Amendment #730 to H4600

RMV Authorization for Electronic Signatures and Titling

Ms. Peake of Provincetown moves to amend the bill by adding the following new sections:-

SECTION XX.   Chapter 90D of the General Laws, as so appearing, is hereby amended by inserting after section 38 the following section:-

Section 39: Electronic signatures as prescribed in section nine of chapter one hundred ten shall be accepted by the registrar on any document, form, certificate of title, or record necessary or required under this chapter without limitation.  A document which is created through a secure printing process may be made electronic by imaging, scanning, or similar process for the purposes of capturing an electronic signature.  The registrar may prescribe reasonable requirements for electronic signature authentication, and maintenance, invalidation, or surrender of a securely printed document which is made electronic and electronically signed.

SECTION XX.  Chapter 90D of the General Laws, as so appearing, is hereby further amended by striking out section 24 and inserting in place thereof the following section:-

Section 24. (a) Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of the lienholder, the lienholder shall, within three days after demand and, in any event, within ten days, execute a release of his security interest, in the space provided therefor on the certificate or as the registrar shall prescribe, and mail or deliver the certificate and release to the next lienholder named therein, or, if none, to the owner or any person who delivers to the lienholder an authorization from the owner to receive the certificate.

(b) Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of a prior lienholder, the lienholder whose security interest is satisfied shall within three days execute a release in such form as the registrar shall prescribe and deliver the release to the owner, or to any person who delivers to the lienholder an authorization from the owner to receive it.  The lienholder in possession of the certificate of title shall either deliver the certificate to the owner, or the person authorized by him for delivery to the registrar, or, upon receipt of the release, mail or deliver it with the certificate to the registrar, who shall release the subordinate lienholder's rights on the certificate or issue a new certificate.

(c) If the payment in satisfaction of the security interest is in cash or by certified check, cashier's check, teller's check, intra-bank or inter-bank transfer of funds, or an electronic transfer of funds, the payment shall be considered cleared immediately upon receipt by a lienholder.

(d) Notwithstanding paragraph (a) of section sixteen, the registrar shall prescribe a form or electronic process whereby a dealer can retail a vehicle for which:

(1) the dealer has made payment as described in paragraph (c); or

(2) the registrar has received an electronic notification of the satisfaction of a security interest in accordance with the system established pursuant to section eleven a.

The registrar shall prescribe the manner in which the dealer is to maintain, invalidate, or surrender the certificate of title upon receipt of the certificate of title for a vehicle which is retailed under this paragraph.

SECTION XX.  Chapter 90D of the General Laws, as so appearing, is hereby further amended in section 11a by inserting after the words “required under section eleven,” the following:

Upon receiving notification of satisfaction of a security interest, the registrar may waive the issuance and mailing of the certificate of title to the owner or third party requested by the lienholder.  If the registrar exercises this waiver, the registrar shall ensure the owner or third party:

(1) can request a paper certificate of title; and

(2) have a process or system established to ensure he can effect action that would otherwise be necessary upon the certificate of title.

Additional co-sponsor(s) added to Amendment #730 to H4600

RMV Authorization for Electronic Signatures and Titling