Michigan Compiled Laws

Mich. Comp. Laws § 257.233 (2026)

Transfer or assignment of title to, or interest in, registered vehicle; disposition of plates; application for new registration certificate; penalty; indorsement on certificate of title; effective date of transfer; submission of secured receipt.

✓ current as of July 2026
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MICHIGAN VEHICLE CODE


Act 300 of 1949


257.233 Transfer or assignment of title to, or interest in, registered vehicle; disposition of plates; application for new registration certificate; penalty; indorsement on certificate of title; effective date of transfer; submission of secured receipt.

Sec. 233.

    (1) If the owner of a registered vehicle transfers or assigns the title or interest in the vehicle, the registration plates issued for the vehicle shall be removed and transferred to the owner's spouse, mother, father, sister, brother, or child to whom title or interest in the vehicle is transferred, or retained and preserved by the owner for transfer to another vehicle upon application and payment of the required fees. A person shall not transfer the plates to a vehicle without applying for a proper certificate of registration describing the vehicle to which the plates are being transferred, except as provided in section 217(4). If the owner of a registered vehicle acquires another vehicle without transferring or assigning the title or interest in the vehicle for which the plates were issued, the owner may have the plates transferred to the subsequently acquired vehicle upon application and payment of the required fees.

    (2) A person shall not purchase or lease another vehicle or an interest in another vehicle with the intent to circumvent the restrictions created by immobilization of a vehicle under this act.

    (3) A person shall not transfer or attempt to transfer ownership or right of possession of a vehicle subject to forfeiture or ordered forfeited under this act with the intent to avoid the forfeiture of that vehicle.

    (4) During the time a vehicle is subject to a temporary registration plate, vehicle forfeiture, immobilization, registration denial, or the period from adjudication to immobilization or forfeiture under this act, a person shall not without a court order transfer or assign the title or an interest in the vehicle to a person who is not subject to payment of a use tax under section 3 of the use tax act, 1937 PA 94, MCL 205.93.

    (5) A person who violates subsection (2), (3), or (4) is guilty of a misdemeanor punishable by imprisonment for not more than 1 year or a fine of not more than $1,000.00, or both.

    (6) A person whose operator's or chauffeur's license is suspended, revoked, or denied for, or who has never been licensed by this state and was convicted for, a third or subsequent violation of section 625 or 625m, of a local ordinance substantially corresponding to section 625 or 625m, or of a law of another state substantially corresponding to section 625 or 625m, or for a fourth or subsequent suspension or revocation under section 904 shall not purchase, lease, or otherwise acquire a motor vehicle during the suspension, revocation, or denial period. A person who violates this subsection is guilty of a misdemeanor punishable by imprisonment for not more than 93 days or a fine of not more than $100.00, or both.

    (7) If the assigned holder of registration plates applies for a new registration certificate, the application shall be accompanied either by the old registration certificate or by a certificate of title showing the person to be the assigned holder of the registration plates for which the old registration certificate had been issued. A person who fails or neglects to fulfill the requirements of this subsection is guilty of a misdemeanor punishable by imprisonment for not more than 93 days or a fine of not more than $100.00, or both.

    (8) The owner shall indorse on the certificate of title as required by the secretary of state an assignment of the title with warranty of title in the form printed on the certificate with a statement of all security interests in the vehicle or in accessories on the vehicle and deliver or cause the certificate to be mailed or delivered to the purchaser or transferee at the time of the delivery to the purchaser or transferee of the vehicle. The certificate shall show the payment or satisfaction of any security interest as shown on the original title. However, as provided under section 238, the secretary of state is not required to issue a title to the owner of a vehicle if the title is subject to a security interest.

    (9) Upon the delivery of a motor vehicle and the transfer, sale, or assignment of the title or interest in a motor vehicle by a person, including a dealer, the effective date of the transfer of title or interest in the vehicle is the date of signature on either the application for title or the assignment of the certificate of title by the purchaser, transferee, or assignee.

    (10) A secured receipt that is in a form approved by the department and produced at the time the secured interest is presented with payment in satisfaction of the security interest may be submitted to the department in lieu of the title for purposes of transferring ownership in the vehicle.

