(1) A person holding a lien or encumbrance as shown upon a certificate of title upon a vehicle or vessel may release the lien or encumbrance or assign his interest to the owner without affecting the registration of the vehicle or vessel.
(2) The division shall issue a new certificate of title without a lien previously recorded upon receiving: (a) a certificate of title: (i) upon which a lienholder has released or assigned his interest to the owner; or (ii) not so endorsed but accompanied by a legal release from a lienholder of his interest in or to a vehicle, vessel, or outboard motor; (b) an application properly completed; and (c) the proper fee.
(a) a certificate of title: (i) upon which a lienholder has released or assigned his interest to the owner; or (ii) not so endorsed but accompanied by a legal release from a lienholder of his interest in or to a vehicle, vessel, or outboard motor;
(i) upon which a lienholder has released or assigned his interest to the owner; or
(ii) not so endorsed but accompanied by a legal release from a lienholder of his interest in or to a vehicle, vessel, or outboard motor;
(b) an application properly completed; and
(c) the proper fee.