Texas Title

Discussion in 'All Things Boats & Boating' started by mcollins07, May 26, 2013.

  1. mcollins07
    Joined: Jan 2006
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    mcollins07 Senior Member

    Although I'm not a legal expert, the lore is that Texas has no salvage laws.
    I first heard comment about the law years ago regarding a story of people losing their yacht after someone offering to tow them off of a sand bar. As a yacht owner, the fact that Texas has no salvage laws sounded like a good thing.

    In Texas we have a significant problem with derelict boats along the coast, usually shrimp boats, but sometime sailboats. Marinas are often happy to see the non-boat-owner wanting to buy a dream. While visiting Florida, I asked around about derelict boats. I was taken back a bit when I got a response as if I were trying to steal boats. After that response, I realized the connection with the salvage laws of Texas and the derelict boat population. It seems Florida yacht owners have lost there boats as abandoned, when the owner did not consider the boat abandoned.

    I now know of three boats, all less then 25', which would be worth fixing up if I had a clear title. These boats have been abandoned, and title searches have been done on two of them. Last owner of record is either not known or does not respond via usps mail. The third has no registration numbers. Does anyone know of a legal means to get title to a boat in Texas which has been abandoned for several years?

    I've heard the suggestion of calling it home built, and applying for a title. This approach does not seem very practical. If a company tows and impounds a car, I think they eventually sell the car. Isn't there an analogous cost-effective way with boats?
     
  2. philSweet
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    philSweet Senior Member

    What you need to do is make contact with the last owner of record according to the state it was last registered in. That can take a bit of doing. After convincing them that they are in fact the people legally responsible for the boat and any costs it accrues, you can usually get them to send a letter authorizing somebody (other than you) to act as their agent and instructing them to sell the boat immediately without regards to cost. This agent sells the boat to you for one dollar. Basically, as long as this makes everybody happy and you aren't dealing with a contentious situation, this should be good enough to clear up the title for a small boat of small value. You do all the work, and write the letters for them to sign and return, and PAY THEM THE ONE DOLLAR, and send them the bill of sale and proof that you registered the boat in your name. You're their new best friend. This works about one try out of three, so keep trying. I send the one dollar along with the letters for them to sign. Do not take possession of the boat until the agent sells you the boat unless you are in fact doing a legitimate salvage on the boat and intend to put a lien on the title. The most this ever cost me for the entire circumlocution was about $500. That was for a rather nice 30' sailboat.

    In Florida, after the 2004, 2005 hurricane seasons, there was a massive federal cleanup of the Keys, and the locals used this to "get rid of" a large number of old unregistered liveaboards, often while the occupants were at work. This was done under the cover of salvage contracts paid by the Feds. Some tow boats also came to grief around this time. After about two weeks, the practice had pretty much stopped as the tow boat guys started to do their own due diligence and folks painted "NOT ABANDONED" on the side of their boats.
     
  3. PAR
    Joined: Nov 2003
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    PAR Yacht Designer/Builder

    Texas does have salvage laws (so does the USCG), but what they don't have is a bunch of extra money in their budget, to drag derelicts to the landfill, after the appropriate hoop jumping (they have to try to make the owner aware, etc.). This is typical on most coastal states, in economic slow downs. Programs get axed or temporary shut down and derelict boat removal, is an easy one to have state legislatures, get on board with.

    The term "salvage" is a difficult legal thing to declare on a derelict. You don't want to get caught up with a "salvage" claim, trust me. Unless you've stumbled across a boat, that was in jeopardy in some way and made a provable attempt to "save" it, you can run into a whole crap load of trouble. What you want to do is have it declared abandoned or better yet, just preform a title search for the current "standing" owner and have a frank conversation with them or their estate. Most don't want to be bothered, so jump at the chance to get out from under, any legal issues that could come up.

    Title and registration in Texas is handled by their DMV. They'll have forms for abandoned vessels and several hoops to jump through. These are similar in most states and you just have to jump through them or you don't get a title, so it can't be registered. Frankly, unless you've found something really special, it's a big, time consuming, pain in the butt, so consider this choice wisely, especially in light of the huge deals that can be made, in such a depressed market.

    Contact the DMV and tell them straight up what you'd like to do. They'll nurse maid you through the process (well, they'll tell you the fees and paper work that must be completed). I hope you're not in a hurry, because this takes a while, even if you've done it as many times as I have. For a novice, you be slightly balder by the end of the process.
     
  4. michael pierzga
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    michael pierzga Senior Member

    Derelict boats are a nightmare. My port is full of them..takes years for the authorities to finally push thru the paper work, cut them up and dispose of them. So complicated that boats who have some value are cut up even if a qualified buyer is present. Title transfer always seem the issue..no title, foreign flag..and your boat is worthless.

    Boats that are confiscated for drug running, illegal alien smuggling and other illegal activities seem to be different. For some reason the authorities secure the paperwork required rapidly...perhaps 6 months then sell or destroy.

    Always keep your eye open for these boats.
     
