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LPT: When selling a car, always keep the Bill of Sale (and file a Release of Liability with DMV if applicable), even selling to a dealer
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The original was posted on /r/lifeprotips by /u/princetonwu on 2026-07-14 07:50:13+00:00.


Recently, I sold a car to a dealer. I also filed a Release of Liability. Since it was sold to a dealer, I thought everything was taken care of. Two months later, I got tickets in the mail. Apparently when dealers buy your car, they don't actually register it; they hold the title until they find a new owner. In my case, the dealer I sold to, transferred the car to dealer #2, which then sold it to a new buyer. However, that new buyer didn't register the car (or they did but the DMV hasn't processed it yet). So when I got the tickets in the mail, my name is still the registered owner in DMV files. I was able to contest this by showing the Bill of Sale and the Relase of Liability (a pain in the ass nevertheless). But if I didn't keep records, I would be stuck with these tickets.

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