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27-14-917. Time requirements for payment of lien or encumbrance.
Arkansas Code — all titles (historical 2020) · legal_authorities
27-14-917. Time requirements for payment of lien or encumbrance.
(a) As used in this section:
(1) “Customer” means a person who trades in or otherwise provides a vehicle to a motor vehicle dealer for resale;
(2) “Motor vehicle dealer” means a motor vehicle dealer as defined in § 23-112-103 or a used motor vehicle dealer as defined in § 23-112-103; and
(3) “Subsequent purchaser” means a person who buys the vehicle that was provided to the motor vehicle dealer as a trade-in or for resale by the customer.
(b)(1) If a motor vehicle dealer takes possession of a vehicle for purposes of resale and there is an outstanding lien or encumbrance on the vehicle, the motor vehicle dealer shall in good faith tender full payment on the outstanding lien or encumbrance within ten (10) business days after the motor vehicle dealer takes possession of the vehicle from the customer.
(2) This time period may be shortened if the customer and the motor vehicle dealer agree to a shorter time period.
(c)(1) If the motor vehicle dealer fails to act in good faith in tendering full payment for the outstanding lien or encumbrance within ten (10) business days or within the time period agreed to by the motor vehicle dealer and the customer under subdivision (b)(2) of this section, the customer shall have an absolute right to cancel the contract for sale between the customer and the motor vehicle dealer.
(2) If the contract for sale is cancelled pursuant to subdivision (c)(1) of this section, the motor vehicle dealer shall be responsible for late fees, finance charges, or any financial penalty that is required to be made by the customer as part of the existing lien or encumbrance.
(d) If the motor vehicle dealer sells the vehicle to a subsequent purchaser without first tendering full
Source: Arkansas Code — historical release 78 (November 6, 2020) · 27-14-917
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. A text match is a research starting point; applicability is not established.
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Stable record: arkansas_code:legal_authorities:27-14-917
Source file: gov.ar.code.title.27.odt
Pages: Not recorded – Not recorded
Passage SHA-256: 368d294613daeebb7262d63df91be088a7512c782f35159a4526e8a3d3b04fe8
Source location: content.xml paragraph 2573
Stored source content
27-14-917. Time requirements for payment of lien or encumbrance.
(a) As used in this section:
(1) “Customer” means a person who trades in or otherwise provides a vehicle to a motor vehicle dealer for resale;
(2) “Motor vehicle dealer” means a motor vehicle dealer as defined in § 23-112-103 or a used motor vehicle dealer as defined in § 23-112-103; and
(3) “Subsequent purchaser” means a person who buys the vehicle that was provided to the motor vehicle dealer as a trade-in or for resale by the customer.
(b)(1) If a motor vehicle dealer takes possession of a vehicle for purposes of resale and there is an outstanding lien or encumbrance on the vehicle, the motor vehicle dealer shall in good faith tender full payment on the outstanding lien or encumbrance within ten (10) business days after the motor vehicle dealer takes possession of the vehicle from the customer.
(2) This time period may be shortened if the customer and the motor vehicle dealer agree to a shorter time period.
(c)(1) If the motor vehicle dealer fails to act in good faith in tendering full payment for the outstanding lien or encumbrance within ten (10) business days or within the time period agreed to by the motor vehicle dealer and the customer under subdivision (b)(2) of this section, the customer shall have an absolute right to cancel the contract for sale between the customer and the motor vehicle dealer.
(2) If the contract for sale is cancelled pursuant to subdivision (c)(1) of this section, the motor vehicle dealer shall be responsible for late fees, finance charges, or any financial penalty that is required to be made by the customer as part of the existing lien or encumbrance.
(d) If the motor vehicle dealer sells the vehicle to a subsequent purchaser without first tendering full payment for the outstanding lien or encumbrance, the subsequent purchaser who buys the vehicle subject to the existing lien or encumbrance shall have an absolute right to cancel the contract for sale between the subsequent purchaser and the motor vehicle dealer.
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Arkansas Code — all titles (historical 2020) · legal_authorities
23-112-103. Definitions.
As used in this chapter:
(1) “Advertisement” means an oral, written, telecommunicated, graphic, pictorial, or other statement made in the course of soliciting business, including without limitation, a statement or representation made in a newspaper, magazine, internet, or other publication or contained in a notice, sign, poster, display, circular, pamphlet, letter, or flyer, or made via radio, television, or any other medium;
(2) “All-terrain vehicle” means a motor vehicle that:
(A) Is an off-highway vehicle:
(i) Fifty inches (50") or less in width, having a dry weight of nine hundred pounds (900 lbs.) or less, and traveling on three (3) or more low-pressure tires, with a seat designed to be straddled by the operator, a Class 1 all-terrain vehicle; or
(ii) With a width that exceeds forty-five inches (45") or having a dry weight that exceeds six hundred pounds (600 lbs.), traveling on four (4) or more low-profile, low-pressure tires, and having a bench seat or one (1) or more bucket seats, a Class 2 all-terrain vehicle;
(B) Has a seat for the operator and any passenger and handlebars or other steering mechanism for control; and
(C) Is used for any purpose, including, but not limited to, off-road, amphibious, or recreational travel;
(3) “Auto auction” means:
(A) Any person who operates or provides a place of business or facilities for the wholesale exchange of motor vehicles by and between duly licensed motor vehicle dealers;
(B) Any motor vehicle dealer licensed to sell used motor vehicles, selling motor vehicles using an auction format but not on consignment; and
(C) Any person who provides the facilities for or is in the business of selling motor vehicles in an auction format;
(4) “Branch location” means a secondary loc
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-112-103
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 23-112-103. This identifies an authority to review, not proof of applicability.