How to File a Vehicle Lien for Title Security: Step-by-Step Guide
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Episode Show Notes:
- Explore two main options for claiming a vehicle due to unpaid repairs or storage fees:
- Mechanics Lien
- Civil Lien
- Understand the key differences between mechanics liens and civil liens, including their pros and cons.
- Why many clients initially prefer mechanics liens, but in most cases, civil liens offer a stronger solution.
- What is a Mechanics Lien?
- A legal claim an automotive business uses to recover funds owed for repairs, storage, towing, or fees.
- Typically requires the business to be a licensed automotive facility (varies by state).
- The process is handled through the DMV but limited to DMV authority.
- If DMV refuses to issue a title due to restrictions, a civil lien might be necessary.
- What is a Civil Lien?
- A lien that bypasses DMV limitations by going through a court or higher authority.
- Does not require meeting DMV or title authority criteria.
- The court can order the DMV to issue a title.
- Example from Washington State’s laws regarding the mechanics lien process (RCW 6008 and WAC 308):
- Requirements include filing a lien with the county auditor and notifying all owners by certified mail.
- Strict documentation and procedural requirements must be met or the title application will be rejected.
- Important details for mechanics liens:
- Written estimates required for repairs over $100.
- Signage requirements for automotive repair shops (e.g., visible customer rights sign).
- Only the registered owner can authorize repairs for a mechanics lien to be valid.
- When you cannot use a mechanics lien:
- If services were authorized by someone other than the registered owner.
- If the vehicle is not titled in the state.
- Then a civil lien is the better option.
- Overview of the civil lien process:
- File a petition in the local court to request a court order for a vehicle title.
- Provide an affidavit explaining how you came into possession of the vehicle.
- Attach supporting documentation such as DMV denial letters, title search reports, receipts, bills of sale, estimates, and certified mail proof.
- The court reviews the evidence and may issue an order directing the DMV to issue a title.
- The court order legally compels the DMV or titling authority to issue a certificate of title in your name.
- Civil liens offer a powerful alternative when the DMV’s procedures and restrictions block a title issuance.
- The process varies by county and state, so understanding local rules is crucial.
- Both mechanics liens and civil liens are valuable tools; choose based on your specific situation.
- For more detailed instructions and services, visit leantitles.com.
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