REPRESENTATIVES Womer Benjamin, Manning, Willamowski, Sulzer, Seitz, Jones

To amend sections 1339.66, 1339.68, 1340.22, 1547.54,

1

1548.07, 1548.071, 1548.08, 1548.11, 2106.18,

2

2109.62, 2113.30, 2113.61, 2117.25, 4503.12,

3

4505.06, 4505.10, 4549.08, and 4549.41; to amend,

4

for the purpose of adopting a new section number as

5

indicated in parentheses, section 2106.17

6

(2131.12); and to enact sections 1548.072 and

7

2131.13 of the Revised Code relative to the

8

valuation limit for termination of small trusts;

9

transfer on death of a motor vehicle, watercraft,

10

or outboard motor; reimbursement for payment of a

11

decedent's debt; issuance of a certificate of

12

transfer of real property; continuing a decedent's

13

business after death; and discretionary

14

distributions by a fiduciary.

15

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That sections 1339.66, 1339.68, 1340.22, 1547.54,	16
1548.07, 1548.071, 1548.08, 1548.11, 2106.18, 2109.62, 2113.30,	17
2113.61, 2117.25, 4503.12, 4505.06, 4505.10, 4549.08, and 4549.41	18
be amended; section 2106.17 (2131.12) be amended, for the purpose	19
of adopting a new section number as indicated in parentheses; and	20
sections 1548.072 and 2131.13 of the Revised Code be enacted to	21
read as follows:	22

Sec. 1339.66.  (A)(1) Upon the filing of a motion by a	23
trustee with the court that has jurisdiction over the trust, upon	24
the provision of reasonable notice to all beneficiaries who are	25
known and in being and who have vested or contingent interests in	26
the trust, and after holding a hearing, the court may terminate	27
the trust, in whole or in part, if it determines that all of the	28
following apply:	29

(a) It is no longer economically feasible to continue the	30
trust;.	31

(b) The termination of the trust is for the benefit of the	32
beneficiaries;.	33

(c) The termination of the trust is equitable and	34
practical;.	35

(d) The current value of the trust is less than fiftyone	36
hundred thousand dollars.	37

(2) The existence of a spendthrift or similar provision in a	38
trust instrument or will does not preclude the termination of a	39
trust pursuant to this section.	40

(B) If property is to be distributed from an estate being	41
probated to a trust and the termination of the trust pursuant to	42
this section does not clearly defeat the intent of the testator,	43
the probate court has jurisdiction to order the outright	44
distribution of the property or to make the property custodial	45
property under sections 1339.31 to 1339.39 of the Revised Code. A	46
probate court may so order whether the application for the order	47
is made by an inter vivos trustee named in the will of the	48
decedent or by a testamentary trustee.	49

Sec. 1339.68.  (A) As used in this section:

50

(1) "Disclaimant" means any person, any guardian or personal	51
representative of a person or estate of a person, or any	52
attorney-in-fact or agent of a person having a general or specific	53
authority to act granted in a written instrument, who is any of	54
the following:	55

(a) With respect to testamentary instruments and intestate	56
succession, an heir, next of kin, devisee, legatee, donee, person	57
succeeding to a disclaimed interest, surviving joint tenant,	58
surviving tenant by the entireties, surviving tenant of a tenancy	59
with a right of survivorship, beneficiary under a testamentary	60
instrument, or person designated to take pursuant to a power of	61
appointment exercised by a testamentary instrument;	62

(b) With respect to nontestamentary instruments, a grantee,	63
donee, person succeeding to a disclaimed interest, surviving joint	64
tenant, surviving tenant by the entireties, surviving tenant of a	65
tenancy with a right of survivorship, beneficiary under a	66
nontestamentary instrument, or person designated to take pursuant	67
to a power of appointment exercised by a nontestamentary	68
instrument;	69

(c) With respect to fiduciary rights, privileges, powers,	70
and immunities, a fiduciary under a testamentary or	71
nontestamentary instrument. This section does not authorize a	72
fiduciary to disclaim the rights of beneficiaries unless the	73
instrument creating the fiduciary relationship authorizes such a	74
disclaimer.	75

(d) Any person entitled to take an interest in property upon	76
the death of a person or upon the occurrence of any other event.	77

(2) "Property" means all forms of property, real and	78
personal, tangible and intangible.	79

(B)(1) A disclaimant, other than a fiduciary under an	80
instrument who is not authorized by the instrument to disclaim the	81
interest of a beneficiary, may disclaim, in whole or in part, the	82
succession to any property by executing and by delivering, filing,	83
or recording a written disclaimer instrument in the manner	84
provided in this section.	85

(2) A disclaimant who is a fiduciary under an instrument may	86
disclaim, in whole or in part, any right, power, privilege, or	87
immunity, by executing and by delivering, filing, or recording a	88
written disclaimer instrument in the manner provided in this	89
section.	90

(3) The written instrument of disclaimer shall be signed and	91
acknowledged by the disclaimant and shall contain all of the	92
following:	93

(a) A reference to the donative instrument;

94

(b) A description of the property, part of property, or	95
interest disclaimed, and of any fiduciary right, power, privilege,	96
or immunity disclaimed;	97

(c) A declaration of the disclaimer and its extent.

98

(4) The guardian of the estate of a minor or an incompetent,	99
or the personal representative of a deceased person, with the	100
consent of the probate division of the court of common pleas, may	101
disclaim, in whole or in part, the succession to any property, or	102
interest in property, that the ward, if an adult and competent, or	103
the deceased, if living, might have disclaimed. The guardian or	104
personal representative, or any interested person may file an	105
application with the probate division of the court of common pleas	106
that has jurisdiction of the estate, asking that the court order	107
the guardian or personal representative to execute and deliver,	108
file, or record the disclaimer on behalf of the ward or estate.	109
The court shall order the guardian or personal representative to	110
execute and deliver, file, or record the disclaimer if the court	111
finds, upon hearing after notice to interested parties and such	112
other persons as the court shall direct, that:	113

(a) It is in the best interests of those interested in the	114
estate of the person and of those who will take the disclaimed	115
interest;	116

(b) It would not materially, adversely affect the minor or	117
incompetent, or the beneficiaries of the estate of the decedent,	118
taking into consideration other available resources and the age,	119
probable life expectancy, physical and mental condition, and	120
present and reasonably anticipated future needs of the minor or	121
incompetent or the beneficiaries of the estate of the decedent.	122

A written instrument of disclaimer ordered by the court under	123
this division shall be executed and be delivered, filed, or	124
recorded within the time and in the manner in which the person	125
could have disclaimed if the person were living, an adult, and	126
competent.	127

(C) A partial disclaimer of property that is subject to a	128
burdensome interest created by the donative instrument is not	129
effective unless the disclaimed property constitutes a gift that	130
is separate and distinct from undisclaimed gifts.	131

(D) The disclaimant shall deliver, file, or record the	132
disclaimer, or cause the same to be done, not later than nine	133
months after the latest of the following dates:	134

(1) The effective date of the donative instrument if both	135
the taker and the taker's interest in the property are finally	136
ascertained on that date;	137

(2) The date of the occurrence of the event upon which both	138
the taker and the taker's interest in the property become finally	139
ascertainable;	140

(3) The date on which the disclaimant attains twenty-one	141
years of age or is no longer an incompetent, without tendering or	142
repaying any benefit received while the disclaimant was under	143
twenty-one years of age or an incompetent, and even if a guardian	144
of a minor or incompetent had filed an application pursuant to	145
division (B)(4) of this section and the probate division of the	146
court of common pleas involved did not consent to the guardian	147
executing a disclaimer.	148

(E) No disclaimer instrument is effective under this section	149
if either of the following applies under the terms of the	150
disclaimer instrument:	151

(1) The disclaimant has power to revoke the disclaimer;.

152

(2) The disclaimant may transfer, or direct to be	153
transferred, to self the entire legal and equitable ownership of	154
the property subject to the disclaimer instrument.	155

(F)(1) Subject to division (F)(2) of this section, if the	156
interest disclaimed is created by a nontestamentary instrument,	157
the disclaimer instrument shall be delivered personally or by	158
certified mail to the trustee or other person who has legal title	159
to, or possession of, the property disclaimed.	160

(2) If the interest disclaimed is created by a testamentary	161
instrument, by intestate succession, or by a transfer on death	162
deed pursuant to section 5302.22 of the Revised Code, or by a	163
certificate of title to a motor vehicle, watercraft, or outboard	164
motor that evidences ownership of the motor vehicle, watercraft,	165
or outboard motor that is transferable on death pursuant to	166
section 2131.13 of the Revised Code, the disclaimer instrument	167
shall be filed in the probate division of the court of common	168
pleas in the county in which proceedings for the administration of	169
the decedent's estate have been commenced, and an executed copy of	170
the disclaimer instrument shall be delivered personally or by	171
certified mail to the personal representative of the decedent's	172
estate.	173

(3) If no proceedings for the administration of the	174
decedent's estate have been commenced, the disclaimer instrument	175
shall be filed in the probate division of the court of common	176
pleas in the county in which proceedings for the administration of	177
the decedent's estate might be commenced according to law. The	178
disclaimer instrument shall be filed and indexed, and fees	179
charged, in the same manner as provided by law for an application	180
to be appointed as personal representative to administer the	181
decedent's estate. The disclaimer is effective whether or not	182
proceedings thereafter are commenced to administer the decedent's	183
estate. If proceedings thereafter are commenced for the	184
administration of the decedent's estate, they shall be filed	185
under, or consolidated with, the case number assigned to the	186
disclaimer instrument.	187

(4) If an interest in real estate is disclaimed, an executed	188
copy of the disclaimer instrument also shall be recorded in the	189
office of the recorder of the county in which the real estate is	190
located. The disclaimer instrument shall include a description of	191
the real estate with sufficient certainty to identify it, and	192
shall contain a reference to the record of the instrument that	193
created the interest disclaimed. If title to the real estate is	194
registered under Chapters 5309. and 5310. of the Revised Code, the	195
disclaimer interest shall be entered as a memorial on the last	196
certificate of title. A spouse of a disclaimant has no dower or	197
other interest in the real estate disclaimed.	198

(G) Unless the donative instrument expressly provides that,	199
if there is a disclaimer, there shall not be any acceleration of	200
remainders or other interests, the property, part of property, or	201
interest in property disclaimed, and any future interest that is	202
to take effect in possession or enjoyment at or after the	203
termination of the interest disclaimed, shall descend, be	204
distributed, or otherwise be disposed of, and shall be	205
accelerated, in the following manner:	206

(1) If intestate or testate succession is disclaimed, as if	207
the disclaimant had predeceased the decedent;	208

(2) If the disclaimant is one designated to take pursuant to	209
a power of appointment exercised by a testamentary instrument, as	210
if the disclaimant had predeceased the donee of the power;	211

(3) If the donative instrument is a nontestamentary	212
instrument, as if the disclaimant had died before the effective	213
date of the nontestamentary instrument;	214

(4) If the disclaimer is of a fiduciary right, power,	215
privilege, or immunity, as if the right, power, privilege, or	216
immunity was never in the donative instrument.	217

(H) A disclaimer pursuant to this section is effective as	218
of, and relates back for all purposes to, the date upon which the	219
taker and the taker's interest have been finally ascertained.	220

(I) A disclaimant who has a present and future interest in	221
property, and disclaims the disclaimant's present interest in	222
whole or in part, is considered to have disclaimed the	223
disclaimant's future interest to the same extent, unless a	224
contrary intention appears in the disclaimer instrument or the	225
donative instrument. A disclaimant is not precluded from	226
receiving, as an alternative taker, a beneficial interest in the	227
property disclaimed, unless a contrary intention appears in the	228
disclaimer instrument or in the donative instrument.	229

