Issuance Of Certificates Of Title By Department — Delivery — Electronic File For Lienholders

TITLE 49 MOTOR VEHICLES CHAPTER 5 VEHICLE TITLES 49-505. Issuance of certificates of title by department — Delivery — Electronic file for lienholders. Certificates of title shall be printed by the department. The original copy shall be delivered to the applicant if there are no liens or encumbrances on the certificate. If there are liens or encumbrances recorded, the certificate shall be delivered or mailed to the holder of the lien or encumbrance who is first in time on the date of the application. In place of physically issuing a paper certificate of title, the department may create a paperless electronic record of title and suspend the requirement to issue a certificate of title. If a lien is being recorded, the department and the lienholder will enter into a written agreement authorizing the creation of the electronic record of the certificate of title. Any reference to a "certificate of title" in this chapter shall also apply to an "electronic record of title." The department may require that lienholders, licensed dealers, and rental car vendors be issued an electronic record of title in lieu of the issuance of paper certificates if the department determines such method to be more cost effective than a paper system.