HB16 Alabama 2015 Session

Summary

Primary Sponsor

Paul Beckman

Republican

Session

Regular Session 2015

Title

Vessels, certificate of title, uniform act, requirements, issuance by State Law Enforcement Agency, security agreement, perfection

Summary

HB16 would adopt Alabama's Uniform Certificate of Title for Vessels Act, requiring titles for most vessels and creating a process to apply, issue, and record security interests through the state agency.

What This Bill Does

It adopts the Uniform Certificate of Title for Vessels Act and assigns certificate issuance to the Alabama State Law Enforcement Agency. It requires vessel owners to obtain a certificate of title, with an application and an issuance fee, and it sets rules for how security interests in vessels are perfected and recorded. It also establishes how titles—electronic or written—are created, maintained, and transferred, and it outlines branding for hull-damaged vessels and transitional provisions for existing vessels and records.

Who It Affects

• Vessel owners in Alabama (and buyers) who must apply for and maintain a certificate of title, provide vessel details, pay the issuance fee, and follow transfer or branding procedures.
• Secured parties (lenders) and dealers who hold or record security interests in vessels, since interests must be perfected and tracked through the title system, with processes for releases, transfers, and terminations.

Key Provisions

• Adopts the Uniform Certificate of Title for Vessels Act and designates the Alabama State Law Enforcement Agency to issue certificates of title for vessels.
• Requires the vessel owner to obtain a certificate of title and to apply within specified timeframes, with an issuance fee set at $50 for title-related transactions.
• Provides a process to perfect and maintain security interests in vessels, including how a security interest is added to or reflected on the certificate of title and when perfection occurs.
• Allows for electronic or written certificates of title, with rules governing conversion from electronic to written certificates and the handling of replacements.
• Maintains records and public access provisions for vessel records, including how title brands (e.g., hull-damaged) are noted and how transfers and terminations are recorded.
• Specifies exemptions (e.g., documented vessels, foreign-documented vessels, barges, vessels under construction) and establishes transition rules for vessels affected by the act starting January 1, 2017.
• Details procedures for transfers of ownership, transfers by operation of law, and administrative reviews, as well as penalties for noncompliance related to title branding and termination statements.

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

Subjects

Vessels