What must a previous car owner do to successfully transfer the title to a new buyer?

To successfully transfer the title to a new buyer, the previous car owner must complete a "release of liability" form. This form serves as an official notification to the state that the vehicle has been sold or transferred to another person. It protects the seller from any future liability for incidents related to the vehicle after the sale is completed. Filling out this form ensures that the previous owner is no longer responsible for traffic violations or accidents that may occur with the vehicle once it is in the possession of the new buyer.

While other options may appear relevant, they do not specifically fulfill the requirement of officially removing the previous owner's liability regarding the vehicle. A bill of sale, for instance, documents the transaction but does not release the previous owner from liability. A warranty might be offered for guarantees on the vehicle's condition but doesn't play a role in the title transfer itself. Obtaining a new title certification is a step that may follow but not a necessary requirement for the seller; rather, it is usually the responsibility of the buyer to ensure that a new title is in their name after the transfer is complete. Thus, the completion of a "release of liability" form is a crucial step in the title transfer process, making it the correct answer.