Expert: Michael Brotherton - 6/25/2008

Question
My husband has a car that he paid cash for in 1992.  He never followed through on obtaining the paperwork (title.)  Some years ago, I noticed that there was a lienholder on the registration.  we've tried to contact the lienholder (the dealer he purchased the car from) but have found out that they have out of business for a number of years and it is now a vacant lot.  We're thinking of selling the car but the lienholder and no title is a problem.  Is there a statue of limitations on a vehicle lienholder in California?  How do we remove the lienholder if they are no longer around? Help!

Answer
In many states you may send a certified letter to the last known address of the titleholder. If it comes back or they do not respond you may apply for an abandoned vehicle title or write a letter to the Bureau of Motor Vehicles explaining the situation and let the Registrar make a decision to release the title. If they deny the request you may file a suit against the dealer with your local courts and ask them to release the title by court order.

First, send a certified letter to the dealer at their last known address. Return receipt requested.

Keep a copy of all correspondence.

Once you get the letter back photo copy the envelope and return receipt and send this with the letter to the registrar of Motor Vehicles. Send by certified mail, return receipt requested.

Keep the original certified letter until the Registrar asks for it. Keep copies.

There may be a form you need to complete at your local BMV or you may call the state BMV for contact information. Address the letter to the Registrar or title they give you for the person in charge.

I believe this may help.

Let me know how things work out.


Mike