By Michael A. Klitzke, Auto Fraud & Lemon Law Attorney, Auto Law Firm, PC | Originally published Feb 15, 2024 | Last reviewed & updated June 2026
Imagine buying your dream car, cruising down a California highway, only to discover you don’t actually own it. At Auto Law Firm, attorney Michael Klitzke has represented hundreds of California consumers who never received DMV registration or title transfer after buying from a dealership. We know how these cases unfold and how to win them. Often, the consumer does not discover the California dealership failed to register and transfer title until 3 or 4 months after the purchase. This scenario, unfortunately, is far from uncommon in California. Most dealerships in California sell vehicles when they don’t actually have the title. Sometimes the dealer never received the title from the previous owner; other times a third-party ‘flooring’ company (the lender that finances the dealer’s inventory) holds the title until the dealer pays off its line of credit. Either way, the buyer is left without legal ownership of a car paid for.
California law requires dealerships to handle both DMV registration and title transfer, and sets two separate deadlines they are required to comply with and handle properly:
• Registration: Under California Vehicle Code § 4456, the dealer must submit the registration/transfer application accompanied by all registration fees to the DMV within 30 days of the sale for a used vehicle (20 days for a new vehicle).
• Title: Under California Vehicle Code § 5753, the title must be delivered within 15 business days after the dealer receives full payment for the vehicle.
Your purchase contract includes a fee for this exact service, so the dealer must submit the paperwork and pay the required fees even if you paid cash in cash.
The red flags start to appear: the temporary registration expires, especially if you were told the dealer was handling everything and the expiration date passes, the dealership gives you the runaround, or a police officer pulls you over for having no license plate or current tags.
In one case our firm handled, a client was pulled over at gunpoint because police believed the vehicle was stolen; he wasn’t the registered owner, after all. Fortunately, the three-year-old in the car seat convinced officers our client was no car thief, but a victim of dealer fraud. We secured a full refund, had his loan paid off, and the unregistered vehicle became the finance company’s problem, not his.
The Impact is Real
The title and registration issues created by a dealership’s failure to transfer ownership can cause serious problems for the buyer. You can’t:
- Drive the car legally: Unregistered vehicles cannot be legally driven on public roads. Police can pull you over and ticket the driver for not having valid DMV registration. In rare cases, police can even treat the situation as grand theft auto (you aren’t the registered owner, after all), and over time the risk only grows if the dealer still has not delivered the title or registration documents.
- Sell the car: You don’t own it, so selling the vehicle is impossible, and unresolved title history or a lien can block a sale while you remain legally and financially responsible for a car you can’t use.
- Even park it on a public road: Unregistered vehicles face towing and parking violations if left on a public road.
From Frustration to Resolution: How California Vehicle Code Empowers You
At Auto Law Firm, we hold a California car dealership accountable, and, just as importantly, we hold the finance company and the dealer’s surety bond responsible. Pursuing the lender and bond company means you can still recover even if the dealership goes out of business, especially when a bank or other lender still claims an interest and has not issued a release. These cases fall under auto dealer fraud, where dealerships fail to meet their legal obligations during the sale.
This is an area where our firm has helped shape the law. Attorney Michael Klitzke was the primary litigation attorney in Pulliam v. HNL Automotive, Inc., 13 Cal.5th 127 (2022), and that case confirmed a finance company can be held responsible for a dealer’s misconduct, including paying the consumer’s attorney fees under the relevant section. That ruling is a major reason we can often take these cases with little or no money out of your pocket.
We’ve helped hundreds of Californians in title and registration cases. Depending on the facts, we’ve secured:
- Title transfers: Getting you the legal ownership you deserve.
- Buyback: Getting the vehicle repurchased (a refund of what you paid plus cancellation/payoff of the loan) by the dealer or finance company, which may also recover some cost to you.
- Incidental damages: Other expenses you incurred because of the missing registration and title.
- Penalties: Under California Vehicle Code § 5753, a late title can entitle you to $25 per day, up to $2,500, and up to $7,500 if the dealer ignores a written demand for 60 days; if the dealer still does not comply, you may sue for available damages and attorney’s fees.
- Peace of mind: Knowing you have a dedicated attorney fighting for your rights.
Frequently Asked Question (FAQ) About Vehicle Title
Q: How long does a California dealer have to transfer title and registration?A: Two deadlines apply, and the time limits matter. The dealer must submit your registration paperwork and fees to the DMV within 30 days of the sale for a used vehicle (20 days for a new one) under Vehicle Code § 4456, and file the paperwork in the proper form. Separately, the title itself must be delivered within 15 business days after the dealer receives full payment, under Vehicle Code § 5753.
Q: What can I do if my temporary registration expired and I still have no plates?A: First, contact the DMV directly to find out what the DMV has on file and what still needs to be submitted for your registration and title. We also suggest speaking with the person handling the transaction if you were called by the dealer or lender with conflicting information. If the dealer missed the legal deadline, you may have a claim against the dealership, the finance company, and the dealer’s surety bond. Don’t keep driving on expired tags — you risk tickets and having the car treated as unregistered. In some cases, the DMV will provide a temporary registration so that you can temporarily drive the vehicle during the lawsuit.
Q: Can I get my money back if the dealer never transferred the title?A: Often, yes, whether you bought the vehicle as a used car or a new car. Remedies can include a buyback (a refund of what you paid plus cancellation or payoff of your loan), statutory penalties for the late title, and other damages. The right outcome depends on your specific facts — a free consultation can tell you which apply.
Q: What happens if the dealership has gone out of business?A: You may still recover. Because California lets you pursue the finance company and the dealer’s surety bond — not just the dealership — you can often be made whole even if that happened after the sale and the selling dealer closed. This is exactly why we name those parties in our cases.
Don’t Let This Used Car Problem Happen to You
If this happened after you bought a vehicle, act quickly. You can contact the DMV directly to check the status of your registration and title, and they may help you find what is still missing from the DMV file, or you can have Auto Law Firm do it for you as part of a free consultation. We’ll assess your situation, explain your options, and guide you through reclaiming your rights, including explaining what paperwork and fees were required and what steps the dealer failed to comply with.
If you think a California dealership failed to register and title a vehicle you purchased, take care to preserve your records and contact information, and Auto Law can help. Contact Auto Law today at 619-984-1239, [email protected]; or visit https://www.autolawfirm.com/auto-fraud-lawyer/no-title-registration-smog/. The sooner we start working on your case, the sooner the problem gets resolved.
You can also learn more about your rights by speaking with an auto fraud attorney or scheduling a free consultation.
About the Author — Michael A. Klitzke is the founder of Auto Law Firm, PC, handling auto fraud, lemon law, and personal injury cases throughout California’s state and federal courts. He graduated summa cum laude (2 of 201) from Thomas Jefferson School of Law, where he served as a Law Review Editor and a national mock-trial competitor, and earned his B.A. in Political Science from San Diego State University. He was the primary litigation attorney in the landmark consumer case Pulliam v. HNL Automotive, Inc., 13 Cal.5th 127 (2022) before the California Supreme Court, and has been recognized by Super Lawyers (Rising Star), Best of the Bar for one of the top 100 California verdicts of 2022, and Marquis Who’s Who in North America (2025).