(J) The disclaimant's right to disclaim under this section	230
is barred if, before the expiration of the period within which the	231
disclaimant may disclaim the interest, the disclaimant does any of	232
the following:	233

(1) Assigns, conveys, encumbers, pledges, or transfers, or	234
contracts to assign, convey, encumber, pledge, or transfer, the	235
property or any interest in it;	236

(2) Waives in writing the disclaimant's right to disclaim	237
and executes and delivers, files, or records the waiver in the	238
manner provided in this section for a disclaimer instrument;	239

(3) Accepts the property or an interest in it;

240

(4) Permits or suffers a sale or other disposition of the	241
property pursuant to judicial action against the disclaimant.	242

(K) A fiduciary's application for appointment or assumption	243
of duties as a fiduciary does not waive or bar the disclaimant's	244
right to disclaim a right, power, privilege, or immunity.	245

(L) The right to disclaim under this section exists	246
irrespective of any limitation on the interest of the disclaimant	247
in the nature of a spendthrift provision or similar restriction.	248

(M) A disclaimer instrument or written waiver of the right	249
to disclaim that has been executed and delivered, filed, or	250
recorded as required by this section is final and binding upon all	251
persons.	252

(N) The right to disclaim and the procedures for disclaimer	253
established by this section are in addition to, and do not exclude	254
or abridge, any other rights or procedures existing under any	255
other section of the Revised Code or at common law to assign,	256
convey, release, refuse to accept, renounce, waive, or disclaim	257
property.	258

(O)(1) No person is liable for distributing or disposing of	259
property in a manner inconsistent with the terms of a valid	260
disclaimer if the distribution or disposition is otherwise proper	261
and the person has no actual knowledge of the disclaimer.	262

(2) No person is liable for distributing or disposing of	263
property in reliance upon the terms of a disclaimer that is	264
invalid because the right of disclaimer has been waived or barred	265
if the distribution or disposition is otherwise proper and the	266
person has no actual knowledge of the facts that constitute a	267
waiver or bar to the right to disclaim.	268

(P)(1) A disclaimant may disclaim pursuant to this section	269
any interest in property that is in existence on September 27,	270
1976, if either the interest in the property or the taker of the	271
interest in the property is not finally ascertained on that date.	272

(2) No disclaimer executed pursuant to this section destroys	273
or diminishes an interest in property that exists on September 27,	274
1976, in any person other than the disclaimant.	275

Sec. 1340.22.  (A) Unless the governing instrument	276
conferring the powers specifically refers to this section and	277
states that this section does not apply and except as provided in	278
divisions (B), (C), and (D) of this section, any of the following	279
powers conferred upon a fiduciary by the governing instrument	280
cannot be exercised by the fiduciary:	281

(1) The power to make any discretionary distribution of	282
either principal or income to or for the benefit of the fiduciary	283
in the fiduciary's individual capacity;	284

(2) The power to make any discretionary distribution of	285
either principal or income to satisfy any of the fiduciary's legal	286
obligations in the fiduciary's individual capacity for support or	287
other purposes;	288

(3) The power to make any discretionary distribution of	289
either principal or income to or for the benefit of one or more	290
beneficiaries to the extent that the fiduciary would or could	291
receive a similar distribution in the fiduciary's individual	292
capacity under any governing instrument from the beneficiary or	293
beneficiaries acting as a fiduciary;	294

(4) The power to make any discretionary distribution of	295
either principal or income to or for the benefit of one or more	296
beneficiaries who possess both the right to remove the fiduciary	297
and the right to appoint a successor fiduciary that may include	298
but is not limited to the beneficiary, any of the beneficiaries,	299
or any related or subordinate person, within the meaning of	300
section 672(c) of the "Internal Revenue Code of 1986," 100 Stat.	301
2085, 26 U.S.C. 672(c), with respect to the beneficiary or any of	302
the beneficiaries, if the successor fiduciary has been appointed	303
by the exercise of both of those rights by the beneficiary or	304
beneficiaries.	305

(B)(1) If division (A)(1), (3), or (4) of this section	306
prohibits a fiduciary from exercising any power conferred by the	307
governing instrument, the fiduciary, notwithstanding division	308
(A)(1), (3), or (4) of this section, may exercise the power to the	309
extent set forth in the governing instrument, provided that the	310
exercise of that power, in all events, shall be limited to an	311
ascertainable standard.	312

(2) Any power conferred upon a fiduciary that permits the	313
fiduciary to make discretionary distributions of either principal	314
or income and that is expressed in terms of a beneficiary's	315
health, education, support, comfort, care, comfort and support,	316
support in reasonable comfort, support in accustomed manner of	317
living, maintenance, maintenance in health and reasonable comfort,	318
or any combination of those factors, is a power conferred upon the	319
fiduciary, the exercise of which is reasonably measurable in terms	320
of, and limited by, an ascertainable standard related to the	321
health, education, support, and maintenance of the beneficiary.	322

(C) Any fiduciary who is authorized to exercise one or more	323
powers set forth in a governing instrument may exercise any of	324
those powers that the fiduciary is not prohibited from exercising	325
because of the operation of division (A) of this section even	326
though one or more other fiduciaries under the governing	327
instrument is prohibited from exercising the power because of the	328
operation of division (A) of this section.	329

(D) Any power conferred upon a fiduciary that the fiduciary	330
cannot exercise because of the operation of division (A) of this	331
section may be exercised by a special fiduciary appointed by a	332
court of competent jurisdiction. Upon the application of any	333
party in interest, the appropriate probate court or general	334
division of the appropriate court of common pleas may appoint a	335
special fiduciary. Upon the appointment of a special fiduciary	336
under this division, the special fiduciary is qualified to	337
exercise any power set forth in the governing instrument during	338
the period of time that the court designates.	339

(E) This section does not apply to any of the following:

340

(1) Any purely discretionary power to distribute either	341
principal or income to or for the benefit of a beneficiary, other	342
than a beneficiary who is also a fiduciary, that is exercisable in	343
a fiduciary capacity in the sole and absolute discretion of the	344
fiduciary and without any other direction or limitation as to its	345
exercise or use set forth in the governing instrument;	346

(2) Any power of appointment or withdrawal that specifically	347
is granted in the governing instrument to a beneficiary and that	348
is exercisable in an individual capacity but not in a fiduciary	349
capacity;	350

(3) Any trust during the time that the trust is revocable or	351
amendable by its settlor;	352

(4) Any power held by a decedent's or settlor's spouse who	353
is the trustee under a decedent's trust for which a marital	354
deduction for estate tax purposes has been allowed, except a trust	355
or portion of a trust regarding which a special election for	356
qualified terminable interest property has been made as provided	357
in section 2652(a)(3) of the "Internal Revenue Code of 1986," 100	358
Stat. 2085, 26 U.S.C. 2652(a)(3);	359

(5)(a) Subject to divisions (E)(5)(b) and (c) of this	360
section, any irrevocable trust created under a governing	361
instrument executed before the expiration of three years after the	362
effective date of this amendment, if all of the parties in	363
interest elect affirmatively not to be subject to the application	364
of this section through a written instrument delivered to the	365
fiduciary.	366

(b) In the case of a testamentary trust, the election	367
described in division (E)(5)(a) of this section shall be filed	368
with the probate court in which the will was admitted to probate.	369

(c) All of the parties in interest shall make the election	370
described in division (E)(5)(a) of this section on or before the	371
later of the expiration of three years after the effective date of	372
this amendment or three years after the date on which the trust	373
becomes irrevocable.	374

(d) As used in division (E)(5) of this section, "party in	375
interest" does not include a contingent remainder beneficiary and	376
means any of the following:	377

(i) Each fiduciary then serving;

378

(ii) Each current beneficiary then in existence or, if that	379
beneficiary has not attained the age of majority or otherwise is	380
incapacitated, the beneficiary's legal representative under	381
applicable law or the attorney in fact of the current beneficiary	382
under a durable power of attorney that is sufficient to grant the	383
authority under division (E)(5) of this section;	384

(iii) Each remainder beneficiary then in existence or, if	385
that remainder beneficiary has not attained the age of majority or	386
otherwise is incapacitated, the remainder beneficiary's legal	387
representative under applicable law or the attorney in fact of the	388
remainder beneficiary under a durable power of attorney that is	389
sufficient to grant the authority under division (E)(5) of this	390
section.	391

Sec. 1547.54.  (A)(1) The owner of every watercraft	392
requiring registration under this chapter shall file an	393
application for a triennial registration certificate with the	394
chief of the division of watercraft on forms that shall be	395
provided by the chief or by an electronic means approved by the	396
chief. The application shall be signed by the following:	397

(a) If the watercraft is owned by two persons under joint	398
ownership with right of survivorship established under section	399
2106.172131.12 of the Revised Code, by both of those persons as	400
owners of the watercraft. The signatures may be done by	401
electronic signature if the owners themselves are renewing the	402
registration and there are no changes in the registration	403
information since the issuance of the immediately preceding	404
registration certificate. In all other instances, the signatures	405
mustshall be done manually.	406

(b) If the watercraft is owned by a minor, by the minor and	407
a parent or legal guardian. The signatures may be done by	408
electronic signature if the parent or legal guardian and the minor	409
themselves are renewing the registration and there are no changes	410
in the registration information since the issuance of the	411
immediately preceding registration certificate. In all other	412
instances, the signatures mustshall be done manually.	413

(c) In all other cases, by the owner of the watercraft. The	414
signature may be done by electronic signature if the owner him or	415
herself is renewing the registration and there are no changes in	416
the registration information since the issuance of the immediately	417
preceding registration certificate. In all other instances, the	418
signatures mustshall be done manually.	419

(2) An application for a triennial registration of a	420
watercraft filed under division (A)(1) of this section shall be	421
accompanied by the following fee:	422

(a) For canoes, kayaks, rowboats, and inflatable watercraft,	423
twelve dollars;	424

(b) For class A watercraft, including motorized canoes,	425
thirty dollars;	426

(c) For class 1 watercraft, forty-five dollars;

427

(d) For class 2 watercraft, sixty dollars;

428

(e) For class 3 watercraft, seventy-five dollars;

429

(f) For class 4 watercraft, ninety dollars.

