As of August 10, 2016, Senate Bill 16-140, is in effect.  This bill provides an affirmative defense to any violation of the 30 day title permit delivery law.  


Dealer's have 30 days to deliver title, no matter what.  SB 16-140 provides a defense for non-delivery of the title, if the late delivery is due to actions or inactions of others, beyond the dealers control, AND at a minimum:

  • The dealer has mailed the loan payoff in a reasonable amount of time
  • The dealer has contacted the lender and taken any necessary action to obtain a title, free of liens
  • The dealer has taken steps to obtain any information or signatures needed to obtain a title
  • The dealer has submitted all necessary paperwork needed for the new title to the authorized agent
  • The dealer has corrected any errors in a reasonable time frame

This bill also allows dealers to issue a second 60-day permit to the customer.  

BEWARE - It is a misdemeanor if the title is not delivered in 30 days.  The above defense is only valid if the dealer has taken all steps in their control to obtain and deliver the title or duplicate title, free of liens.

Also, the Auto Industry Division has access to the information on all second temporary registration permits issued.  Ensure that second permits are only issued when the above title criteria is met.  Track all actions and dates whenever a title problem occurs.