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Alabama Legislature· HB42Enacted

Motor vehicles; reporting requirements for towed and unclaimed motor vehicles, further provided, the official text

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HB42 ENROLLED

1 HB42
2 CXLBDWQ-2
3 By Representative Treadaway
4 RFD: Public Safety and Homeland Security
5 First Read: 13-Jan-26
6 PFD: 18-Sep-25

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1 Enrolled, An Act,

2

3   Relating to unclaimed motor vehicles; to amend Section

4 32-8-84, Code of Alabama 1975, to further provide for

5 notification to the Department of Revenue of an unclaimed

6 motor vehicle after the towing of the vehicle.

7 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

8   Section 1. Section 32-8-84 of the Code of Alabama 1975,

9 is amended to read as follows:

10  "§32-8-84

11  (a) The following shall be considered an unclaimed

12 motor vehicle:

13  (1) A motor vehicle left unattended on a public road or

14 highway for more than 48 hours.

15  (2) A motor vehicle, not left on private property for

16 repairs, that has remained on private or other public property

17 for a period of more than 48 hours without the consent of the

18 owner or lessee of the property.

19  (3) A motor vehicle, left on private property for

20 repairs, that has not been reclaimed within 48 hours from the

21 latter of either the date the repairs were completed or the

22 agreed upon redemption date.

23  (b)(1) AExcept as otherwise provided in subdivision

24 (2), a person, as defined in Section 40-12-240, in possession

25 of an unclaimed motor vehicle shall report the motor vehicle

26 as unclaimed to the Department of Revenue within five calendar

27 days from the date the motor vehicle first was considered

28 unclaimed.

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29       (2) A person in possession of a towed motor vehicle may

30 report the vehicle to the Department of Revenue immediately

31 after towing the vehicle.

32       (3) The report shall be made in a manner as prescribed

33 by the department on the Unclaimed/Abandoned Vehicle Portal

34 maintained by the Department of Revenue.

35       (c)(1) Upon receiving notice as required in subsection

36 (b), the department shall place a 60-calendar day hold on the

37 title record and no title shall be issued during that time

38 period unless the title transaction occurred prior to the date

39 the motor vehicle was deemed unclaimed or the motor vehicle

40 was returned to the recorded owner or lienholder of record, if

41 any.

42       (2) If the motor vehicle was returned to the recorded

43 owner or lienholder of record, if any, prior to the conclusion

44 of the hold period on the title record, the person who

45 reported the motor vehicle as unclaimed shall report the

46 return of the motor vehicle within five calendar days in a

47 manner as prescribed by the department.

48       (d)(1) A person in possession of an unclaimed motor

49 vehicle, upon reporting the motor vehicle as unclaimed to the

50 department, shall utilize the National Motor Vehicle Title

51 Information System (NMVTIS) to determine the current title

52 state of record or, if no current title exists for the motor

53 vehicle, the most recent state of registration for the motor

54 vehicle. Thereafter, the person shall submit a records request

55 to the state of record within five calendar days from the date

56 the motor vehicle was reported as unclaimed to the department.

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57  (2) The records request shall be sent to the current

58 title state of record in order to obtain the name and address

59 of the owner and lienholder of record, if any. If no current

60 title exists, the records request shall be sent to the most

61 recent state of registration in order to obtain the name and

62 address of the owner.

63  (3)a. In the event that no NMVTIS record exists and

64 there is evidence that could be reasonably ascertained by the

65 person indicating that the motor vehicle has been registered

66 in another state, the person, within five calendar days from

67 the date the motor vehicle was reported as unclaimed to the

68 department, shall submit a records request to the state of

69 registration in order to obtain the name and address of the

70 owner. Thereafter, the person shall send notice by certified

71 mail with either return receipt requested or electronic

72 delivery confirmation, within five calendar days from receipt

73 of the title record, to the owner and lienholder of record, if

74 any, or registration record, to the owner of record, advising

75 the owner and lienholder of record, if any, of all of the

76 following:

77  1. theThe location of the motor vehicle,.

78  2. The normal business hours of the facility holding

79 the motor vehicle,.

80  3. anyAny accrued charges or fees,.

81  4. theThe daily storage rate,.

82  5. and theThe mailing address and contact telephone

83 number of the person in possession of the motor vehicle.

84  b. The notice required in paragraph a. shall include

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85 the following language in no smaller than 10 point type: "If

86 this motor vehicle is not redeemed by the recorded owner or

87 lienholder of record within 30 calendar days from the date of

88 this notice, the motor vehicle shall be considered abandoned

89 as defined in Section 32-13-1, Code of Alabama 1975. The motor

90 vehicle may then be sold pursuant to the provisions of the

91 Alabama Abandoned Motor Vehicle Act as provided for in Title

92 32, Chapter 13, Code of Alabama 1975."

93   (4) A person who fails to report a motor vehicle as

94 unclaimed or fails to notify the owner and lienholder of

95 record, if any, in accordance with this subsection shall

96 forfeit all claims and liens for the motor vehicle's garaging,

97 parking, and storage prior to the time the motor vehicle is

98 reported as unclaimed; provided, however, failure to report

99 shall not result in the forfeiture of claims and liens for the

100 towing and repair of a motor vehicle.

101  (e)(1) The department shall maintain and appropriately

102 index public records of unclaimed motor vehicles reported to

103 it pursuant to this section. The department may provide lists

104 of the vehicle identification numbers for such the motor

105 vehicles without fee in a manner as the department prescribes.

106  (2) The department shall provide notice of unclaimed

107 motor vehicles to law enforcement.

108  (3) Notice shall also be provided to the person

109 individual who reported the motor vehicle as unclaimed if it

110 the motor vehicle has been reported as stolen to law

111 enforcement.

112  (f)(1) The department may suspend the registration of a

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113 vehicle whose theft or conversion is reported to it the

114 department pursuant to this section. Until the department

115 learns of itsthe recovery of the motor vehicle or that the

116 report of itsthe motor vehicle's theft or conversion was

117 erroneous, itthe department shall not issue a certificate of

118 title for the motor vehicle.

119        (2) A title shall be issued by the department in the

120 name of an insurance company on a vehicle that is reported

121 stolen when a settlement between the insured and his or herthe

122 insured's insurance company has occurred. The title shall be

123 issued electronically in the name of the insurance company

124 until the vehicle has been recovered, and, if recovered, the

125 title may be issued in paper form."

126        Section 2. This act shall become effective October 1,

127 2026.

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138         ________________________________________________

139         Speaker of the House of Representatives

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143         ________________________________________________

144         President and Presiding Officer of the Senate

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147         House of Representatives

148

149         I hereby certify that the within Act originated in and

150 was passed by the House 22-Jan-26.

151

152                    John Treadwell

153                    Clerk

154

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159 Senate  05-Mar-26                                         Passed

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