430

(3) For the purpose of registration, any watercraft operated	431
by means of power, sail, or any other mechanical or electrical	432
means of propulsion, except motorized canoes, shall be registered	433
by length as prescribed in this section.	434

(4) If an application for registration is filed by two	435
persons as owners under division (A)(1)(a) of this section, the	436
person who is listed first on the title shall serve as and perform	437
the duties of the "owner" and shall be considered the person "in	438
whose name the watercraft is registered" for purposes of divisions	439
(B) to (Q) of this section and for purposes of all other sections	440
in this chapter.	441

(B) All registration certificates are valid for three years	442
and are renewable on a triennial basis unless sooner terminated or	443
discontinued in accordance with this chapter. The renewal date	444
shall be printed on the registration certificate. A registration	445
certificate may be renewed by the owner in the manner prescribed	446
by the chief. All fees shall be charged according to a proration	447
of the time remaining in the registration cycle to the nearest	448
year.	449

(C) In addition to the fees set forth in this section, the	450
chief, or any authorized agent, shall charge an additional fee of	451
three dollars for any registration certificate the chief or	452
authorized agent issues. When the registration certificate is	453
issued by an authorized agent, the additional fee of three dollars	454
shall be retained by the issuing agent. When the registration	455
certificate is issued by the chief, the additional fee of three	456
dollars shall be deposited to the credit of the waterways safety	457
fund established in section 1547.75 of the Revised Code.	458

(D) Upon receipt of the application in approved form, the	459
chief shall enter the same upon the records of the office of the	460
division, assign a number to the watercraft if a number is	461
required under section 1547.53 of the Revised Code, and issue to	462
the applicant a registration certificate. If a number is assigned	463
by the chief, it shall be set forth on the certificate. The	464
registration certificate shall be on the watercraft for which it	465
is issued and available at all times for inspection whenever the	466
watercraft is in operation, except that livery operators may	467
retain the registration certificate at the livery where it shall	468
remain available for inspection at all times.	469

(E) No person shall issue or be issued a registration	470
certificate for a watercraft that is required to be issued a	471
certificate of title under Chapter 1548. of the Revised Code	472
except upon presentation of a certificate of title for the	473
watercraft as provided in that chapter, proof of current	474
documentation by the United States coast guard, a renewal	475
registration form provided by the division of watercraft, or a	476
certificate of registration issued under this section that has	477
expired if there is no change in the ownership or description of	478
the watercraft.	479

(F) Whenever the ownership of a watercraft changes, a new	480
application form together with the prescribed fee shall be filed	481
with the chief or the chief's agent and a new registration	482
certificate shall be issued. The application shall be signed	483
manually by the person or persons specified in division (A)(1)(a)	484
to (c) of this section and shall be accompanied by a two-dollar	485
transfer fee. Any remaining time on the registration shall be	486
transferred. An authorized agent of the chief shall charge an	487
additional fee of three dollars, which shall be retained by the	488
issuing agent. If the certificate is issued by the chief, an	489
additional fee of three dollars for each certificate issued shall	490
be collected.	491

(G) If an agency of the United States has in force an	492
overall system of identification numbering for watercraft or	493
certain types of watercraft within the United States, the	494
numbering system employed by the division shall be in conformity	495
with that system.	496

(H) The chief may assign any registration certificates to	497
any authorized agent for the assignment thereofof the	498
registration certificates. If a person accepts that	499
authorization, the person may be assigned a block of numbers and	500
certificates therefor that upon assignment, in conformity with	501
this chapter and Chapter 1548. of the Revised Code and with rules	502
of the division, shall be valid as if assigned directly by the	503
division. Any person so designated as an agent by the chief shall	504
post with the division security as may be required by the director	505
of natural resources. The chief may issue an order temporarily or	506
permanently restricting or suspending an agent's authorization	507
without a hearing if the chief finds that the agent has violated	508
this chapter or Chapter 1548. of the Revised Code, rules adopted	509
under them, or any agreements prescribed by the chief.	510

(I) All records of the division made or kept pursuant to	511
this section shall be public records. Those records shall be	512
available for inspection at reasonable hours and in a manner	513
compatible with normal operations of the division.	514

(J) The owner shall furnish the division notice within	515
fifteen days of the following:	516

(1) The transfer, other than through the creation of a	517
security interest in any watercraft, of all or any part of the	518
owner's interest or, if the watercraft is owned by two persons	519
under joint ownership with right of survivorship established under	520
section 2106.172131.12 of the Revised Code, of all or any part of	521
the joint interest of either of the two persons. The transfer	522
shall not terminate the registration certificate.	523

(2) Any change in the address appearing on the certificate	524
and, as a part of the notification, shall furnish the chief with	525
the owner's new address;	526

(3) The destruction or abandonment of the watercraft.

527

(K) The chief may issue duplicate registration certificates	528
or duplicate tags to owners of currently registered watercraft,	529
the fee for which shall be four dollars.	530

(L) If the chief finds that a registration certificate	531
previously issued to an owner is in error to a degree that would	532
impair its basic purpose and use, the chief may issue a corrected	533
certificate to the owner without charge.	534

(M) No authorized agent shall issue and no person shall	535
receive or accept from an authorized agent a registration	536
certificate assigned to the authorized agent under division (H) of	537
this section unless the exact month, day, and year of issue are	538
plainly written thereonon the certificate by the agent.	539
Certificates issued with incorrect dates of issue are void from	540
the time they are issued.	541

(N) The chief, in accordance with Chapter 119. of the	542
Revised Code, shall adopt rules governing the renewal of	543
watercraft registrations by electronic means.	544

(O) As used in this section:

545

(1) "Disabled veteran" means a person who is included in	546
either of the following categories:	547

(a) Because of a service-connected disability, has been or	548
is awarded funds for the purchase of a motor vehicle under the	549
"Disabled Veterans' and Servicemen's Automobile Assistance Act of	550
1970," 84 Stat. 1998, 38 U.S.C. 1901, and amendments thereto;	551

(b) Has a service-connected disability rated at one hundred	552
per cent by the veterans administration.	553

(2) "Prisoner of war" means any regularly appointed,	554
enrolled, enlisted, or inducted member of the military forces of	555
the United States who was captured, separated, and incarcerated by	556
an enemy of the United States at any time, and any regularly	557
appointed, enrolled, or enlisted member of the military forces of	558
Great Britain, France, Australia, Belgium, Brazil, Canada, China,	559
Denmark, Greece, the Netherlands, New Zealand, Norway, Poland,	560
South Africa, or the republics formerly associated with the Union	561
of Soviet Socialist Republics or Yugoslavia who was a citizen of	562
the United States at the time of the appointment, enrollment, or	563
enlistment, and was captured, separated, and incarcerated by an	564
enemy of this country during World War II.	565

(P) Any disabled veteran, congressional medal of honor	566
awardee, or prisoner of war may apply to the chief for a	567
certificate of registration, or for a renewal of the certificate	568
of registration, without the payment of any fee required by this	569
section. The application for a certificate of registration shall	570
be accompanied by evidence of disability or by documentary	571
evidence in support of a congressional medal of honor that the	572
chief requires by rule. The application for a certificate of	573
registration by any person who has been a prisoner of war shall be	574
accompanied by written evidence in the form of a record of	575
separation, a letter from one of the armed forces of a country	576
listed in division (O)(2) of this section, or other evidence that	577
the chief may require by rule, that the person was honorably	578
discharged or is currently residing in this state on active duty	579
with one of the branches of the armed forces of the United States,	580
or was a prisoner of war and was honorably discharged or received	581
an equivalent discharge or release from one of the armed forces of	582
a country listed in division (O)(2) of this section.	583

(Q) Annually by the fifteenth day of January, the director	584
of natural resources shall determine the amount of fees that would	585
have been collected in the prior calendar year for each	586
certificate of registration issued or renewed pursuant to division	587
(P) of this section and shall certify the total amount of foregone	588
revenue to the director of budget and management for	589
reimbursement. The director of budget and management shall	590
transfer the amount certified from the general revenue fund to the	591
waterways safety fund created pursuant to section 1547.75 of the	592
Revised Code.	593

Sec. 1548.07.  (A) An application for a certificate of title	594
shall be sworn to before a notary public or other officer	595
empowered to administer oaths by the lawful owner or purchaser of	596
the watercraft or outboard motor and shall contain the following	597
information in the form and together with any other information	598
that the chief of the division of watercraft may require:	599

(1) Name, address, and social security number or employer's	600
tax identification number of the applicant;	601

(2) Statement of how the watercraft or outboard motor was	602
acquired;	603

(3) Name and address of the previous owner;

604

(4) A statement of all liens, mortgages, or other	605
encumbrances on the watercraft or outboard motor, including a	606
description of the nature and amount of each lien, mortgage, or	607
encumbrance, and the name and address of each holder thereofof	608
the lien, mortgage, or encumbrance;	609

(5) If there are no outstanding liens, mortgages, or other	610
encumbrances, a statement of that fact;	611

(6) A description of the watercraft, including the make,	612
year, length, series or model, if any, body type, hull	613
identification number or hull identification number serial number,	614
and make, manufacturer's serial number, and horsepower of any	615
inboard motor or motors; or a description of the outboard motor,	616
including the make, year, series or model, if any, manufacturer's	617
serial number, and horsepower;	618

(G)(7) The purchase price, trade-in allowed, and amount of	619
sales or use tax paid under Chapter 5739. or 5741. of the Revised	620
Code.	621

(B) If the application is made by two persons regarding a	622
watercraft or outboard motor in which they wish to establish joint	623
ownership with right of survivorship, they may do so as provided	624
in section 2106.172131.12 of the Revised Code.	625

(C) If the applicant wishes to designate a watercraft or	626
outboard motor in beneficiary form, the applicant may do so as	627
provided in section 2131.13 of the Revised Code.	628

(D) If the watercraft or outboard motor contains a permanent	629
identification number placed thereonon the watercraft or outboard	630
motor by the manufacturer, this number shall be used as the serial	631
number or hull identification number. If there is no	632
manufacturer's identification number, or if the manufacturer's	633
identification number has been removed or obliterated, the chief,	634
upon receipt of a prescribed application and proof of ownership,	635
may assign an identification number for the watercraft or outboard	636
motor, and this number shall be permanently affixed or imprinted	637
by the applicant, at the place and in the manner designated by the	638
chief, upon the watercraft or outboard motor for which it is	639
assigned.	640

Sec. 1548.071.  Any two persons may establish in accordance	641
with section 2106.172131.12 of the Revised Code joint ownership	642
with right of survivorship in a watercraft or outboard motor for	643
which a certificate of title is required under this chapter and	644
that one or both of them owns. Two persons who establish joint	645
ownership with right of survivorship in a watercraft or outboard	646
motor in accordance with section 2106.172131.12 of the Revised	647
Code may terminate the joint ownership with right of survivorship	648
by applying for a title in accordance with Chapter 1548. of the	649
Revised Codethis chapter.	650

Sec. 1548.072. Any person who owns a watercraft or outboard	651
motor for which a certificate of title is required under this	652
chapter may establish ownership of the watercraft or outboard	653
motor that is transferable on death by designating the watercraft	654
or outboard motor in beneficiary form in accordance with section	655
2131.13 of the Revised Code. Any person who establishes ownership	656
of a watercraft or outboard motor that is transferable on death in	657
accordance with section 2131.13 of the Revised Code may terminate	658
that type of ownership or change the designation of the	659
transfer-on-death beneficiary or beneficiaries by applying for a	660
certificate of title in accordance with this chapter.	661

Sec. 1548.08.  When the clerk of a court of common pleas	662
issues a physical certificate of title for a watercraft or	663
outboard motor, the clerk shall issue it over the clerk's	664
official seal. All physical certificates of title to watercraft	665
or outboard motors shall contain the information required in	666
the application for them as prescribed by section 1548.07 of	667
the Revised Code, as well as spaces for the dates of notation	668
and cancellation of each lien, mortgage, or encumbrance, over	669
the signature of the clerk. If any certificate of title is	670
issued for a watercraft or outboard motor in which two persons	671
are establishing joint ownership with right of survivorship	672
under section 2106.172131.12 of the Revised Code, the	673
certificate, in addition to the information required by this	674
section, shall show that the two persons have established joint	675
ownership with right of survivorship in the watercraft or	676
outboard motor. If the certificate of title is issued for a	677
watercraft or outboard motor that is designated in beneficiary	678
form under section 2131.13 of the Revised Code, in addition to the	679
information required by this section, the certificate shall show	680
that the present owner of the watercraft or outboard motor has	681
designated a specified transfer-on-death beneficiary or	682
beneficiaries who will take ownership of the watercraft or	683
outboard motor at the death of the present owner in accordance	684
with section 2131.13 of the Revised Code.	685

An assignment of certificate of title before a notary public	686
or other officer empowered to administer oaths shall appear on	687
the reverse side of each physical certificate of title in the	688
form to be prescribed by the chief of the division of	689
watercraft. The assignment form shall include a warranty that	690
the signer is the owner of the watercraft or outboard motor and	691
that there are no mortgages, liens, or encumbrances on the	692
watercraft or outboard motor except asthose that are noted on	693
the face of the certificate of title.	694

