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HOUSE OF REPRESENTATIVES - FLOOR VERSION
STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
ENGROSSED SENATE
BILL NO. 1243 By: Quinn of the Senate
and
Sneed of the House
An Act relating to motor vehicles; amending 47 O.S.
2021, Section 1105, which relates t o certificates of
title; exempting certain vehicle title transfers from
certain requirements; amending 47 O.S. 2021, Section
1107, which relates to the sale or transfer of
ownership of a vehicle; authorizing the use of an
electronic signature on documents required for the
transfer of ownership of a vehicle resulting from the
settlement of a total loss claim; and providing an
effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 47 O.S. 2021, Section 1105, is
amended to read as follows:
Section 1105. A. As used in the Oklahoma Vehicle License and
Registration Act:
1. “Salvage vehicle” means any vehicle which is within the last
ten (10) model years and which has bee n damaged by collision or
other occurrence to the extent t hat the cost of repairing the
vehicle for safe operation on the highway exceeds sixty percent
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(60%) of its fair market value, as defined by Section 1111 of this
title, immediately prior to the damag e. For purposes of this
section, actual repair costs shal l only include labor and parts for
actual damage to the suspension, motor, transmission, frame or
unibody and designated structural components;
2. “Rebuilt vehicle” means any salvage vehicle which has been
rebuilt and inspected for the purpose of registra tion and title;
3. “Flood-damaged vehicle” means a salvage or rebuilt vehicle
which was damaged by floodin g or a vehicle which was submerged at a
level to or above the dashboard of the vehicle and on which an
amount of loss was paid by the insurer;
4. “Unrecovered-theft vehicle” means a vehicle which has been
stolen and not yet recovered;
5. “Recovered-theft vehicle” means a vehicle, including a
salvage or rebuilt vehicle, which was recovered from a theft; and
6. “Junked vehicle” means any vehicle which is incapable of
operation or use on the highway, has no resale value except as a
source of parts or scrap and has an eighty percent (80%) loss in
fair market value.
B. The owner of every vehicle i n this state shall possess a
certificate of title as proof of ownership of such vehicle, except
those vehicles registered pursuant to Section 1120 of this title and
trailers registered pursuant to Section 1133 of this title,
previously titled by anyone in another state and engaged in
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interstate commerce, and exce pt as provided in subsection M of this
section. Except for owners that possess an agricultural exemption
permit pursuant to Section 1358.1 of Title 68 of the Oklahoma
Statutes, the owner of an all -terrain vehicle or a motorcycle used
exclusively off roads or highways in this state whi ch is purchased
or the ownership of which is transferred on or after July 1, 2005,
and the owner of a utility vehicle used exclusively off roads and
highways in this state which is purchased or the ownership of which
is transferred on or after July 1, 2008 , shall possess a certificate
of title as proof of ownership. Any person pos sessing an
agricultural exemption permit and owning an all -terrain vehicle or a
motorcycle used exclusively off roads or highways in this state
which is purchased or the ownership of which is transferred on or
after July 1, 2008, shall possess a certificat e of title as proof of
ownership. Upon receipt of proper application information by such
owner, the Oklahoma Tax Commission shall issue an original or
transfer certificate of tit le. Until July 1, 2008, any security
interest in an all-terrain vehicle that attached and was perfected
before July 1, 2005, and that has not otherwise terminated shal l
remain perfected, and shall take priority over any subse quently
perfected security int erest in the same all-terrain vehicle,
notwithstanding that a certificate of title may have been issued
with respect to the same all -terrain vehicle on or after July 1,
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2005, and that a lien may have been recorded on said cert ificate of
title. There shall be eight types of certificates of title:
1. Original title for any motor ve hicle which is not a
remanufactured, salvage, unrecovered -theft, rebuilt, rebodied or
junked vehicle;
2. Salvage title for any motor vehicle which i s a salvage
vehicle or is specified as a salvage vehicle or the equivalent
thereof on a certificate of titl e from another state;
3. Rebuilt title for any motor vehicle which is a rebuilt
vehicle;
4. Junked title for any motor vehicle which is a junked ve hicle
or is specified as a jun ked vehicle or the equivalent thereof on a
certificate of title from another state;
5. Classic title for any motor vehicle, except a junked
vehicle, which is twenty -five (25) model years or older;
6. Remanufactured title for any vehicle which is a
remanufactured vehicle;
7. Unrecovered-theft title for any motor vehicle which has been
stolen and not recovered; and
8. Rebodied title for any motor vehicle which is a reb odied
vehicle.
