There is a fundamental situation that exists when it comes to registration of, well, anything. The act of registration moves the property into a trust where you give up your rights of control for benefits. Is there anything wrong with such an agreement – none really, as all parties have willingly consented. The trust that is formed say using an example of a motor vehicle could be considered in the following way:
- The registered owner is the equitable owner and is the beneficiary of the trust as they receive State benefits such as road rules, fines, protections, insurance etc. If the Registered Owner sells the motor vehicle, they will collect the equity should the property be sold.
- The State is the legal owner and is a trustee. A trustee controls the trust. Therefore, with control of the property, any vehicle operator must follow the rules of the trust and if not, the trustee will need to remind the operator of the rules.
- The Grantor, in this case: the Person, places the property into the trust.
So, do you own your vehicle? Yes – the equitable side. Recall: Possession is Nine Tenths of the law? Or reworded correctly: Possession is Nine Tenths of the Contract. The State has a legal interest in the trust, that One Tenth.
Some wish to drive motor vehicles around without a licence, without registration etc. There is a serious misconception with this approach, namely 99.999% of people will not correctly setup a private trust for such an endeavour. Firstly, understanding the concepts of the private side are a requirement. Using a vehicle without registration and without a VIN number are another requirement, and sending in a bond to the department of motor vehicles for say $50M in case you cause damage would be the last requirement. A private administrative process would need to be run to enforce the above.
Also consider if you have a private vehicle without a VIN number means you’ll have difficulty selling it. In addition, be prepared to be pulled over and have your private papers inspected. Sound painful?
Perhaps it may be easier with a drivers license and a registered vehicle? Deal with any fines, tolls administratively (if you believe it’s worth your while or need some experience in administrative processes). You may find this post an interesting read to address traffic issues whilst building administrative skills.
Lastly, it is recommended to treat all law/contract enforcement with respect as they are doing their job as trustee of your trust – the one you consented to. In some situations your rights might be violated, therefore you might want to practice some conditional acceptances v’s arguing with the trustees.