HB 273: "An Act relating to the transfer of the title to a vehicle, including certain manufactured homes and trailers, on the death of the owner; and providing for an effective date."
00 HOUSE BILL NO. 273 01 "An Act relating to the transfer of the title to a vehicle, including certain manufactured 02 homes and trailers, on the death of the owner; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 13.33.101(a) is amended to read: 05 (a) A provision for a nonprobate transfer on death in an insurance policy, 06 contract of employment, bond, mortgage, promissory note, certificated or 07 uncertificated security, account agreement, custodial agreement, deposit agreement, 08 compensation plan, pension plan, individual retirement plan, employee benefit plan, 09 trust, conveyance, deed of gift, marital property agreement, or other written instrument 10 of a similar nature is nontestamentary. This subsection includes [A WRITTEN 11 PROVISION THAT] 12 (1) a written provision that 13 (A) money or other benefits due to, controlled by, or owned by 14 a decedent before death must be paid after the decedent's death to a person
01 whom the decedent designates either in the instrument or in a separate writing, 02 including a will, executed either before or at the same time as the instrument, 03 or later; 04 (B) [(2)] money due or to become due under the instrument 05 ceases to be payable in the event of death of the promisee or the promisor 06 before payment or demand; or 07 (C) [(3)] property controlled by or owned by the decedent 08 before death that is the subject of the instrument passes to a person the 09 decedent designates either in the instrument or in a separate writing, including 10 a will, executed either before or at the same time as the instrument, or later; 11 and 12 (2) a transfer of a vehicle by a transfer on death title under 13 AS 28.10.275. 14 * Sec. 2. AS 28.10 is amended by adding a new section to read: 15 Sec. 28.10.275. Transfer of certificate of title on death. (a) In addition to the 16 transfer of a vehicle provided by AS 28.10.211, 28.10.271, or another statute, the 17 owner of a vehicle for which the department is required or allowed under 18 AS 28.10.201 to issue a certificate of title may obtain a transfer on death title for the 19 vehicle. A transfer on death title transfers the title to a designated beneficiary when the 20 sole owner or the last surviving joint owner dies. 21 (b) To obtain a transfer on death title for a vehicle, the owner of the vehicle 22 shall submit to the department an application on a form established by the department 23 and a fee for the transfer on death title. Each joint owner shall sign the application to 24 obtain, revoke, or change a transfer on death title. 25 (c) In addition to the requirements of AS 28.10.231 for the contents of a 26 certificate of title, a transfer on death title must contain the words "transfer on death 27 to" or the abbreviation "TOD," followed by the names of not more than two 28 designated beneficiaries. 29 (d) A transfer on death title obtained under this section is effective without 30 (1) notice to, delivery to, or acceptance by the designated beneficiary; 31 or
01 (2) consideration. 02 (e) A transfer on death title is a nontestamentary transfer on death. 03 (f) The owner may revoke a transfer on death title or change the designated 04 beneficiary on a transfer on death title at any time during the owner's life without the 05 consent of or notice to the designated beneficiary. 06 (g) To revoke or change a transfer on death title, the owner shall 07 (1) transfer the vehicle to another person and assign and deliver the 08 certificate of title for the vehicle to the other person; or 09 (2) file with the department an application on a form established by the 10 department and pay a fee to the department to reissue the certificate of title for the 11 vehicle without a designated beneficiary or with a different designated beneficiary. 12 (h) A designated beneficiary may disclaim the designated beneficiary's interest 13 in the vehicle under AS 13.70 (Uniform Disclaimer of Property Interests Act). 14 (i) A designated beneficiary takes the transfer on death title subject to the 15 (1) conveyances, encumbrances, assignments, contracts, liens, and 16 other interests to which the vehicle is subject at the owner's death; and 17 (2) claims of creditors against the owner or the owner's estate. 18 (j) During the life of the owner, a transfer on death title does not 19 (1) affect an interest or right of the sole owner or a joint owner of the 20 vehicle, including the right to transfer or encumber the vehicle; 21 (2) affect an interest or right of the designated beneficiary, even if the 22 designated beneficiary has actual or constructive notice of the transfer on death title; 23 (3) affect an interest or right of a secured or unsecured creditor or 24 future creditor of the sole owner or a joint owner, even if the creditor has actual or 25 constructive notice of the transfer on death title; 26 (4) affect the eligibility of the sole owner, a joint owner, or a 27 designated beneficiary for any form of public assistance; 28 (5) create a legal or equitable interest in favor of the designated 29 beneficiary; or 30 (6) subject the vehicle to the claims or service of process of a creditor 31 of the designated beneficiary.
01 (k) Except as otherwise provided in this section or in AS 13.12.203, 02 13.12.803, or 13.12.804, on the death of the owner, the title to the vehicle is 03 transferred to the designated beneficiary, if the designated beneficiary survives the 04 owner by 120 hours. 05 (l) The department shall issue a new certificate of title for a vehicle to the 06 designated beneficiary after the death of the owner if the designated beneficiary 07 otherwise satisfies this section and submits 08 (1) proof of the death of the owner by providing a death certificate, 09 another official record of the death, or other evidence of the death that is satisfactory 10 to the department; and 11 (2) an application on a form established by the department and pays a 12 fee to the department for the certificate of title. 13 (m) If a designated beneficiary obtains the title to a vehicle under (l) of this 14 section and if the designated beneficiary consists of more than one person, the persons 15 hold the title as joint tenants with the right of survivorship. Notwithstanding 16 AS 28.10.201(c), the department shall issue the new title in the conjunctive. 17 (n) Except as provided in this section, a transfer on death title may not be 18 changed or revoked by will or another instrument, by a change in circumstances, or in 19 any other manner. 20 (o) The department may adopt regulations under AS 44.62 (Administrative 21 Procedure Act) to implement this section, including regulations establishing the forms 22 to be used under this section and the fees to be paid. 23 (p) In this section, 24 (1) "designated beneficiary" means a person to whom a vehicle title is 25 transferred by a transfer on death title; 26 (2) "joint owner" means an individual who owns a vehicle with one or 27 more other individuals as joint tenants with a right of survivorship or as tenants by the 28 entirety; 29 (3) "owner" means 30 (A) the sole owner; or 31 (B) all joint owners;
01 (4) "person" includes a corporation, company, partnership, firm, 02 association, organization, trust, business trust, or society, as well as a natural person; 03 (5) "sole owner" means an individual who is the only person who owns 04 the vehicle; 05 (6) "transfer on death title" means a certificate of title obtained under 06 (a) of this section that transfers the title of a vehicle to a designated beneficiary when 07 the owner dies; 08 (7) "vehicle" means a vehicle for which the department is required or 09 allowed to issue a certificate of title under AS 28.10.201. 10 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 11 read: 12 TRANSITION: REGULATIONS. The Department of Administration may adopt 13 regulations necessary to implement AS 28.10.275, enacted by sec. 2 of this Act. The 14 regulations take effect under AS 44.62 (Administrative Procedure Act), but not before the 15 effective date of sec. 2 of this Act. 16 * Sec. 4. Section 3 of this Act takes effect immediately under AS 01.10.070(c). 17 * Sec. 5. Sections 1 and 2 of this Act take effect July 1, 2017.