Cal. Civ. Code § 32-31-3-13.5
Use of motor vehicle liens as security
Operative Text
Sec. 13.5. A landlord may not require, but may accept, a lien on a motor vehicle that is owned by a tenant as a security deposit or to secure the payment of rent by the tenant. If a landlord accepts a lien on a motor vehicle as security under this section, the landlord must: (1) file or record the lien under IC 32-33; and (2) comply with the requirements of IC 32-31-3 concerning security deposits; in order to enforce the lien.
Indiana Code § 32-31-3-13.5 addresses the use of motor vehicle liens in residential rental arrangements. Under this provision, a landlord cannot demand a lien on a tenant's motor vehicle as a condition of renting, but may voluntarily accept one as a form of security. If such a lien is accepted, the landlord must both record it according to Indiana's lien statutes (IC 32-33) and follow the standard security deposit rules under IC 32-31-3 before the lien can be enforced.
Plain English — not legal advice.
Under Ind. Code § 32-31-3-13.5, landlords who choose to accept a motor vehicle lien as security must treat it as they would any other security deposit under IC 32-31-3, including adhering to applicable notice, holding, and return requirements. The lien must also be properly filed or recorded under IC 32-33 to be enforceable. Operators who skip either step risk losing the ability to enforce the lien entirely, so compliant practice involves completing both requirements before relying on the vehicle as collateral.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Ind. Code § 32-31-3-13.5 makes clear that a landlord cannot require a tenant to pledge their motor vehicle as security — any such arrangement must be entirely voluntary on the tenant's part. If a tenant has agreed to a motor vehicle lien, the landlord is obligated to follow the same security deposit protections found in IC 32-31-3, which may include rules about how funds or collateral are held and returned. Tenants who believe a landlord has improperly demanded or mishandled a vehicle lien may find it useful to consult a tenant-rights organization or review the security deposit requirements under IC 32-31-3 to understand available remedies.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 14, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
Effective Timeline
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Rules and statutes that cite this regulation