Application for a certificate of title, whe ther the initial
certificate of title or a duplicate, may be made to the Tax
Commission or any motor licens e agent. When application is made
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with a motor license agent, the application information shall be
transmitted either electronically or by mail to t he Tax Commission
by the motor license agent. If the application information is
transmitted electronically , the motor license agent shall forward
the required application along with evidence of own ership, where
required, by mail. Where the transmission o f application
information cannot be performed electronically, the Tax Commission
is authorized to provide p ostage paid envelopes to motor license
agents for the purpose of mailing the application al ong with
evidence of ownership, where required. The Tax C ommission shall
upon receipt of proper application information issue an Oklahoma
certificate of title. The certificates may be mailed to the
applicant. Upon issuance of a certificate of title, the Tax
Commission shall provide the appropriate motor licens e agent with
confirmation of such issuance.
C. 1. The application for certificate of title shall be upon a
blank form furnished by the Tax Commission, containing:
a. a full description of the vehi cle,
b. the manufacturer’s serial or other identification
number,
c. the motor number and the date on which first sold by
the manufacturer or dealer to the owner,
d. any distinguishing marks,
e. a statement of the applicant ’s source of title,
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f. any security interest upon the vehicle, and
g. such other informatio n as the Tax Commission may
require.
2. The application for a certificate of title for a vehicle
which is within the last seven (7) model years shall require a
declaration as to whether the vehicle has been damaged by collision
or other occurrence and whe ther the vehicle has been reco vered from
theft and the extent of the damage to the vehicle. The declaratio n
shall be made by the owner of a vehicle if:
a. the vehicle has been damaged or stolen,
b. the owner did or did not receive any payment for the
loss from an insurer, or
c. the vehicle is titled or registered in a state that
does not classify the vehicle o r brand the title
because of damage to or loss of the vehicle similar to
the classifications or brands utilized by this state.
The declaration shall be based upon the best informa tion and
knowledge of the owner and shall be in addition to the requirements
specified in paragraph 1 of this subsection. The Tax Commission
shall not issue a certific ate of title for a vehicle which is
subject to the provisi ons of this paragraph without the required
declaration, completed and signed by the owner of the vehicle. Upon
receipt of an application without the properly completed
declaration, the Tax Commissi on shall return the application to the
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applicant with notice that the title may not be i ssued without the
required declaration. Nothing in this paragraph shall proh ibit the
Tax Commission from recognizing the type of or brand on a title or
other ownership document issued by another state or the inspection
conducted in another state and issui ng the appropriate certificate
of title for the vehicle.
3. The certificate of title shall have the following security
features:
a. intaglio printing or security threa d, with or without
watermark,
b. latent images,
c. fluorescent inks,
d. micro print,
e. void background, and
f. color coding.
4. Each title issued pursuant to the p rovisions of the Oklahoma
Vehicle License and Registration Act shall be color coded as
determined by the Tax Commission.
5. The certificate of title shall be of such size and des ign
and color as the Tax Commission may direct pursuant to the
provisions of this section. The title shall be on colored paper or
other material as designated by the T ax Commission and be of such
intensity or hue as will allo w easy identification as to wh ether the
title is an original title, a salvage title, a rebuilt title,
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remanufactured title, rebodied title or a junked title. The type of
title shall be identified o n the front of the certificate of title.
