49-527. PURPOSE OF TRANSITIONAL OWNERSHIP DOCUMENT. The purpose of a transitional ownership document is to enable security interest to be perfected in a timely manner when the primary ownership document is not available. The transitional ownership document serves to perfect a lien against creditors or subsequent purchasers.

(1) To perfect a security interest the transitional ownership document must be received by the department or agent within thirty (30) days of the date of sale. To determine the thirty (30) days, exclude the first day (i.e., date of sale) and count each calendar day thereafter. If the thirtieth day falls on a weekend or holiday it is not counted; the last date the transitional ownership document will be accepted is the following business day of the department or agent.

(2) The lien will be perfected as of the date and time of filing consistent with section 49-510, Idaho Code.

(3) The transitional ownership document is not intended to supersede the requirements of section 49-504, Idaho Code, but rather to provide an alternative method of lien perfection.

(4) Once a transitional ownership document has been filed with the department or agent, the primary ownership document must be received by the department or agent within ninety (90) calendar days from the date of the security agreement or contract. To determine ninety (90) days, exclude the first day (i.e., day of sale) and count each calendar day thereafter. If the ninetieth day falls on a weekend or holiday, the last date the transitional ownership document may be used to determine date of security interest perfection is the following business day of the department or agent.

History:

[49-527, added 2000, ch. 320, sec. 1, p. 1078; am. 2007, ch. 66, sec. 3, p. 170.]