9.17Obtaining or Transferring a Vehicle to Circumvent Vehicle or License Sanctions

A.Unlawful Acquisition of a Vehicle

1.Unlawful Purchase or Lease of a Vehicle to Circumvent Immobilization

“A person shall not purchase or lease another vehicle or an interest in another vehicle with the intent to circumvent the restrictions created by immobilization of a vehicle under [the MVC].” MCL 257.233(2).

“A person who violates [MCL 257.233(2)] is guilty of a misdemeanor punishable by imprisonment for not more than 1 year or a fine of not more than $1,000.00, or both.” MCL 257.233(5).

2.Unlawful Acquisition of a Vehicle Following License Suspension, Revocation, or Denial

“A person whose operator’s . . . license is suspended, revoked, or denied for, or who has never been licensed by [Michigan] and was convicted for, a third or subsequent violation of [MCL 257.625 or MCL 257.625m], o[r] a local ordinance substantially corresponding to [MCL 257.625 or MCL 257.625m], or a law of another state substantially corresponding to [MCL 257.625 or MCL 257.625m], or for a fourth or subsequent suspension or revocation under [MCL 257.904] shall not purchase, lease, or otherwise acquire a motor vehicle during the suspension, revocation, or denial period.” MCL 257.233(6).

“A person who violates [MCL 257.233(6)] is guilty of a misdemeanor punishable by imprisonment for not more than 93 days or a fine of not more than $100.00, or both.” MCL 257.233(6).

3.Assigned Holder of Plates Fails to Produce Old Registration Certificate or Certificate of Title Upon Application for New Registration Certificate

“If the assigned holder of registration plates applies for a new registration certificate, the application shall be accompanied either by the old registration certificate or by a certificate of title showing the person to be the assigned holder of the registration plates for which the old registration certificate had been issued.” MCL 257.233(7).

“A person who fails or neglects to fulfill the requirements of [MCL 257.233(7)] is guilty of a misdemeanor punishable by imprisonment for not more than 93 days or a fine of not more than $100.00, or both.” MCL 257.233(7).

B.Unlawful Transfer of a Vehicle

1.Transfer to Avoid Forfeiture

“A person shall not transfer or attempt to transfer ownership or right of possession of a vehicle subject to forfeiture or ordered forfeited under [the MVC] with the intent to avoid the forfeiture of that vehicle.” MCL 257.233(3).

“A person who violates [MCL 257.233(3)] is guilty of a misdemeanor punishable by imprisonment for not more than 1 year or a fine of not more than $1,000.00, or both.” MCL 257.233(5).

2.Transfer of a Vehicle Subject to Vehicle Sanctions to a Person Exempt from Use Tax

“During the time a vehicle is subject to a temporary registration plate, vehicle forfeiture, immobilization, registration denial, or the period from adjudication to immobilization of forfeiture under [the MVC], a person shall not without a court order transfer or assign the title or an interest in the vehicle to a person who is not subject to payment of a use tax under [MCL 205.93].” MCL 257.233(4).

“The following transfers or purchases are not subject to use tax:

(a) A transaction or a portion of a transaction if the transferee or purchaser is the spouse, mother, father, brother, sister, child, stepparent, stepchild, stepbrother, stepsister, grandparent, grandchild, legal ward, or a legally appointed guardian with a certified letter of guardianship, of the transferor.

(b) A transaction or a portion of a transaction if the transfer is a gift to the beneficiary in the administration of an estate.

(c) If a vehicle, ORV, manufactured housing, aircraft, snowmobile, or watercraft that has once been subjected to the Michigan sales or use tax is transferred in connection with the organization, reorganization, dissolution, or partial liquidation of an incorporated or unincorporated business and the beneficial ownership is not changed.

(d) If an insurance company licensed to conduct business in [Michigan] acquires ownership of a late model distressed vehicle as defined in [MCL 257.12a], through payment of damages in response to a claim or when the person who owned the vehicle before the insurance company reacquires ownership from the company as part of the settlement of a claim.” MCL 205.93(3).

“A person who violates [MCL 257.233(4)] is guilty of a misdemeanor punishable by imprisonment for not more than 1 year or a fine of not more than $1,000.00, or both.” MCL 257.233(5).