(a)  Any vehicle subject to a possessory lien as provided for in § 39-12.1-6, not redeemed by its owner within a period of ten (10) days from the date of the notice sent in conformity with § 39-12.1-8(a) or sixty (60) days from the date of notice sent in conformity with § 39-12.1-4 and § 39-12.1-8(b), may be sold at a nonjudicial public auction.

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Terms Used In Rhode Island General Laws 39-12.1-9

  • Affidavit: A written statement of facts confirmed by the oath of the party making it, before a notary or officer having authority to administer oaths.
  • Certificated tower: means a carrier possessing a certificate of public convenience and necessity issued by the public utilities administrator for the purpose of transporting vehicles by tow-away method. See Rhode Island General Laws 39-12.1-2
  • Commission: means the public utilities commission. See Rhode Island General Laws 39-1-2
  • Division: means the division of public utilities and carriers. See Rhode Island General Laws 39-1-2
  • Foreclosure: A legal process in which property that is collateral or security for a loan may be sold to help repay the loan when the loan is in default. Source: OCC
  • Legal owner: means the person who has obtained ownership of a vehicle by any legal means but has not caused the vehicle to be registered with the division of motor vehicles. See Rhode Island General Laws 39-12.1-2
  • Lien: A claim against real or personal property in satisfaction of a debt.
  • person: may be construed to extend to and include co-partnerships and bodies corporate and politic. See Rhode Island General Laws 43-3-6
  • Police department: means the police department of a city or town or the Rhode Island state department. See Rhode Island General Laws 39-12.1-2
  • Registered owner: means the person recorded in the division of motor vehicles as being the one to whom the registration of the vehicle was issued. See Rhode Island General Laws 39-12.1-2
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
  • Vehicle: means any motor vehicle as defined in § 39-12-2. See Rhode Island General Laws 39-12.1-2

(b)  In addition to the notice required pursuant to §§ 39-12.1-8(a) or 39-12.1-4 and 39-12.1-8(b), notice of the sale shall be:

(1)  Published in a newspaper of general circulation in the county in which the address of the registered owner is located or in which the business of the certificated tower is located if the identity of the last registered owner cannot be determined at least once at least ten (10) days prior to the sale; and

(2)  Posted in the certificated tower’s place of business; and

(3)  Mailed by registered mail, return receipt requested, to the officer-in-charge of the police department or person who instigated the initial tow.

(c)  The purchaser of a vehicle sold at auction pursuant to the provisions of this chapter shall take title to the vehicle free and clear of all liens and claims of ownership. The certificated tower selling the vehicle shall give the purchaser a sales receipt, bill of sale, and affidavit of compliance with the provisions of this chapter. Upon presentation of the sales receipt, bill of sale, and affidavit of compliance to the division of motor vehicles, the division shall: (1) Cause any prior title and/or registration to the vehicle to be canceled and revoked; and (2) Shall issue to the purchaser a new title and registration.

(d)  The proceeds from the foreclosure sale shall be distributed to the extent available as follows:

(1)  First, to pay for the expenses of the auction;

(2)  Second, to pay the certificated tower for the costs of recovery, of towing, and storage of the vehicle in accordance with its published tariff; and

(3)  Any remainder from the proceeds of sale shall be deposited with the general treasurer of the state to be held in a restricted account for the registered or legal owner or entitled lienholder. All sums held by the public utilities commission for a period of three (3) or more years for which no claim has been made by the registered and/or legal owner or lienholder shall be presumed abandoned and shall revert to the general fund.

History of Section.
P.L. 1994, ch. 328, § 1.