Sec. 1548.11.  (A) In the event of the transfer of	695
ownership of a watercraft or outboard motor by operation of law,	696
as upon inheritance, devise, bequest, order in bankruptcy,	697
insolvency, replevin, or execution of sale, or whenever the	698
engine of a watercraft is replaced by another engine, or whenever	699
a watercraft or outboard motor is sold to satisfy storage or	700
repair charges, or repossession is had upon default in	701
performance of the terms of a security agreement as provided in	702
Chapter 1309. of the Revised Code, a clerk of a court of common	703
pleas, upon the surrender of the prior certificate of title or	704
the manufacturer's or importer's certificate, or, when that is	705
not possible, upon presentation of satisfactory proof to the	706
clerk of ownership and rights of possession to the watercraft or	707
outboard motor, and upon payment of the fee prescribed in	708
section 1548.10 of the Revised Code and presentation of an	709
application for certificate of title, may issue to the applicant	710
a certificate of title to the watercraft or outboard motor. Only	711
an affidavit by the person or agent of the person to whom	712
possession of the watercraft or outboard motor has passed,	713
setting forth the facts entitling the person to possession and	714
ownership, together with a copy of the journal entry, court	715
order, or instrument upon which the claim of possession and	716
ownership is founded, is satisfactory proof of ownership and	717
right of possession. If the applicant cannot produce such proof	718
of ownership, the applicant may apply directly to the chief of	719
the division of watercraft and submit such evidence as the	720
applicant has, and the chief, if the chief finds the evidence	721
sufficient, may authorize the clerk to issue a certificate of	722
title. If, from the records in the office of the clerk, there	723
appears to be any lien on the watercraft or outboard motor, the	724
certificate of title shall contain a statement of the lien	725
unless the application is accompanied by proper evidence of	726
its extinction.	727

(B) Upon the death of one of the persons who have	728
established joint ownership with right of survivorship under	729
section 2106.172131.12 of the Revised Code in a watercraft or	730
outboard motor and the presentation to the clerk of the title and	731
the certificate of death of the deceased person, the clerk shall	732
enter into the records the transfer of the watercraft or	733
outboard motor to the surviving person, and the title to the	734
watercraft or outboard motor immediately passes to the surviving	735
person. The transfer does not affect any liens on the watercraft	736
or outboard motor.	737

(C) The clerk shall transfer a decedent's interest in one	738
watercraft, one outboard motor, or one of each to the decedent's	739
surviving spouse as provided in section 2106.19 of the Revised	740
Code.	741

(D) Upon the death of an owner of a watercraft or outboard	742
motor designated in beneficiary form under section 2131.13 of the	743
Revised Code, upon application of the transfer-on-death	744
beneficiary or beneficiaries designated pursuant to that section,	745
and upon presentation to the clerk of the certificate of title and	746
the certificate of death of the deceased owner, the clerk shall	747
transfer the watercraft or outboard motor and issue a certificate	748
of title to the transfer-on-death beneficiary or beneficiaries.	749
The transfer does not affect any liens upon any watercraft or	750
outboard motor so transferred.	751

Sec. 2106.18.  (A) Upon the death of a married resident who	752
owned at least one automobile at the time of death, the interest	753
of the deceased spouse in up to two automobiles that are not	754
transferred to the surviving spouse due to joint ownership with	755
right of survivorship established under section 2106.172131.12 of	756
the Revised Code, that are not transferred to a transfer-on-death	757
beneficiary or beneficiaries designated under section 2131.13 of	758
the Revised Code, and that are not otherwise specifically disposed	759
of by testamentary disposition, may be selected by the surviving	760
spouse. This interest shall immediately pass to the surviving	761
spouse upon transfer of the title or titles in accordance with	762
section 4505.10 of the Revised Code. The sum total of the values	763
of the automobiles selected by a surviving spouse under this	764
division, as specified in the affidavit that the surviving spouse	765
executes pursuant to division (B) of section 4505.10 of the	766
Revised Code, shall not exceed forty thousand dollars. Each	767
automobile that passes to a surviving spouse under this division	768
shall not be considered an estate asset and shall not be included	769
in the estate inventory.	770

(B) The executor or administrator, with the approval of the	771
probate court, may transfer title to an automobile owned by the	772
decedent to any of the following:	773

(1) The surviving spouse, when the automobile is purchased	774
by the surviving spouse pursuant to section 2106.16 of the Revised	775
Code;	776

(2) A distributee;

777

(3) A purchaser.

778

(C) The executor or administrator may transfer title to an	779
automobile owned by the decedent without the approval of the	780
probate court to any of the following:	781

(1) A legatee entitled to the automobile under the terms of	782
the will;	783

(2) A distributee if the distribution of the automobile is	784
made without court order pursuant to section 2113.55 of the	785
Revised Code;	786

(3) A purchaser if the sale of the automobile is made	787
pursuant to section 2113.39 of the Revised Code.	788

(D) As used in division (A) of this section, "automobile"	789
includes a truck if the truck was used as a method of conveyance	790
by the deceased spouse or the deceased spouse's family when the	791
deceased spouse was alive.	792

Sec. 2109.62.  (A)(1) Upon the filing of a motion by a	793
trustee with the court that has jurisdiction over the trust, upon	794
the provision of reasonable notice to all beneficiaries who are	795
known and in being and who have vested or contingent interests in	796
the trust, and after holding a hearing, the court may terminate	797
the trust, in whole or in part, if it determines that all of the	798
following apply:	799

(a) It is no longer economically feasible to continue the	800
trust;.	801

(b) The termination of the trust is for the benefit of the	802
beneficiaries;.	803

(c) The termination of the trust is equitable and	804
practical;.	805

(d) The current value of the trust is less than fiftyone	806
hundred thousand dollars.	807

(2) The existence of a spendthrift or similar provision in a	808
trust instrument or will does not preclude the termination of a	809
trust pursuant to this section.	810

(B) If property is to be distributed from an estate being	811
probated to a trust and the termination of the trust pursuant to	812
this section does not clearly defeat the intent of the testator,	813
the probate court has jurisdiction to order the outright	814
distribution of the property or to make the property custodial	815
property under sections 1339.31 to 1339.39 of the Revised Code. A	816
probate court may so order whether the application for the order	817
is made by an inter vivos trustee named in the will of the	818
decedent or by a testamentary trustee.	819

Sec. 2113.30. (A) Except as otherwise directed by the	820
decedent in histhe decedent's last will and testament, an	821
executor or administrator may, without personal liability for	822
losses incurred, may continue the decedent's business during one	823
monthfour months next following the date of the appointment of	824
suchthat executor or administrator, unless the probate court	825
directs otherwise, and for suchany further time asthat the court	826
may authorize onupon a hearing and after notice to the surviving	827
spouse and distributees. In either case, no debts incurred or	828
contracts entered into shall involve the estate beyond the assets	829
used in suchthat business immediately prior to the death of the	830
decedent without first obtaining the approval of the court first	831
obtained. During the time the business is continued, the executor	832
or administrator shall file monthly reports in the court, setting	833
forth the receipts and expenses of the business for the preceding	834
month and suchany other pertinent information asthat the court	835
may require. The executor or administrator may not bind the	836
estate without court approval beyond the period during which the	837
business is continued.	838

(B) As used in this section, "decedent's business" means a	839
business that is owned by the decedent as a sole proprietor at the	840
time of the decedent's death. "Decedent's business" does not	841
include a business that is owned in whole or in part by the	842
decedent as a shareholder of a corporation, a member of a limited	843
liability company, or a partner of a partnership, or under any	844
other form of ownership other than a sole proprietorship.	845

Sec. 2113.61.  (A)(1) When real property passes by the laws	846
of intestate succession or under a will, the administrator or	847
executor shall file in probate court, at any time after the filing	848
of an inventory that includes the real property but prior to the	849
filing of the administrator's or executor's final account, an	850
application requesting the court to issue a certificate of	851
transfer as to the real property. Real property sold by an	852
executor or administrator or land registered under Chapters 5309.	853
and 5310. of the Revised Code is excepted from the application	854
requirement. Cases in which an order has been made under section	855
2113.03 of the Revised Code relieving an estate from	856
administration and in which the order directing transfer of real	857
property to the person entitled to it may be substituted for the	858
certificate of transfer also are excepted from the application	859
requirement.	860

(2) In accordance with division (C)(3)(b) of section	861
2113.031 of the Revised Code, an application for a certificate of	862
transfer of an interest in real property included in the assets of	863
the decedent's estate shall accompany an application for a summary	864
release from administration under that section. This section	865
applies to the application for and the issuance of the requested	866
certificate of transfer except to the extent that the probate	867
court determines that the nature of any of the provisions of this	868
section is inconsistent with the nature of a grant of a summary	869
release from administration.	870

(B) Subject to division (A)(2) of this section, the	871
application for a certificate of transfer shall contain all of the	872
following:	873

(1) The name, place of residence at death, and date of death	874
of the decedent;	875

(2) A statement whether the decedent died testate or	876
intestate;	877

(3) The fact and date of the filing and probate of the will,	878
if applicable, and the fact and date of the appointment of the	879
administrator or executor;	880

(4) A description of each parcel of real property situated	881
in this state that is owned by the decedent at the time of death;	882

(5) Insofar as they can be ascertained, the names, ages,	883
places of residence, and relationship to the decedent of the	884
persons to whom each parcel of real property described in division	885
(B)(4) of this section passed by descent or devise;	886

(6) A statement that all the known debts of the decedent's	887
estate have been paid or secured to be paid, or that sufficient	888
other assets are in hand to complete the payment of those debts;	889

(7) Other pertinent information that the court requires.

890

(C) Subject to division (A)(2) of this section, within five	891
days following the filing of an application for a certificate of	892
transfer that complies with division (B) of this section, the	893
court shall issue a certificate of transfer for record in each	894
county in this state in which real property so passing is	895
situated, that shall recite all of the following:	896

(1) The name and date of death of the decedent;

897

(2) Whether the decedent died testate or intestate and, if	898
testate, the volume and page of the record of the will;	899

(3) The volume and page of the probate court record of the	900
administration of the estate;	901

(4) The names and places of residence of the devisees, the	902
interests passing to them, the names and places of residence of	903
the persons inheriting intestate, and the interests inherited by	904
them, in each parcel of real property described in division (B)(4)	905
of this section;	906

(5) A description of each parcel of real property described	907
in division (B)(4) of this section;	908

(6) Other information that in the opinion of the court	909
should be included.	910

(D) If an executor or administrator has failed to file an	911
application for a certificate of transfer before being discharged,	912
the application may be filed by an heir or devisee, or a successor	913
in interest, in the probate court in which the testator's will was	914
probated or, in the case of intestate estates, in the probate	915
court in which administration was had. If no administration was	916
had on an estate and if no administration is contemplated, except	917
in the case of the grant of or contemplated application for the	918
grant of an order of a summary release from administration under	919
section 2113.031 of the Revised Code, an application for a	920
certificate of transfer may be filed by an heir or devisee, or a	921
successor in interest, in the probate court of the county in which	922
the decedent was a resident at the time of death.	923

A foreign executor or administrator, when no ancillary	924
administration proceedings have been had or are being had in this	925
state, may file in accordance with this section an application for	926
a certificate of transfer in the probate court of any county of	927
this state in which real property of the decedent is located.	928

When a person who has entered into a written contract for the	929
sale and conveyance of an interest in real property dies before	930
its completion, the interest of the decedent in the contract and	931
the record title to the real property described in the contract	932
may be transferred to the persons, legatees, devisees, or heirs at	933
law entitled to the interest of the decedent in the real property,	934
in the same manner as provided in this section and sections	935
2113.62 and 2113.63 of the Revised Code for the transfer of real	936
property. The application for the certificate of transfer and the	937
certificate itself also shall recite that the real property	938
described in the application or certificate is subject to a	939
written contract for its sale and conveyance.	940

Sec. 2117.25. (A) Every executor or administrator shall	941
proceed with diligence to pay the debts of the decedent, and shall	942
apply the assets in the following order:	943

(A)(1) Costs and expenses of administration;

944

(B)(2) An amount, not exceeding two thousand dollars, for	945
funeral expenses that are included in the bill of a funeral	946
director, funeral expenses other than those in the bill of a	947
funeral director that are approved by the probate court, and an	948
amount, not exceeding two thousand dollars, for burial and	949
cemetery expenses, including that portion of the funeral	950
director's bill allocated to cemetery expenses that have been paid	951
to the cemetery by the funeral director.	952

For purposes of this division, burial and cemetery expenses	953
shall be limited to the following:	954

(1)(a) The purchase of a place of interment;

955

(2)(b) Monuments or other markers;

956

(3)(c) The outer burial container;

957

(4)(d) The cost of opening and closing the place of	958
interment;	959

(5)(e) The urn.

