North Carolina Passes Legislation Allowing Secured Parties to Submit E-Signatures to the DMV

Electronic Signatures

On October 12, North Carolina Governor Pat McCrory (R-NC) signed into law North Carolina SB 370. Effective August 2016, an application for a certificate of title, a registration plate, a registration card, and any other document required by the DMV to be submitted with the application and requiring a signature may be submitted with an electronic signature. The required notification may also be performed electronically. In addition, effective December 1, 2015, upon the satisfaction or other discharge of a security interest in a vehicle for which the certificate of title data is notated by a lien through electronic means, the secured party shall, within seven business days from the date of satisfaction, send electronic notice of the release of the security interest to the DMV through the electronic lien release system. The electronic notice of the release of the security interest sent to the DMV by the secured party shall direct that a physical certificate of title be mailed or delivered to the address noted by the secured party providing notice of the satisfaction or other discharge of the security interest. Upon receipt by the Division of an electronic notice of the release of the security interest, the Division shall mail or deliver a certificate of title to the address noted by the secured party within three business days.