Exceptions | Odometer Errors

Altered documents are a common problem in title transactions. The most frequent alteration is scratching out or “whiting” out a buyer’s name on the release of the title and/or supporting documents. Generally, in the case of a transfer document or power-of-attorney, new, unaltered documents are required.

Per AS 28.10.251, all titles contain the wording that any erasure or obliteration will void the title. A title is a negotiable document in much the same manner as a check. Banks will not accept an altered check because it is not a good business practice. DMV will not accept an altered title for the same reason, although there are some reasonable exceptions.

EXAMPLES OF EXCEPTIONS:

• When a person marks or writes on the face of the title in an area that does not obscure or affect any of the information.
• When the owner signed their name in the buyer’s space, lined through it, and then signed in the correct place. This may be accepted if the names are readable and it was determined that this is what happened.

If a buyer’s name has been scratched or “whited” out on the back of a title the registered owner, as shown on the face of the title, may either:

• obtain a duplicate title and correctly complete the assignment or
• provide the applicant with a notarized affidavit that explains the alteration and clearly states the name of the person to whom the vehicle was transferred.

When the seller writes their name in as the purchaser, they would need to make a line through the name, write in the correct name, and initial the correction. This should be accompanied by a notarized letter from the seller that states what occurred and it must provide the name of the purchaser. [02 AAC 92.230]

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ODOMETER ERRORS

Occasionally, a person will check “in excess of mechanical limits” in error. When you see this, ask the customer if that was intentional. If not, have them make a statement in the affidavit section of the application as to what occurred.

Each case is unique and you are called upon to use your best judgment when accepting or rejecting documents that have an alteration or obliteration.

Cross Reference:

HISTORY:

7/1/06 - Regulation change from 13 AAC 70.290 to 02 AAC 92.230.

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