960

(C)(3) The allowance for support made to the surviving	961
spouse, minor children, or both under section 2106.13 of the	962
Revised Code;	963

(D)(4) Debts entitled to a preference under the laws of the	964
United States;	965

(E)(5) Expenses of the last sickness of the decedent;

966

(F)(6) If the total bill of a funeral director for funeral	967
expenses exceeds two thousand dollars, then, in addition to the	968
amount described in division (B)(A)(2) of this section, an amount,	969
not exceeding one thousand dollars, for funeral expenses that are	970
included in the bill and that exceed two thousand dollars;	971

(G)(7) Personal property taxes and obligations for which the	972
decedent was personally liable to the state or any of its	973
subdivisions;	974

(H)(8) Debts for manual labor performed for the decedent	975
within twelve months preceding the decedent's death, not exceeding	976
three hundred dollars to any one person;	977

(I)(9) Other debts for which claims have been presented and	978
finally allowed.	979

(B) The part of the bill of a funeral director that exceeds	980
the total of three thousand dollars as described in divisions	981
(B)(A)(2) and (F)(6) of this section, and the part of a claim	982
included in division (H)(A)(8) of this section that exceeds three	983
hundred dollars shall be included as a debt under division	984
(I)(A)(9) of this section, depending upon the time when the claim	985
for the additional amount is presented.	986

(C) Any natural person or fiduciary who pays a claim of any	987
creditor described in division (A) of this section shall be	988
subrogated to the rights of that creditor proportionate to the	989
amount of the payment and shall be entitled to reimbursement for	990
that amount in accordance with the priority of payments set forth	991
in that division.	992

(D)(1) Chapters 2113. to 2125. of the Revised Code, relating	993
to the manner in which and the time within which claims shall be	994
presented, shall apply to claims set forth in divisions (B)(A)(2),	995
(F)(6), and (H)(8) of this section. Claims for an expense of	996
administration or for the allowance for support need not be	997
presented. The executor or administrator shall pay debts included	998
in divisions (D)(A)(4) and (G)(7) of this section, of which the	999
executor or administrator has knowledge, regardless of	1000
presentation.	1001

(2) The giving of written notice to an executor or	1002
administrator of a motion or application to revive an action	1003
pending against the decedent at the date of death shall be	1004
equivalent to the presentation of a claim to the executor or	1005
administrator for the purpose of determining the order of payment	1006
of any judgment rendered or decree entered in such an action.	1007

(E) No payments shall be made to creditors of one class	1008
until all those of the preceding class are fully paid or provided	1009
for. If the assets are insufficient to pay all the claims of one	1010
class, the creditors of that class shall be paid ratably.	1011

(F) If it appears at any time that the assets have been	1012
exhausted in paying prior or preferred charges, allowances, or	1013
claims, suchthose payments shall be a bar to an action on any	1014
claim not entitled to suchthat priority or preference.	1015

Sec. 2106.17.        Sec. 2131.12.  (A) As used in this section:

1016

(1) "Motor vehicle" has the same meaning as in section	1017
4505.01 of the Revised Code.	1018

(2) "Joint ownership with right of survivorship" means a	1019
form of ownership of a motor vehicle, watercraft, or outboard	1020
motor that is established pursuant to this section and pursuant to	1021
which the entire interest in the motor vehicle, watercraft, or	1022
outboard motor is held by two persons for their joint lives and	1023
thereafter by the survivor of them.	1024

(3) "Watercraft" has the same meaning as in division (A) of	1025
section 1548.01 of the Revised Code.	1026

(B)(1) Any two persons may establish in accordance with this	1027
section joint ownership with right of survivorship in a motor	1028
vehicle or in a watercraft or outboard motor for which a	1029
certificate of title is required under Chapter 1548. of the	1030
Revised Code.	1031

(2) If two persons wish to establish joint ownership with	1032
right of survivorship in a motor vehicle or in a watercraft or	1033
outboard motor that is required to be titled under Chapter 1548.	1034
of the Revised Code, they may make a joint application for a	1035
certificate of title under section 4505.06 or 1548.07 of the	1036
Revised Code, as applicable.	1037

(C) If two persons have established in a certificate of	1038
title joint ownership with right of survivorship in a motor	1039
vehicle or a watercraft or outboard motor that is required to be	1040
titled under Chapter 1548. of the Revised Code, and if one of	1041
those persons dies, the interest of the deceased person in the	1042
motor vehicle, watercraft, or outboard motor shall pass to the	1043
survivor of them upon transfer of title to the motor vehicle or	1044
watercraft or outboard motor in accordance with section 4505.10 or	1045
1548.11 of the Revised Code. The motor vehicle, watercraft, or	1046
outboard motor shall not be considered an estate asset and shall	1047
not be included and stated in the estate inventory.	1048

Sec. 2131.13. (A) As used in this section:

1049

(1) "Designate or designation in beneficiary form" means to	1050
designate, or the designation of, a motor vehicle, watercraft, or	1051
outboard motor in a certificate of title that indicates the	1052
present owner of the motor vehicle, watercraft, or outboard motor	1053
and the intention of the present owner with respect to the	1054
transfer of ownership on the present owner's death by designating	1055
one or more persons as the beneficiary or beneficiaries who will	1056
become the owner or owners of the motor vehicle, watercraft, or	1057
outboard motor upon the death of the present owner.	1058

(2) "Motor vehicle" has the same meaning as in section	1059
4505.01 of the Revised Code.	1060

(3) "Person" means an individual, a corporation, an	1061
organization, or other legal entity.	1062

(4) "Transfer-on-death beneficiary or beneficiaries" means a	1063
person or persons specified in a certificate of title of a motor	1064
vehicle, watercraft, or outboard motor who will become the owner	1065
or owners of the motor vehicle, watercraft, or outboard motor upon	1066
the death of the present owner of the motor vehicle, watercraft,	1067
or outboard motor.	1068

(5) "Watercraft" has the same meaning as in section 1548.01	1069
of the Revised Code.	1070

(B) An individual whose certificate of title of a motor	1071
vehicle, watercraft, or outboard motor shows sole ownership by	1072
that individual may make an application for a certificate of title	1073
under section 1548.07 or 4505.06 of the Revised Code to designate	1074
that motor vehicle, watercraft, or outboard motor in beneficiary	1075
form pursuant to this section.	1076

(C)(1) A motor vehicle, watercraft, or outboard motor is	1077
designated in beneficiary form if the certificate of title of the	1078
motor vehicle, watercraft, or outboard motor includes the name or	1079
names of the transfer-on-death beneficiary or beneficiaries.	1080

(2) The designation of a motor vehicle, watercraft, or	1081
outboard motor in beneficiary form is not required to be supported	1082
by consideration, and the certificate of title in which the	1083
designation is made is not required to be delivered to the	1084
transfer-on-death beneficiary or beneficiaries in order for the	1085
designation in beneficiary form to be effective.	1086

(D) The designation of a motor vehicle, watercraft, or	1087
outboard motor in beneficiary form may be shown in the certificate	1088
of title by the words "transfer-on-death" or the abbreviation	1089
"TOD" after the name of the owner of a motor vehicle, watercraft,	1090
or outboard motor and before the name or names of the	1091
transfer-on-death beneficiary or beneficiaries.	1092

(E) The designation of a transfer-on-death beneficiary or	1093
beneficiaries on a certificate of title has no effect on the	1094
ownership of a motor vehicle, watercraft, or outboard motor until	1095
the death of the owner of the motor vehicle, watercraft, or	1096
outboard motor. The owner of a motor vehicle, watercraft, or	1097
outboard motor may cancel or change the designation of a	1098
transfer-on-death beneficiary or beneficiaries on a certificate of	1099
title at any time without the consent of the transfer-on-death	1100
beneficiary or beneficiaries by making an application for a	1101
certificate of title under section 1548.07 or 4505.06 of the	1102
Revised Code.	1103

(F)(1) Upon the death of the owner of a motor vehicle,	1104
watercraft, or outboard motor designated in beneficiary form, the	1105
ownership of the motor vehicle, watercraft, or outboard motor	1106
shall pass to the transfer-on-death beneficiary or beneficiaries	1107
who survive the owner upon transfer of title to the motor vehicle,	1108
watercraft, or outboard motor in accordance with section 1548.11	1109
or 4505.10 of the Revised Code. The transfer-on-death beneficiary	1110
or beneficiaries who survive the owner may apply for a certificate	1111
of title to the motor vehicle, watercraft, or outboard motor upon	1112
submitting proof of the death of the owner of the motor vehicle,	1113
watercraft, or outboard motor.	1114

(2) If no transfer-on-death beneficiary or beneficiaries	1115
survive the owner of a motor vehicle, watercraft, or outboard	1116
motor, the motor vehicle, watercraft, or outboard motor shall be	1117
included in the probate estate of the deceased owner.	1118

(G)(1) Any transfer of a motor vehicle, watercraft, or	1119
outboard motor to a transfer-on-death beneficiary or beneficiaries	1120
that results from a designation of the motor vehicle, watercraft,	1121
or outboard motor in beneficiary form is not testamentary.	1122

(2) This section does not limit the rights of any creditor	1123
of the owner of a motor vehicle, watercraft, or outboard motor	1124
against any transfer-on-death beneficiary or beneficiaries or	1125
other transferees of the motor vehicle, watercraft, or outboard	1126
motor under other laws of this state.	1127

(H)(1) This section shall be known and may be cited as the	1128
"Transfer-on-Death of Motor Vehicle, Watercraft, or Outboard Motor	1129
Statute."	1130

(2) Divisions (A) to (H) of this section shall be liberally	1131
construed and applied to promote their underlying purposes and	1132
policy.	1133

(3) Unless displaced by particular provisions of divisions	1134
(A) to (H) of this section, the principles of law and equity	1135
supplement the provisions of those divisions.	1136

Sec. 4503.12.  Upon the transfer of ownership of a motor	1137
vehicle, the registration of the motor vehicle expires, and the	1138
original owner immediately shall remove the license plates from	1139
the motor vehicle, except that:	1140

(A) If a statutory merger or consolidation results in the	1141
transfer of ownership of a motor vehicle from a constituent	1142
corporation to the surviving corporation, or if the incorporation	1143
of a proprietorship or partnership results in the transfer of	1144
ownership of a motor vehicle from the proprietorship or	1145
partnership to the corporation, the registration shall be	1146
continued upon the filing by the surviving or new corporation,	1147
within thirty days of such transfer, of an application for an	1148
amended certificate of registration, unless such registration is	1149
prohibited by division (D) of section 2935.27, division (A) of	1150
section 2937.221, division (B) of section 4507.168, or division	1151
(B)(1) of section 4521.10 of the Revised Code. The application	1152
shall be accompanied by a service fee of two dollars and	1153
seventy-five cents commencing on July 1, 2001, three dollars and	1154
twenty-five cents commencing on January 1, 2003, and three dollars	1155
and fifty cents commencing on January 1, 2004, a transfer fee of	1156
one dollar, and the original certificate of registration. Upon a	1157
proper filing, the registrar of motor vehicles shall issue an	1158
amended certificate of registration in the name of the new owner.	1159

