Montana Attorney General Opinion 16-235

Opinion No. 235. Motor Vehicles--Certificate of Title- Conditional Sales Contracts-Federal Sale. HELD: A purchaser of a motor ve- hicle at a sale from the United States government, for violation of internal revenue laws, buys the title free and clear of all encumbrances. January 26, 1936. Mr. A. B. Middleton Registrar of Motor Vehicles Deer Lodge, Montana You inquire whether you can issue certificate of title to William Wrenn. a motor vehicle owner, who obtained title thereto by reason of a sale under Sections 1441 and 1624, Title 26, U. S. C. (New) by the United States government, and if so, how your rec- ords showing the lien of a conditional sale contract may be cleared. It is my opinion that such sale passes title free and clear of all en- cumbrances, (U. S. v. One Ford Truck (D. C. Wyo. 1932), 3 Fed Supp. 283); and that upon proper proof made to your office of such sale, you should issue certificate of title to Mr. Wrenn, and make such notation upon your records of such conditional sale contract, as will show the facts. As to the proof, it would seem that an affidavit showing the facts should be required.