History: 1949, Act 300, Eff. Sept. 23, 1949 ;-- Am. 1957, Act 90, Eff. Sept. 27, 1957 ;-- Am. 1958, Act 104, Imd. Eff. Apr. 14, 1958 ;-- Am. 1959, Act 250, Imd. Eff. Aug. 21, 1959 ;-- Am. 1964, Act 51, Eff. Aug. 28, 1964 ;-- Am. 1964, Act 248, Eff. Jan. 1, 1965 ;-- Am. 1973, Act 190, Imd. Eff. Jan. 8, 1974 ;-- Am. 1974, Act 111, Imd. Eff. May 21, 1974 ;-- Am. 1980, Act 398, Eff. Mar. 31, 1981 ;-- Am. 1998, Act 346, Eff. Oct. 1, 1999 ;-- Am. 1999, Act 73, Eff. Oct. 1, 1999 ;-- Am. 1999, Act 267, Imd. Eff. Dec. 29, 1999 ;-- Am. 2005, Act 317, Imd. Eff. Dec. 27, 2005 ;-- Am. 2006, Act 599, Imd. Eff. Jan. 3, 2007 ;-- Am. 2014, Act 290, Eff. Mar. 31, 2015

Notes of Decisions
Cited in 50 cases (6 in the last 5 years), 1957–2024 · leading case: Perry v. Golling Chrysler Plymouth Jeep, Inc, 729 N.W.2d 500 (Mich. 2007).
Perry v. Golling Chrysler Plymouth Jeep, Inc, 729 N.W.2d 500 (Mich. 2007). · cites it 20× “This conclusion requires an understanding of MCL 257.233. When the claim in Goins occurred, the Legislature had not defined the term "execute," as it appears in the statute.”
Titan Ins. v. State Farm Mut. Auto. Ins., 817 N.W.2d 621 (Mich. Ct. App. 2012). · cites it 8× “MCL 257.233 was amended after the accident occurred.”
Botsford Gen. Hosp. v. Citizens Ins., 489 N.W.2d 137 (Mich. Ct. App. 1992). · cites it 6× “Section 233 of the Vehicle Code, MCL 257.233; MSA 9.1933, which concerns transfers of title, provides: (4) The owner shall indorse on the back of the *133 certificate of title an assignment of the title with warranty of title in the form printed on the certificate .”
In re Dixon, 528 B.R. 710 (Bankr. E.D. Mich. 2015). · cites it 18× “Mich. Comp. Laws Ann. § 257.233 (9) (emphasis added).”
Gold v. Harper (In re Ambrose-Burbank), 563 B.R. 820 (Bankr. E.D. Mich. 2017). · cites it 15× “” See Mich. Comp. Laws Ann. §§ 257.233 (1), 257.”
Michigan Mut. Auto Ins. v. Reddig, 341 N.W.2d 847 (Mich. Ct. App. 1983). · cites it 4× “…The certificate shall show the payment or satisfaction of any security interest as shown on the original title." MCL 257.233(4); MSA 9.1933(4).”
Clevenger v. Allstate Ins., 505 N.W.2d 553 (Mich. 1993). · cites it 2× “[MCL 257.233(1); MSA 9.1933(1).] A vehicle's registration plate cannot be transferred or assigned to a new owner who is not an immediate family member.”
Brown v. Pointer, 200 N.W.2d 756 (Mich. Ct. App. 1972). · cites it 10× “" MCLA 257.233(d); MSA 9.1933(d). "The owner of a motor vehicle who has made a bona fide sale by transfer of his title or interest and who has delivered possession of such vehicle and the certificate of title thereto properly endorsed to the purchaser or transferee shall not be…”
in Re Forfeiture of 2000 Gmc Denali & Contents, 892 N.W.2d 388 (Mich. Ct. App. 2016). “See MCL 257.233(9) (“[T]he effec *586 tive date of the transfer of title or interest in the vehicle is the date of signature on either the application for title or the assignment of the certificate of title by the purchaser, transferee, or assignee.”
Ladd v. Ford Consum. Fin. Co., Inc., 550 N.W.2d 826 (Mich. Ct. App. 1996). · cites it 3× “Whitcraft, supra at 50 (citing MCL 257.233; MSA 9.1933, MCL 257.235[1]; MSA 9.”
Goins v. Greenfield Jeep Eagle, Inc, 534 N.W.2d 467 (Mich. 1995). · cites it 2× “[MCL 257.233(5); MSA 9.1933(5).] If a transfer is successful, then the dealer, as the previous owner, will be relieved of any liability associated with the use of that vehicle.”
McFarland v. Bob Saks Toyota, Inc., 466 F. Supp. 2d 855 (E.D. Mich. 2006). · cites it 2× “Mich. Comp. Laws § 257.233 (9); see also Michigan Secretary of State Dealer Manual, § 3-3.”
— Mich. Comp. Laws § 257.233(1) — 4 cases
Titan Ins. v. State Farm Mut. Auto. Ins., 817 N.W.2d 621 (Mich. Ct. App. 2012). “MCL 257.233 was amended after the accident occurred.”
