(a) Except as provided under (f) of this section, the owner of an undocumented boat subject to registration in this state under AS 05.25.055 shall apply to the Department of Administration for a certificate of title for the boat.
(b) A person who purchases or obtains a majority ownership of an undocumented boat shall, within 30 days after purchasing or obtaining the boat, apply for a new certificate of title that shows the boat's change of ownership.
(c) If the Department of Administration is not satisfied as to the ownership of an undocumented boat or believes there may be an undisclosed security interest in an undocumented boat, the Department of Administration may register the boat without issuing a title and shall type or stamp on the face of the certificate of registration “No Title Issued.” A certificate of title may be issued only if the
(1) applicant presents documents sufficient to satisfy the Department of Administration that
(A) the applicant owns the boat; and
(B) there is no undisclosed security interest in the boat; or
(2) title is uncontested for three years following the issuance of the “No Title Issued” registration.
(d) The state and its employees or agents are not liable for damages or costs associated with an act or omission under this section.
(e) The Department of Administration shall adopt regulations to implement this section.
(f) This section does not apply to an undocumented boat that is 24 feet or less in length, unless the owner of the boat chooses to apply to the Department of Administration for a certificate of title for the boat.
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