(B) If the death of the owner of a motor vehicle results in	1160
the transfer of ownership of the motor vehicle to the surviving	1161
spouse of the owner or if a motor vehicle is owned by two persons	1162
under joint ownership with right of survivorship established under	1163
section 2106.172131.12 of the Revised Code and one of those	1164
persons dies, the registration shall be continued upon the filing	1165
by the surviving spousesurvivor of an application for an amended	1166
certificate of registration, unless such registration is	1167
prohibited by division (D) of section 2935.27, division (A) of	1168
section 2937.221, division (A) of section 4503.13, division (B) of	1169
section 4507.168, or division (B)(1) of section 4521.10 of the	1170
Revised Code. The application shall be accompanied by a service	1171
fee of two dollars and seventy-five cents commencing on July 1,	1172
2001, three dollars and twenty-five cents commencing on January 1,	1173
2003, and three dollars and fifty cents commencing on January 1,	1174
2004, a transfer fee of one dollar, the original certificate of	1175
registration, and, in relation to a motor vehicle that is owned by	1176
two persons under joint ownership with right of survivorship	1177
established under section 2106.172131.12 of the Revised Code, by	1178
a copy of the certificate of title that specifies that the vehicle	1179
is owned under joint ownership with right of survivorship. Upon a	1180
proper filing, the registrar shall issue an amended certificate of	1181
registration in the name of the surviving spousesurvivor.	1182

(C) If the death of the owner of a motor vehicle results in	1183
the transfer of ownership of the motor vehicle to a	1184
transfer-on-death beneficiary or beneficiaries designated under	1185
section 2131.13 of the Revised Code, the registration shall be	1186
continued upon the filing by the transfer-on-death beneficiary or	1187
beneficiaries of an application for an amended certificate of	1188
registration, unless that registration is prohibited by division	1189
(D) of section 2935.27, division (A) of section 2937.221, division	1190
(A) of section 4503.13, division (B) of section 4507.168, or	1191
division (B)(1) of section 4521.10 of the Revised Code. The	1192
application shall be accompanied by a service fee of two dollars	1193
and seventy-five cents commencing on July 1, 2001, three dollars	1194
and twenty-five cents commencing on January 1, 2003, and three	1195
dollars and fifty cents commencing on January 1, 2004, a transfer	1196
fee of one dollar, the original certificate of registration, and a	1197
copy of the certificate of title that specifies that the owner of	1198
the motor vehicle has designated the motor vehicle in beneficiary	1199
form under section 2131.13 of the Revised Code. Upon a proper	1200
filing, the registrar shall issue an amended certificate of	1201
registration in the name of the transfer-on-death beneficiary or	1202
beneficiaries.	1203

(D) If the original owner of a motor vehicle that has been	1204
transferred makes application for the registration of another	1205
motor vehicle at any time during the remainder of the registration	1206
period for which the transferred motor vehicle was registered, the	1207
owner, unless such registration is prohibited by division (D) of	1208
section 2935.27, division (A) of section 2937.221, division (A) of	1209
section 4503.13, division (E) of section 4503.234, division (B) of	1210
section 4507.168, or division (B)(1) of section 4521.10 of the	1211
Revised Code, may file an application for transfer of the	1212
registration and, where applicable, the license plates,	1213
accompanied by a service fee of two dollars and seventy-five	1214
cents commencing on July 1, 2001, three dollars and twenty-five	1215
cents commencing on January 1, 2003, and three dollars and fifty	1216
cents commencing on January 1, 2004, a transfer fee of one dollar,	1217
and the original certificate of registration. The transfer of the	1218
registration and, where applicable, the license plates from the	1219
motor vehicle for which they originally were issued to a	1220
succeeding motor vehicle purchased by the same person in whose	1221
name the original registration and license plates were issued	1222
shall be done within a period not to exceed thirty days. During	1223
that thirty-day period, the license plates from the motor vehicle	1224
for which they originally were issued may be displayed on the	1225
succeeding motor vehicle, and the succeeding motor vehicle may be	1226
operated on the public roads and highways in this state.	1227

At the time of application for transfer, the registrar shall	1228
compute and collect the amount of tax due on the succeeding motor	1229
vehicle, based upon the amount that would be due on a new	1230
registration as of the date on which the transfer is made less a	1231
credit for the unused portion of the original registration	1232
beginning on that date. If the credit exceeds the amount of tax	1233
due on the new registration, no refund shall be made. In	1234
computing the amount of tax due and credits to be allowed under	1235
this division, the provisions of division (B)(1)(a) and (b) of	1236
section 4503.11 of the Revised Code shall apply. As to passenger	1237
cars, noncommercial vehicles, motor homes, and motorcycles,	1238
transfers within or between these classes of motor vehicles only	1239
shall be allowed. If the succeeding motor vehicle is of a	1240
different class than the motor vehicle for which the registration	1241
originally was issued, new license plates also shall be issued	1242
upon the surrender of the license plates originally issued and	1243
payment of the fees provided in divisions (C) and (D) of section	1244
4503.10 of the Revised Code.	1245

(D)(E) The owner of a commercial car having a gross vehicle	1246
weight or combined gross vehicle weight of more than ten thousand	1247
pounds may transfer the registration of that commercial car to	1248
another commercial car the owner owns without transferring	1249
ownership of the first commercial car, unless registration of the	1250
second commercial car is prohibited by division (D) of section	1251
2935.27, division (A) of section 2937.221, division (A) of section	1252
4503.13, division (B) of section 4507.168, or division (B)(1) of	1253
section 4521.10 of the Revised Code. At any time during the	1254
remainder of the registration period for which the first	1255
commercial car was registered, the owner may file an application	1256
for the transfer of the registration and, where applicable, the	1257
license plates, accompanied by a service fee of two dollars and	1258
seventy-five cents commencing on July 1, 2001, three dollars and	1259
twenty-five cents commencing on January 1, 2003, and three dollars	1260
and fifty cents commencing on January 1, 2004, a transfer fee of	1261
one dollar, and the certificate of registration of the first	1262
commercial car. The amount of any tax due or credit to be allowed	1263
for a transfer of registration under this division shall be	1264
computed in accordance with division (C)(D) of this section.	1265

No commercial car to which a registration is transferred	1266
under this division shall be operated on a public road or highway	1267
in this state until after the transfer of registration is	1268
completed in accordance with this division.	1269

(E)(F) Upon application to the registrar or a deputy	1270
registrar, a person who owns or leases a motor vehicle may	1271
transfer special license plates assigned to that vehicle to any	1272
other vehicle that the person owns or leases or that is owned or	1273
leased by the person's spouse. The application shall be	1274
accompanied by a service fee of two dollars and seventy-five	1275
cents commencing on July 1, 2001, three dollars and twenty-five	1276
cents commencing on January 1, 2003, and three dollars and fifty	1277
cents commencing on January 1, 2004, a transfer fee of one dollar,	1278
and the original certificate of registration. As appropriate, the	1279
application also shall be accompanied by a power of attorney for	1280
the registration of a leased vehicle and a written statement	1281
releasing the special plates to the applicant. Upon a proper	1282
filing, the registrar or deputy registrar shall assign the special	1283
license plates to the motor vehicle owned or leased by the	1284
applicant and issue a new certificate of registration for that	1285
motor vehicle.	1286

As used in division (E)(F) of this section, "special license	1287
plates" means either of the following:	1288

(1) Any license plates for which the person to whom the	1289
license plates are issued must pay an additional fee in excess of	1290
the fees prescribed in section 4503.04 of the Revised Code,	1291
Chapter 4504. of the Revised Code, and the service fee prescribed	1292
in division (D) or (G) of section 4503.10 of the Revised Code;	1293

(2) License plates issued under section 4503.44 of the	1294
Revised Code.	1295

Sec. 4505.06.  (A)(1) Application for a certificate of title	1296
shall be made in a form prescribed by the registrar of motor	1297
vehicles and shall be sworn to before a notary public or other	1298
officer empowered to administer oaths. The application shall be	1299
filed with the clerk of any court of common pleas. An	1300
application for a certificate of title may be filed	1301
electronically by any electronic means approved by the registrar	1302
in any county with the clerk of the court of common pleas of	1303
that county. Any payments required by this chapter shall be	1304
considered as accompanying any electronically transmitted	1305
application when payment actually is received by the clerk.	1306
Payment of any fee or taxes may be made by electronic transfer	1307
of funds.	1308

(2) The application for a certificate of title shall be	1309
accompanied by the fee prescribed in section 4505.09 of the	1310
Revised Code. The fee shall be retained by the clerk who issues	1311
the certificate of title and shall be distributed in accordance	1312
with that section. If a clerk of a court of common pleas, other	1313
than the clerk of the court of common pleas of an applicant's	1314
county of residence, issues a certificate of title to the	1315
applicant, the clerk shall transmit data related to the	1316
transaction to the automated title processing system.	1317

(3) If a certificate of title previously has been issued for	1318
a motor vehicle in this state, the application for a	1319
certificate of title also shall be accompanied by that	1320
certificate of title duly assigned, unless otherwise provided in	1321
this chapter. If a certificate of title previously has not been	1322
issued for the motor vehicle in this state, the application,	1323
unless otherwise provided in this chapter, shall be accompanied	1324
by a manufacturer's or importer's certificate or by a certificate	1325
of title of another state from which the motor vehicle was	1326
brought into this state. If the application refers to a motor	1327
vehicle last previously registered in another state, the	1328
application also shall be accompanied by the physical inspection	1329
certificate required by section 4505.061 of the Revised Code. If	1330
the application is made by two persons regarding a motor vehicle	1331
in which they wish to establish joint ownership with right of	1332
survivorship, they may do so as provided in section 2106.17	1333
2131.12 of the Revised Code. If the applicant requests a	1334
designation of the motor vehicle in beneficiary form so that upon	1335
the death of the owner of the motor vehicle, ownership of the	1336
motor vehicle will pass to a designated transfer-on-death	1337
beneficiary or beneficiaries, the applicant may do so as provided	1338
in section 2131.13 of the Revised Code. A person who establishes	1339
ownership of a motor vehicle that is transferable on death in	1340
accordance with section 2131.13 of the Revised Code may terminate	1341
that type of ownership or change the designation of the	1342
transfer-on-death beneficiary or beneficiaries by applying for a	1343
certificate of title pursuant to this section. The clerk shall	1344
retain the evidence of title presented by the applicant and on	1345
which the certificate of title is issued, except that, if an	1346
application for a certificate of title is filed electronically	1347
by an electronic motor vehicle dealer on behalf of the purchaser	1348
of a motor vehicle, the clerk shall retain the completed	1349
electronic record to which the dealer converted the certificate	1350
of title application and other required documents. The	1351
electronic motor vehicle dealer shall forward the actual	1352
application and all other documents relating to the sale of the	1353
motor vehicle to any clerk within thirty days after the	1354
certificate of title is issued. The registrar, after consultation	1355
with the attorney general, shall adopt rules that govern the	1356
location at which, and the manner in which, are stored the actual	1357
application and all other documents relating to the sale of a	1358
motor vehicle when an electronic motor vehicle dealer files the	1359
application for a certificate of title electronically on behalf of	1360
the purchaser.	1361

