Governor signs vehicle lien bill into law

On Monday, Gov. Stitt signed legislation that will address a significant challenge that Oklahoma small business owners face.

House Bill 3618, authored by Rep. Erick Harris, R-Edmond, allows the transfer of a motor vehicle title with an active lien from a commercial lender to an individual’s business entity.

“Currently, small business owners in Oklahoma often have to take out personal loans to purchase vehicles necessary for their operations,” Harris said. “While this arrangement may work initially, complications arise as the business expands and additional vehicles are needed.”

Under existing state law, transferring a vehicle with an active lien to the business entity is prohibited. HB3618 seeks to eliminate this obstacle by allowing the transfer of business assets, such as vehicles, into the business entity’s name despite existing liens.

“A constituent brought this issue to my attention, and I recognized its impact on thousands of small businesses across Oklahoma,” Harris said. “This legislative change will allow small businesses to continue growing and investing in our state, ensuring they have the resources necessary for success.”

HB3618 will go into effect on Nov. 1.

Source: press release