1. (1) The department may revoke the authority of a  designated agent or title service provider if the designated  agent or title service provider fails to faithfully perform the  duties under Chapter 8 or Chapter 20 of Title 32 of the Code of Ala. 1975, or has been convicted of any felony provisions of  Chapter 20 of Title 32, or Title 40 of the Code of Ala. 1975. A  written notice shall be provided by the department to the designated agent or title service provider detailing the area or  areas of alleged non-compliance. A response must be submitted to  the department within ten (10) calendar days from the date of  the notice either refuting the alleged non-compliance, or  detailing the action taken to correct the area or areas of  non-compliance.
2. (2) Failure to satisfactorily respond will result in  the issuance of a revocation notice advising that access to the  title system is immediately suspended and that the authority to act as a designated agent or title service provider will be  revoked.
3. (3) The revocation notice will include notice of the  right to appeal the department's intended action pursuant to  §40-2A-8, Code of Ala. 1975.
4. (4) Upon revocation, the designated agent will be  required to immediately deliver to the department monies  collected and due the department, title applications, and title  documents used to support an application for certificate of  title processed by the designated agent The department may call  upon any law enforcement agency of the state to seize any  aforementioned items that the agent has not voluntarily returned as provided in §§32-8-10 and 32-20-8, Code of Ala. 1975.
5. (5) In the event that the designated agent is a  licensed motor vehicle dealer and that license is revoked, the  licensee’s designated agent status will also be immediately  revoked.
6. (6) An individual listed as a principal officer of a  previously revoked designated agent or title service provider,  or an employee or representative of a previously revoked  designated agent or title service provider whose actions  contributed to the revocation may not become a designated agent  using a different company name or entity status. If the  department determines that a principal officer, employee, or representative of a previous designated agent or title service  provider, whose designated agent status was revoked for failing to faithfully perform its duties, has made application to be appointed as a designated agent or title service provider of the department under a different company name, or entity status, the  department shall have grounds to deny the company's application.

Author: Mike Gamble, Jonathan Lawrence, Lisa Blankenship

Statutory Authority: Code of Ala. 1975, §§32-8-3, 32-20-3, 32-20-8, 40-2A-7(a)(5), 40-2A-8; Chapter 8 and Chapter 20 of Title 32.

Editor’s Note: Was previously 810-5-26-.02 and moved to 810-5-75-.60 as per certification filed April 21, 2010; effective May 26, 2010.

History: New Rule: Filed November 5, 1997; effective December 10, 1997. Amended: Filed May 18, 2004; effective June 22, 2004. Amended: Filed May 1, 2009; effective June 5, 2009. Amended: Filed December 17, 2009; effective January 21, 2010. Amended: Filed April 21, 2010; effective May 26, 2010. Amended: Published February 28, 2020; effective April 13, 2020. Amended: Published September 30, 2020; effective November 14, 2020.