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Code · Arizona · Title 13 — Decedents' Estates, Guardianships, Transfers, Trusts, and Health Care Decisions

13-3717. Unlawful subleasing of motor vehicle; violation; classification; definitions

682 words·~3 min read·/az/title-13/13-3717

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

A. A person engages in an act of unlawful subleasing of a motor vehicle if all of the following conditions are met:
1. The motor vehicle is subject to a lease contract, retail installment contract or security agreement the terms of which prohibit the transfer or assignment of any right or interest in the motor vehicle or under the lease contract, retail installment contract or security agreement.
2. The person is not a party to the lease contract, retail installment contract or security agreement.
3. The person transfers or assigns, or purports to transfer or assign, any right or interest in the motor vehicle or under the lease contract, retail installment contract or security agreement to any person who is not a party to the lease contract, retail installment contract or security agreement.
4. The person does not obtain, before the transfer or assignment, written consent to the transfer or assignment from the motor vehicle's lessor, seller or secured party.
5. The person receives compensation or some other consideration for the transfer or assignment.
B. A person engages in an act of unlawful subleasing of a motor vehicle if the person is not a party to the lease contract, retail installment contract or security agreement and assists, causes or arranges an actual or purported transfer or assignment.
C. The actual or purported transfer or assignment, or the assisting, causing or arranging of an actual or purported transfer or assignment, of any right or interest in a motor vehicle or under a lease contract, retail installment contract or security agreement by an individual who is a party to the lease contract, retail installment contract or security agreement is not an act of unlawful subleasing of a motor vehicle and is not subject to prosecution.
D. This section does not affect the enforceability of any provision of any lease contract, retail installment contract, security agreement or direct loan agreement by any party to the contract or agreement.
E. The penalties under this section are in addition to any other remedies or penalties provided by law for the conduct proscribed by this section.
F. A person who violates subsection A of this section is guilty of a class 1 misdemeanor.
G. In this section, unless the context otherwise requires:
1. "Buyer" means a person who buys or hires a motor vehicle under a retail installment contract.
2. "Direct loan agreement" means an agreement between a lender and a purchaser by which the lender has advanced monies pursuant to a loan secured by the motor vehicle which the purchaser has purchased.
3. "Lease contract" means a contract for or in contemplation of the lease for the use of a motor vehicle and the purchase of services incidental to the lease by a natural person for a term exceeding four months primarily for personal, family, household, business or commercial purposes, whether or not it is agreed that the lessee bears the risk of the motor vehicle's depreciation.
4. "Lessee" includes a bailee and means a natural person who leases, offers to lease or is offered the lease of a motor vehicle under a lease contract.
5. "Lessor" includes a bailor and means a person who is engaged in the business of leasing, offering to lease or arranging the lease of a motor vehicle under a lease contract.
6. "Motor vehicle" means a motor vehicle which is required to be registered under title 28, chapter 7 and which has a gross weight, as defined in section 28-5431, of ten thousand pounds or less.
7. "Purchaser" has the same meaning prescribed in section 47-1201.
8. "Retail installment contract" has the same meaning prescribed in section 44-281 and includes the sale of a motor vehicle between a buyer and a seller primarily for business or commercial purposes.
9. "Secured party" has the same meaning prescribed in section 47-9102.
10. "Security agreement" has the same meaning prescribed in section 47-9102.
11. "Security interest" has the same meaning prescribed in section 47-1201.
12. "Seller" means a person engaged in the business of selling or leasing motor vehicles under a retail installment contract.
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