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How to Fill Out a Lien Release at the DMV in California

Under California law, an individual or business engaged in the business of repairing vehicles has the right to place a lien on a vehicle they have repaired if the owner refuses to pay for the repairs. After placing a lien on a vehicle, the lien holder has the right to initiate a lien sale and receive compensation for the repairs through proceeds. However, if the owner of the vehicle pays for the repairs after the lien arises, the lien holder must release the lien by filing Form REG-166 with the California Department of Motor Vehicles.

Instructions

1

Download Form REG-166 from the website of the California DMV (see Resources). The California DMV provides a PDF version of Form REG-166, which may be filled out on your computer, printed and filed.

2

Fill out and print Form REG-166. Under the vehicle information heading, provide the license plate, vehicle identification number and make of the vehicle that has a lien against it. Under the registered owner information heading, provide the full name of the person who has title to the vehicle. Under the title holder information section, provide the name and address of the individual or business that holds the lien against the vehicle. Press the "Print" button at the bottom of the form to print a completed copy.

3

Sign Form REG-166 in the presence of a notary. The lien holder must sign Form REG-166 in the presence of a notary. After signing, the notary must also sign Form REG-166.

4

File Form REG-166 with the California DMV and pay the filing fee. Form REG-166 must be filed in person at a California DMV office. The California DMV provides an online search tool for finding the nearest office (see Resources). As of 2011, the fee for filing a lien release is $15.

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