HB 524, 2015 (Amended Section - as Truly Agreed)
306.420. 1. Upon the satisfaction of a lien or encumbrance
on an outboard motor, motorboat, vessel, or watercraft, the lienholder
shall within ten days execute a release of his or her lien or
encumbrance[,] on the certificate, [or]
on a separate document, or electronically under section
32.096 and any rules and regulations adopted thereunder,
and mail or deliver the certificate or separate document to the
owner or any person who delivers to the lienholder an authorization
from the owner to receive the documentation. The release on
the certificate or separate document shall be notarized. Each
perfected subordinate lienholder, if any, shall release such
lien or encumbrance as provided in this section for the first
lienholder. The owner may cause the certificate of title, the
release, and the required fee to be mailed or delivered to the
director of revenue, who shall release the lienholder's rights
on the certificate and issue a new certificate of title.
2. If the electronic certificate of title is in the possession of the director of revenue, the lienholder shall notify the director within ten business days of any release of lien and provide the director with the most current address of the owner. The director shall note such release on the electronic certificate and if no other lien exists, the director shall mail or deliver the certificate free of any lien to the owner.
3. Any person who knowingly and intentionally sends in a separate document releasing a lien of another without authority to do so shall be guilty of a class C felony.