What is a Municipal Release?

When a municipality has impounded a vehicle, in order to release the vehicle to the lien holder, the municipality will ask the lien holder to obtain a change in title from the initial registered owner to recording that the title reflects that the lien holder has been recorded as the registered owner. FS CORPS will take the appropriate action to change the name of the registered owner to that of the lien holder.

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Municipal Release in Illinois

In Illinois, a municipality will require a change in title from the initial registered owner to the name of the Lien Holder. Once completed the state agency will allow release of the vehicle to the lien holder. The municipality acquired the vehicle from the following ways:

  • Unpaid Parking Tickets: If a vehicle has accumulated unpaid parking tickets, the municipality may place a lien on the vehicle and require a municipal release before it can be reclaimed.
  • Traffic Violations: Serious traffic violations, such as driving under the influence (DUI) or reckless driving, can result in a municipal lien being placed on the vehicle.
  • Stolen or Abandoned Vehicle: Often, a municipality will require a change in title when it has impounded the vehicle because it was stolen or abandoned and despite numerous contacts with the registered owner, no one has claimed the vehicle.

The Municipal Release Process

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