O.C.G.A. § 40-3-4 (2019)

Annotations

Code Commission notes. Pursuant to Code Section 28-9-5, in 1987, “tracks” was substituted for “trucks” in paragraph (13). The amendment of this Code section by Ga. L. 2002, p. 506, § 4, irreconcilably conflicted with and was treated as superseded by Ga. L. 2002, p. 512, § 8. See County of Butts v. Strahan, 151 Ga. 417 (1921).

JUDICIAL DECISIONS Automobile dealers and certificates of title. - Effect of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4) is that the only way to create security interests in automobiles now is by the method provided in that section, which does not apply to or affect dealers holding automobiles for sale, which automobiles not only need not have a certificate of title, but also pass to buyers in the ordinary course of trade free of the security interest. Sun Ins. Office, Ltd. v. First Nat’l Bank & Trust Co., 113 Ga. App. 782, 149 S.E.2d 753, 1966 Ga. App. LEXIS 1204, rev’d, 222 Ga. 559, 150 S.E.2d 803, 1966 Ga. LEXIS 553 (1966). 1990 camper did not qualify for exclusion. - Current version of O.C.G.A. § 40-3-4(14)(A) provides that no certificate of title is needed for vehicles manufactured prior to 1986. The camper here was a 1990 model and therefore the camper did not qualify under the exclusion; according to the statute as revised, a certificate of title would be required for a 1990 camper. In re Blair, No. 05-20151, 2005 Bankr. LEXIS 3547 (Bankr. S.D. Ga. June 2, 2005). Casual vehicle use. - Term “incidentally,” embraced in the qualification of the exclusion from Ga. L.

1961, p. 68 (see now O.C.G.A. § 40-3-1 et seq.) expressed in paragraph (2) of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4) indicates a use which is merely casual and not the prime purpose of the holding for sale. First Nat’l Bank & Trust Co. v. Smithloff, 119 Ga. App. 284, 167 S.E.2d 190, 1969 Ga. App. LEXIS 1076 (1969). Holding not subject to leasehold interest. - Notwithstanding that a lease is a sale of a leasehold interest, the phrase “held for sale” should not be construed to mean a holding subject to a lease hold interest, which would contemplate regular, not incidental, use on the highway. First Nat’l Bank & Trust Co. v. Smithloff, 119 Ga. App. 284, 167 S.E.2d 190, 1969 Ga. App. LEXIS 1076 (1969). Vehicles subject to mechanics liens. - Vehicles referred to in Ga. L. 1969, p. 68, § 23 (see now O.C.G.A. § 40-3-54) as being subject to mechanics liens which may be asserted by retention of the vehicle are those which are required to have certificates of title. Peoples, Inc. v. DeVane, 114 Ga. App. 597, 152 S.E.2d 649, 1966 Ga. App. LEXIS 863 (1966). Motor cranes propelled by the separate motor on a truck are not special mobile equipment within the meaning of

paragraph (7) of Ga. L. 1961, p. 68, § 4 (see now O.C.G.A. § 40-3-4). Citizens & S. Nat’l Bank v. Georgia Steel, Inc., 25 B.R. 796, 1982 Bankr. LEXIS 5163 (Bankr. M.D. Ga. 1982). When vehicle is 15 model years old. - Evidence in the form of a letter and accompanying tables from the Georgia Department of Revenue indicated a 1978 vehicle became 15 model years old as of September 1, 1991, and a 1979 vehicle became 15 model years old as of

September 1, 1992. Perkins v. Gilbert, 169 B.R. 455, 1994 Bankr. LEXIS 997 (Bankr. M.D. Ga. 1994). Lapsing of security interest prevented by bankruptcy. - Although secured creditor’s security interest was due to expire on date the vehicle became 15 model years old, the filing of the debtor’s bankruptcy petition prevented any lapse of the security interest. Perkins v. Gilbert, 169 B.R. 455, 1994 Bankr. LEXIS 997 (Bankr. M.D. Ga. 1994).

OPINIONS OF THE ATTORNEY GENERAL Obtaining title in foreign state. - Vehicle owner whose vehicle is engaged in interstate transportation may, at the owner’s option, elect not to title the vehicle in Georgia, but may rely on the permissive exemptions and title the vehicle in some other state. 1963-65 Ga. Op. Att’y Gen. 425. Perfecting special mobile

equipment’s security interest. - Security interest must first be perfected in accordance with the Uniform Commercial Code (see now O.C.G.A. T. 11), and then in accordance with Ga. L. 1961, p. 68 (see now O.C.G.A. § 40-3-1 et seq.), for special mobile equipment. 1965-66 Op. Att’y Gen. No. 66-109.

RESEARCH REFERENCES Am. Jur. 2d. 7A Am. Jur. 2d, Automobiles and Highway Traffic, §§ 36 et seq., 68, 84 et seq. C.J.S. 60 C.J.S., Motor Vehicles, §§ 29 et seq., 96 et seq. U.L.A. Uniform Motor Vehicle Certificate of Title and Anti-Theft Act (U.L.A.) § 2.

ALR. Construction and application of exemption or exception provisions of statutes requiring registration of motor vehicle, 91 A.L.R. 422.