“Let’s Do It Right” | A Conversation with Paul Lips and Max Cole of NAAA (eLUMINATE Part 8)

For part 8 of our eLUMINATE: An eSTART Coalition Profile Series, we spoke with Paul Lips, Executive Director, and Max Cole, Director of Communications, at the National Auto Auction Association (NAAA). Representing hundreds of physical auction members across the country, NAAA plays a foundational role in the vehicle remarketing ecosystem. Their members are responsible for the in-person and online sale and transfer of millions of vehicles each year—many of which rely on timely, secure, and accurate title processing.

In this conversation, Paul and Max discuss the complexities of titling in the auction world, NAAA’s strategic engagement with e-titling initiatives, and the importance of thoughtful implementation over speed in achieving sustainable digital transformation.

Let’s start with introductions.

Max Cole: “I’m Max Cole, Director of Communications within NAAA. I oversee our external communication strategy, which includes media relations, our website, social media, press releases, and any other public-facing messaging. That includes how we communicate about digital titling and modernization across our membership.”

Paul Lips: “I’m Paul Lips, Executive Director for NAAA. I’ve been in this role for about three years, but I’ve been involved with the association for over 25 years. I’ve gone through the presidential circuit—from vice president through chairman—and have seen firsthand how this industry has evolved, especially around title and registration.”

Where does NAAA fit into the title and registration landscape?

Paul Lips: “Our members—independent and national chain auctions—are one of the biggest touchpoints for title transfer activity in the country. Vehicles flow through auctions between fleets, financial institutions, insurance carriers, and dealers to name a few. A clean, verifiable title is essential to that process.”

“If there’s a delay, or if a title doesn’t arrive in time, that creates holding costs, confusion, and operational drag. So the auction space has a real stake in making the title process more efficient—and digital titling has a huge role to play in that.”

How is NAAA approaching digital titling?

Paul Lips: “We’re actively engaged. We know digital titles are coming, and in many places they’re already here. Our approach is to make sure our members are prepared—and that their voices are represented in shaping how digital titling is implemented.”

“We’re not just observers. We’re part of the conversation. We’re reaching out to vendors, legislators, eSTART, and other industry groups to ensure that as digital titling systems get rolled out, they work for auctions too—not just the endpoints like the lender or the DMV.”

Max Cole: “We see part of our role as communicators. That means keeping members informed about state-by-state developments, proposed legislation, and available technologies. But it also means helping educate policymakers and tech companies about what happens between the title issuance and the resale. That’s where auctions live—and where a lot of complexity lies.”

What are the key opportunities and risks you see with digital titling?

Paul Lips: “The opportunity is huge. If done right, digital titling can eliminate delays, reduce fraud, and streamline the vehicle lifecycle from end to end.”

“But the risk is in moving too quickly without fully understanding the operational realities of the marketplace. You’ve got 50 states, each with different statutes and systems. Some are ready for e-titles. Some are not. Some are trying to leapfrog ahead without thinking through how the title will move from owner to owner, especially when it passes through an auction or salvage process in the wholesale auto auction industry.”

“That’s where we come in. NAAA can be a bridge—bringing auction operators into the conversation early, helping surface their needs and insights.”

What specific steps is NAAA taking to advance digital titling?

Paul Lips: “One, we’re participating in coalition work—like with eSTART—where we can sit at the same table as regulators, tech providers, and other industry stakeholders. That’s critical. You can’t design a title system in a vacuum.”

“Two, we’re engaging directly with our members. We’re gathering feedback on pain points, on technology readiness, and on how titles flow in the real world. That helps us advocate with specificity.”

“Three, we’re helping guide education efforts—internally and externally. Whether it’s webinars, conferences, or meetings with legislators, we’re pushing to ensure that digital titling conversations include the auction use case.”

What does involvement with eSTART look like from NAAA’s perspective?

Paul Lips: “eSTART’s been a really positive forum. They bring in different types of voices. And what I’ve seen is a willingness to slow down and understand the bigger picture. You don’t always get that in tech conversations.”

“We want to be part of that conversation, not just so auctions are heard, but so the entire system works better. Because if we build a system that works for everyone, that’s how you get adoption.”

Both eSTART and NAAA will be in Kansas City from September 22 to 25. eSTART is hosting its Modernization Forum during that time, while NAAA will hold the World Remarketing Convention. Can you tell me a little more about that?

Paul Lips: “Tony came to us and said that they were talking about having a fall conference – the eSTART Modernization Forum – and we were like, what better fit than to have some overlap between that and a conference we run, the World Remarketing Convention? So we’re going to have a collaborative panel with eSTART that’s focused on e-titles and other legislative priorities.”

Max Cole: “We’re excited because it’s going to bring together DMVs, tech providers, lenders, dealers, and auctions in the same room… sharing what we’re seeing in the marketplace, hearing from other stakeholders, and figuring out where we can work together. Having that dialogue face-to-face is how you make progress.”

How do you see the relationship between government, private sector, and associations like yours evolving?

Paul Lips: “We’re big believers in partnership. We don’t see government as the opposition. We see them as a partner. But like any partnership, it works better when everyone is communicating.”

“And I’ll be honest: there have been moments in the past where auctions were brought into the conversation too late. Where the systems didn’t account for how auctions interact with titles. That creates friction. But we’re working to change that.”

Max Cole: “That’s why groups like eSTART are valuable. They create an open channel for feedback and collaboration. And that’s what modernization should look like—people with different roles and different insights building something better together.”

What’s something people don’t understand about auctions and titles?

Paul Lips: “I think people underestimate just how many moving pieces there are.”

“An auction might process thousands of vehicles in a single week, each with different histories, owners, liens, and jurisdictions. There’s a whole choreography happening behind the scenes to get those titles processed, those vehicles listed, sold, and moved. And any one delay—on the title, the lien release, the verification—can throw a wrench in that process.”

“So when we talk about title modernization, it can’t just be about digital access. It has to be about process, communication, and trust.”

What’s your message to other organizations navigating the same shift?

Paul Lips: “Don’t assume your process is covered. Speak up. Engage early. And don’t just ask for what you want—share what you know. That’s how you build systems that actually work.”

Max Cole: “Digital titling is a transformation, not a patch. So let’s not rush it. Let’s do it right. Let’s bring everyone in early, and build a system that supports everyone—from the state DMV, to the auction clerk, to the consumer.”