A manufacturer's statement of origin or manufacturer's certificate of origin shall be deemed to be in possession of the lien holder while being transmitted to the secretary and until issuance of a certificate of title by the secretary showing the lien. All contracts, liens, mortgages, and encumbrances, noted on a certificate of title, shall take priority according to the order of time in which the liens were noted.

Source: SDC 1939, § 44.0203 (1) as added by SL 1951, ch 229 , § 3; SL 1965, ch 186 , § 3; SL 1989, ch 257 , § 36.