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So what has been going on with EStart and digital vehicle titles? As you know, we’ve been a member of the EStart Coalition along with many other professionals like DocuSign, TrueCar, Adessa Auto Auctions, Carvana, and many other automotive and digital platform participants. And so far this year, in 2024, we’ve had a lot of success in getting certain states to transition to electronic titles.
Legislative RecapHere’s a breakdown of what EStart has done so far and we’ll look at some of the specific documents as well. Legislative recap: modernization. Still a few states with legislatures in session. Most of the states have already concluded for the year. Here is a recap of the legislation and the outcome that impacted from the EART Coalition.
Colorado and ConnecticutColorado adds lease vehicles to electronic titles. Before, they had electronic titles but only for purchase vehicles. Connecticut, impacting existing electronic document processing, authorizes making electronic notifications for title records. So that’s good news.
Mississippi and South DakotaMississippi requires electronic notification of lien satisfaction. This is great because lien releases are notoriously a problem and having that done electronically is good. South Dakota allows remote notaries. That’s a really good advancement, so that way you don’t have to go in person to a notary.
Tennessee and UtahTennessee requires, the keyword is requires, electronic lien and title system by June of 2026. So this is a full transition to electronic titles. Utah, again, remote online notaries, establish electronic title system by the end of next year. This is crucial.
VirginiaVirginia secure power attorney. This is something that’s not a big deal, but it’s helpful.
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Massachusetts and New JerseyStill in process: Massachusetts has a very good e-signature bill that’s in process. It’ll probably get passed. New Jersey, to establish electronic lien and title, and that’s pretty much a done deal that just has to get signed off on.
North CarolinaNorth Carolina establishes a print-on-demand temporary tag system. So that’s a big deal; you can print your own tags, license plates, temporary tags.
National PoliciesFor EStart, a few other policies that are in the works: you have the National Highway Transportation Safety Administration (NHTSA) which has an interpretation. Massachusetts’ electronic signature and lien was one of the ones that was initially done, one of the first test cases. As you can see in this one, we’re a signature car titles, one of the main signatories of it along with Carvana, Adessa, and a lot of other providers of these technologies.
GeorgiaAnother big one was in the state of Georgia for online notaries. Again, we signed off on this one. Car titles right here along with DocuSign. DocuSign was a big promoter of this because it’s online notaries. It was a right to the governor of Georgia in Atlanta to allow remote online notaries. This is a big deal. This is one that will set the stage for a lot of progress on online titles.
The Future of Electronic TitlesThe more these rules and regulations start to be promulgated in the various states, the more it will catch on like wildfire. It only takes a few states to get it done, and then the other states will see it, and we can use it as a model to transition to electronic titles. Gone are the days where you have to sign papers, wait for bulky titles to come in the mail. Lien releases and all the different types of title and registration processes will be a lot more streamlined, cheaper, and easier to do, and you won’t have to wait as long.
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