The original title, rebuilt title, remanufactu red title, an
unrecovered-theft title, rebodied title or classic title shall be
identified by the word “Original”, “Rebuilt”, “Remanufactured”,
“Unrecovered Theft”, “Rebodied” or “Classic” printed in the upper
right quadrant of the certificate of title, in the space which is
currently captioned “type of title”. A rebodied title sh all also
identify on the front of the title the year, make and model of the
originally manufactured vehicle which has been rebodied and display
a notation that reads as follows: “This vehicle has been assembled
with new major components licensed by the ori ginal manufacturer”.
D. 1. To obtain an original certificate of title for a vehicle
that is being registered for the first time in this state which has
not been previously regis tered in any other state, the applicant
shall be required to deliver, as evid ence of ownership, a
manufacturer’s certificate of origin properly assigned by the
manufacturer, distributor, or dealer licensed in this or any other
state shown thereon to be the last transferee to the applicant upon
a form to be prescribed and approved b y the Tax Commission. A
manufacturer’s certificate of origin shall contain:
a. the manufacturer’s serial or other identification
number,
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b. date on which first sold by the manufa cturer to the
dealer,
c. any distinguishing marks including model and the yea r
same was made,
d. a statement of any security interests upon the
vehicle, and
e. such other information as the Tax Commission may
require.
2. The manufacturer’s certificate of origin shall have the
following security features:
a. intaglio printing or se curity thread, with or without
watermark,
b. latent images,
c. fluorescent inks,
d. micro print, and
e. void background.
E. In the absence of a deal er’s or manufacturer’s number, the
Tax Commission may assign such identifying number to the vehicle,
which shall be permanently stamped, burned or pressed or attached
into the vehicle, and a certifi cate of title shall be delivered to
the applicant upon pay ment of all fees and taxes, an d the remaining
copies shall be permanently filed and indexed by the Tax Comm ission.
The Tax Commission shall assign an identifying number to any rebuilt
vehicle if the vehicle identification number displayed on the
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rebuilt vehicle does not accurately des cribe the vehicle as rebuilt.
The motor license agent, at the time of inspec tion of the rebuilt
vehicle pursuant to Section 1111 of this title, shall identify the
make, model, and year for the body to accurately describe the
rebuilt vehicle. At the time of the inspection, an appropriate
identifying number shall be permanently sta mped, burned, pressed, or
attached on the rebuilt vehicle. The assigned identifying number
shall be recorded on the certificate of title for the reb uilt
vehicle. The dealer ’s or manufacturer’s vehicle identification
number on the rebuilt vehicle shall be preserved in the computer
files of the Tax Commission for at least five (5) years.
F. When registering for the first time in this state a vehicle
which was not originally manufa ctured for sale in the United States,
to obtain a certificate of title, the T ax Commission shall require
the applicant to deliver:
1. As evidence of ownership, if the vehicle has not previously
been titled in the United State s, the documents constituting valid
proof of ownership in the country in which the vehicle was
originally purchased, together with a notarized translation of any
such documents; and
2. As evidence of compliance with federal law, copies of the
bond release letters for the vehicle issue d by the United States
Environmental Protection Agency and the United States Department of
Transportation, together with a receipt issued by the Internal
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Revenue Service indicating that the applicable federal gas guzzler
tax has been paid.
The Tax Commission shall not issue a certificate of title for a
vehicle which is subject to t he provisions of this paragraph without
the required documentation from agencies of the Uni ted States and
evidence of ownership. Upon receipt of an application without the
required documentation, the Tax Commission shall return the
application to the appl icant with notice that the certificate of
title may not be issued without the required docu mentation. Nothing
in this paragraph shall prohibit the T ax Commission from issuing
certificates of title for antique or classic vehicles not driven
upon the public streets, roads, or highways, for mini -trucks
registered pursuant to Section 1151.3 of this title, or for medium-
speed electric vehicles.
