Vermont Statutes Title 23 Sec. 3823
Terms Used In Vermont Statutes Title 23 Sec. 3823
- Commissioner: means the Commissioner of Motor Vehicles. See
- following: when used by way of reference to a section of the law shall mean the next preceding or following section. See
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lienholder: means a person holding a security interest in a vessel, snowmobile, or all-terrain vehicle. See
- Owner: means a person, other than a lienholder, having property in or title to a vessel, snowmobile, or all-terrain vehicle. See
- Security agreement: means a written agreement that reserves or creates a security interest. See
- Security interest: means an interest in a vessel, snowmobile, or all-terrain vehicle reserved or created by agreement and that secures payment or performance of an obligation. See
- Snowmobile: means a self-propelled vehicle intended for off-road travel primarily on snow, having a curb weight of not more than 453. See
- State: means a state, territory, or possession of the United States, the District of Columbia, the commonwealth of Puerto Rico, or a province of the Dominion of Canada. See
- Vessel: means every description of watercraft capable of being used as a means of transportation on water that is equipped with machinery capable of propelling the watercraft, whether or not such machinery is the principal source of propulsion, but shall not include a watercraft that has a valid marine document issued by U. See
§ 3823. Perfecting security interest
(a) Unless excepted by section 3822 of this title, a security interest in a vessel, snowmobile, or all-terrain vehicle of a type for which a certificate of title is required is not valid against creditors of the owner or subsequent transferees or lienholders of the vessel, snowmobile, or all-terrain vehicle unless perfected as provided in this chapter.
(b) A security interest is perfected by the delivery to the Commissioner of the existing certificate of title, if any, an application for a certificate of title containing the name and address of the lienholder and the date of his or her security agreement, and the required fee. It is perfected as of the time of its creation if delivery is completed within 20 days thereafter, otherwise as of the time of the delivery.
(c) If a vessel, snowmobile, or all-terrain vehicle is subject to a security interest when brought into this State, the validity of the security interest is determined by the law of the jurisdiction where the vessel, snowmobile, or all-terrain vehicle was when the security interest attached, subject to the following:
(1) If the parties understood at the time the security interest attached that the vessel, snowmobile, or all-terrain vehicle would be kept in this State and it was brought into this State within 30 days thereafter for purposes other than transportation through this State, the validity of the security interest in this State is determined by the law of this State.
(2) If the security interest was perfected under the law of the jurisdiction where the vessel, snowmobile, or all-terrain vehicle was when the security interest attached, the following rules apply:
(A) If the name of the lienholder is shown on an existing certificate of title issued by that jurisdiction, his or her security interest continues perfected in this State.
(B) If the name of the lienholder is not shown on an existing certificate of title issued by that jurisdiction, the security interest continues perfected in this State for four months after a first certificate of title of the vessel, snowmobile, or all-terrain vehicle is issued in this State, and also thereafter if, within the four-month period, it is perfected in this State. The security interest may also be perfected in this State after the expiration of the four-month period; in that case perfection dates from the time of perfection in this State.
(3) If the security interest was not perfected under the law of the jurisdiction where the vessel, snowmobile, or all-terrain vehicle was when the security interest attached, it may be perfected in this State; in that case, perfection dates from the time of perfection in this State.
(4) A security interest may be perfected under subdivision (2)(B) or subdivision (3) of this subsection either as provided in subsection (b) of this section or by the lienholder delivering to the Commissioner a notice of security interest in the form the Commissioner prescribes and the required fee. (Added 1987, No. 152 (Adj. Sess.), § 1; amended 2001, No. 107 (Adj. Sess.), § 19.)