Terms Used In Vermont Statutes Title 23 Sec. 3824

  • Commissioner: means the Commissioner of Motor Vehicles. See
  • 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
  • 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

§ 3824. Duties on creation of security interest

If an owner creates a security interest in a vessel, snowmobile, or all-terrain vehicle:

(1) The owner shall immediately execute the application, in the space provided on the certificate of title or on a separate form the Commissioner prescribes, to name the lienholder on the certificate, showing the name and address of the lienholder and the date of his or her security agreement, and cause the certificate, the application, and the required fee to be delivered to the lienholder.

(2) The lienholder shall immediately cause the certificate, the application, and the required fee to be mailed or delivered to the Commissioner.

(3) Upon request of the owner or subordinate lienholder, a lienholder in possession of the certificate of title shall either mail or deliver the certificate to the subordinate lienholder for delivery to the Commissioner or, upon receipt from the subordinate lienholder of the owner’s application and the required fee, mail or deliver them to the Commissioner with the certificate. The delivery of the certificate does not affect the rights of the first lienholder under his or her security agreement.

(4) Upon receipt of the certificate of title, the application, and the required fee, the Commissioner shall either endorse the certificate or issue a new certificate containing the name and address of the new lienholder, and mail the certificate to the first lienholder named in it. (Added 1987, No. 152 (Adj. Sess.), § 1; amended 2001, No. 107 (Adj. Sess.), § 20.)