G. When registering in this state a vehi cle which was titled in
another state and which title contains the name of a secured party
on the face of the other state certificate of title, or such state
certificate is being held by the secured party in that state or any
other state, the Tax Commissio n or the motor license agent shall
complete a lien entry form as prescribed b y the Tax Commission. The
owner of such vehicle shall file an affidavit with the Tax
Commission or the motor license agent stating that title to the
vehicle is being held by a se cured party, has not been issued
pursuant to the laws of the state where titl ed, and that there is an
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existing lien or encumbrance on the vehicle. The current name and
address of the secured party or lienholder shall also be stated in
the affidavit. The form of the affidavit shall be prescribed by the
Tax Commission and contain a ny other information deemed necessary by
the Tax Commission. A statement of the lien or en cumbrance shall be
included on the Oklahoma certificate of title and the lien or
encumbrance shall be deemed continuously perfected as though it had
been perfected pursuant to Section 1110 of this title. For
completing the lien entry form and recording th e security interest
on the certificate of title, the Tax C ommission or the motor license
agent shall collect a fee of Three Dollars ($3.00) which shall be in
addition to other fees provided by the Oklahoma Vehicle License and
Registration Act. The fee, if collected by the motor license agent
pursuant to this sub section, shall be retained by the motor license
agent.
H. The charge for each certificate of title issued, except for
junked titles as defined in paragraph 4 of subsection B of this
section, shall be Eleven Dollars ($11.00), which charge shall be in
addition to any other fees or taxes imposed by law for such vehicle.
One Dollar ($1.00) of each such charge sha ll be deposited in the
Oklahoma Tax Commission Reimbursement Fund. However, the charge
shall not apply to any vehicle which is to be registered in t his
state pursuant to the prov isions of Section 1120 or 1133 of this
title and which was registered in anot her state at least sixty (60)
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days prior to the time it is required to be registered in thi s
state. When an insurer requests a salvage or junk title in the name
of the insurer resulting from the settlement of a total loss claim
and upon presentation of ap propriate proof of loss documentation as
required by the Commission, such transfer may be p rocessed as one
title transaction, without first requiring issuance of a replacement
certificate of title in the name of the vehicle owner. The fee
shall be Twenty-two Dollars ($22.00). Two Dollars ($2.00) of this
fee shall be deposited in the Oklahoma T ax Commission Reimbursement
Fund.
I. The vehicle identifi cation number of a junked vehi cle shall
be preserved in the computer files of the Tax Commission for a
period of not less than five (5) years. The charge of junked titles
as defined in paragraph 4 of subsection B of this section shall be
Four Dollars ($4.00). The fee remitted to the Tax Commission shall
be deposited in the Oklahoma Tax Commission Reimbursemen t Fund.
J. If a vehicle is sold to a resident of another state
destroyed, dismantled, or c eases to be used as a vehicle, the owner
shall immediately notify the Tax Commission. A bsent evidence to the
contrary, failure to notify the Tax Commission shall be prima facie
evidence that the vehicle has been in continuous operation in this
state.
K. If a vehicle is stolen, the owner shall immediately notify
the appropriate law enforceme nt agency. Immediately after receiving
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such notification, the law enforcemen t agency shall notify the Tax
Commission.
L. Except for all-terrain vehicles, utility vehi cles and
motorcycles used exclusively for off -road use, no title for an out-
of-state vehicle, except any commercial truck or truck -tractor
registered pursuant to Sec tion 1120 of this title which is engaged
in interstate commerce or any trailer or semitrail er registered
pursuant to Section 1133 of this title which is engaged in
interstate commerce, shall be issued without an inspection of such
vehicle and payment of a fee of Four Dollars ($4.00) for such
inspection; provided, the Tax Commission may enter int o reciprocal
agreements with other states for such inspect ions to be performed at
locations outside the boundaries of this state for vehicles which:
1. Are offered for sale at auction;
2. Have been solely used as vehicles for rent under the
ownership of a licensed motor vehicle dealer or a person engaged in
the business of renting motor veh icles; or
3. Have not been registered in this or any other state for more
than one (1) year.
