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Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

                            CHAPTER 224-S.F.No. 1639 
                  An act relating to motor vehicles; modifying motor 
                  vehicle dealer requirements relating to vehicle 
                  registration, titling, and records; providing for 
                  removal and disposal of unauthorized vehicles on 
                  private, nonresidential property used for servicing 
                  vehicles; authorizing a fee; amending Minnesota 
                  Statutes 2002, sections 168A.02, subdivision 2; 
                  168A.11, subdivisions 1, 2, by adding a subdivision; 
                  168B.04, subdivision 2; proposing coding for new law 
                  in Minnesota Statutes, chapter 168B. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 168A.02, 
        subdivision 2, is amended to read: 
           Subd. 2.  [NO VEHICLE REGISTRATION WITHOUT TITLE.] The 
        department shall not register or renew the registration of a 
        vehicle for which a certificate of title is required unless a 
        certificate of title has been issued to the owner or, an 
        application therefor has been delivered to and approved by the 
        department, or the vehicle has a Minnesota certificate of title 
        and is being held for resale by a dealer under section 168A.11. 
           Sec. 2.  Minnesota Statutes 2002, section 168A.11, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [APPLICATION REQUIREMENTS UPON SUBSEQUENT 
        TRANSFER.] (a) If A dealer who buys a vehicle and holds it for 
        resale and procures the certificate of title from the owner, and 
        complies with subdivision 2 hereof, the dealer need not apply 
        for a certificate of title, but.  Upon transferring the vehicle 
        to another person, other than by the creation of a security 
        interest, the dealer shall promptly execute the assignment and 
        warranty of title by a dealer, showing the names and addresses 
        of the transferee and of any secured party holding a security 
        interest created or reserved at the time of the resale, and the 
        date of the security agreement in the spaces provided therefor 
        on the certificate of title or secure reassignment. 
           (b) If a dealer elects to apply for a certificate of title 
        on a vehicle held for resale, the dealer need not register the 
        vehicle but shall pay one month's registration tax.  If a dealer 
        elects to apply for a certificate of title on a vehicle held for 
        resale, the department shall not place any legend on the title 
        that no motor vehicle sales tax was paid by the dealer, but may 
        indicate on the title whether the vehicle is a new or used 
        vehicle. 
           (c) With respect to motor vehicles subject to the 
        provisions of section 325E.15, the dealer shall also, in the 
        space provided therefor on the certificate of title or secure 
        reassignment, state the true cumulative mileage registered on 
        the odometer or that the exact mileage is unknown if the 
        odometer reading is known by the transferor to be different from 
        the true mileage.  
           (c) (d) The transferee shall complete the application for 
        title section on the certificate of title or separate title 
        application form prescribed by the department.  The dealer shall 
        mail or deliver the certificate to the registrar or deputy 
        registrar with the transferee's application for a new 
        certificate and appropriate taxes and fees, within ten business 
        days. 
           (e) With respect to vehicles sold to buyers who will remove 
        the vehicle from this state, the dealer shall remove any license 
        plates from the vehicle, issue a 31-day temporary permit 
        pursuant to section 168.091, and notify the registrar within 48 
        hours of the sale that the vehicle has been removed from this 
        state.  The notification must be made in an electronic format 
        prescribed by the registrar.  The dealer may contract with a 
        deputy registrar for the notification of sale to an out-of-state 
        buyer.  The deputy registrar may charge a fee not to exceed $7 
        per transaction to provide this service. 
           Sec. 3.  Minnesota Statutes 2002, section 168A.11, 
        subdivision 2, is amended to read: 
           Subd. 2.  [PURCHASE RECEIPT NOTIFICATION ON VEHICLE HELD 
        FOR RESALE.] A dealer, on buying a vehicle for which the seller 
        does not present a certificate of title, shall at the time of 
        taking delivery of the vehicle execute a purchase receipt for 
        the vehicle in a format designated by the department, and 
        deliver a copy to the seller.  In a format and at a time 
        prescribed by the registrar, the dealer shall notify the 
        registrar that the vehicle is being held for resale by the 
        dealer.  Within 48 hours of acquiring a vehicle titled and 
        registered in Minnesota, a dealer shall notify the registrar 
        that the dealership is holding the vehicle for resale.  The 
        notification must be made electronically as prescribed by the 
        registrar.  The dealer may contract this service to a deputy 
        registrar and the registrar may charge a fee not to exceed $7 
        per transaction to provide this service. 
           Sec. 4.  Minnesota Statutes 2002, section 168A.11, is 
        amended by adding a subdivision to read: 
           Subd. 4.  [CENTRALIZED RECORD KEEPING.] Three or more new 
        motor vehicle dealers under common management or control may 
        designate to the department in writing a single location for 
        maintaining the records required by this section that are more 
        than 12 months old.  The records must be open to inspection by a 
        representative of the department or a peace officer during 
        reasonable business hours.  The location must be at the 
        established place of business of one of the affiliated dealers 
        or at a location within Minnesota not further than 25 miles from 
        the established place of business of one of the affiliated 
        dealers. 
           Sec. 5.  Minnesota Statutes 2002, section 168B.04, 
        subdivision 2, is amended to read: 
           Subd. 2.  [UNAUTHORIZED VEHICLES.] (a) Units of government 
        and peace officers may take into custody and impound any 
        unauthorized vehicle under section 169.041. 
           (b) A vehicle may also be impounded after it has been left 
        unattended in one of the following public or private locations 
        for the indicated period of time: 
           (1) in a public location not governed by section 169.041: 
           (i) on a highway and properly tagged by a peace officer, 
        four hours; 
           (ii) located so as to constitute an accident or traffic 
        hazard to the traveling public, as determined by a peace 
        officer, immediately; or 
           (iii) that is a parking facility or other public property 
        owned or controlled by a unit of government, properly posted, 
        four hours; or 
           (2) on private property: 
           (i) that is single-family or duplex residential property, 
        immediately; 
           (ii) that is private, nonresidential property, properly 
        posted, immediately; 
           (iii) that is private, nonresidential property, not posted, 
        24 hours; or 
           (iv) that is private, nonresidential property of an 
        operator of an establishment for the servicing, repair, or 
        maintenance of motor vehicles, five business days after 
        notifying the vehicle owner by certified mail, return receipt 
        requested, of the property owner's intention to have the vehicle 
        removed from the property; or 
           (v) that is any residential property, properly posted, 
        immediately. 
           Sec. 6.  [168B.055] [NOTICE FOR REMOVAL FROM VEHICLE 
        SERVICE FACILITY.] 
           An owner or agent of an owner of private, nonresidential 
        property described in section 168B.04, subdivision 2, paragraph 
        (b), clause (2)(iv), is authorized to remove or cause the 
        removal of an unauthorized vehicle from that property after 
        providing five-day notice to the vehicle owner by certified 
        mail, return receipt requested, that the vehicle will be removed 
        from the property.  Notification must include identification of 
        the registration plate number, the vehicle identification 
        number, and the make, model, and color of the vehicle.  The 
        owner or agent of an owner of property upon which a motor 
        vehicle is unauthorized may cause the vehicle to be removed by a 
        towing service under this section without incurring any civil 
        liability to the owner of the unauthorized vehicle.  Vehicles 
        removed pursuant to a complaint of the owner or agent of the 
        owner of private property must be disposed of as provided in 
        sections 168B.051 to 168B.10. 
           Presented to the governor May 15, 2004 
           Signed by the governor May 19, 2004, 10:50 a.m.