(a) Whenever the title or interest of an owner in or to a registered vehicle passes to another otherwise than by voluntary transfer, the vehicle registration shall expire and the vehicle shall not be operated upon the highways unless and until the person entitled to possession of the vehicle shall apply for and obtain the registration, with the following exceptions:
(1) The vehicle may be operated by the person entitled to its possession or the person's legal representative upon the highways from the point the motor vehicle comes into the person's possession to the person's place of business or to some garage or warehouse, upon displaying upon the vehicle the registration plate or plates issued to the former owner; or
(2) In the event title has become vested in the person holding a lien or encumbrance upon the vehicle, the person may apply to the department for and obtain special plates or temporary plates as may be issued under § 55-4-226(c)(4), and may operate any such repossessed vehicle under the special plates or temporary plates only for purposes of transporting the vehicle to a garage or warehouse or for purposes of demonstrating or selling the vehicle.
(b) Any person applying for and eligible to receive a plate pursuant to subsection (a) who desires to make a lawful use of the vehicle for a period of time in excess of seven (7) days, but not more than thirty (30) days, may be issued a plate upon payment of a fee of ten dollars ($10.00).
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