Vermont § 3826 - Release of security interest

§ 3826. Release of security interest

• (a) Upon the satisfaction of a security interest in a vessel, snowmobile, or all-terrain
  vehicle for which the certificate of title is in the possession of the lienholder,
  he or she shall, within 10 days after demand and, in any event, within 30 days, execute
  a release of his or her security interest, in the space provided on the certificate
  or as the Commissioner prescribes, and mail or deliver the certificate and release
  to the next lienholder named, or, if none, to the owner or any person who delivers
  to the lienholder an authorization from the owner to receive the certificate. The
  owner, other than a dealer holding the vessel, snowmobile, or all-terrain vehicle
  for resale, shall promptly cause the certificate and release to be mailed or delivered
  to the Commissioner, who shall release the lienholder’s rights on the certificate
  or issue a new certificate. (b) Upon the satisfaction of a security interest in a vessel, snowmobile, or all-terrain
  vehicle for which the certificate of title is in the possession of a prior lienholder,
  the lienholder whose security interest is satisfied shall within 10 days after demand
  and, in any event, within 30 days execute a release in the form the Commissioner prescribes
  and deliver the release to the owner or any person who delivers to the lienholder
  an authorization from the owner to receive it. The lienholder in possession of the
  certificate of title shall either deliver the certificate to the owner, or the person
  authorized by him or her, for delivery to the Commissioner or, upon receipt of the
  release, mail or deliver it with the certificate to the Commissioner, who shall release
  the subordinate lienholder’s rights on the certificate or issue a new certificate. (Added 1987, No. 152 (Adj. Sess.), § 1; amended 2001, No. 107 (Adj. Sess.), § 22.)