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Cant change title out of my name??

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What is the name of your state (only U.S. law)? Arizona

I had financed a vehicle about three years ago for my sister, she made the payments for about a year then decided to finance a car on her own. I was fine with this, she gave the car back to me as it was in my name anyway. I have a vehicle already and didnt need two. At that time a longtime family friend had told me she was in need of a car. We both agreed that she would take over the payments on the car (a years worth), I would carry the insurance on the vehicle and she would pay me her portion of the insurance every month. Everything went as we both agreed. She paid off the car about two months ago and I recieved the title in the mail. We both went down to DMV to transfer the title but I was told I had a restitution hold and was not able to take anything out of my name or register anything in my name. The DMV clerk notarized the title with my signature and I gave the title to the friend that bought the car, and told her I would find out what it was all about.

Come to find out there is no order that I can find anywhere nor can the courts find any hold on anything and told me I should have no problems. So I went online and went to DMV website and entered a "sold notice" for the vehicle taking the car out of my name...it accepted it no problem. The tags on the vehicle were due as well which my friend paid for, I recieved the new tags and registration in the mail today.

However I dont want to continue insuring this vehicle as I have not recieved any insurance p0ayments from them in over a month. Besides I want the car out of my name. I dont want to be responsible if something happens.

My question is this....I entered a sold notice online with DMV...the DMV themselved notarized the back of the title with the new owners info on it. But hasnt put it in there name yet. Can I uninsure this vehicle and not be liable. I dont have the liscense plate either which belongs to me they have to get a new one.

If there was a problem with any restitution hold of any kind then they never would have allowed her to pay and have the tags renewed.

I dont know what to do...
 



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