A dealer may offer for sale, sell, or exchange a vehicle without a certificate of title if the dealer complies with the following applicable provisions:

(1) The dealer has a record of purchase, sale, or exchange of a vehicle to include the satisfaction of any outstanding liens or encumbrances and a secured power of attorney;

Terms Used In South Dakota Codified Laws 32-6B-20.2

  • Lien: A claim against real or personal property in satisfaction of a debt.
  • Power of attorney: A written instrument which authorizes one person to act as another's agent or attorney. The power of attorney may be for a definite, specific act, or it may be general in nature. The terms of the written power of attorney may specify when it will expire. If not, the power of attorney usually expires when the person granting it dies. Source: OCC

(2) If the vehicle is encumbered by a lien noted on the title, the dealer shows that payment has been tendered to the lienholder for the amount of the lien, except a lien that is the result of dealer inventory financing; or

(3) If the dealer is required by law to obtain title prior to offering the vehicle for sale and the dealer has applied for title through the electronic on-line title system and has submitted the documents to the department.

This section does not relieve a dealer from the provisions of § 32-3-7.

Source: SL 2005, ch 159, § 3.

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