Title jumping occurs when a vehicle is sold without the seller first registering the title in their name. The seller assigns the existing title directly to the next buyer, skipping the chain of ownership. It is illegal in all states and obscures ownership history, evades sales tax, and creates registration problems for the final buyer.
Dealers acquiring vehicles through private party or informal wholesale channels should always verify that the seller's name matches the name on the title. Accepting a jumped title creates liability and can result in title complications that prevent retail delivery or trigger regulatory scrutiny.