The inspection shall include a comparison of the vehicle
identification number on the vehicle with the number recorded on the
ownership records and the recording of the actual odometer reading
on the vehicle. The four -dollar fee shall be collected by the motor
license agent or Tax Commission when the title is issued. The motor
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license agent shall retain Two Dollars ($2.00). The rema ining Two
Dollars ($2.00) shal l be deposited in the Oklahoma Tax Commission
Reimbursement Fund.
The Tax Commission may allow the inspection to be performed at a
location out-of-state by another stat e’s department of motor
vehicles or state police.
M. No title for any out-of-state vehicle offered for sale at
salvage pools, salvage disposal sales, or an auction, or by a dealer
or a licensed automotive dismantler and parts recycler, shall be
issued without an inspection to compare the vehicle identification
number on the vehicle with the number recorded on the ownership
record and to record the actual odometer rea ding on the vehicle. On
or after the effective date of this act, vehicles that require a
transfer to a salvage title or junked title resulting from a n
insurance claim that utilizes an out-of-state or tribal title shall
be exempt from the requirements of this subsection. Upon request of
the seller, person or entity conducting an auction, dealer or
licensed dismantler, the inspection shall be conducted a t the
location or place of b usiness of the sale, auction, dealer, or the
dismantler. The inspection shall be conducted by any motor license
agent or a duly authorized employee thereof; provided, if the
vehicle identification number on the vehicle offered for sale at
salvage pools, salvage disposal sales or a classic or antique
auction does not match the number recorded on the ownership record,
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the inspection may be conducted at the location of or place of
business of such sale or auction by any state, coun ty or city law
enforcement officer. The Tax Commission may enter into reciprocal
agreements with other states for such inspections to be performed at
locations outside the boundaries of this stat e for vehicles which:
1. Are offered for sale at auction;
2. Have been solely used as vehicles for rent under the
ownership of a licensed motor vehicle dealer or a person engaged in
the business of renting motor vehicles; or
3. Have not been registered in this or any other state for more
than one (1) year.
The inspection shall be certified upon forms prescribed by the Tax
Commission. The name and other identi fication of the authorized
person conducting the inspection shall be legibly printed or typed
on the form. Prior to any inspection by any employee of a mot or
license agent, the motor license agent shall notify the Tax
Commission of the name and any other identification information
requested by the Tax Commission of the authorized person. A
signature specimen of the authorized person shall be submitted to
the Tax Commission by the empl oying motor license agent. If the
authorization to inspect vehicles is withdrawn or the employer -
employee relationship is terminated, the motor license agent,
immediately, shall notify the Tax Commission and return any
remaining inspection forms to the Ta x Commission. The fee for the
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inspection shall be Four Dollars ($4.00). The motor license agent
shall retain Three Dollars ($3.00) of the fee. Fees received by a
motor license agent or an authorized employee thereof shall be
handled and accounted for in the manner as prescribed by law for any
other fees paid to or received by a motor license agent. Out -of-
state vehicles brought into this state by a person licensed in
another state to sell new or used vehicles to be sold withi n this
state at a motor vehi cle auction which is limited to dealer -to-
dealer transactions shall not be required to be inspected, unless
the vehicle is purchased by an Oklahoma dealer. Any person licensed
in another state to sell new or used motor vehicles , who offers a
motor vehicle for sale within this state at a motor vehicle auction
which is limited to dealer-to-dealer transactions, shall not be
within the definition of “owner” in Section 1102 of this title, for
purposes of Section 1101 et seq. of this title.
