306.435. Repossessed vessels, motorboats and outboard motors, certificate of title--application, procedure, fee, form of--notice--issued, when--director of revenue, duties, rulemaking authority.

MISSOURI STATUTES AND CODES

306.435. Repossessed vessels, motorboats and outboard motors, certificate of title--application, procedure, fee, form of--notice--issued, when--director of revenue, duties, rulemaking authority.

Repossessed vessels, motorboats and outboard motors, certificate oftitle--application, procedure, fee, form of--notice--issued,when--director of revenue, duties, rulemaking authority.

306.435. 1. When the holder of any indebtedness secured by asecurity agreement or other contract for security covering an outboardmotor, motorboat, vessel, or watercraft who has a notice of lien on filewith the director of revenue repossesses the outboard motor, motorboat,vessel, or watercraft either by legal process or in accordance with theterms of a contract authorizing the repossession of the outboard motor,motorboat, vessel, or watercraft without legal process, the holder mayobtain a certificate of ownership from the director of revenue uponpresentation of:

(1) An application form furnished by the director of revenue whichshall contain a full description of the outboard motor, motorboat, vessel,or watercraft and the manufacturer's or other identifying number;

(2) A notice of lien receipt or the original certificate of ownershipreflecting the holder's lien; and

(3) An affidavit of the holder, certified under penalties of perjuryfor making a false statement to a public official, that the debtordefaulted in payment of the debt, and that the holder repossessed theoutboard motor, motorboat, vessel, or watercraft either by legal process orin accordance with the terms of the contract, and the specific addresswhere the outboard motor, motorboat, vessel, or watercraft is held. Suchaffidavit shall also state that the lienholder has the written consent fromall owners or lienholders of record to repossess the outboard motor,motorboat, vessel, or watercraft or has provided all the owners orlienholders with written notice of the repossession.

2. On an outboard motor, motorboat, vessel, or watercraft, thelienholder shall first give:

(1) Ten days' written notice by first class United States mail,postage prepaid, to each of the owners and other lienholders, if any, ofthe outboard motor, motorboat, vessel, or watercraft at each of their lastmailing addresses as shown by the last prior certificate of ownership, ifany issued, or the most recent address on the lienholder's records, that anapplication for a repossessed title will be made; or

(2) The lienholder may, ten days prior to applying for a repossessiontitle, include the information in the above notice in the appropriateuniform commercial code notice under sections 400.9-613 or 400.9-614, RSMo.Such alternative notice to all owners and lienholders shall be valid andenforceable under both the uniform commercial code and this section,provided it otherwise complies with the provisions of the uniformcommercial code.

3. Upon the holder's presentation of the papers required bysubsection 1 of this section and the payment of a fee of ten dollars, thedirector of revenue, if he is satisfied with the genuineness of the papers,shall issue and deliver to the holder a certificate of title which shall bein its usual form except it shall be clearly captioned "Repossessed Title".Each repossessed title so issued shall, for all purposes, be treated as anoriginal certificate of ownership and shall supersede the outstandingcertificate of ownership, if any, and duplicates thereof, if any, on theoutboard motor, motorboat, vessel, or watercraft, all of which shall becomenull and void.

4. In any case where there is no certificate of ownership, orduplicate thereof, outstanding in the name of the debtor on the repossessedoutboard motor, motorboat, vessel, or watercraft, the director of revenueshall issue a repossessed title to the holder and shall proceed to collectall unpaid fees, taxes, charges and penalties from the debtor as providedin sections 306.015, 306.030, 306.530 and 306.535, in addition to the feespecified in subsection 3 of this section.

5. The director of revenue may prescribe rules and regulations forthe effective administration of this section. Any rule or portion of arule, as that term is defined in section 536.010, RSMo, that is createdunder the authority delegated in this section shall become effective onlyif it complies with and is subject to all of the provisions of chapter 536,RSMo, and, if applicable, section 536.028, RSMo. This section and chapter536, RSMo, are nonseverable and if any of the powers vested with thegeneral assembly pursuant to chapter 536, RSMo, to review, to delay theeffective date, or to disapprove and annul a rule are subsequently heldunconstitutional, then the grant of rulemaking authority and any ruleproposed or adopted after August 28, 2006, shall be invalid and void.