4-2104 — Appraisal of abandoned motor vehicles - sale

Colorado § 42-4-2104

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

Text

(1) (a) To sell a
motor vehicle that was abandoned on private property, the operator must sell the
motor vehicle in a commercially reasonable manner at a public or private sale held
not less than thirty days nor more than sixty days after the postmarked date the
notice was mailed pursuant to section 42-4-2103 (4) or the date the operator
receives notice that no record exists for such vehicle. The operator must make the
sale to a licensed motor vehicle dealer or wholesaler, or wholesale motor vehicle
auction dealer, or through a classified newspaper advertisement published in
Colorado. The appraisal must be performed by an independent third person. For
purposes of this section, a sale is not commercially reasonable if:

(I) The vehicle's appraisal value is more than three hundred fifty dollars and
the vehicle is sold to an officer or partner of the operator that has possession of the
vehicle or to any other person with a proprietary interest in the operator; or

(II) The operator fails to set the sale price at the time of sale, list the fair
market price at the time of sale, or report the sale; or report the sale price to the
department within five business days after the sale.

(b) Nothing in this section requires that an operator must be a licensed
dealer pursuant to part 1 of article 20 of title 44 for purposes of selling a motor
vehicle pursuant to this part 21.

(c) Subject to section 42-4-2103 and if an operator conducts a commercially
reasonable sale but fails to sell the motor vehicle, the operator may continue to
collect daily storage fees for such vehicle actually accrued for up to one hundred
twenty days.

(2) If the appraised value of an abandoned motor vehicle sold pursuant to
this section is three hundred fifty dollars or less, the sale shall be made only for the
purpose of junking, scrapping, or dismantling such motor vehicle, and the purchaser
thereof shall not, under any circumstances, be entitled to a Colorado certificate of
title. The operator making the sale shall cause to be executed and delivered a bill of
sale, together with a copy of the report described in section 42-4-2103 (3), to the
person purchasing such motor vehicle. The bill of sale shall state that the purchaser
acquires no right to a certificate of title for such vehicle. The operator making the
sale shall promptly submit a report of sale, with a copy of the bill of sale, to the
department and shall deliver a copy of such report of sale to the purchaser of the
motor vehicle. Upon receipt of any report of sale with supporting documents on any
sale made pursuant to this subsection (2), the department shall purge the records
for such vehicle as provided in section 42-4-2109 (1)(b) and shall not issue a new
certificate of title for such vehicle. Any certificate of title issued in violation of this
subsection (2) shall be void.

(3) If the appraised value of an abandoned motor vehicle sold pursuant to
this section is more than three hundred fifty dollars, the sale may be made for any
intended use by the purchaser. The operator making the sale shall cause to be
executed and delivered a bill of sale, together with a copy of the report described in
section 42-4-2103 (3), and an application for a Colorado certificate of title signed
by a legally authorized representative of the operator conducting the sale, to the
person purchasing such motor vehicle. The purchaser of the abandoned motor
vehicle shall be entitled to a Colorado certificate of title upon application and proof
of compliance with the applicable provisions of the Certificate of Title Act, part 1
of article 6 of this title; except that, if such vehicle is less than five years old,
including the current year models, and if the department does not provide the name
of an owner of record to the operator, the buyer shall apply for a bonded title and
the department shall issue such bonded title upon the applicant meeting the
qualifications for such title pursuant to rules promulgated by the department.

(4) Transferring the title of a motor vehicle to an operator to satisfy a debt
incurred in towing an abandoned vehicle is not deemed to be the sale of a motor
vehicle.

Legislative History

Source: L. 2002: Entire part added with relocated provisions, p. 480, � 2, effective July 1. L. 2004: (1)(a) amended, p. 612, � 4, effective January 1, 2005. L. 2009: (1)(a), (2), and (3) amended and (1)(c) and (4) added, (HB 09-1279), ch. 170, pp. 767, 769, �� 9, 11, effective August 5. L. 2017: (1)(b) amended, (SB 17-240), ch. 395, p. 2067, � 55, effective July 1. L. 2018: (1)(b) amended, (SB 18-030), ch. 7, p. 142, � 21, effective October 1. L. 2022: (1)(a) and (4) amended, (HB 22-1314), ch. 416, p. 2932, � 2, effective August 10.