How To Claim an Abandoned Vehicle in Alabama
Claiming an abandoned vehicle in Alabama is a structured legal process that requires adherence to specific timelines and procedures established by the Alabama Department of Revenue. Understanding each step ensures compliance with state law and protects the interests of both the party claiming the vehicle and the original vehicle owner.
What Qualifies as an Abandoned Vehicle in Alabama
The Alabama Department of Revenue defines unclaimed motor vehicles according to specific categories established by law. A motor vehicle is classified as unclaimed if it meets any of the following criteria:
- Left unattended on a public road or highway for more than 48 hours. This applies to any vehicle that has been sitting on public roadways without an apparent owner or operator present.
- Left on private or other public property for more than 48 hours without the property owner's consent. This category specifically excludes vehicles left on private property for the purpose of repairs.
- Left on private property for repairs but not reclaimed within 48 hours. The 48-hour countdown begins from the later of either the date the repairs were completed or the agreed-upon redemption date between the vehicle owner and the repair facility.
- Left unattended due to the driver's arrest, impairment from an accident, or any other reason requiring immediate removal. In these situations, law enforcement determines the necessity of removal, prioritizing public safety and the clearing of hazardous vehicles from roadways.
A motor vehicle transitions from unclaimed to abandoned when it meets the following condition:
- The vehicle has remained unclaimed for at least 30 calendar days from the date the Notice of Possession was sent to the owner and lienholder of record. If no owner or lienholder of record could be determined, the 30-day period begins from the initial determination of unclaimed status.
Process to Claim an Abandoned Vehicle in Alabama
Understanding the Abandoned Vehicle Process
Alabama requires that abandoned vehicles be sold at a public auction. This mandatory auction ensures a fair and transparent process that protects the interests of the current owner, any lienholders, and the person in possession of the vehicle. As a resident in possession of an abandoned vehicle, the resident has the right to participate in the public auction and bid on the vehicle, just like any other member of the public.
Report the Unclaimed Vehicle
Access the Unclaimed/Abandoned Vehicle Portal and complete the electronic report form within five calendar days of determining the vehicle is unclaimed. Include detailed information about the vehicle location, condition, and how long it has been unclaimed. This initial report triggers a 60-day title hold and officially starts the abandoned vehicle claim process. Simultaneously, use the National Motor Vehicle Title Information System (NMVTIS) to determine the state where the vehicle is titled.
Verify Vehicle Title Location and Request Records
Within five calendar days of the initial report, determine the state where the vehicle is titled using NMVTIS. For Alabama-titled vehicles, use the Records Request Portal to request an abandoned motor vehicle record. For vehicles titled in other states, submit a DPPA request to the motor vehicle division in that state to obtain certified records. If certified records cannot be obtained, the abandoned vehicle process cannot proceed.
Report Owner and Lienholder Information and Send Notice of Possession
Within five calendar days of receiving the certified record, enter the owner and lienholder information into the department's portal. Simultaneously, mail a Notice of Possession via certified mail, return receipt requested, to all registered owners, titled owners, and lienholders listed on the certified motor vehicle record. Keep copies of all certified mail receipts and delivery confirmations as proof of notification. If during this 30-day notification period the owner or lienholder claims the vehicle, the reporting person must report it as redeemed through the portal, which ends the process.
Allow the Statutory Waiting Period
Allow at least 30 calendar days to pass from the date the Notice of Possession was mailed. The vehicle legally becomes classified as an "abandoned motor vehicle" after this waiting period if the owner has not reclaimed it.
File Notice of Public Auction
At least 35 calendar days before the intended auction date, submit a Notice of Public Auction through the department's portal. This notice must include the specific date, time, and location of the auction. Within five calendar days of receiving the notice, the department will send a Notice of Termination to the current owners and lienholders, including notice of the sale and their appeal rights. Owners and lienholders have until the auction date to file a notice of appeal with the circuit court in the county where the sale is scheduled to occur; once the notice of appeal is filed with the department, an administrative stop is placed on the title record pending the court's determination.
Publish Auction Notice
The auction must be publicized once a week for two consecutive weeks in a publication of local circulation in the county where the sale is to occur. Ensure the first publication is at least 30 calendar days before the scheduled sale date. In counties with no published newspaper, post the notice conspicuously at the courthouse. The notice must include the reporting person's name and address, the owner's name and address, vehicle information, and the date and time of the public auction.
