Shelby County dealers seek solutions for paper title and temporary tag issues

The Tennessee Motor Vehicle Commission held its quarterly meeting on April 23, 2025, addressing significant challenges faced by vehicle dealers, particularly in Shelby County. A primary concern discussed was the ongoing issues related to the antiquated paper title system, which has led to frustrations among dealers struggling to obtain timely titles for vehicles.

Commissioner Vaughn highlighted the difficulties faced by local dealers, emphasizing the need for better documentation practices when submitting titles to the county clerk. This initiative aims to provide dealers with evidence of submission dates, which could support their cases when delays occur.

The meeting also touched on the rising number of complaints from consumers regarding vehicle sales, particularly concerning "as-is" sales and undisclosed recalls. The commission acknowledged the importance of addressing these consumer anxieties while clarifying that such issues do not necessarily fall under the dealers' responsibilities.

Another critical topic was the misuse of temporary tags. The commission discussed instances where dealers may have manipulated the EZ TAG system to issue excessive temporary tags. While the commission can impose civil penalties for violations, they noted the challenges in proving deceitful practices due to limited access to the EZ TAG system, which is managed by the Department of Revenue.

The commission plans to engage with the Department of Revenue during an upcoming county clerk's conference to explore collaborative solutions to these issues. They expressed a commitment to addressing the misuse of temporary tags and ensuring compliance among dealers.

In conclusion, the meeting underscored the commission's dedication to improving the vehicle titling process and addressing dealer compliance issues, while also recognizing the need for better consumer protection measures in the automotive sales industry. The next steps include further discussions with relevant departments to enhance oversight and support for dealers in Tennessee.