The clerk shall use reasonable diligence in ascertaining	1362
whether or not the facts in the application for a certificate of	1363
title are true by checking the application and documents	1364
accompanying it or the electronic record to which a dealer	1365
converted the application and accompanying documents with the	1366
records of motor vehicles in the clerk's office. If the clerk is	1367
satisfied that the applicant is the owner of the motor vehicle	1368
and that the application is in the proper form, the clerk,	1369
within five business days after the application is filed, shall	1370
issue a physical certificate of title over the clerk's signature	1371
and sealed with the clerk's seal unless the applicant	1372
specifically requests the clerk not to issue a physical	1373
certificate of title and instead to issue an electronic	1374
certificate of title. For purposes of the transfer of a	1375
certificate of title, if the clerk is satisfied that the secured	1376
party has duly discharged a lien notation but has not canceled	1377
the lien notation with a clerk, the clerk may cancel the lien	1378
notation on the automated title processing system and notify the	1379
clerk of the county of origin.	1380

(4) In the case of the sale of a motor vehicle to a general	1381
buyer or user by a dealer, by a motor vehicle leasing dealer	1382
selling the motor vehicle to the lessee or, in a case in which	1383
the leasing dealer subleased the motor vehicle, the sublessee,	1384
at the end of the lease agreement or sublease agreement, or by a	1385
manufactured home broker, the certificate of title shall be	1386
obtained in the name of the buyer by the dealer, leasing dealer,	1387
or manufactured home broker, as the case may be, upon	1388
application signed by the buyer. The certificate of title shall	1389
be issued, or the process of entering the certificate of title	1390
application information into the automated title processing	1391
system if a physical certificate of title is not to be issued	1392
shall be completed, within five business days after the	1393
application for title is filed with the clerk. If the buyer of	1394
the motor vehicle previously leased the motor vehicle and is	1395
buying the motor vehicle at the end of the lease pursuant to that	1396
lease, the certificate of title shall be obtained in the name of	1397
the buyer by the motor vehicle leasing dealer who previously	1398
leased the motor vehicle to the buyer or by the motor vehicle	1399
leasing dealer who subleased the motor vehicle to the buyer	1400
under a sublease agreement.	1401

In all other cases, except as provided in section 4505.032	1402
and division (D)(2) of section 4505.11 of the Revised Code, such	1403
certificates shall be obtained by the buyer.	1404

(5)(a)(i) If the certificate of title is being obtained in	1405
the name of the buyer by a motor vehicle dealer or motor vehicle	1406
leasing dealer and there is a security interest to be noted on the	1407
certificate of title, the dealer or leasing dealer shall submit	1408
the application for the certificate of title and payment of the	1409
applicable tax to a clerk within seven business days after the	1410
later of the delivery of the motor vehicle to the buyer or the	1411
date the dealer or leasing dealer obtains the manufacturer's or	1412
importer's certificate, or certificate of title issued in the name	1413
of the dealer or leasing dealer, for the motor vehicle. Submission	1414
of the application for the certificate of title and payment of the	1415
applicable tax within the required seven business days may be	1416
indicated by postmark or receipt by a clerk within that period.	1417

(ii) Upon receipt of the certificate of title with the	1418
security interest noted on its face, the dealer or leasing dealer	1419
shall forward the certificate of title to the secured party at the	1420
location noted in the financing documents or otherwise specified	1421
by the secured party.	1422

(iii) A motor vehicle dealer or motor vehicle leasing dealer	1423
is liable to a secured party for a late fee of ten dollars per day	1424
for each certificate of title application and payment of the	1425
applicable tax that is submitted to a clerk more than seven	1426
business days but less than twenty-one days after the later of the	1427
delivery of the motor vehicle to the buyer or the date the dealer	1428
or leasing dealer obtains the manufacturer's or importer's	1429
certificate, or certificate of title issued in the name of the	1430
dealer or leasing dealer, for the motor vehicle and, from then on,	1431
twenty-five dollars per day until the application and applicable	1432
tax are submitted to a clerk.	1433

(b) In all cases of transfer of a motor vehicle, the	1434
application for certificate of title shall be filed within	1435
thirty days after the assignment or delivery of the motor	1436
vehicle. If an application for a certificate of title is not	1437
filed within the period specified in division (A)(5)(b) of this	1438
section, the clerk shall collect a fee of five dollars for the	1439
issuance of the certificate, except that no such fee shall be	1440
required from a motor vehicle salvage dealer, as defined in	1441
division (A) of section 4738.01 of the Revised Code, who	1442
immediately surrenders the certificate of title for	1443
cancellation. The fee shall be in addition to all other fees	1444
established by this chapter, and shall be retained by the clerk.	1445
The registrar shall provide, on the certificate of title form	1446
prescribed by section 4505.07 of the Revised Code, language	1447
necessary to give evidence of the date on which the assignment or	1448
delivery of the motor vehicle was made.	1449

(6) As used in division (A) of this section, "lease	1450
agreement," "lessee," and "sublease agreement" have the same	1451
meanings as in section 4505.04 of the Revised Code.	1452

(B) The clerk, except as provided in this section, shall	1453
refuse to accept for filing any application for a certificate of	1454
title and shall refuse to issue a certificate of title unless the	1455
dealer or manufactured home broker or the applicant, in cases in	1456
which the certificate shall be obtained by the buyer, submits	1457
with the application payment of the tax levied by or pursuant to	1458
Chapters 5739. and 5741. of the Revised Code based on the	1459
purchaser's county of residence. Upon payment of the tax in	1460
accordance with division (E) of this section, the clerk shall	1461
issue a receipt prescribed by the registrar and agreed upon by the	1462
tax commissioner showing payment of the tax or a receipt issued	1463
by the commissioner showing the payment of the tax. When	1464
submitting payment of the tax to the clerk, a dealer shall	1465
retain any discount to which the dealer is entitled under	1466
section 5739.12 of the Revised Code.	1467

For receiving and disbursing such taxes paid to the clerk by	1468
a resident of the clerk's county, the clerk may retain a poundage	1469
fee of one and one one-hundredth per cent, whichand the clerk	1470
shall be paidpay the poundage fee into the certificate of title	1471
administration fund created by section 325.33 of the Revised	1472
Code. The clerk shall not retain a poundage fee from payments of	1473
taxes by persons who do not reside in the clerk's county.	1474

A clerk, however, may retain from the taxes paid to the clerk	1475
an amount equal to the poundage fees associated with certificates	1476
of title issued by other clerks of courts of common pleas to	1477
applicants who reside in the first clerk's county. The registrar,	1478
in consultation with the tax commissioner and the clerks of the	1479
courts of common pleas, shall develop a report from the automated	1480
title processing system that informs each clerk of the amount of	1481
the poundage fees that the clerk is permitted to retain from those	1482
taxes because of certificates of title issued by the clerks of	1483
other counties to applicants who reside in the first clerk's	1484
county.	1485

In the case of casual sales of motor vehicles, as defined in	1486
section 4517.01 of the Revised Code, the price for the purpose of	1487
determining the tax shall be the purchase price on the assigned	1488
certificate of title executed by the seller and filed with the	1489
clerk by the buyer on a form to be prescribed by the registrar,	1490
which shall be prima-facie evidence of the amount for the	1491
determination of the tax.	1492

(C)(1) If the transferor indicates on the certificate of	1493
title that the odometer reflects mileage in excess of the	1494
designed mechanical limit of the odometer, the clerk shall enter	1495
the phrase "exceeds mechanical limits" following the mileage	1496
designation. If the transferor indicates on the certificate of	1497
title that the odometer reading is not the actual mileage, the	1498
clerk shall enter the phrase "nonactual: warning - odometer	1499
discrepancy" following the mileage designation. The clerk shall	1500
use reasonable care in transferring the information supplied by	1501
the transferor, but is not liable for any errors or omissions of	1502
the clerk or those of the clerk's deputies in the performance of	1503
the clerk's duties created by this chapter.	1504

The registrar shall prescribe an affidavit in which the	1505
transferor shall swear to the true selling price and, except as	1506
provided in this division, the true odometer reading of the motor	1507
vehicle. The registrar may prescribe an affidavit in which the	1508
seller and buyer provide information pertaining to the odometer	1509
reading of the motor vehicle in addition to that required by this	1510
section, as such information may be required by the United States	1511
secretary of transportation by rule prescribed under authority of	1512
subchapter IV of the "Motor Vehicle Information and Cost Savings	1513
Act," 86 Stat. 961 (1972), 15 U.S.C. 1981.	1514

(2) Division (C)(1) of this section does not require the	1515
giving of information concerning the odometer and odometer	1516
reading of a motor vehicle when ownership of a motor vehicle is	1517
being transferred as a result of a bequest, under the laws of	1518
intestate succession, to a surviving spousesurvivor pursuant to	1519
section 2106.17, 2106.18, 2131.12, or 4505.10 of the Revised	1520
Code, to a transfer-on-death beneficiary or beneficiaries pursuant	1521
to section 2131.13 of the Reviseed Code, or in connection with the	1522
creation of a security interest.	1523

(D) When the transfer to the applicant was made in some	1524
other state or in interstate commerce, the clerk, except as	1525
provided in this section, shall refuse to issue any certificate	1526
of title unless the tax imposed by or pursuant to Chapter 5741.	1527
of the Revised Code based on the purchaser's county of residence	1528
has been paid as evidenced by a receipt issued by the tax	1529
commissioner, or unless the applicant submits with the	1530
application payment of the tax. Upon payment of the tax in	1531
accordance with division (E) of this section, the clerk shall	1532
issue a receipt prescribed by the registrar and agreed upon by	1533
the tax commissioner, showing payment of the tax.	1534

For receiving and disbursing such taxes paid to the clerk	1535
by a resident of the clerk's county, the clerk may retain a	1536
poundage fee of one and one one-hundredth per cent. The clerk	1537
shall not retain a poundage fee from payments of taxes by persons	1538
who do not reside in the clerk's county.	1539

A clerk, however, may retain from the taxes paid to the clerk	1540
an amount equal to the poundage fees associated with certificates	1541
of title issued by other clerks of courts of common pleas to	1542
applicants who reside in the first clerk's county. The registrar,	1543
in consultation with the tax commissioner and the clerks of the	1544
courts of common pleas, shall develop a report from the automated	1545
title processing system that informs each clerk of the amount of	1546
the poundage fees that the clerk is permitted to retain from those	1547
taxes because of certificates of title issued by the clerks of	1548
other counties to applicants who reside in the first clerk's	1549
county.	1550

When the vendor is not regularly engaged in the business of	1551
selling motor vehicles, the vendor shall not be required to	1552
purchase a vendor's license or make reports concerning those	1553
sales.	1554

(E) The clerk shall accept any payment of a tax in cash, or	1555
by cashier's check, certified check, draft, money order, or	1556
teller check issued by any insured financial institution payable	1557
to the clerk and submitted with an application for a certificate	1558
of title under division (B) or (D) of this section. The clerk	1559
also may accept payment of the tax by corporate, business, or	1560
personal check, credit card, electronic transfer or wire	1561
transfer, debit card, or any other accepted form of payment made	1562
payable to the clerk. The clerk may require bonds, guarantees,	1563
or letters of credit to ensure the collection of corporate,	1564
business, or personal checks. Any service fee charged by a	1565
third party to a clerk for the use of any form of payment may be	1566
paid by the clerk from the certificate of title administration	1567
fund created in section 325.33 of the Revised Code, or may be	1568
assessed by the clerk upon the applicant as an additional fee.	1569
Upon collection, the additional fees shall be paid by the clerk	1570
into that certificate of title administration fund.	1571

The clerk shall make a good faith effort to collect any	1572
payment of taxes due but not made because the payment was	1573
returned or dishonored, but the clerk is not personally liable	1574
for the payment of uncollected taxes or uncollected fees. The	1575
clerk shall notify the tax commissioner of any such payment of	1576
taxes that is due but not made and shall furnish suchthe	1577
information to the commissioner asthat the commissioner	1578
requires. The clerk shall deduct the amount of taxes due but not	1579
paid from the clerk's periodic remittance of tax payments, in	1580
accordance with procedures agreed upon by the tax commissioner.	1581
The commissioner may collect taxes due by assessment in the	1582
manner provided in section 5739.13 of the Revised Code.	1583

