Lien Sale Paperwork in California

A lien sale lets a tow company, storage yard, or repair shop sell a vehicle when the bill for that work goes unpaid. California sets strict steps: a record request or DMV authorization, written notices, a waiting period for the owner to object, then a public auction. Miss a deadline or mail a notice late, and the sale can be thrown out. Our North Hollywood office helps California lienholders put the paperwork together in the right order.

369 Registration Services is a private registration service licensed by the California DMV. We are not the DMV or a branch of the DMV. You can complete these transactions directly with the California DMV without paying our service fee.

What this service covers

Under California Civil Code sections 3068 through 3074, a business that repairs, tows, stores, or supplies materials for a vehicle has a lien on it until it is paid. The lienholder must physically hold the vehicle. The lien can be settled through a court judgment or through a lien sale, a public auction run by the lienholder with DMV oversight. The procedure depends on the vehicle's current market value, with $4,000 as the dividing line.

Who needs it

  • Tow operators holding a vehicle after an impound.
  • Storage yards with unpaid storage charges.
  • Repair shops registered with the Bureau of Automotive Repair with an unpaid bill.
  • Self-service storage facilities with a vehicle left in a rented space.
  • Buyers at a lien sale who need to register the vehicle.

What to bring to your appointment

Sourced from the DMV's requirements. Bring originals where the DMV asks for them. We confirm the exact list when we set your time.

What to bring: Lien Sale Processing

  • Registration Information Request for Lien Sale, INF 1126

    For vehicles valued $4,000 or less. Must be filed within 15 days of the lien arising for impounds, or the sale is invalid.

  • Application for Lien Sale Authorization, REG 656

    For vehicles above the $4,000 mark or held in a rented storage space. Filed with the Lien Sale Unit within 30 days of the lien arising.

  • Notice of Pending Lien Sale, REG 668

    Used on the $4,000 or less track. Mailed by certified mail 31 to 41 days before the sale, also posted at the business for 10 days before the sale.

  • Notice of Pending Lien Sale, REG 280

    Used after DMV authorization on the over $4,000 track. Sent by certified mail, return receipt requested, at least 20 days before the sale.

  • Certification of Lien Sale, REG 168A or REG 168

    Completed after the sale. If no qualifying bid comes in, the lienholder signs as both seller and buyer.

  • Notice of Transfer and Release of Liability, REG 138

    Filed with the DMV within five days of the sale.

Based on DMV requirements as published on dmv.ca.gov, checked 2026-10-12. The DMV may ask for more depending on your vehicle. We confirm your exact list when we set your appointment.

When you might need this service

Vehicles valued at $4,000 or less

This track does not need DMV authorization up front. The lienholder requests the vehicle record with an INF 1126 within 15 days of the lien arising for impounds, or within 30 days in other cases. Then the lienholder mails the REG 668 notice by certified mail 31 to 41 days before the sale to the owners, any known interested party, and the DMV. Owners get 10 days from the mailing date to oppose. There is no redemption period after the sale.

Vehicles worth more than $4,000, or left at a storage facility

Here the DMV sends the first notice. The lienholder files a REG 656 with the DMV Lien Sale Unit within 30 days of the lien arising. The DMV mails a notice with a Declaration of Opposition to the owners, who have 10 days to object. If nobody objects, the DMV sends an authorization letter. Only then does the lienholder set a sale date, mail the REG 280 notice at least 20 days ahead, advertise in a county newspaper 5 to 20 days before the sale, then keep the vehicle for ten more days so the owner has a last chance to redeem it.

When someone opposes the sale

An owner or interested party who returns the Declaration of Opposition stops the sale, and the DMV sends a denial letter. The lienholder can still move forward with one of three things: a signed release of interest from the objector, an unpaid court judgment obtained within 30 days of the DMV notice, or a REG 659 showing the objector could not be served.

Registering a vehicle bought at a lien sale

The buyer brings the Certification of Lien Sale with the postal receipts attached, the DMV printout or authorization letter, a REG 343, odometer disclosure on a REG 262 when the vehicle is under 10 years old, and a smog certificate when one applies. If the DMV has no record of the vehicle, a VIN verification is also needed. See our title transfer page for how ownership changes are handled.

How it works with us

  1. Call or send a request

    Tell us what kind of business you run, when the vehicle came into your possession, whether the owner has been billed, and a rough market value. The value decides which track applies.

  2. We confirm what to bring

    We tell you which forms match your track, which deadlines are already running, then set an appointment at our North Hollywood office.

  3. We prepare the notices with you

    We complete the INF 1126 or REG 656 with you, prepare the REG 668 or REG 280 notices for mailing, then map the sale date against the mailing, posting, advertising, and redemption windows the DMV checks.

  4. We handle the paperwork after the auction

    After the sale we review the certification form and the postal receipts, then handle the paperwork for the buyer's registration transaction, or yours if there was no bid. The DMV sets every fee. Use the DMV fee calculator or our fees page for details.

Fees

DMV fees are set by the State of California, not by us. Only the DMV decides the final total, which depends on your vehicle, the transaction, and any penalties already on the record.

  • The DMV lists a $5 lien sale authorization fee under Civil Code section 3071, the track for vehicles worth more than $4,000 or held in a rented storage space. (DMV source, checked 2026-10-12)
  • After the sale, the buyer owes transfer fees and any registration fees or penalties due on the vehicle. If registration expired while the lienholder held it, the buyer has 20 days from the purchase date to pay without penalty, or to pay the transfer fee with a planned nonoperation filing. (DMV source, checked 2026-10-12)

Our service charge

Every transaction is different, so our service charge depends on the paperwork your case needs. Tell us about it when you call or send a request and we will explain our charge before you decide to proceed. DMV fees, taxes, and penalties are separate.

DMV fee calculator

Common issues and special cases

The clock started before you noticed

The lien arises when the owner gets the written bill, or 15 days after the work is done, whichever comes first. For impounds it starts the day the vehicle is towed. The 15-day INF 1126 window and the 30-day REG 656 window both run from that date, so a late start can end the lien.

Storage charges have limits

The DMV's guide says a storage lien generally cannot exceed 60 days of charges, or up to 120 days when the authorization application was filed within 30 days of the lien arising.

Lost lien sale paperwork

The DMV tells a buyer who lost the lien sale documents to contact the seller first, then the Lien Sale Unit. Once the vehicle is titled in the buyer's name, a lost title is replaced the regular way, covered on our duplicate title page.

Questions about lien sale processing

What is a lien sale in California?

It is a public auction a lienholder holds to collect an unpaid towing, storage, repair, or materials bill on a vehicle. The DMV supplies owner records, authorization letters, and the forms. Sealed bids are not allowed.

Who is allowed to conduct a lien sale?

A business that repaired, towed, stored, or supplied materials for the vehicle, has not been paid, and still has the vehicle in its possession. Salvage pools and charitable organizations cannot use a lien sale to get title.

How long does the owner have to object?

Ten days from the date the notice is mailed, on either track. The owner signs and returns the Declaration of Opposition to the DMV. After that window closes, a dispute becomes a civil matter.

Is there a waiting period after the auction?

Only on the over $4,000 track. After the sale date the lienholder holds the vehicle for ten more days, during which the owner can still reclaim it by paying every cost and 12 percent interest. On the $4,000 or less track the buyer may take the vehicle right away.

Ready to set an appointment?

Call or send a request. We will confirm what to bring and a time that works.

369 Registration Services is a private registration service licensed by the California DMV. We are not the DMV or a branch of the DMV. You can complete these transactions directly with the California DMV without paying our service fee.