(a) The ownership of a vessel or of an outboard motor is evidenced by a certificate of title issued by the department, unless the vessel or the outboard motor is new.
(b) The ownership of a new vessel or a new outboard motor is evidenced by a manufacturer's or an importer's certificate executed on a form prescribed by the department.
(c) Separate certificates are required for vessels and for outboard motors.
(d) The ownership of a vessel exempted from numbering under Section 31.022(c) of this code is not required to be evidenced by a certificate of title issued by the department.
(e) The recorded owner of a vessel or outboard motor shall notify the department not later than the 20th day after the date:
(1) of the transfer by sale, donation, gift, or other means of all or any part of the owner's interest in the vessel or outboard motor; or
(2) of the permanent removal of the vessel or outboard motor from this state to another state or country.
(f) Notification of a transfer of interest or move to another state or country under Subsection (e) must be on a form prescribed by the department that includes the name and address of the new owner and, as applicable:
(1) the vessel's certificate of number; and
(2) the serial number of the outboard motor.
(g) If a vessel or outboard motor for which the department has issued a certificate of title is destroyed or disposed of in a manner not described by Subsection (e), the recorded owner shall notify the department not later than the 20th day after the date of the destruction or disposal and shall surrender to the department the certificate of title.
(h) On receipt of notice under Subsection (e) or (g), the department shall cancel the title and enter the cancellation in the department's records.
(i) A recorded owner who fails to file notification in accordance with Section 31.037 or this section:
(1) is subject to the penalties under Section 31.127 ; and
(2) is subject to the removal costs under Section 40.108, Natural Resources Code , and penalties under Chapter 40, Natural Resources Code, as the person considered responsible for an abandoned vessel or outboard motor.
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