Can a car dealer be held liable for failure to transfer legal title and registration?

In Stoddart v. Peirce (1959) 53 Cal.2d 105, 346 P.2d 774, the purchaser had defaulted, and the court was faced with the questions of whether the selling automobile dealer, and its customer who had turned in the car, could be held liable as 'owners' for the negligence of the purchaser as a 'permissive user.' (See Veh.Code, former 402(a), now 17150.) It was contended that the dealer and former owner were liable because of failure to strictly comply with the statutory procedures for effecting transfer of legal title and registration. The court held that since there had been compliance before the accident, the mere delay by the dealer, and the failure of

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