Clevenger v. Allstate Ins., 505 N.W.2d 553 (Mich. 1993). “[MCL 257.233(1); MSA 9.1933(1).] A vehicle's registration plate cannot be transferred or assigned to a new owner who is not an immediate family member.”
Allstate Ins. v. State Farm Mut. Auto. Ins., 584 N.W.2d 355 (Mich. Ct. App. 1998).
Smith v. Allstate Ins. Co., 584 N.W.2d 355 (Mich. Ct. App. 1998).
— Mich. Comp. Laws § 257.233(4) — 5 cases
Michigan Mut. Auto Ins. v. Reddig, 341 N.W.2d 847 (Mich. Ct. App. 1983). “…The certificate shall show the payment or satisfaction of any security interest as shown on the original title." MCL 257.233(4); MSA 9.1933(4).”
Whitcraft v. Wolfe, 384 N.W.2d 400 (Mich. Ct. App. 1985).
Holtzlander v. Brownell, 453 N.W.2d 295 (Mich. Ct. App. 1990).
Laskowski v. State Farm Mut. Auto. Ins., 429 N.W.2d 887 (Mich. Ct. App. 1988).
Jeanne Wallman v. Riverside Auto Sales, Inc., 909 F.2d 183 (6th Cir. 1990).
— Mich. Comp. Laws § 257.233(5) — 7 cases
Perry v. Golling Chrysler Plymouth Jeep, Inc, 729 N.W.2d 500 (Mich. 2007). “This conclusion requires an understanding of MCL 257.233. When the claim in Goins occurred, the Legislature had not defined the term "execute," as it appears in the statute.”
Goins v. Greenfield Jeep Eagle, Inc, 534 N.W.2d 467 (Mich. 1995). “[MCL 257.233(5); MSA 9.1933(5).] If a transfer is successful, then the dealer, as the previous owner, will be relieved of any liability associated with the use of that vehicle.”
Ladd v. Ford Consum. Fin. Co., Inc., 550 N.W.2d 826 (Mich. Ct. App. 1996). “Whitcraft, supra at 50 (citing MCL 257.233; MSA 9.1933, MCL 257.235[1]; MSA 9.”
Allstate Ins. v. Demps, 348 N.W.2d 720 (Mich. Ct. App. 1984).
— Mich. Comp. Laws § 257.233(8) — 6 cases
Titan Ins. v. State Farm Mut. Auto. Ins., 817 N.W.2d 621 (Mich. Ct. App. 2012). “MCL 257.233 was amended after the accident occurred.”
In Re Quinn, 299 B.R. 450 (Bankr. W.D. Mich. 2003).
Gold v. Harper (In re Ambrose-Burbank), 563 B.R. 820 (Bankr. E.D. Mich. 2017). “” See Mich. Comp. Laws Ann. §§ 257.233 (1), 257.”
Est. of Swick v. Farm Bureau Ins. Co. (Mich. Ct. App. 2016).
— Mich. Comp. Laws § 257.233(9) — 11 cases
Perry v. Golling Chrysler Plymouth Jeep, Inc, 729 N.W.2d 500 (Mich. 2007). “This conclusion requires an understanding of MCL 257.233. When the claim in Goins occurred, the Legislature had not defined the term "execute," as it appears in the statute.”
Titan Ins. v. State Farm Mut. Auto. Ins., 817 N.W.2d 621 (Mich. Ct. App. 2012). “MCL 257.233 was amended after the accident occurred.”
in Re Forfeiture of 2000 Gmc Denali & Contents, 892 N.W.2d 388 (Mich. Ct. App. 2016). “See MCL 257.233(9) (“[T]he effec *586 tive date of the transfer of title or interest in the vehicle is the date of signature on either the application for title or the assignment of the certificate of title by the purchaser, transferee, or assignee.”
In re Dixon, 528 B.R. 710 (Bankr. E.D. Mich. 2015). “Mich. Comp. Laws Ann. § 257.233 (9) (emphasis added).”
Gold v. Harper (In re Ambrose-Burbank), 563 B.R. 820 (Bankr. E.D. Mich. 2017). “” See Mich. Comp. Laws Ann. §§ 257.233 (1), 257.”
— Mich. Comp. Laws § 257.233(d) — 7 cases
Brown v. Pointer, 200 N.W.2d 756 (Mich. Ct. App. 1972). “" MCLA 257.233(d); MSA 9.1933(d). "The owner of a motor vehicle who has made a bona fide sale by transfer of his title or interest and who has delivered possession of such vehicle and the certificate of title thereto properly endorsed to the purchaser or transferee shall not be…”
Michigan Mut. Auto Ins. v. Reddig, 341 N.W.2d 847 (Mich. Ct. App. 1983). “…The certificate shall show the payment or satisfaction of any security interest as shown on the original title." MCL 257.233(4); MSA 9.1933(4).”
Messer v. Averill, 183 N.W.2d 802 (Mich. Ct. App. 1970).
Albanys v. Mid-Century Ins., 282 N.W.2d 11 (Mich. Ct. App. 1979).
Brown v. Pointer, 212 N.W.2d 201 (Mich. 1973).
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