| Perfection
|| Possession and Sale || New Title
and Plates || Other Issues
|| Kelley Blue Book | |
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| LAWDOG™ Kansas Repossession |
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| The Kansas Department of Revenue provides notices, information guides,
directives and other documents in Policy Library,
where you can also find selected Kansas statutes, selected Kansas Attorney General's
opinions and other information |
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| Title and Registration Change For Used
Vehicles Application for certificate of title and
registration is made through one of the 105 County Treasurer’s Offices,
in county where vehicle is garaged. County treasurer issues
certificates of vehicle titles, registers vehicles, issues license plates, and collects
fees. |
| Registration Requires Title
No vehicle required to be registered shall be registered or any license plate or
registration decal issued unless owner or agent applies upon a division form and presents
satisfactory evidence of ownership with application for original certificate of title for
vehicle. |
| Perfection of Security Interests
In every sale of a vehicle subject to a purchase money security interest, the dealer or
secured party, within 15 days of the sale and delivery, must mail or deliver the notice of
security interest, together with fees to the division. The notice of security interest
shall be retained by the division until it receives an application for a certificate of
title to the vehicle and a certificate of title is issued. The certificate of title
indicates any security interest in the vehicle. Upon issuance of the certificate of title,
the division mails or delivers confirmation of receipt of notice of security interest, the
date certificate of title is issued and security interest indicated, to the secured party
at address shown on the notice of security interest. The proper completion and timely
mailing or delivery of a notice of security interest by a dealer or secured party shall
perfect a security interest in the vehicle described on the date of
such mailing or delivery. The county treasurers mails a copy of the title
application to the Kansas lienholder. Each county treasurer charges the Kansas lienholder
a service fee for processing and mailing a copy of the title application to the Kansas
lienholder. It is unlawful to operate in Kansas a vehicle required to be registered, or to
transfer title to any person or dealer, unless a certificate of title has been issued as
provided. See Kansas Statutes
8-135 |
| Kansas Uniform Commercial Code and
Perfection A security interest in a vehicle or mobile home (except
inventory held for sale), which requires indication on title of security interests in
the vehicle or mobile home can be perfected only by presentation for filing, of the
appropriate documents and payment of required fee to or acceptance of the documents by
such public official, or by the mailing or delivery by a dealer or secured party to the
appropriate state agency of a notice of security interest as described by Kansas Statutes
8-135. Such perfection has same effect as filing under the Uniform Commercial Code.
See Kansas Statutes 84-9302 |
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| Kansas Statutes |
| Possession After Default Unless
otherwise agreed, secured party has, on default, right to take possession of the
collateral. In taking possession a secured party may proceed without judicial process, if
this can be done without breach of the peace, or may proceed by the filing of a
legal action. See Kansas
Statutes 84-9503 |
| Sale After Default and Application of
Proceeds A secured party after default may sell, lease or otherwise
dispose of any or all of the collateral in its then condition or following any
commercially reasonable preparation or processing. The proceeds are applied in order to
reasonable expenses of retaking, holding, preparing for sale or lease, selling, leasing
and, to extent provided for in agreement and not prohibited by law, reasonable attorneys'
fees and legal expenses incurred. Proceeds would next be applied to satisfaction of debt
secured by the security interest under which sale is being held. Subordinate Liens If
any proceeds remain, they would next apply to satisfaction of debt secured by subordinate
security interest in the collateral, if written notice of demand is received before
distribution of proceeds is completed. If requested by secured party, holder of a
subordinate security interest must seasonably furnish reasonable proof of interest. See Kansas Statutes 84-9504 |
| Compulsory Disposition of Collateral If
the debtor has paid sixty percent (60%) of cash price in purchase money security interest
in consumer goods or sixty percent (60%) of loan in case of another security interest in
consumer goods, and debtor has not signed, after the default, a statement renouncing
or modifying rights under this part, a secured party who has taken possession of
collateral must dispose of it under section 84-9-504 within ninety (90) days after
possession. If not, debtor may recover damages. See Kansas Statutes 84-9505 |
| Acceptance of Collateral as Discharge
In any case other than 60 % consumer goods, secured party in possession may, after
default, propose to retain the collateral in satisfaction of
the obligation. Written notice of such proposal shall be sent to the debtor if debtor has
not signed after default a statement renouncing or modifying rights. Notice must be sent
to any other secured party from whom the secured party has received (before sending his
notice to the debtor or before the debtor's renunciation of his rights) written notice of
a claim of an interest in the collateral. If the secured party receives objection in
writing from a person entitled to receive notification within fifteen (15) days after the
notice was sent, the secured party must dispose of the collateral under section 84-9-504.
In the absence of such written objection the secured party may retain the collateral in
satisfaction of the debtor's obligation. |
| Right to Redeem Collateral At
any time before the secured party has disposed of collateral or entered into a contract
for its disposition under section 84-9-504 or before the obligation has been discharged
under section 84-9-505 (2) the debtor or any other secured party may unless otherwise
agreed in writing after default redeem the collateral by tendering fulfillment of all
obligations secured by the collateral as well as the expenses reasonably incurred by the
secured party in retaking, holding and preparing the collateral for disposition, in
arranging for the sale, and to the extent provided in the agreement and not prohibited by
law, his reasonable attorneys' fees and legal expenses. See Kansas Statutes 84-9506 |
| Accounting To Debtor and Deficiency
If a security interest secures debt, secured party must account to debtor for any
surplus, and, unless otherwise agreed, debtor is liable for any deficiency. See Kansas Statutes 84-9504 |
| Disposition May be by Public or Private
Sale Sale or other disposition may be at any time and place and on
any terms, but every aspect of disposition including method, manner, time, place and
terms must be commercially reasonable. Unless collateral is perishable ...
reasonable notification of time and place of any public sale, or reasonable notification
of the time after which any private sale or disposition to be
made must be sent by secured party to debtor, if debtor has not signed, after default, a
statement renouncing or modifying right to notice of sale. See Kansas Statutes 84-9504 |
| Notice To Other Secured Parties
Notification must be sent to any other secured party from whom secured party has
received, before sending notice to debtor or renunciation, written notice of a claim of an
interest in the collateral. The secured party may buy at public sale. When collateral is
disposed of by secured party after default, the disposition transfers to a purchaser for
value all of the debtor's rights therein, discharges the security interest under which it
is made and any subordinate lien. The good faith purchaser generally takes free of all
such rights and interests. |
| Co-Signer or Guarantor A
person liable to secured party under a guaranty, indorsement, repurchase agreement or the
like and who receives a transfer of collateral from the secured party or is subrogated to
his rights has thereafter the rights and duties of the secured party. Such transfer of
collateral is not considered sale or disposition of collateral under this article. See Kansas Statutes 84-9504 |
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| New Title After Repossession When
the ownership of any vehicle passes by operation of law, or repossession upon default of a
lease, security agreement, or executory sales contract, the person owning such vehicle,
upon furnishing satisfactory proof to the county treasurer of such ownership, may procure
a certificate of title to the vehicle. Registered
Elsewhere When a vehicle is registered in another state and is repossessed
in another state, the owner of such vehicle is not entitled to obtain a valid Kansas title
or registration, except that a vehicle registered in another state, but financed
originally by a financial institution chartered in Kansas, or a financial institution
chartered in Kansas purchases a pool of vehicle loans from resolution trust or a federal
regulatory agency, and vehicle is repossessed in another state, such Kansas financial
institution will be entitled to obtain a valid Kansas title or registration See Kansas Statutes 8-135 |
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