N. A licensed motor vehicle dealer, upon payment of a fee of
Fifteen Dollars ($15.00), may r eassign an out-of-state certificate
of title to a used motor vehicle provided such dealer obtain s the
appropriate inspection form required by either subsect ion L or M of
this section and attaches the form to the out-of-state certificate
of title. Motor license agents shall be allowed to retain Two
Dollars and twenty-five cents ($2.25) of the fee plu s an additional
Two Dollars ($2.00) or Three Dollars ($3.00) as provided in
subsections L and M of this section for performance of the
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inspection. Two Dollars ($2.00) of the fee shall be deposited in
the Tax Commission Reimbursement Fund. An out -of-state vehicle
which has been rebuilt shall be inspected pursuant to the provisions
of Section 1111 of this title. The Tax Commission shall train motor
license agents in interpreting vehicle identification numbers to
assure that it accurately describes the vehi cle and to detect
rollback or alteration of the odometer. F ailure of a motor license
agent to inspect the vehicle and make the required notations shall
be a misdemeanor punishable by a fine of not more than One Thousand
Dollars ($1,000.00) for the first o ffense and Five Thousand Dollars
($5,000.00) for the second offense or subsequent offens e, or by
imprisonment in the county jail for not more than six (6) month s, or
by both such fine and imprisonment.
O. The ownership of any unrecovered vehicle which has been
declared a total loss by an insurer because of theft s hall be
transferred to the i nsurer by an unrecovered-theft vehicle title;
provided, the ownership of any such vehicle which has been declared
a total loss by an insurer licensed by the Insurance D epartment of
the State of Oklahoma and maintaining a multi -state motor vehicle
salvage processing center in this state shall be transferred to the
insurer by a salvage or an unrecovered -theft title without the
requirement of a visual inspection of the vehi cle identification
number by the insurer. Upon recovery of the vehicle, the ownership
shall be transferred by an original title, salvage title, or junked
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title, as may be appropriate based upon an estimate of the amount of
loss submitted by the insurer.
P. When an insurance company makes a total loss settlement o n a
total loss vehicle and t he insurance company or a salvage pool
authorized by the insurance compa ny is unable to obtain the properly
endorsed certificate of ownership or other evidence of owner ship
acceptable to the Oklahoma Tax Commission within thirty (30) days
following acceptance by the owner of an offer of an amount in
settlement of a total loss, that insurance company or salvage pool,
on a form provided by the Oklahoma Tax Commission and s igned under
penalty of perjury, may request the Oklahoma Tax Commission to issue
the applicable salvage title for the vehicle. The request shall
include information declaring that the requester has made at least
two written attempts to obtain the certific ate of ownership or other
acceptable evidence of title.
Q. The owner of any vehicle whi ch is incapable of operation or
use on the public roads and has no resal e value, except as parts,
scrap or junk, may deliver the certificate of title to the vehicle
to the Tax Commission for cancellation. Upon verification that any
perfected lien against the vehicle has been released, the
certificate of title shall be cancele d without any fee, charge, or
cost required from the owner. The vehicle identification numbers on
the certificates of title shall be preserved in the compu ter files
of the Tax Commission for at least five (5) years from the date of
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cancellation of the cer tificate of title. The Tax Commission shall
prescribe and provide an affidavit form to be compl eted by the owner
of any vehicle for which the certificate o f title is canceled. No
title or registration shall subsequently be issued for a vehicle for
which the certificate of title has been surrendered pursuant to this
subsection. The Tax Commission s hall prescribe a form for the
transfer of ownership of a veh icle for which the certifica te of
title has been canceled.
R. The owner of a vehicle which is not w ithin the last ten (10)
model years, not roadworthy and not capable of repair for operation
or use on the roads and highways, or a vehicle which is being so ld
to a scrap metal dealer p ursuant to Section 11-92 of Title 2 of the
Oklahoma Statutes, shall tran sfer the vehicle only upon a
certificate of ownership prescribed by the Tax Commission, if the
certificate of title to the vehicle is lost, has been cancele d, or
otherwise not availabl e. The prescribed ownership form shall
include the names and addresses of the buyer and seller, the driver
license number or social security number of the seller, the make and
model of the vehicle, and the public vehicle identi fication number.
