Proof of title for used cars. When a new car is delivered to a franchised dealer, the dealer receives a Manufacturers Certificate of Origin (MCO). This document is used to process the “new car” sale to the retail customer. Once the sale has been completed, the dealership will use the Manufacturers Certificate of Origin along with all other required forms and documentation, and apply for a certificate of title on the “new car” purchaser’s behalf. This application must be submitted within 30 days. It is important to note that once the “new car” sale has been accepted and completed, the car is titled and cannot be resold as a new car. Going forward with “used cars” will be sold with a title. Very important note: Only an authorized franchised dealer can sell a “new car” for that specific line make.

Important: A link to form HSMV82053: https://www.flhsmv.gov/pdf/forms/82053.pdf   this document is a power of attorney to be used when applying for a new certificate of title. The power of attorney is to be signed by the buyer authorizing the dealer to apply for a new certificate of title on the buyer’s behalf. A copy of this form must also be maintained by the dealer for 5 years.

If a Manufacturers Certificate of Origin is not available at the time of sale, the dealer must submit form HSMV82994: https://www.flhsmv.gov/pdf/forms/82994.pdf Motor Vehicle Title Reassignment Supplement to the State. This form will allow the dealer to apply for a new certificate of title on the buyer’s behalf. A copy of this form must be kept at the dealership for 5 years.

Now that we clarified the difference between the two types of documents and their importance, let us begin by reviewing the appropriate state statues with regards to titling. We have attached an excerpt from the State of Florida Statutes Chapter 319.225: http://www.flsenate.gov/Laws/Statutes/2013/319.225  section 1 through 6 (a). Governing Titling and Registration.