How to Complete California's Notice of Transfer and Release of Liability

What the Notice of Transfer and Release of Liability does

California's Notice of Transfer and Release of Liability (form REG 138) is a document you file with the Department of Motor Vehicles to tell them you no longer own a vehicle. It protects you from liability for traffic violations, accidents, or parking tickets that happen after you sell or give away the car — but only if you file it correctly and on time.

When you sell a car in California, the buyer is responsible for registering it in their name. Until they do, the vehicle is still registered to you. If the new owner gets a speeding ticket, causes an accident, or racks up parking violations, those notices can come to your address. Without this form on file, you could be held responsible for those violations or even sued.

The form serves as your proof that you transferred ownership and are no longer liable for what happens to the vehicle. The DMV uses it to update their records and stop sending you notices about the car.

Key Takeaways

You must file the Notice of Transfer and Release of Liability within five days of selling or transferring the vehicle, or you remain liable for violations and accidents.
The form requires the buyer's name and address, the vehicle identification number (VIN), the odometer reading, and the date of sale.
You can file the form online through the California DMV website, by mail, or in person at a DMV office.
If the buyer does not register the vehicle and you receive violation notices, you can file the form retroactively, but it is harder to prove you transferred ownership.
Keeping a copy of the signed title or bill of sale with the buyer's information is your best protection if a dispute arises later.

When you must file and what happens if you do not

California law requires you to file the Notice of Transfer and Release of Liability within five days of the sale or transfer. This five-day window is strict — waiting longer weakens your protection, even if you eventually file the form.

If you do not file within five days and the new owner commits a traffic violation, parks illegally, or causes an accident, the DMV will send the notice to you as the registered owner. You will be responsible for paying the fine or responding to the citation. If there is an accident claim, you could be sued because the vehicle is still registered in your name.

Even if you file late, the form still helps you. It creates a record that you transferred the vehicle and when. If you receive a violation notice after filing, you can respond to the DMV with a copy of the form and explain that you are no longer the owner. The burden then shifts to the buyer to prove they owned the car at the time of the violation.

Information you need to complete the form

Before you file, gather the following information about the transaction and the buyer:

Your name, address, and driver's license number
The buyer's full name and address (this is required)
The vehicle's VIN (17-character identification number, found on the title or dashboard)
The odometer reading at the time of sale
The date you transferred ownership
The sale price (optional, but helpful if a dispute arises)

If you sold the car to a dealer, use the dealer's business name and address. If you transferred it to a family member or friend, use their legal name and current address. Incomplete buyer information is the most common reason the DMV cannot process the form correctly.

You do not need the buyer's signature on the Notice of Transfer form itself. The form is filed by you alone. However, you should have the buyer sign the title or a bill of sale so you have proof of the transaction if questions arise later.

How to file the form with the California DMV

You have three ways to file the Notice of Transfer and Release of Liability: online, by mail, or in person.

Online filing is the fastest option. Go to the California DMV website, select "Register a Vehicle" or "Title and Registration," and look for the option to file a Notice of Transfer. You will need to enter your vehicle information and the buyer's details. The DMV will confirm receipt when ready, and you will receive a confirmation number.

Mailing the form takes longer but requires no trip to the DMV. Print form REG 138 from the California DMV website, fill it out completely, and mail it to the address listed on the form (usually the DMV office that handles your county). Include a copy of the title if you are transferring ownership. Mail takes one to two weeks to process, so file as soon as possible after the sale.

In-person filing at a local DMV office guarantees when ready processing. Bring the completed form REG 138, your driver's license, and the vehicle title. You will receive a stamped copy as proof of filing. This is the safest option if you are concerned about the buyer not registering the vehicle quickly.

What to do if the buyer does not register the vehicle

Sometimes you sell a car and the buyer never registers it in their name. Weeks or months later, you receive a parking ticket or violation notice addressed to you. This happens because the vehicle is still registered to you at the DMV.

If you filed the Notice of Transfer within five days, respond to the violation notice with a copy of your filing confirmation. Include a letter explaining that you transferred the vehicle on the date shown on the form and are no longer the owner. The DMV or the court will contact the buyer to resolve the violation.

If you did not file the form, you can still file it now and include it with your response to the violation. However, the DMV may question why you waited so long. You will need to provide additional proof that you sold the vehicle — a signed bill of sale, a cancelled check, or a text message exchange with the buyer showing the sale date and price. Keep these documents even after you file.

If the buyer still does not register the vehicle and violations keep coming, contact the DMV directly and ask to speak with a supervisor. Explain the situation and provide all documentation of the sale. The DMV can investigate and may be able to contact the buyer or flag the registration as transferred.

Protecting yourself after the sale

Filing the Notice of Transfer is your main protection, but a few other steps make your position stronger if a dispute arises later.

First, always have the buyer sign the title or a bill of sale before they leave with the vehicle. Write the date, the sale price, the odometer reading, and both signatures on the document. Keep a copy for your records. This is your proof that you owned the car and transferred it on a specific date.

Second, take a photo of the buyer's driver's license and the signed title together. This creates a time-stamped record of who you sold the car to and when. If the buyer later claims they never bought the car or disputes the sale date, you have evidence.

Third, if you are selling privately (not to a dealer), consider meeting at a DMV office or a police station parking lot. Some DMV offices have a safe exchange area where buyers and sellers can complete transactions. This adds a neutral witness to the transaction.

Fourth, do not hand over the keys or the title until the buyer has signed all documents and you have a copy. Once the buyer has the keys and title, they can drive away and never register the vehicle, leaving you liable for anything that happens.

Frequently Asked Questions

What if I sold the car to someone out of state?

File the Notice of Transfer with the California DMV using the buyer's out-of-state address. The DMV will update their records to show the vehicle was transferred. If the buyer registers the vehicle in another state, that state's DMV will eventually update California's records. File within five days regardless of where the buyer lives.

Do I need to file if I sold the car to a dealer?

Yes. Use the dealer's business name and address on the form. Dealers register vehicles quickly, but you still need the form on file to protect yourself during the gap between sale and registration. File within five days.

Can I file the Notice of Transfer if I lost the title?

You can still file the form, but you should also request a duplicate title from the DMV before you sell. If you have already sold the car without the title, file the Notice of Transfer anyway and contact the DMV to explain the situation. Bring a bill of sale or other proof of the transaction.

What if the buyer says they will register the car later and asks me not to file yet?

File the form anyway within five days. The buyer's promise to register later does not protect you. If they do not register and a violation comes to you, you are liable. Filing the Notice of Transfer protects you both — it tells the DMV the vehicle was transferred, and it gives the buyer time to register without you being held responsible for violations.

How long does it take for the DMV to process the form?

Online filing is processed when ready and you receive a confirmation number. Mailed forms take one to two weeks. In-person filing is processed the same day. The processing time does not matter as much as filing within five days — the date you file is what the DMV records, not the date they process it.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.