If there is no public vehicle identification number, the vehicle
shall be inspected by a law enforcement officer to verify the
absence of the number on the vehicle and the prescr ibed ownership
form shall include a signed statement, by suc h officer, verifying
the absence of the number.
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The certificate of ownership shall be completed in t riplicate.
The buyer and seller shall each retain a copy. Within thirty (30)
days of the transaction, the seller shall submit one copy to the Tax
Commission or a motor license agent accompanied with a fee of Four
Dollars ($4.00). One Dollar ($1.00) shal l be retained by the motor
license agent and Three Dollars ($3.00) shall be deposited in the
Oklahoma Tax Commission Reimbursement Fund in the State Treasur y.
Upon receipt of the certi ficate, the Tax Commission shall verify
that any perfected lien upon the vehicle has been released. If the
lien is not released, the Tax Commission shall mail notice o f the
transfer to the lienholder at the lienholder ’s last-known address.
If a certificate of title has been issued, it shall be canceled and
the vehicle identification number shall be preserved in the computer
of the Tax Commission for at least five (5) y ears. The buyer of the
vehicle may not be sued and shall no t be liable for monetary dam ages
to the lienholder, however, the vehicle shall be subject to a valid
repossession by a lienholder.
S. The Tax Commission shall notify the chief administrative
officer of the agency or department responsible for issuing moto r
vehicle certificates of ti tle in each state in the United States of
the types of motor vehicle cer tificate of title effective in
Oklahoma on and after January 1, 1989.
T. When registering for t he first time in this state a
remanufactured vehicle which h as not been registered in an y other
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state since its remanufacture, before issuing a certificate of
title, the Tax Commission shall require the applicant to deliver a
statement of origin from the r emanufacturer.
U. If a vehicle is sold to a foreign buyer p ursuant to the
provisions of the Automotive Dismantlers and Parts Recycler Act, the
licensed seller shall stamp the title with: “EXPORT ONLY.
NONTRANSFERABLE IN THE UNITED STATES. ” The licensed seller shall
supply the Tax Commission the title number, th e vehicle
identification number and the foreign buyer’s bid identification
number on a form prescrib ed by the Tax Commission. The Tax
Commission shall cancel the title, and the vehicle identifica tion
number shall be preserved in the computer files of the Tax
Commission for a period of not less than five (5) years.
V. The Tax Commission shall not be con sidered a necessary party
to any lawsuit which is instigated for the purpose of determining
ownership of a vehicle, wherein the Tax Commission ’s only
involvement would be to issue titl e, and the court shall issue an
order dismissing the Tax Commission from the pending action. In the
event no other party or lienholder can be identified as to ownershi p
or claim, the Tax Commission shall accept an affidavit of ownership
from the party claiming ownership and issue proper title thereon.
SECTION 2. AMENDATORY 47 O.S. 2021, Section 1107, is
amended to read as follows:
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Section 1107. A. In the event of the sale or transfer of the
ownership of a vehicle for which a cer tificate of title has been
issued as provided by Section 1105 of this title, the holder of such
certificate shall endorse on the back of same a compl ete assignment
thereof with warranty of title in form printed thereon with a
statement of all liens or encu mbrances on the vehicle, sworn to
before a notary public or some other person authorized by law to
take acknowledgments, and deliver same to the purc haser or
transferee at the time of delivery to the purchaser or transferee of
the vehicle; provided, a tran sfer of the ownership of a vehicle to
an insurer resulting from the settlement of a total l oss claim shall
not require a notarized signature on the c ertificate of title. In
the event that any other documents required for a transfer of the
ownership of a vehicle to an insurer resulting from the settlement
of a total loss claim require a notarized signature, such documents
shall be permitted to be signed electronically pursuant to Section
15-109 of Title 12A of the Oklahoma Statutes in lieu of such
requirement. The purchaser or transferee, unless such person is a
bona fide used motor vehicle dealer licensed by this state, a retail
implement dealer in con nection with the purchase or transfer of off-
road vehicles or a charitable organization shall, within thir ty (30)
days from the time of delivery to the purchaser or transferee of the
vehicle, present the assigned certificate of title and the insurance
security verification to the vehicle to the Oklahoma Tax Commission,
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or one of its motor license agents, accom panied by a fee of Eleven
Dollars ($11.00), together with any motor vehicle excise tax or
license fee that may be due, whereupon a new certificate of title,
shall be issued to the assignee. One Dollar ($1.00) of each fee
shall be deposited in the Oklahoma Tax Commission Reimbursement
Fund. Any charitable organization utilizing the exemption
authorized by this subsection shall receive training as presc ribed
by the Oklahoma Used Motor Vehicle and Parts Commission.
