Lien Sales: A Q&A with John Pentecost
Every year the CalOHA office receives dozens of calls and emails with questions about the DMV lien sale process, so we asked our friend and legal hotline member, John Pentecost of Hart, Kienle, Pentecost for some advice and clarification.
Lien Sale FAQs
Q: The owner has not been on site for months and not paid rent. Can I move the RV?
A: If the tenant has been evicted and peaceable possession returned to the Park the RV can be moved immediately.
Peaceable Possession is where you have had an Unlawful Detainer action, and the court has issued a Writ of Possession, and it has been acted upon by the local law enforcement and the tenant has been removed.
If it reasonably appears that the RV has been abandoned by the tenant, and no one is living there, then you would not need to process an eviction. The RV would be considered abandoned.
However, if you have squatters in the RV, then you would need to process an eviction and/or unlawful detainer, or forceable detainer.
Q: If the RV is abandoned, can I move it?
A: Yes, if you can move the RV without gaining access you can move it to a storage area on site. If you must access the RV to pull in slides or other actions, then you would need to submit for the lien sale and likely hold the sale on site.
Q: Do I need an attorney to process a lien sale?
A: No. In fact, the lien sale cannot be run through an attorney. An attorney can assist with the paperwork, but the park owner would have to do the DMV lien sale.
There are lien sale service companies that can assist with the paperwork but the park owner would still have to apply for the lien sale.
Q: The RV doesn’t appear to be registered or it isn’t registered in California. What do I do?
A: If the RV is registered in another state, then you must file for a lien sale in that state.
If the RV is not registered at all it makes the process much more difficult.
Q: The RV does not have a VIN.
A: A vehicle with a missing VIN must be referred to the CHP before a vehicle record is released to the lienholder.
Q: I have been awarded Writ of Possession but the RV isn’t worth selling. Can I have it destroyed and removed from my property?
A: If you have been awarded possession of the RV you do not have to have a lien sale. You are able to junk the vehicle as necessary.
A lien sale procedure is a 12-step process that begins after you come into possession of a vehicle either through a Writ of Possession or Abandonment and determine if the vehicle is valued at over or under $4000.
Over $4000 will start with an Application for Lien Sale Authorization (REG 656).
Under $4000 will start with a Registration Information Request for Lien Sale (INF1126).
From here the process is similar and it requires either you or the DMV to send notice to the registered owner and give a period of time for opposition.
If a Declaration of Opposition is received all hope is not lost.
A notification is sent within 16 days to the lienholder informing them that the lien sale is denied and cannot be conducted unless:
- The lienholder files an action in court with 30 days of the date the DMV notice was mailed, and judgment is awarded to the lienholder.
- The declarant signs the Releases Interest on the bottom of the denial letter.
- The declarant could not be served pursuant to CC §§3071 (e) or 3072 (e), and the lienholder submits an Application for Authorization to Continue Lien Sale After Unsuccessful Service (REG 659).
While a bit time consuming, lien sales are the easiest way to remove a vehicle from your property. We have made this process even easier by offering the forms on our website or by calling the office. Additionally, we have provided How To links below.
As always, please don’t hesitate to contact our office with any questions.
Thank you to legal hotline Attorney, John Pentecost and Legal Assistant, Violet Santoyo-Perez for their assistance.
- If the value is at $4,000 or less:
https://www.dmv.ca.gov/portal/how-to-conduct-a-lien-sale-fora-vehicle-valued-at-4000-or-less-htvr-7/ - If the value is over $4,000:
https://www.dmv.ca.gov/portal/how-to-conduct-a-lien-sale-fora-vehicle-stored-at-a-self-service-storage-facility-or-valued-over4000-htvr-8/