In Re Orange Rose, LLC

MEMORANDUM OPINION AND ORDER ON CREDITOR MONTANA-RO’S MOTION FOR RELIEF FROM STAY

MICHAEL G. WILLIAMSON, Bankruptcy Judge.

Section 319.22 of the Florida Statutes has long mandated that title to a motor vehicle or mobile home cannot pass until a certifícate of title is issued to the new owner. Florida case law, however, has created an equitable exception to this requirement that applies when the original titleholder entrusts a vehicle to a dealer who has either express or implied authority to sell the vehicle and thus transfer the titleholder’s interest to innocent third parties. In this case,…