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DIPLOMAT

LICENSE PLATES

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PRIVATE

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It is not legally required to register a car.

U.C.C - ARTICLE 9 - SECURED TRANSACTIONS; SALES OF ACCOUNTS AND CHATTEL PAPER

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PART 1. SHORT TITLE, APPLICABILITY AND DEFINITIONS

§ 9-109. Classification of Goods: "Consumer Goods"; "Equipment"; "Farm Products"; "Inventory".

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Goods are: (1) "Consumer goods" are items that are used or purchased primarily for domestic, family, or personal use;

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(2)"equipment" if the goods are not defined as inventory, farm products, or consumer goods, or if the debtor is a non-profit organization, governmental subdivision, or agency; additionally, if the goods are used or purchased primarily for use in business (including farming or a profession);

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Relevant case citations under stare decisis case cites  directly related to UCC 9-109 include:

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"There is a real distinction between goods purchased for personal use and those purchased for commercial use under UCC §9-109. The primary use of the property and its fundamentally unrelated nature should be seen as  determinative." James Talcott, INC. v. Hmm, 5 UCC Rep Serv 1028. Cal.App.2nd384, 266 Cal.App.2d 384, 72 Cal.Rptr. 168 (1968).

"The characterization of merchandise in UCC §9-109 are totally unrelated." 8 UCC Rep Serv 766, 260 Md 601, 273 A second 198 (1971) McFadden v. Mercantile Safe Deposit & Trust Co.

" Automobile purchased for the purpose of transporting buyer to and from his place of employment was "consumer goods" as defined in UCC §9-109."  Mallicoat v Volunteer Finance & Loan Corp., 3 UCC Rep Serv 1035; 415 S.W2d 347 (Tenn. App., 1966).

"The provisions of UCC §2-316 of the Maryland UCC do not apply to sales of consumer goods (a term which includes automobiles, whether new or used, that are bought primarily for personal, family, or household use)." Maryland Independent Automobile Dealers Assoc., Inc. v Administrator, Motor Vehicle Admin., 25 UCC Rep Serv 699; 394 A.2d 820, 41 Md App 7 (1978).


 

The owner of a vehicle using it for reasons other than traveling to and from work is using it for "individual," not "business," purposes, as defined by UCC §9-109 (1), according to the court's perspective. The UCC §9-109 (2) method, which defines " equipment" as goods used or bought primarily for use. "in business" seems to take into account a distinction between using a guarantee "in business" and using the security for a straightforward commercial, financial, or pay-delivering purpose by someone who isn't locked in "in business."

Traveling to and from work is a personal use, not a professional one!

This administration is foreseeable given the undeniable fact that "The grouping of still up in the air by its essential use" (Barron's Regulation Word reference, Third Version, 1991) and not by the kinds of goods, which include but are not limited to vehicles. 
 

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 Federal Case Law Confirms

IN RE BARNES
September 15, 1972,
United States District Court,
D. Maine; Bankruptcy Nos. BK 7-129ND, EK 72-13OND


Consumer goods: automobile for transportation to and from work [9-109].

According to UCC § 9-109(1), an owner's use of a vehicle for travel to and from work is considered personal use rather than business use, and the vehicle will be categorized as consumer goods rather than equipment.

   The wording of §9-109(2), which defines equipment as goods used or purchased primarily for use in business, appears to be thinking about making a distinction between using collateral "in business" and simply using it for a commercial, economic, or income-producing purpose by someone who isn't "in business."

The filing location that is suitable depends on whether the collateral is classified as equipment or consumer goods. Products are categorized as consumer goods under the Uniform Commercial Code.

"...if they are purchased or used primarily for domestic, family, or personal use (2). Fn (2) 11 §9-109 MRSA (1).

 

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IT IS NOT REQUIRED TO REGISTER CONSUMER GOODS!
"A vehicle not used for commercial activity is a "consumer good",...it is NOT a type of vehicle required to be registered and "use tax" paid of which the tab evidence of receipt of the tax." UCC PP 9-109.14; Bank of Boston v. Jones, 4 UCC Rep. Serv. 1021; 236 A2d 484.
 
"Thus self-Driven vehicles are classified according to the use which they are put rather than according to the means by which they are propelled." Ex Parte Hoffert, 148 NW 20.

"We see no reason why automobiles should not be disposed of in a manner consistent with the ruling made by the Supreme Court in Arthur v. Morgan, 112 U.S. 495, 5 S.Ct. 241, 28 L.E. 825. Hillhouse v. United States, 152 F. 163, 164 (2nd Cir. 1907).

"Among his "household goods" is a soldier's personal vehicle. U.S. v. Bomar, C.A.5(Tex.), 8F.3d226,235" 19A Words and Phrases, Permanent Edition (West) packet Part 94.





 

PRIVATE

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"...The exemptions provided for in section 1 of the Motor Vehicle Transportation License Act of 1925 (Stats. 1925, p. 833) in favor of those who solely transport their own property or employees, or both, and of those who transport no persons or property for hire or compensation, by motor vehicle, have been determined in the Bacon Service Corporation case to be lawful exemptions. -- In re Schmolke (1926) 199 Cal. 42, 46.

 

"The right of a citizen to travel upon the public highways and to transport his property thereon in the ordinary course of life and business is a common right which he has under his right to enjoy life and liberty..... It includes the right in so doing to use the ordinary and usual conveyances of the day; and under existing modes of travel includes the right to drive a horse drawn carriage or wagon thereon, or to operate an automobile thereon for the usual and ordinary purposes of life and business. It is not a mere privilege, like the privilege of moving a house in the street, or transporting persons or property for hire along the street, which the city may permit or prohibit at will."--Thompson v. Smit, 154 S.E. 579.

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"In view of this rule a statutory provision that the supervising officials "may" exempt such persons when the transportation is not on a commercial basis means that they  "must" exempt them."-- State v. Johnson, 243 P. 1073; 60 C.J.S section 94, page 581. 

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