HB2484 proposes to repeal the current statute that classifies the failure to return a motor vehicle subject to a security interest as a class 6 felony and considers such a vehicle as stolen. Instead, the bill introduces measures to subject vehicle owners who do not return vehicles subject to a security interest to license plate and vehicle registration suspension.

The bill outlines a process where the secured creditor must notify the owner in writing of their default after 90 days of non-payment. The notice must include a statement that the vehicle's registration and license plate will be suspended if the vehicle is not returned within 30 days. If the vehicle is not returned, the secured creditor can file an affidavit with the Arizona Department of Transportation (ADOT), which will result in the immediate suspension of the vehicle's registration and license plate. The registration or license plate cannot be transferred or re-registered until the secured creditor notifies ADOT that the vehicle has been recovered. The bill also provides conditions under which the owner is not subject to suspension, such as physical incapacitation or the vehicle being in a condition that prevents its return.

Statutes affected:
Introduced Version: 13-1813
House Engrossed Version: 13-1813
Senate Engrossed Version: 13-1813, 28-2138
Chaptered Version: 13-1813, 28-2138