Creation and cancellation of certificate of title

(a) Unless an application for a certificate of title is rejected under subsection (c) or (d), the department shall create a certificate for the vessel in accordance with subsection (b) no later than sixty days after delivery to it of an application that complies with section 200A-7. (b) If the department creates electronic certificates of title, the department shall create an electronic certificate unless in the application the secured party of record or, if none, the owner of record, requests that the department create a written certificate. (c) Except as otherwise provided in subsection (d), the department may reject an application for a certificate of title only if: (1) The application does not comply with section 200A-7; (2) The application does not contain documentation sufficient for the department to determine whether the applicant is entitled to a certificate; (3) There is a reasonable basis for concluding that the application is fraudulent or issuance of a certificate would facilitate a fraudulent or illegal act; or (4) The application does not comply with the law of this State other than this chapter. (d) The department shall reject an application for a certificate of title for a vessel that is a documented vessel or a foreign documented vessel. (e) The department may cancel a certificate of title it created only if the department: (1) Could have rejected the application for the certificate pursuant to subsection (c); (2) Is required to cancel the certificate under another provision of this chapter; or (3) Receives satisfactory evidence that the vessel is a documented vessel or a foreign documented vessel.