NY Veh & Traf L § 429 (2021)
2021 New York Laws VAT - Vehicle and Traffic Title 4 - Registration of Vehicles Article 17 - Other Provisions Relating to Registration and Possession 429 - Junk and Salvage Vehicles.

§ 429. Junk  and salvage vehicles. 1. Requirements upon acquisition of junk or salvage vehicles. (a)  By  an  insurance  company.  Whenever  an insurance  company acquires a motor vehicle in settlement of a claim for damage thereto or theft thereof, such company shall deliver a  statement concerning  such  acquisition  to  the  commissioner as provided in this section. Such company shall deliver the  certificate  of  title  or  any other  ownership  documents  relating  to  such  motor  vehicle properly executed to transfer title from the insured to the company  and  notices of  release of security interest from any lienholder whose lien has been satisfied  to  the  commissioner  with   the   required   statement   of acquisition.  (b)  By  a  vehicle  dismantler. Whenever a person who is engaged in a business requiring him to be registered as a vehicle  dismantler  or  an itinerant vehicle collector acquires a motor vehicle which has been sold or  otherwise  disposed  of  as  junk  or for salvage, such person shall deliver a statement concerning such acquisition to the  commissioner  as provided  in  this section. Such person shall deliver the certificate of title or any other ownership documents relating to  such  motor  vehicle properly  executed  to  transfer  title by the transferor to the vehicle dismantler or itinerant vehicle collector  and  notices  of  release  of security  interest  from any lienholder whose lien has been satisfied to the commissioner with the required statement  of  acquisition.  However, the  provisions  of  this subdivision shall not apply to a vehicle which has been transferred to a vehicle dismantler  registered  under  section four  hundred  fifteen-a  of  this chapter by means of a document issued pursuant to this section. The commissioner may, by regulation, allow the requirements of  this  subdivision  with  respect  to  the  delivery  of documents  to  be  satisfied  by  an  electronic filing of the necessary information by or on behalf of the  person  to  whom  such  requirements apply.  (c)  By other persons. Whenever a person other than a person described in paragraph (a) or (b) of this  subdivision  acquires  ownership  of  a motor  vehicle  which  has been sold or otherwise disposed of as junk or salvage or which is to be dismantled for  use  other  than  as  a  motor vehicle,   such   person  shall  deliver  a  statement  concerning  such acquisition to the commissioner as provided in this section. Such person shall deliver the certificate of title and any other ownership documents relating to such motor vehicle properly executed to  transfer  title  by the  transferor  to  such  person  and  notices  of  release of security interest from any lienholder  whose  lien  has  been  satisfied  to  the commissioner  with  the  required statement of acquisition. However, the provisions of this subdivision shall not apply to a  vehicle  which  has been  transferred  to  any  such  person  by  means of a document issued pursuant to this section or to a scrap processor by a person  registered or certified pursuant to section four hundred fifteen-a of this chapter.  (d)  A  statement  of  acquisition  and  all  documents required to be submitted to the commissioner pursuant to this  section  or  regulations promulgated thereunder must be so submitted within the time specified by regulation of the commissioner. Any person who, knowingly and willfully, and  with  intent to defraud a subsequent purchaser as to the applicable status of a motor vehicle, makes any false statement on  an  application for  title  or  duplicate  title  for  a  motor vehicle pursuant to this section or fails to submit the statement of acquisition  and  supporting documentation   to   the  commissioner  within  the  time  specified  by regulation shall be subject to a civil penalty of  up  to  two  thousand dollars  for each offense found to have been committed. Such penalty may only be imposed if such person has  had  the  opportunity  to  be  heard before  an  officer  or  employee  of the department designated for such  purpose by the commissioner, upon any charge  of  a  violation  of  this paragraph or regulations promulgated by the commissioner with respect to this paragraph.   1-a.  Requirements  for  certain  fleet vehicles. (a) Whenever a motor vehicle titled or registered by a fleet owner becomes a severely damaged fleet vehicle, prior to the  transfer  of  such  vehicle  or  any  major component  part  thereof,  the  fleet  owner  shall  deliver a statement concerning such occurrence to  the  commissioner  as  provided  in  this section.  Such fleet owner shall deliver the certificate of title in its name or any other ownership documents relating to such motor vehicle and notices of release of security interest from any lienholder  whose  lien has  been  satisfied  to  the  commissioner  with the required statement concerning such occurrence. Such a statement shall  be  subject  to  all provisions of law applicable to a statement of acquisition except as may otherwise be specified by regulation of the commissioner.  (b)  For  the  purposes  of  this  section, a fleet owner shall mean a person who has twenty-five or more vehicles titled or registered in  his name  in  this  state  and  who  does not have such vehicles insured for damage or theft by an insurance  company  duly  authorized  to  transact business in this state.  (c) For the purposes of this section, a severely damaged fleet vehicle shall  mean  a motor vehicle titled or registered in the name of a fleet owner in this state or in any other state or province  of  Canada  which has  received  damage and which has not been placed back in fleet use by the fleet owner subsequent to receipt of such damage. However, it  shall not  include a motor vehicle titled and registered in another state or a province of Canada if the damage was incurred outside of this state  and the  vehicle  is sold by the fleet owner outside of this state, or shall include a motor vehicle which has a fair market value after such  damage of  at  least  sixty  percent  of  the fair market value of an undamaged similar model vehicle unless such motor vehicle requires the replacement of the engine in order to be made operable.  (d) If a severely damaged fleet vehicle is sold by a  fleet  owner  in violation  of  this  section, the purchaser or any subsequent good faith purchaser, may rescind such sale and recover the price he  paid  to  his transferor  for  the  vehicle  from  the  fleet  owner.  Recovery of the purchase price may be enforced in a civil action to recover damages.  (e) The provisions of this subdivision shall not apply to any  vehicle titled  or  registered  in  the  name of a public utility subject to the authority of the public service commission for which  such  utility  has obtained  an  exemption  in  accordance with the following provisions of this subdivision. In order to obtain such exemption,  the  utility  must forward  to  the  commissioner a listing, including model year, make and vehicle identification number of any or all vehicles for which exemption is requested not more than sixty and not less than thirty days prior  to the  date  of  proposed  sale  of such vehicle or vehicles. Such listing shall contain the date, time  and  place  of  such  proposed  sale.  Any vehicle contained on such listing shall be exempt from the provisions of this  subdivision,  but  such  exemption  shall  be applicable only with respect to a sale of any such vehicle made upon the  date  contained  on the listing.   2.  Transfer  of  junk  and  salvage  vehicles.  (a) When an insurance company, vehicle dismantler, fleet owner, or any other person submits  a statement  of  acquisition  for  a junk or salvage vehicle or a severely damaged fleet vehicle, as provided in subdivision one or one-a  of  this section,  such  insurance  company,  vehicle dismantler, or other person shall prepare and distribute a statement of  acquisition  in  accordance with  regulations  promulgated  by  the  commissioner.  A  copy  of such  statement of acquisition designated by the commissioner shall  serve  as proof  of  ownership  for  the  vehicle  and  shall  provide a method of transfer of such a vehicle as  a  junk  vehicle  and  may  serve  as  an application  for  title  if the vehicle is subsequently rehabilitated or repaired for the purpose of being operated upon the public highways.  (b) The provisions of section four hundred twenty-one of this  chapter prohibiting  the  sale  of  a  motor  vehicle with a removed, altered or defaced vehicle identification number plate shall not apply to the  sale of  any  junk  or  salvage vehicle or any severely damaged fleet vehicle from an insurance company, a  vehicle  dismantler,  a  local  authority, fleet owner or a dealer registered under section four hundred fifteen of this  chapter  provided the proof of ownership for such vehicle consists of a valid statement of acquisition and such  statement  of  acquisition which  transfers  ownership  of  such vehicle indicates that the vehicle identification number plate is missing, altered or defaced.  (c) No person shall sell or advertise for sale or solicit  a  bid  for the  purchase  of  a  junk  or  salvage  vehicle  without  notifying any prospective purchaser or bidder of the existence or non-existence of any security interest with respect to such junk or  salvage  vehicle.  If  a security interest exists with respect to such vehicle, the name or names and  address  or  addresses of the secured party or parties must also be provided to the prospective purchaser or bidder.   3. Items to be surrendered before  intentional  destruction  of  motor vehicles.  A  certified scrap processor or registered vehicle dismantler may crush a motor vehicle  still  displaying  a  vehicle  identification number  plate.  The  crushing  must  be  so  complete  that  the vehicle identification number plate cannot be readily removed. No  other  person shall  cause  or  permit  a  motor  vehicle  to be scrapped, permanently dismantled or  otherwise  intentionally  destroyed  unless  the  vehicle identification  number  plate  of  such  motor  vehicle has been removed therefrom and either destroyed or delivered to the commissioner together with all title or any other ownership documents pertaining to such motor vehicle as provided in  this  section.  If  the  vehicle  identification number  plate  is not delivered to the commissioner, a notice indicating the disposition of such plate must  accompany  the  ownership  documents required to be submitted to the commissioner.   4.  Forms  and  documents.  Any forms or documents used in conjunction with this section shall be in a form prescribed by the commissioner  and shall  set  forth  a complete description of the motor vehicle, the name and address of the person  to  whom  such  motor  vehicle  was  sold  or transferred  or  from whom such motor vehicle was acquired together with any other information deemed necessary or desirable by the  commissioner to  effectuate  the  provisions  and  purposes of this section. Any such statement, document or item required to be delivered to the commissioner by any provision of this  section  shall  be  deemed  to  have  been  so delivered  when  it has been either personally delivered or sent by mail to the office of the commissioner at the address designated by him.   4-a. Fees for statement of acquisition. The statement  of  acquisition provided for in this section shall be issued as prescribed by regulation of  the commissioner upon payment of a fee of five dollars for each such statement. Such fee shall be paid to the commissioner for deposit in the general fund.   5. Motor vehicle subject  to  requirements.  The  provisions  of  this section shall apply to all motor vehicles sold, surrendered or otherwise disposed  of, or acquired, or intentionally destroyed, within this state for which a certificate of title has been issued by the commissioner  or which would be eligible to have such a certificate of title issued.    6.  Penalties. A violation of any provision of this section shall be a misdemeanor.