Inconveniences Due to Failure to Transfer Car Ownership

“Last May, I sold my car with a sales contract, but the new owner didn’t register the car in their name, and since then, I have received a few parking and speeding fines. What can be done? How can I legally remove the car from my name?” – asks our reader, B.I.

In practice, it often happens that upon signing the contract, the seller hands over both the car and all original documents (registration certificate, vehicle title, etc.), relying fully on the buyer’s good faith. Frequently, either due to negligence or intentionally (to avoid paying fees), the new owner does not fulfill their legal obligations. Despite the car having changed hands multiple times, it still appears in the official records under the original owner’s name.

As a movable asset, under Article 1674 of the Civil Code, ownership is transferred to the buyer at the moment the contract is signed, and this transaction must be reported both to the tax office and the relevant public service authority.

Ownership transfer can be reported to the tax office by either the buyer or the seller, so any further taxes and fees levied on the vehicle will be charged to the new owner. It is wise not to leave this responsibility to the buyer, as failing to complete it could mean that vehicle taxes continue to be charged to the seller after the sale.

However, registration at the tax office does not automatically result in the car’s registration certificate or title being updated with the new owner’s name.

Under Article 11 of Emergency Government Decree No. 195 of 2002 on road traffic, in the event of a transfer of ownership, the new owner (buyer) is required to contact the relevant authority to request the car’s registration and the deletion of the previous owner’s data within 30 days from the date of contract signing to obtain a new registration certificate.

Failure to comply with this requirement is considered an offense.

According to Article 8 of Ministry of Interior Order No. 1501 of 2006, upon signing the contract, the seller has the option to record the vehicle’s transfer of ownership in the “alienated” field on the back of the registration certificate, making it easier for the police to identify violations.

If the 30-day deadline passes and the buyer has not registered the car in their name, the seller can request that the relevant authority make an entry in the official records noting the transfer of ownership. This entry does not yet complete the car’s registration transfer but may relieve the seller from liability for various fines imposed due to violations committed by others.

The seller may challenge fine notices in court within 15 days of receiving them.

If the buyer fails to meet their legal obligations, the seller can initiate legal proceedings against the buyer and the relevant registration authority, requesting the court to compel the buyer to complete the car registration, or, alternatively, authorize the seller to complete the process on their behalf.