HB306 Alabama 2013 Session

Summary

Primary Sponsor

Craig Ford

Independent

Session

Regular Session 2013

Title

Motor vehicles, liens, release of after four years for specified older vehicles, Sec. 32-8-64.2 am'd

Summary

The bill shortens the lien release period for motor vehicles that are 12 or more model years old from five years to three years after the security agreement.

What This Bill Does

It amends Section 32-8-64.2 to make liens on vehicles 12+ model years old considered satisfied after three years from the date of the security agreement, instead of five years. It preserves the existing rules for travel trailers and for vehicles weighing more than 12,000 pounds gross weight, which are governed by a different section. It allows continued perfection or extension of liens beyond three years through actions such as obtaining a new certificate of title. It requires lien releases to be submitted electronically within 10 days of satisfaction. It also specifies the effective date as the first day of the third month after passage.

Who It Affects

• Owners or purchasers of motor vehicles that are 12 or more model years old with liens, whose lien releases would occur after three years instead of five.
• Lienholders and lenders with security interests in such older vehicles, who may need to adjust processes for earlier releases and may pursue new titles to continue perfection.
• Owners of travel trailers and vehicles weighing more than 12,000 pounds gross weight, who remain subject to the existing rules under Section 32-8-64.

Key Provisions

• Liens on 12+ model-year motor vehicles are considered satisfied and released after three years from the security agreement date (instead of five years).
• Travel trailers and vehicles over 12,000 pounds gross weight remain governed by Section 32-8-64 and are not subject to the three-year release rule.
• Lien perfection or extension beyond three years can still be pursued by applying for a new certificate of title, or under the existing procedures for a continued lien.
• Lien releases must be submitted electronically to the department within 10 days of satisfaction.
• The act becomes effective on the first day of the third month after passage.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Motor Vehicles