Release of liability
A notice the seller files with the DMV to show a vehicle was sold, ending the seller's responsibility for it.
Full guide: Release of liability: how to tell the DMV you sold your car
A release of liability is a notice you file with your state DMV after you sell or junk a vehicle. It records the sale date and buyer, so later tickets, tolls or towing charges are not blamed on you. States use different names, such as notice of transfer or vehicle transfer notification.
Filing it promptly is one of the most important steps after junking a car, because the buyer may not retitle it right away, or ever.
California’s Notice of Transfer and Release of Liability (NRL) means the seller is no longer legally responsible for violations after the date of sale. It asks for the new owner’s name and address, the plate number, the last five digits of the VIN and the odometer reading. California also notes that an NRL alone does not transfer ownership.1
References
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California DMV, “Notice of Transfer and Release of Liability (NRL)”, https://www.dmv.ca.gov/portal/vehicle-registration/titles/title-transfers-and-changes/notice-of-transfer-and-release-of-liability-nrl/ ↩
Related terms
Guides that mention release of liability
- Bill of sale for a junk car
- Car titles explained: types, transfers and problems
- Certificate of destruction and nonrepairable certificates
- How car recycling works: what happens to a junk car
- How to cancel insurance and registration after selling your car
- How to get a duplicate car title
- How to junk a car, step by step
- How to prepare your car for the junkyard
- How to sell a car after an accident
- How to sell a car that doesn't run
- How to sell a car that failed inspection
- How to sell a car with a bad transmission
- How to sell a car with a blown engine
- How to sell a car with a lien on it
- How to sell a car without a title
- How to sell a car without keys
- How to sell a fire-damaged car
- How to sell a flood-damaged car
- How to sell a totaled car
- How to sell an impounded car
- How to sign over a car title
- Junk car scams and how to avoid them
- Junk car towing: what to ask before pickup
- Junk or donate your car: which leaves you better off?
- Release of liability: how to tell the DMV you sold your car
- Salvage title: what it means and what you can do with one
- Should you sell your car for parts or whole?