While I suppose I should have been more specific, you're quoting that out of context.
(3)
To enforce a lien under section 3, a garage keeper or authorized agent shall, not more than 105 days
after the date the lien attached as provided in section 3, apply to the department, in a format prescribed by the
department, for a certificate of foreclosure of garage keeper's lien and bill of sale accompanied by a fee of
$10.00 paid to the department. The department shall, not more than 30 days after the postmark date of a
complete application received by mail or the date a complete application is hand-delivered by the garage
keeper or authorized agent to the department, provide to the garage keeper or authorized agent the names and
addresses of all owners of record and of all lienholders of the vehicle as shown by the records of the
department.
(4)
After complying with the requirements of subsection (3), the garage keeper shall notify the owner or
owners, all lienholders, and the department of state, bureau of automotive regulation, Lansing, Michigan, of
the proposed sale of the vehicle in order to satisfy the lien of the garage keeper by a notice sent by certified
mail return receipt requested to the last known address of the owner or owners, the lienholders and the bureau.
The garage keeper shall send all the notices required by this subsection not more than 30 days after the date
placed on the certificate of foreclosure of garage keeper's lien and bill of sale by the department. The notice
shall include all of the following:
(a)
An itemized statement of the garage keeper's lien showing the amount due at the time of the notice and
the date on which the amount became due.
(b)
A demand for payment in the amount necessary to satisfy the lien authorized under section 3(1). The
demand for payment must give the owner or owners not less than 30 calendar days after the postmark date of
the notice to satisfy the garage keeper's lien.
(c)
A statement that all lienholders are being notified of the delinquency, that a lienholder has the right to
satisfy the garage keeper's lien plus any storage charges provided for under section 4 and obtain possession of
the vehicle as provided in section 5(
, and that a lienholder is required to notify the garage keeper before the
proceeds are distributed under section 6 if the lienholder desires to claim any of the proceeds from the sale of
the vehicle under section 6(1)(a).
(d)
A statement of daily storage fees, if any.
(e)
A statement of the date, time, manner, and place that the vehicle will be sold.
(5)
Except as otherwise provided in this subsection, the sale shall be held not less than 75 calendar days
after the date placed on the certificate of foreclosure of the garage keeper's lien and bill of sale by the
department. The bureau may object to a sale only if it has reason to believe that the garage keeper has failed
to substantially comply with this act, the rules promulgated under this act, the motor vehicle service and repair
act, 1974 PA 300, MCL 257.1301 to 257.1340, or the rules promulgated under the motor vehicle service and
repair act, 1974 PA 300, MCL 257.1301 to 257.1340, in the repair transaction involving the vehicle that is the
subject of the lien. If the bureau objects to the sale within the 75-day period, all of the following conditions
shall apply:
(a)
The bureau shall complete an investigation of its objection within 150 calendar days after the date
placed on the certificate of foreclosure of the garage keeper's lien and bill of sale by the department.
(b)
Upon completion of the investigation or the expiration of the 150-calendar-day period, whichever
occurs first, the bureau shall do 1 of the following:
(
i
)
Remove the objection to the sale.
(
ii
)
Complete service upon the garage keeper of a written notice of alleged violation that alleges a specific
violation of the motor vehicle service and repair act, 1974 PA 300, MCL 257.1301 to 257.1340, or the rules
promulgated under that act, and extends the bureau's objection to the sale indefinitely until resolution under
this section.
(c)
The garage keeper may, within 10 days after the personal service or postmarked date of the notice of
alleged violation, notify the bureau, in writing, that the garage keeper wants to contest the notice of alleged
violation. If the garage keeper contests the notice, the bureau shall conduct an immediate review of its reasons
for the objection. After this review, the bureau shall do 1 of the following:
(
i
)
Remove the objection to the sale.
(
ii
)
If the objection is sustained, the bureau shall, in writing, offer the garage keeper an opportunity to have
the bureau's objection resolved under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201
to 24.328, as a contested case proceeding under the motor vehicle service and repair act, 1974 PA 300, MCL
257.1301 to 257.1340. If a contested case proceeding is pursued under this section, the bureau may include in
that proceeding's complaint any other outstanding alleged repair act or rule violation against the garage keeper
that may be pursued through a contested case proceeding. If the garage keeper fails to respond to the offer for
a contested case proceeding within 10 days of receiving the offer from the bureau, the bureau's objection to
the lien shall be deemed permanent.
(d)
Storage charges provided for under this act shall not accrue during the period that the bureau objects to
the sale.
(e)
The 225-day period provided for in section 3(2) shall be extended by the number of days that the
bureau objects to the sale.
(6)
A sale of the vehicle shall be held at the facility of the garage keeper or at the nearest suitable place.
(7)
Before a sale of a vehicle pursuant to this section, the owner or owners may pay the amount necessary
to satisfy the lien, in addition to the reasonable expenses or fees incurred by the garage keeper under this act,
and redeem the vehicle. Upon receipt of this payment, the garage keeper shall return the vehicle to the owner
or owners in the same condition, or substantially the same condition, as the vehicle was in when the lien
attached under section 3(1).
(
Not less than 30 calendar days after the garage keeper's notice is mailed to the owner or owners, and
prior to the sale, a lienholder may pay the garage keeper the amount of the garage keeper's lien as calculated
under sections 3(4) and 4, or another amount to which the lienholder and garage keeper agree. Upon receipt of
this payment, the garage keeper shall return the vehicle to the lienholder in the same condition, or
substantially the same condition, as the vehicle was in when repairs were completed and it was stored by the
garage keeper or, if no repairs were authorized by the owner, in the same condition or substantially the same
condition, as the vehicle was in when it was received by the garage keeper. If the garage keeper performed
diagnostic tests on the vehicle for which a lien is claimed, the garage keeper shall include a written
explanation of the results of the diagnostic tests performed when the garage keeper returns the vehicle to the
lienholder. The amount of a payment made under this section shall be added to the amount of the prior
lienholder's lien.
(9)
The amount payable to the garage keeper shall not exceed the market value of the vehicle.
(10)
Upon the public sale of a vehicle under this act, the garage keeper shall complete the certificate
described in subsection (3) as indicated on its face and give the completed certificate to the purchaser of the
vehicle. In addition to other information that may be required by the secretary of state, the purchaser shall
submit this certificate to the department when making an original application for a certificate of title or a
vehicle registration for the vehicle in the name of the purchaser.
(11)
The garage keeper may bid for and purchase the vehicle at the sale. If the garage keeper directly or
indirectly purchases the vehicle at the sale, the lien granted under this act is extinguished in full.
(12)
A person who in good faith buys a vehicle at a sale conducted pursuant to this act takes the vehicle
free of a security interest created by the seller even though the security interest is perfected and even though
the buyer knows of its existence.
The garage owner can't just sell the car, as he doesn't own it.
He can apply to the government with the claim, and wait a month for a list of the owner and other lien holders.
He then has to notify my certified mail all the owners and lienholders and give them a chance to pay, after which he can wait yet again and then sell the car.
The garage owner has no right to just unilaterally sell the vehicle.
Even in the bizarro world where you're merging the shares and the WE-EX debt into one item so a garage-holder's lien would apply to this case, Ken would have to notify any other registered parties that Ukyo owes money to about this sale of the assets, and would have to distribute any proceeds over and above what is owed to them.
