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Doble Plaka amendment: Dealers retain MC ownership until fully paid

Doble Plaka amendment: Dealers retain MC ownership until fully paid

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Amendments to 'Doble Plaka' now include dealer ownership of MC, 5-day registration

As a motorcycle owner, you might be familiar with the months-long wait for the Official Receipt/Certificate of Registration (OR/CR) of a new bike. Although the LTO technically permits the use of unregistered new motorcycles only for a few days (solely for transport from the dealer to the owner’s residence), it’s no secret that dealers often bypass this by issuing multiple certifications with varying dates, allowing owners to use their motorcycles despite the lack of official registration.

From a motorcycle dealer’s standpoint, the LTO’s geographically restrictive policies and bureaucratic processes contribute to the protracted delays in obtaining a motorcycle’s OR/CR. Then, there’s the issue of certain individuals within the agency who, for a fee, can expedite or slow down the process and release of these crucial registration documents.

On the other hand, the LTO states that the primary cause of OR/CR release delays is dealer “batching.” Dealers reportedly wait until they have accumulated a significant number of registration documents, often in hundreds, before submitting them. As a result, a new motorcycle’s registration process is often held up until the dealer reaches their batching target.

Following President Bongbong Marcos’ signing of RA 12209 (amending RA 11235) on May 9, 2025, it is now mandated that all newly acquired motorcycles be registered with the LTO within five working days.

“In the case of original sale, the dealer shall, upon authority of the owner, register the motorcycle with the LTO not later than 5 working days from the date of sale,” says the amended Sec. 4 of RA 11235.

Doble Plaka amendment: Dealers retain MC ownership until fully paid image

Dealer retains ownership until fully paid

While the removal of the front plate has been a major focus for a lot of riders, RA 12209, amending RA 11235, also brings a change in ownership protocol. Dealers are now mandated to retain legal ownership of a motorcycle until the buyer has completed full payment. Until then, the buyer’s right to use the motorcycle is only based on a written agreement with the dealer.

“In case of a sale or disposition of a motorcycle through a dealership, there shall be a written agreement stating that the seller retains ownership but grants the buyer the right to use and possess the motorcycle until full payment of the purchase price.”

Also, motorcycle dealers are now required to report all instances of motorcycle repossessions to the LTO, including the re-registration of the motorcycle to their entity. Those in the buy and sell business are also classified as “dealers.”

“All dealers shall report each instance of repossession of a motorcycle to the LTO. The LTO shall revert the motorcycle registration to the name of the dealer and record it in its system as under storage to avoid incurring penalty. Dealers shall submit to the LTO a yearly report on the status of all repossessed motorcycles under their custody. For purposes of this Act, the term ‘dealer’ includes those engaged in the business of buy and sell.”

Failure of the dealer or buy and sell business to comply with this Act shall be meted with a PHP 5,000 fine.

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