Legal Information on Vehicle Repossession in Arizona
Arizona, like the other 49 U.S. States, is not governed under federal law when it comes to vehicle repossession. Because of this, each state has its own unique nuances when dealing with vehicle repossession and recovery law. Having an automobile repossessed can be embarrassing and inconvenient, but knowing the law can aid in getting back on the road.
Other People Are Reading
-
Title 17
-
Title 17 is the section of laws that governs transportation issues through the Secretary of State's office in Arizona. These laws are made to be governed under a general code headline referred to as the U.C.C., or the Uniform Commercial Code. A link to the Arizona Uniform Commercial Codes has been added to this article as a resource.
R17-5-407 is the portion of Title 17 that outlines the specific mandates regarding vehicle repossession.
Notification
-
Prior to repossessing a vehicle in Arizona, the lien-holder must notify the county court of the contractual breech. This information is simply recorded with the county and prohibits any chance that police man hours will be spent searching for a vehicle that the owner believes is stolen. If the owners are unaware that their vehicle was repossessed and they contact law enforcement, law enforcement will notify them that no crime was committed.
-
Keeping The Peace
-
According to the Uniform Commercial Code of Arizona, repossession is legally executed so long as the person or persons responsible for acquiring the vehicle use peaceful, non-threatening, tactics.
Though this law only applies to the party conducting the repossession and the individuals losing their property can become quite irate, it is never a good idea to threaten or harm an individual. Tow truck operators are protected by the same laws as everyone else and assaulting one over the loss of a car could make matters far worse.
Reclaiming The Car
-
Once the car is repossessed, the state of Arizona allows 10 days for the car to be recovered. To reclaim the car, the person's in default on the loan must make good on the loan with the financing company. Making good on the loan can range from paying a percentage due or paying the note in full.
If more than half of the amount financed has already been paid to the financing company, a notice must be sent to the purchasers letting them know that the car is to be sold. If less than half of the note has been paid, the state of Arizona allows the car to be sold privately.
License Plates
-
Because the state of Arizona registers their license plates to the owner of the vehicle, the vehicles plates are to stay with the owner. After a car is repossessed, the plates have to be either transferred to another vehicle or turned in to the county within 30 days.
-
References
Resources
- Photo Credit towing truck image by Aleksandr Ugorenkov from Fotolia.com
