If a certificate of title is lost, stolen, mutilated, destroyed, or becomes illegible, the first lienholder or, if none, the owner or legal representative of the owner named in the certificate, as shown by the records of the department, shall promptly make application for and may obtain a duplicate upon furnishing information satisfactory to the department, and upon the payment of five dollars. The department may issue a duplicate title at no cost to the first lienholder or, if none, the owner named in the certificate, when satisfied the first lienholder or owner did not receive the original title which was issued. The duplicate certificate of title must contain the legend “This is a duplicate certificate and may be subject to the rights of a person under the original certificate”. It must be mailed to the first lienholder named in it or, if none, to the owner.

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A person recovering an original certificate of title for which a duplicate has been issued shall promptly surrender the original certificate to the department.