§286-48 Certificates of ownership of
salvaged motor vehicles. (a) Whenever a motor vehicle subject to
registration under this part is sold as salvage or conveyed to an insurance
company, in the ordinary course of business or as the result of a total loss
insurance settlement where the insurance company receives the certificates of
registration and ownership, the purchaser or, if an insurance company its
authorized agent, shall within ten days from the purchase, or the settlement of
the insurance loss, forward the motor vehicle's endorsed certificate of
ownership or other evidence of title, certificate of registration, license
plates, and an application for a salvage certificate as provided for in section
286-44.5, to the director of finance. If the certificate of registration or
one or both license plates are lost, an affidavit, duly notarized and signed by
the party responsible for the compliance of this section stating that the party
has no knowledge of the location of the certificate of registration or the
license plates, shall be filed with the director of finance of the county
having jurisdiction over the vehicle. In any event the certificate of
ownership or other evidence of title shall be forwarded to the director of
finance.
(b) Upon receipt of the certificate of
ownership, certificate of registration, license plates, and application for a
salvage certificate, the director of finance shall issue a salvage certificate
in the name of the purchaser or insurance company.
(c) Upon resale of the salvage vehicle, the
seller or, if the seller is an insurance company, its authorized agent shall
transfer the salvage certificate and issue a bill of sale to the purchaser
which shall be on a form prescribed by the director of finance. The seller
shall notify the purchaser, in writing, of the requirements of this chapter
regarding the recertification of salvage vehicles. The seller shall sell the
salvage vehicle only to a person licensed pursuant to chapter 437B, sections
289-4, or 445-232, or any person who executes an affidavit which states whether
or not the salvage vehicle would be used to construct a rebuilt vehicle as
defined in section 286-2 and that if the salvage vehicle is to be rebuilt, the
purchaser will register the rebuilt vehicle as required by this chapter.
(d) In the event the salvage vehicle is
rebuilt so as to be capable of again operating on the highways of this State,
the motor vehicle shall not be licensed for such operation, nor shall the
ownership thereof be transferred until there is submitted to the director of
finance:
(1) The prescribed bill of sale;
(2) An appropriate application for registration of
the rebuilt or restored motor vehicle along with the salvage certificate and a
certificate of inspection signed by the registered or certified motor vehicle
repair dealer who is bonded as required by section 437B-26, and who rebuilt the
vehicle, attesting that the original recognized vehicle manufacturer's
established repair procedures or specifications and allowable tolerances for the
particular model and year were utilized and adhered to; and
(3) Any other document and fee required by the
director of finance.
The counties may, by ordinance, establish the fee to
be charged for the inspection of rebuilt motor vehicles.
(e) Whenever a certificate of registration and
certificate of ownership is issued for a motor vehicle with respect to which a
salvage certificate has been previously issued, the new certificates shall
conform to the requirements of section 286-47 and:
(1) Bear the words "Rebuilt Vehicle"; and
(2) Appear in such a manner as to distinguish them
from the certificate of registration and certificate of ownership for motor
vehicles other than rebuilt or restored motor vehicles.
(f) In the event a total loss insurance settlement
between an insurance company and its insured or a claimant for property damage
caused by its insured results in the retention of the salvage vehicle by the
insured or claimant, as the case may be, then in such event, the insurance
company or its authorized agent shall notify, within ten days from the date of
settlement, the director of finance of such retention by its insured or
claimant, as the case may be, and shall notify its insured, or claimant as the
case may be, in writing, of the requirements of this chapter regarding the
recertification of salvage vehicles. The notification shall be on a form
prescribed by the director of finance. [L 1967, c 178, §2; HRS §286-48; am L
1969, c 194, §1; am L 1984, c 276, §7; gen ch 1985; am L 1986, c 74, §2; am L
1987, c 51, §1; am L 1988, c 315, §1]