  5. SamSam
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    SamSam Senior Member

  6. PAR
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    PAR Yacht Designer/Builder

    Sam what you've linked is what the state has identified as abandoned and is now going through the process of finding the owners or interested parties (liens, slip fees, etc.). This is a Fish and Wildlife responsibility, as they're the ones that usually come across the boats. The list is part of the legal package that must be completed, before they can dispose of the vessels (sale, auction, destruction, etc.). A person trying to "save" a boat has to go through the same thing.
     
  7. SamSam
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    SamSam Senior Member

    Yes, that seems to be the "legal means to get title to a boat in Texas which has been abandoned for several years". Or even just 7 days.

    It kind of sounds complicated but that sort of stuff can also be pretty subjective, the law actually ends up being what the officer doing the paperwork considers necessary.
     
  8. PAR
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    PAR Yacht Designer/Builder

    In some states that may be true Sam, but in most states, there are specific hoops (read fees and paper work) that must be jumped through. Any misstep and the process comes to a halt and you're stuck until the i's and t's are appropriately dealt with. The Fish and Wildlife officers know the "routine" and just fill out the paper work, that needs to be passed along. I know most of the officers in my area and it's just "part of the job" for them, much like handing out a ticket for not having enough PFD's aboard.
     
  9. SamSam
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    SamSam Senior Member

    Yes, handing out tickets is part of the job, but it's a completely subjective determination whether a ticket or a warning is handed out, or if nothing is handed out and the officer just points out that pfd's are required, but lets it slide this time.

    The link I posted isn't what the F&W people have identified as abandoned. The top part is what I assume is step 3 of individuals trying to get title to abandoned boats. The part below is the requirements for an individual to get a title.

    The page of requirements for a Texas title look involved and probably can be involved, but then again, some people can be reasonable, even Fish and Wildlife authorities.

    The law says a person can apply for and get a title if
    1. They put up a bond equal to 1 1/2 times the value of the boat.
    2. Proves it isn't stolen
    3. Posts notice of the certificate of title application in the manner and for a period of time designated by rule by the department.

    A reasonable officer, as a representative of 'the department', might decide
    1. The abandoned boat isn't worth anything so it doesn't need a bond.
    2. It's been abandoned for years and there are no reports of it being stolen, so it's probably not stolen.
    3. The guy tried to contact the owners, that's good enough for the required notice.

    Failing all that, there's usually a loop hole for the law. This one is at the end,
    Maybe they have pre-defined the situations where you can contact a F&W officer, show him the situation and all the hoops have been simplified to the point of being very easy to get title. Maybe something like pay a $1 bond, sign something saying any past or future problems are all your responsibility and away you go.

    The op just has to ask the right authorities and go from there. The problem of derelict boats littering the coast of Texas might not be a problem of getting titles so much as the boats are not worth the time and money to move them, much less fix them, and weak or non-existent environmental laws allows the problem to be foisted upon the general public.
     
  10. Petros
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    Petros Senior Member

    in our state there are similar laws for both abandon cars and vessels. it is rather simple for either:

    1. you send registured mail to the last known address of the last owner requesting to buy it.
    2. you have a county sheriff inspect it for serial numbers, vessel numbers, registration etc and they run it through their data base to verify it was not reported stolen.
    3. you bring the sheriff certificate and the proof of mailing the request to the state DMV office and they issue you a provisional title that is good for two years. After two years if the previous owner has not made a claim on the vehicle or vessel you get a clear title in your name.

    If you are going to scrap an abandon car or vessel you only need the sheriff's certificate to deliver it to a scrap yard.

    Another alternative that gives you a clear title in 30 days is to have a licensed wrecker or salvage operation impound it, and than sell it to you after the time limit for owners to claim their vehicle. that will cost you the tow and storage charge but get you a clear title faster.
     
  11. mcollins07
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    mcollins07 Senior Member

    Thank you all for your suggestions.

    One of the boats has an Arkansas number on it.
    I'm still trying to find that owner. I have not found their database online like texas has.

    Phil's approach seems like it might work. I think the last owner of record would sign off if it is convenient. I'm concerned that their signature is not enough. They must go find a notary, which is a hurdle for some people.
     
  12. SamSam
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    SamSam Senior Member

    You eventually will have to go to the Texas authorities, I would go there first and see what you actually have to do as opposed to putting a lot of effort into what might work.

    I sold a sailboat (to an attorney, no less) and then about 3 years later somebody calls me up and said "my" boat was floating around the Golden Isle Marina damaging other boats. The lawyer never transferred the title into his name and had disappeared (along with the bill of sale and the title that I had signed over to him) so it was still "my" boat. Luckily I had moved to a different state so threats of monetary actions weren't worrisome, and basically the caller was wanting the boat himself, so I just signed something saying "It's all yours" and that was that. I believe though that he started by going to the state of Ga to track me down.
     

  13. Ike
    Joined: Apr 2006
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    Ike Senior Member

    The person in Texas responsible for all of this is Frances Stiles:

    Titling & Registration
    Frances Stiles: frances.stiles@tpwd.state.tx.us
    4200 Smith School Rd
    Austin, TX 78744
    Phone: 512.389.4860
    Fax: 512.389.4330

    E-mail, call, or write.
     
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