Conduct the Public Auction
At least 35 calendar days after the Notice of Public Auction is provided to the department, conduct the vehicle sale at the advertised date, time, and location. Follow all state procedures for open and fair bidding. Anyone in the public may bid on the vehicle, including the person in possession of it. This public bidding process ensures transparency and fairness by allowing the free market to determine the vehicle's sale price. If the reporting person is the highest bidder, they may purchase the vehicle by paying the winning bid amount. If another buyer purchases the vehicle, the reporting person receives the proceeds from the sale minus their costs (explained below).
Generate Bill of Sale and Handle Sale Proceeds
Use the department's portal to generate an Abandoned Motor Vehicle Bill of Sale (Form MVT 32-13B). If net sale proceeds exceed $0 (meaning the auction price is higher than the reporting person's costs), the net balance must be remitted to the county licensing official in the county where the sale occurred, and a receipt must be obtained. The buyer must receive a copy of the receipt within ten days; this receipt must accompany the MVT 32-13B when the buyer applies for an Alabama certificate of title through a designated agent. If the reporting person is the buyer, the receipt must accompany their MVT 32-13B when applying for title.
Title Application and Bonding Requirements
The buyer must apply for the Alabama certificate of title within 90 days from the date the vehicle is purchased through a designated agent.
If the buyer is not a bonded agent (such as a towing company or dealership), the buyer must first obtain a surety bond in order to receive the Alabama certificate of title. An Application for Title Surety Bond (Form MVT 10-1A) must be completed through the Surety Bond Portal. Upon approval, the applicant receives a Certificate of Title Surety Bond to be completed by both the applicant and the insurance company issuing the surety bond.
Special Considerations for Salvage Vehicles
If the current certificate of title bears a "salvage" brand, the subsequent title must also bear that brand. The purchaser of a salvaged abandoned motor vehicle shall not be permitted to register or operate the motor vehicle on Alabama highways until the vehicle is restored by a licensed rebuilder, inspected by the department, and a "rebuilt" Alabama certificate of title is issued. Salvage vehicles may require higher bond amounts due to their condition and history.
Maintain Records
All sales records must be maintained for three years from the date of sale and are subject to verification by the Alabama Department of Revenue. Records must include copies of notices sent to previous owners and lienholders, evidence of certified mail delivery, NMVTIS records, and all associated dates throughout the process.
Alabama Storage Fees and Financial Considerations
Storage Fee Assessment and Limitations
Storage fees for unclaimed vehicles are only assessed within five calendar days of the date the vehicle was declared abandoned. After this five-day window closes, storage fees cannot be charged against the vehicle owner or lienholder, even if the vehicle remains in storage during the subsequent legal process. This provision protects owners from accumulating excessive fees during the extended claim and auction timeline.
Towing and Recovery Service Rates
The Alabama Law Enforcement Agency annually approves reasonable towing and recovery service rates that reflect market conditions. These approved rates are updated by April 1 of each calendar year and are maintained in the Agency's Towing and Recovery Services Policy. Rates vary based on the type and weight classification of the towed vehicle. For commercial motor vehicles, a security deposit of up to $2,000 may be required before removal.
Dispute Resolution Process
If a dispute arises over towing or storage fees, the vehicle owner or designee must file a written complaint with the towing and recovery service provider and the trooper commander within three business days of receiving the invoice. Upon receiving the complaint, the towing and recovery service must cease any and all accruing storage charges during the dispute review procedure.
Net Sale Proceeds and Remittance
According to §32-13-6, Code of Ala. 1975, if any net sale balance from the abandoned vehicle auction exceeds zero dollars, the seller must remit these proceeds to the county licensing official in the county where the sale occurred for deposit into the county general fund. A copy of the Abandoned Motor Vehicle Bill of Sale (MVT 32-13B) must accompany the fund remittance. The seller must obtain a receipt for the deposit and provide the buyer with a copy within ten days. This receipt copy must accompany the MVT 32-13B when the buyer applies for the Alabama certificate of title. All records related to the abandoned vehicle sale must be maintained for three years from the date of sale and are subject to verification by the Alabama Department of Revenue.
Contact Information
Alabama Department of Revenue
50 North Ripley Street, Montgomery, AL 36132
Phone: (334) 242-9000
Official Website: Alabama Department of Revenue
