(a) Except as otherwise provided in subsections (b) and (c), the owner of a vessel for which this state is the state of principal use shall deliver to the office an application for a certificate of title for the vessel, with the applicable fee, not later than 20 days after the later of:
(1) the date of a transfer of ownership; or
(2) the date this state becomes the state of principal use.
(b) An application for a certificate of title is not required for:
(1) a documented vessel;
(2) a foreign-documented vessel;
(3) a barge;
(4) a vessel before delivery if the vessel is under construction or completed pursuant to contract; or
(5) a vessel held by a dealer for sale or lease, even if the vessel is used for demonstration purposes or loaned out for use by the dealer.
(c) The office may not issue, transfer, or renew a certificate of number for a vessel issued pursuant to the requirements of 46 U.S.C. § 12301, as amended, unless the office has created a certificate of title for the vessel or an application for a certificate of title for the vessel and the applicable fee has been delivered to the office.