Any person who presents payment that is returned or	1584
dishonored for any reason is liable to the clerk for payment of a	1585
penalty over and above the amount of the taxes due. The clerk	1586
shall determine the amount of the penalty, whichand the penalty	1587
shall be no greater than that amount necessary to compensate the	1588
clerk for banking charges, legal fees, or other expenses	1589
incurred by the clerk in collecting the returned or dishonored	1590
payment. The remedies and procedures provided in this section	1591
are in addition to any other available civil or criminal	1592
remedies. Subsequently collected penalties, poundage fees, and	1593
title fees, less any title fee due the state, from returned or	1594
dishonored payments collected by the clerk shall be paid into the	1595
certificate of title administration fund. Subsequently	1596
collected taxes, less poundage fees, shall be sent by the clerk	1597
to the treasurer of state at the next scheduled periodic	1598
remittance of tax payments, with information as the	1599
commissioner may require. The clerk may abate all or any part of	1600
any penalty assessed under this division.	1601

(F) In the following cases, the clerk shall accept for	1602
filing an application and shall issue a certificate of title	1603
without requiring payment or evidence of payment of the tax:	1604

(1) When the purchaser is this state or any of its	1605
political subdivisions, a church, or an organization whose	1606
purchases are exempted by section 5739.02 of the Revised Code;	1607

(2) When the transaction in this state is not a retail sale	1608
as defined by section 5739.01 of the Revised Code;	1609

(3) When the purchase is outside this state or in	1610
interstate commerce and the purpose of the purchaser is not to	1611
use, store, or consume within the meaning of section 5741.01 of	1612
the Revised Code;	1613

(4) When the purchaser is the federal government;

1614

(5) When the motor vehicle was purchased outside this state	1615
for use outside this state;	1616

(6) When the motor vehicle is purchased by a nonresident of	1617
this state for immediate removal from this state, and will be	1618
permanently titled and registered in another state, as provided	1619
by division (B)(23) of section 5739.02 of the Revised Code, and	1620
upon presentation of a copy of the affidavit provided by that	1621
section, and a copy of the exemption certificate provided by	1622
section 5739.03 of the Revised Code.	1623

The clerk shall forward all payments of taxes, less poundage	1624
fees, to the treasurer of state in a manner to be prescribed by	1625
the tax commissioner and shall furnish information to the	1626
commissioner as the commissioner requires.	1627

(G) An application, as prescribed by the registrar and	1628
agreed to by the tax commissioner, shall be filled out and sworn	1629
to by the buyer of a motor vehicle in a casual sale. The	1630
application shall contain the following notice in bold lettering:	1631
"WARNING TO TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You	1632
are required by law to state the true selling price. A false	1633
statement is in violation of section 2921.13 of the Revised Code	1634
and is punishable by six months' imprisonment or a fine of up to	1635
one thousand dollars, or both. All transfers are audited by the	1636
department of taxation. The seller and buyer must provide any	1637
information requested by the department of taxation. The buyer	1638
may be assessed any additional tax found to be due."	1639

(H) For sales of manufactured homes or mobile homes	1640
occurring on or after January 1, 2000, the clerk shall accept for	1641
filing, pursuant to Chapter 5739. of the Revised Code, an	1642
application for a certificate of title for a manufactured home or	1643
mobile home without requiring payment of any tax pursuant to	1644
section 5739.02, 5741.021, 5741.022, or 5741.023 of the Revised	1645
Code, or a receipt issued by the tax commissioner showing payment	1646
of the tax. For sales of manufactured homes or mobile homes	1647
occurring on or after January 1, 2000, the applicant shall pay to	1648
the clerk an additional fee of five dollars for each certificate	1649
of title issued by the clerk for a manufactured or mobile home	1650
pursuant to division (H) of section 4505.11 of the Revised Code	1651
and for each certificate of title issued upon transfer of	1652
ownership of the home. The clerk shall credit the fee to the	1653
county certificate of title administration fund, and the fee shall	1654
be used to pay the expenses of archiving suchthose certificates	1655
pursuant to division (A) of section 4505.08 and division (H)(3)	1656
of section 4505.11 of the Revised Code. The tax commissioner	1657
shall administer any tax on a manufactured or mobile home	1658
pursuant to Chapters 5739. and 5741. of the Revised Code.	1659

(I) Every clerk shall have the capability to transact by	1660
electronic means all procedures and transactions relating to the	1661
issuance of motor vehicle certificates of title that are	1662
described in the Revised Code as being accomplished by	1663
electronic means.	1664

Sec. 4505.10.  (A) In the event of the transfer of ownership	1665
of a motor vehicle by operation of law, as upon inheritance,	1666
devise, bequest, order in bankruptcy, insolvency, replevin, or	1667
execution sale, a motor vehicle is sold to satisfy storage or	1668
repair charges, or repossession is had upon default in performance	1669
of the terms of a security agreement as provided in Chapter 1309.	1670
of the Revised Code and the secured party has notified the debtor	1671
as required by division (B) of section 1309.611 of the Revised	1672
Code, a clerk of a court of common pleas, upon the surrender of	1673
the prior certificate of title or the manufacturer's or importer's	1674
certificate, or, when that is not possible, upon presentation of	1675
satisfactory proof to the clerk of ownership and rights of	1676
possession to the motor vehicle, and upon payment of the fee	1677
prescribed in section 4505.09 of the Revised Code and presentation	1678
of an application for certificate of title, may issue to the	1679
applicant a certificate of title to the motor vehicle. Only an	1680
affidavit by the person or agent of the person to whom possession	1681
of the motor vehicle has passed, setting forth the facts entitling	1682
the person to the possession and ownership, together with a copy	1683
of the journal entry, court order, or instrument upon which the	1684
claim of possession and ownership is founded, is satisfactory	1685
proof of ownership and right of possession. If the applicant	1686
cannot produce that proof of ownership, the applicant may apply	1687
directly to the registrar of motor vehicles and submit the	1688
evidence the applicant has, and the registrar, if the registrar	1689
finds the evidence sufficient, then may authorize a clerk to issue	1690
a certificate of title. If, from the records in the office of the	1691
clerk involved, there appears to be any lien on the motor vehicle,	1692
the certificate of title shall contain a statement of the lien	1693
unless the application is accompanied by proper evidence of its	1694
extinction.	1695

(B) A clerk shall transfer a decedent's interest in one or	1696
two automobiles to the surviving spouse of the decedent, as	1697
provided in section 2106.18 of the Revised Code, upon receipt of	1698
the title or titles. An affidavit executed by the surviving	1699
spouse shall be submitted to the clerk with the title or titles.	1700
The affidavit shall give the date of death of the decedent, shall	1701
state that each automobile for which the decedent's interest is to	1702
be so transferred is not disposed of by testamentary disposition,	1703
and shall provide an approximate value for each automobile	1704
selected to be transferred by the surviving spouse. The affidavit	1705
shall also contain a description for each automobile for which the	1706
decedent's interest is to be so transferred. The transfer does	1707
not affect any liens upon any automobile for which the decedent's	1708
interest is so transferred.	1709

(C) Upon the death of one of the persons who have	1710
established joint ownership with right of survivorship under	1711
section 2106.172131.12 of the Revised Code in a motor vehicle,	1712
and upon presentation to a clerk of the title and the certificate	1713
of death of the decedent, the clerk shall transfer title to the	1714
motor vehicle to the survivor. The transfer does not affect any	1715
liens upon any motor vehicle so transferred.	1716

(D) Upon the death of the owner of a motor vehicle	1717
designated in beneficiary form under section 2131.13 of the	1718
Revised Code, upon application for a certificate of title by the	1719
transfer-on-death beneficiary or beneficiaries designated pursuant	1720
to that section, and upon presentation to the clerk of the	1721
certificate of title and the certificate of death of the decedent,	1722
the clerk shall transfer the motor vehicle and issue a certificate	1723
of title to the transfer-on-death beneficiary or beneficiaries.	1724
The transfer does not affect any liens upon the motor vehicle so	1725
transferred.	1726

Sec. 4549.08.  No person shall operate or drive a motor	1727
vehicle upon the public roads and highways in this state if it	1728
displays a license plate or a distinctive number or identification	1729
mark that meets any of the following criteria:	1730

(A) Is fictitious;

1731

(B) Is a counterfeit or an unlawfully made copy of any	1732
distinctive number or identification mark;	1733

(C) Belongs to another motor vehicle, provided that this	1734
section does not apply to a motor vehicle that is operated on the	1735
public roads and highways in this state when the motor vehicle	1736
displays license plates that originally were issued for a motor	1737
vehicle that previously was owned by the same person who owns the	1738
motor vehicle that is operated on the public roads and highways in	1739
this state, during the thirty-day period described in division	1740
(C)(D) of section 4503.12 of the Revised Code.	1741

A person who fails to comply with the transfer of	1742
registration provisions of section 4503.12 of the Revised Code and	1743
is charged with a violation of that section shall not be charged	1744
with a violation of this section.	1745

Sec. 4549.41.  As used in sections 4549.41 to 4549.51 of the	1746
Revised Code:	1747

(A) "Person" includes an individual, corporation,	1748
government, governmental subdivision or agency, business trust,	1749
estate, trust, partnership, association, or cooperative or any	1750
other legal entity, whether acting individually or by their	1751
agents, officers, employees, or representatives.	1752

(B) "Motor vehicle" means any vehicle driven or drawn by	1753
mechanical power for use on the public streets, roads, or	1754
highways.	1755

(C) "Odometer" means an instrument for measuring and	1756
recording the total distance whichthat a motor vehicle travels	1757
while in operation, including any cable, line, or other part	1758
necessary to make the instrument function properly. Odometer does	1759
not include any auxiliary odometer designed to be reset by the	1760
operator of a motor vehicle for the purpose of recording mileage	1761
on trips.	1762

(D) "Transfer" means to change ownership of a motor vehicle	1763
by purchase, by gift, or, except as otherwise provided in this	1764
division, by any other means. A "transfer" does not include a	1765
change of ownership as a result of a bequest, under the laws of	1766
intestate succession, as a result of a surviving spouse's actions	1767
pursuant to section 2106.18 or 4505.10 of the Revised Code, as a	1768
result of the operation of section 2106.172131.12 or 2131.13 of	1769
the Revised Code, or in connection with the creation of a security	1770
interest.	1771

(E) "Transferor" means the person involved in a transfer,	1772
who transfers ownership of a motor vehicle.	1773

(F) "Transferee" means the person involved in a transfer, to	1774
whom the ownership of a motor vehicle is transferred.	1775

(G) "Service" means to repair or replace an odometer which	1776
that is not properly functioning.	1777

Section 2. That existing sections 1339.66, 1339.68, 1340.22,	1778
1547.54, 1548.07, 1548.071, 1548.08, 1548.11, 2106.17, 2106.18,	1779
2109.62, 2113.30, 2113.61, 2117.25, 4503.12, 4505.06, 4505.10,	1780
4549.08, and 4549.41 of the Revised Code are hereby repealed.	1781

Section 3. Section 1548.07 of the Revised Code is presented	1782
in this act as a composite of the section as amended by both Sub.	1783
H.B. 458 and Am. Sub. S.B. 182 of the 120th General Assembly.	1784
Section 4505.10 of the Revised Code is presented in this act as a	1785
composite of the section as amended by both Am. Sub. S.B. 74 and	1786
Sub. S.B. 59 of the 124th General Assembly. The General Assembly,	1787
applying the principle stated in division (B) of section 1.52 of	1788
the Revised Code that amendments are to be harmonized if	1789
reasonably capable of simultaneous operation, finds that the	1790
composite is the resulting version of the section in effect prior	1791
to the effective date of the section as presented in this act.	1792