Chapter 582.     AN    ACT    RELATIVE    TO   THE   SATISFACTION   OF SECURITY INTEREST IN MOTOR VEHICLES.

Be it enacted, etc.. as follows:

Chapter 90D of the General Laws is hereby amended by striking out section 24, as appearing in the 1984 Official Edition, and inserting in place thereof the following section:-

Section 24. Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of the lienholder, the lienholder shall, within three days after demand and, in any event, within ten days, execute a release of his security interest, in the space provided therefor on the certificate or as the registrar shall prescribe, and mail or deliver the certificate and release to the next lienholder named therein, or, if none, to the owner or any person who delivers to the lienholder an authorization from the owner to receive the certificate.

Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of a prior lienholder, the lienholder whose security interest is satisfied shall within three days execute a release in such form as the registrar shall prescribe and deliver the release to the owner, or to any person who delivers to the lienholder an authorization from the owner to receive it. The lienholder in possession of the certificate of title shall either deliver the certificate to the owner, or the person authorized by him for delivery to the registrar, or, upon receipt of the release, mail or deliver it with the certificate to the registrar, who shall release the subordinate lienholder's rights on the certificate or issue a new certificate.

Approved December 9, 1986.