18100.5
. (a) If the title or interest of a registered owner, legal
owner, junior lienholder in a manufactured home, mobilehome,
commercial coach, or truck camper, or floating home for which an
original registration under this part has been obtained is
transferred to another person, or, if all outstanding secured
obligations previously held by a legal owner registered on the
original or a subsequent registration or by a junior lienholder are
satisfied and the person no longer has any obligation to extend
credit, incur obligations, or otherwise give value to be secured by
the manufactured home, mobilehome, commercial coach, truck camper, or
floating home, or, if a security interest is taken in a manufactured
home, mobilehome, commercial coach, truck camper, or floating home
after the permanent title record has been established, the department
shall be notified within 20 days and shall act as follows:
(1) If the title or interest of a registered owner or legal owner
is being transferred, the transferor and the transferee of the title
or interest shall execute in the manner prescribed by the department
the certificate of title for the manufactured home, mobilehome,
commercial coach, truck camper, or floating home. If the transfer is
made by a registered owner and the transferee is to assume the
underlying indebtedness secured by the manufactured home, mobilehome,
commercial coach, truck camper, or floating home and owed to a legal
owner, the legal owner shall state on the certificate of title that
legal title and interest are to be retained. The certificate of title
along with all other supporting documents shall be fowarded to the
department with appropriate fees. The department shall appropriately
amend the permanent title record of the manufactured home,
mobilehome, commercial coach, truck camper, or floating home, forward
a new certificate of title reflecting the change to the permanent
title record to the legal owner by first-class mail, and forward an
amended registration card reflecting the change to the permanent
title record to the registered owner with copies to all secured
parties shown on the permanent title record. If there is no legal
owner, the new certificate of title and amended registration card
shall be forwarded to the registered owner.
(2) If the interest of a junior lienholder is being transferred,
the transferor and the transferee shall execute in a manner
prescribed by the department the registration card, and the card so
executed shall be forwarded to the department with appropriate fees.
The department shall appropriately amend the permanent title record
and forward an amended registration card reflecting the change to the
permanent title record to the registered owner with copies to all
secured parties shown on the permanent title record.
(3) If a creditor acquires a security interest in a manufactured
home, mobilehome, commercial coach, truck camper, or floating home
after the permanent title record has been established, the department
shall amend the permanent title record to reflect the interest as
that of a legal owner or as that of a junior lienholder, as
appropriate. If the permanent title record already reflects the
interest of one or more junior lienholders, the creditor then
perfecting its interest pursuant to this section shall be designated
as the most junior lienholder.
(4) If a legal owner no longer holds an outstanding obligation or
a commitment to make advances, incur obligations, or otherwise give
value to be secured by the manufactured home, mobilehome, commercial
coach, or truck camper, or floating home, the legal owner shall
indicate its release of lien by appropriately signing the certificate
of title for the manufactured home, mobilehome, commercial coach,
truck camper, or floating home and forward the certificate of title
to the department with appropriate fees. The department shall
appropriately amend the permanent title record for the manufactured
home, mobilehome, commercial coach, truck camper, or floating home,
deliver a new certificate of title reflecting the change to the
permanent title record to the new legal owner, if any, by first-class
mail, and forward an amended registration card reflecting the change
to the permanent title record to the registered owner with copies to
all secured parties shown on the registration card. For purposes of
this paragraph, the following person shall be designated as the new
legal owner:
(A) The junior lienholder, if any.
(B) If there is more than one junior lienholder, the junior
lienholder whose statement of lien was designated as the most senior
junior lienholder on the permanent title record shall be the legal
owner.
(5) If a junior lienholder no longer holds an outstanding
obligation or a commitment to make advances, incur obligations, or
otherwise give value to be secured by the manufactured home,
mobilehome, commercial coach, truck camper, or floating home, the
junior lienholder shall forward the properly executed and released
junior lienholder registration card to the department with
appropriate fees. The department shall appropriately amend the
permanent title record for the manufactured home, mobilehome,
commercial coach, truck camper, or floating home and forward an
amended registration card reflecting the change to the permanent
title record to the registered owner with copies to all secured
parties shown on the permanent title record.
(b) (1) Notwithstanding subdivision (d) of this section and
subdivisions (c) and (e) of Section 18080.7, for the 120-day period
beginning upon the receipt by the department of the notice of escrow
and appropriate fee provided by paragraph (2) of subdivision (d) of
Section 18035, or until the escrow is canceled or until the escrow
closes and the resulting transfers of ownership interests and
transfers or creation of legal owner and junior lienholder interests
are acknowledged by the department as amendments to the permanent
title record of the manufactured home, mobilehome, truck camper, or
floating home, whichever is earlier, the department, except at its
sole discretion, shall impose a moratorium on all of the following:
(A) On any other amendments to the permanent title record of the
manufactured home, mobilehome, truck camper, or floating home for the
purpose of transferring any ownership interest or transferring or
creating any security interest in the manufactured home or
mobilehome.
(B) On issuing any duplicate, substitute, or new certificate of
title, registration card, or copy of a registration card regarding
the manufactured home, mobilehome, or floating home.
(C) On subsequent notices of escrow openings.
(2) The department shall, upon receipt of the notice of escrow and
the appropriate fee, forward to the escrow agent an acknowledgment
of receipt and a true and correct copy of the permanent title record
as of the commencement of the period of moratorium.
(c) If a secured party fails to comply with the provisions of
subdivision (a) relating to releases of lien and the secured party
thereafter receives a written demand from the registered owner that
the secured party release its lien, the secured party shall be liable
to the registered owner for all actual damages suffered by the
registered owner by reason of the failure to release the lien unless
the secured party, within 20 days of receipt of the demand, complies
with the requirements of subdivision (a), except where the secured
party has reasonable cause for noncompliance.
(d) Whenever the title or interest of the registered owner or
legal owner in or to a manufactured home, mobilehome, commercial
coach, truck camper, or floating home registered under this part
passes to another in a manner other than by voluntary transfer, the
new registered owner or legal owner may obtain a transfer of
registration upon application therefor and upon presentation of the
last certificate of title, if available, and current registration
card, if available, issued for the manufactured home, mobilehome,
commercial coach, truck camper, or floating home and any instruments
or documents of authority or certified copies thereof as may be
required by the department, or required by law, to evidence or effect
the transfer of title or interest in that case. The department, when
satisfied of the genuineness and regularity of the transfer, shall
amend the permanent title record of the manufactured home,
mobilehome, commercial coach, truck camper, or floating home, issue a
new current registration card and certificate of title, and forward
copies of the current registration card to all junior lienholders.
(e) The department shall not transfer registration until the
applicant complies with the requirements of Section 18092.7.