It's actually quite simple. A car is a possession just like anything else, ownership is based on acquiring title in exchange for money. Obviously more complicated if finance is involved but that's the general principle.
The person on the V5 is the Keeper; usually the person with day to day control and who is liable to pay VED and will be first port of call for vehicle offences/infringements.
How did you acquire the Merc? Do you have the purchase invoice etc?
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