§ 13-167. Transaction satisfaction and default.

(1)

When the title loan has been paid in full, the title loan lender must deliver to the borrower a certificate of title, clear of all encumbrances placed upon by the title lender, within thirty (30) days of such payment in full.

(2)

A title loan lender who engages in title loan transactions may take possession of the motor vehicle upon the borrower's default under the title loan agreement following the time guidelines of Section 538.16, Florida Statutes. Unless the borrower voluntarily surrenders the motor vehicle, the title loan lender may only take possession of a motor vehicle through an agent licensed by the State of Florida to repossess motor vehicles.

(3)

A title loan lender who takes possession of a motor vehicle pursuant to this section shall comply with the applicable requirements of Chapter 679, Part V, Florida Statutes.

(4)

Disposition of the motor vehicle may be by public or private proceedings and may be made by way of one (1) or more contracts. Sale or other disposition may be as a unit or in parts and at any time and on any terms, but every aspect of the disposition including the method, manner, time, place and terms including surplus of the debt must be commercially reasonable and conducted in compliance with Chapter 679, Part V, Florida Statutes, which includes, among other requirements, borrower notification requirements as to manner, method of sale, as well as an accounting to the borrower of any surplus from the sale. Any surplus shall be paid to the borrower within thirty (30) days of the sale or disposition.

(5)

Following repossession but prior to disposition of the motor vehicle by sale, the borrower shall have the right to redeem the motor vehicle by payment of the full amount due as of the date of tender of the redemption offer plus the reasonable costs of repossession. In the event a borrower's motor vehicle is repossessed, the title lender shall send a certified letter to the borrower within ten (10) days after repossession, allowing borrower ten (10) days from the date of receipt of the letter to redeem their vehicle. The title loan lender shall return the motor vehicle immediately and release the certificate of title with all of the title lender's liens on the property released within thirty (30) days of receipt of the payment of the full amount due.

(6)

Each title loan lender shall maintain, at the location at which the title loan was made, all books, accounts, records, receipts for expenses, each contract signed by a borrower, all other documents associated with each title loan's transaction and any other documents necessary to determine the title loan lender's compliance with this article for a period of two (2) years from the date the loan was satisfied.

(7)

Each title loan lender shall designate and maintain an agent in this state for service of process.

(8)

No part of this article may be construed to impair or affect the obligation of any title loan agreement which was lawfully entered into prior to the effective date of this article.

(Ord. No. 99-28, § 1, 8-16-99)