B. A licensed dealer, a retail implement d ealer in connection
with the sale or disposal of off -road vehicles or a charitable
organization shall, on selling or otherwise disposing of a vehicle,
execute and deliver to the purchaser thereof the certificate of
title properly and completely reassigned. Thereupon, the purchaser
of the vehicle shall present the reassigned certificate to the
Commission, or a motor license agent, accompanied by a fee o f Eleven
Dollars ($11.00), and any motor vehicle excise tax or license fee
that may be due, whereupon a ne w certificate of title will be issued
to the purchaser. One Dollar ($1.00) of each fee shall be deposited
in the Oklahoma Tax Commission Reimbursemen t Fund. The certificate,
when so assigned and returned to the Commission, together with any
subsequent assignment or reissue thereof, shall be appropriately
filed and indexed so that at all times it will be possible to trace
title to the vehicle designate d therein. Provided, when the
ownership of any motor vehicle shall pass by operation of law, the
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person owning the vehicle may, upon furnishing satisfactory proof to
the Commission of ownership, procure a title to the motor vehicle,
regardless of whether a certificate of title has ever been issued.
The dealer shall execute and deliver to the purchaser bills of sale
on forms prescribed by the Commission for all new vehicles sold by
the dealer. On presentation of a bill of sale executed on forms
prescribed by the Commission, by a manufacturer or dealer for a new
vehicle sold in this state, accompanied by remit tance in the sum of
Eleven Dollars ($11.00), together with any motor vehicle excise tax
or license fee that may be due, a certificate of title shall b e
issued in accordance with the provisions of the Oklahoma Vehicle
License and Registration Act. One Doll ar ($1.00) of each fee shall
be deposited in the Oklahoma Tax Commission Reimbursement Fund. For
purposes of this subsection, “charitable organizatio n” shall mean
any organization which is exempt from taxation pursuant to the
provisions of the Internal Re venue Code, 26 U.S.C., Section
501(c)(3) and which is registered as a charitable organization with
the Oklahoma Secretary of State and the Oklahoma At torney General’s
office; “off-road vehicles” means all-terrain vehicles, utility
vehicles, and motorcycles used exclusively for off-road use; “retail
implement dealer” means a business engaged primarily in the sale of
farm tractors as defined in Section 1 -118 of this title or
implements of husbandry as defined in Section 1 -125 of this title or
a combination thereof.
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C. Any person violating the provisions of this section shall be
guilty of a misdemeanor and upon the first conviction thereof shall
be punished by a fine not to exceed Five Hundred Dollars ($500.00),
with impoundment of the vehicle until all taxes and fees are paid.
A second or subsequent conviction shall be punished by a fine not to
exceed One Thousand Dollars ($1,000.00), with impoundment of the
vehicle until all taxes and fees are paid. If a vehicle is
impounded pursuant to the provisions of th is section, the vehicle
shall not be released to the owner until the owner provides proof of
security or an affidavit that the vehicle will not be use d on public
highways or public streets, as required pursuant to Section 7 -600 et
seq. of this title. Each vehicle involved in a violation of this
section shall be considered a separate offense.
SECTION 3. This act shall become effectiv e November 1, 2022.
COMMITTEE REPORT BY: COMMITTEE ON INSURANCE, dated 04/06/2022 - DO
PASS.