Law governing vessel covered by certificate of title.

(1) The law of the state under which a vessel’s certificate of title is covered governs all issues relating to the certificate from the time the vessel becomes covered by the certificate until the vessel becomes covered by another certificate or becomes a documented vessel, even if no other relationship exists between the state and the vessel or its owner.

(2) A vessel becomes covered by a certificate of title when an application for the certificate and the applicable fee are delivered to the department in accordance with this part or to the governmental agency that creates a certificate in another jurisdiction in accordance with the law of that jurisdiction.