SB 430 Summary

• Adopts the Uniform Certificate of Title for Vessels Act, requiring vessel owners to obtain certificates of title issued by the Alabama State Law Enforcement Agency for vessels where Alabama is the state of principal use.

• Requires vessel owners to apply for a certificate of title within 20 days after a transfer of ownership or when Alabama becomes the state of principal use, with specified application requirements and a $50 issuance fee.

• Exempts documented vessels, foreign-documented vessels, barges, vessels under construction, and vessels held by dealers for sale or lease from the certificate of title requirement.

• Establishes procedures for perfecting security interests in vessels through the title office, including perfection on delivery of applications identifying secured parties and providing for termination statements when security interests are satisfied.

• Effective January 1, 2017, with transition rules allowing existing security interests to remain valid and perfected under the new system for up to three years.