HB303 Alabama 2019 Session

Summary

Primary Sponsor

Connie C. Rowe

Republican

Session

Regular Session 2019

Title

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

Summary

HB 303 would require Alabama vessel owners to obtain a state certificate of title and creates a uniform system for recording ownership and security interests in vessels.

What This Bill Does

The bill adopts the Uniform Certificate of Title for Vessels Act, requiring titles issued by the Alabama State Law Enforcement Agency and a $50 issuance fee. It sets out how to apply, what information is needed, and when titles must be created, transferred, or replaced, including how security interests are perfected and recorded. It also establishes procedures for transferring ownership, branding hull-damaged vessels, and releasing security interests, with specific timelines and penalties. It provides exceptions for documented/foreign-documented vessels, barges, vessels under construction, and dealer inventory, and sets a January 1, 2021 effective date with transition rules.

Who It Affects

• Vessel owners and buyers in Alabama must obtain a certificate of title, provide ownership and vessel details, and pay the issuance fee.
• Secured parties, lenders, and other lienholders must record and manage security interests on vessel titles, including perfection, transfers, terminations, and releases.

Key Provisions

• Adopts the Uniform Certificate of Title for Vessels Act; the Alabama State Law Enforcement Agency issues titles and collects a $50 fee.
• Applies to vessel transactions after Jan 1, 2021 with specific exceptions (documented/foreign-documented vessels, barges, vessels under construction, dealer inventory).
• Requires owners to apply for a certificate of title with detailed information about ownership, vessel description, and security interests; titles can be electronic or written.
• Perfection of security interests occurs via title action; additions or changes to security interests may be recorded on the title; termination statements and releases are required when interests end.
• Hull Damaged and title brands must be noted on certificates; processes and penalties for improper branding or failure to disclose branding; insurers have specified duties.
• Office maintains records accessible to the public (with some exceptions), maintains long-term records of security interests, and outlines administrative penalties for noncompliance.

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