(a)As used in this section, "transferring party"
has the meaning set forth in IC 9-17-3-0.6.
(b)If a motor vehicle or watercraft for which a certificate of title has
been issued is sold or if the ownership of the motor vehicle or
watercraft is transferred in any manner other than by a transfer on death
conveyance under IC 9-17-3-9, in addition to complying with IC 9-17-3-3.4, the transferring party must do the following:
(1)In the case of a sale or transfer between dealers licensed by
this state or another state, deliver or transmit the certificate of title
within thirty-one (31) days after the date of the sale or transfer.
(2)Deliver or transmit the certificate of title to the purchaser or
transferee within thirty-one (31) days after the date of sale or
transfer to the purchaser or tr
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(a) As used in this section, "transferring party"
has the meaning set forth in IC 9-17-3-0.6.
(b) If a motor vehicle or watercraft for which a certificate of title has
been issued is sold or if the ownership of the motor vehicle or
watercraft is transferred in any manner other than by a transfer on death
conveyance under IC 9-17-3-9, in addition to complying with IC 9-17-3-3.4, the transferring party must do the following:
(1) In the case of a sale or transfer between dealers licensed by
this state or another state, deliver or transmit the certificate of title
within thirty-one (31) days after the date of the sale or transfer.
(2) Deliver or transmit the certificate of title to the purchaser or
transferee within thirty-one (31) days after the date of sale or
transfer to the purchaser or transferee of the motor vehicle or
watercraft, if all the following conditions exist:
(A) The transferring party is a dealer licensed by the state under
this article.
(B) The dealer is not able to deliver or transmit the certificate
of title at the time of sale or transfer.
(C) The dealer provides the purchaser or transferee with an
affidavit under section 2 of this chapter.
(D) The purchaser or transferee has made all agreed upon initial
payments for the motor vehicle or watercraft, including delivery
of a trade-in motor vehicle or watercraft without hidden or
undisclosed statutory liens.
(3) Keep proof of delivery or transmission of the certificate of title
with the dealer records.
(c) A dealer may offer for sale a motor vehicle or watercraft for
which the dealer does not possess a certificate of title, if the dealer can
comply with subsection (b)(1) or (b)(2) at the time of the sale.
(d) A dealer that fails to deliver or transmit the certificate of title
within the time specified under subsection (b) is subject to the
following civil penalties:
(1) One hundred dollars ($100) for the first violation in a calendar
year.
(2) Two hundred fifty dollars ($250) for the second violation in a
calendar year.
(3) Five hundred dollars ($500) for all subsequent violations in a
calendar year.
Payment shall be made to the secretary and deposited in the dealer
enforcement account established under IC 9-32-7-2.
(e) If a purchaser or transferee does not receive a valid certificate of
title within the time specified by this section, the purchaser or
transferee has the right to return the motor vehicle or watercraft to the
dealer ten (10) days after giving the dealer written notice demanding
delivery or transmission of a valid certificate of title and the dealer's
failure to deliver or transmit a valid certificate of title within that ten
(10) day period. Upon return of the motor vehicle or watercraft to the
dealer in the same or similar condition as delivered to the purchaser or
transferee under this section, the dealer shall pay to the purchaser or
transferee the purchase price plus sales taxes, finance expenses,
insurance expenses, and any other amount paid to the dealer by the
purchaser or transferee. The relief referenced in this subsection is relief
for the purchaser or transferee only and does not preclude the ability of
the division to collect civil penalties under subsection (d).
(f) For purposes of this subsection, "timely deliver", with respect to
a third party, means to deliver or transmit to the purchaser or transferee
by postmark dated mail, electronically dated transmission, or by hand
delivery not more than ten (10) business days after there is no
obligation secured by the motor vehicle or watercraft. If the dealer's
inability to timely deliver or transmit a valid certificate of title results
from the acts or omissions of a third party that has failed to timely
deliver or transmit a valid certificate of title to the dealer, the dealer is
entitled to claim against the third party one hundred dollars ($100). If:
(1) the dealer's inability to timely deliver or transmit a valid
certificate of title results from the acts or omissions of a third
party that has failed to timely deliver or transmit the certificate of
title in the third party's possession to the dealer; and
(2) the failure continues for ten (10) business days after the dealer
gives the third party written notice of the failure;
the dealer is entitled to claim against the third party all damages
sustained by the dealer in rescinding the dealer's sale with the
purchaser or transferee, including the dealer's reasonable attorney's
fees.
(g) If a motor vehicle or watercraft for which a certificate of title has
been issued by another state is sold or delivered, the person selling or
delivering the motor vehicle or watercraft shall deliver or transmit to
the purchaser or receiver of the motor vehicle or watercraft a proper
certificate of title with an assignment of the certificate of title in a form
prescribed by the bureau.
(h) A dealer shall make payment to a third party to satisfy any
obligation secured by the motor vehicle or watercraft sold by or traded
to the dealer not later than ten (10) days after the motor vehicle or
watercraft is delivered to or sold by the dealer.
(i) Except as provided in subsection (j), a person that violates this
section commits a Class C infraction.
(j) A person that knowingly or intentionally violates subsection
(b)(1), (b)(2), or (e) commits a Class B misdemeanor.
(k) For purposes of this section, "deliver or transmit the certificate
of title" means to deliver or transmit the certificate of title to the
purchaser or transferee by postmark dated mail, certified mail with
return receipt, electronic transmission through the bureau's file system,
or hand delivery.