problem with transfer is obviously person a does not hold a prefix.
Yes, there is the breeder producing a litter and giving a pup to person a, however breeder does not want a litter for a while, nor are they in a position to rear a litter. Litter was to be produced to allow person (a) to continue their show journey with a pup or two of their own. Bitch would then be returned to breeder. Puppies would be registered under breeders own prefix.
What I have read on the ankc website is that a litter produced is to be registered in the state in which the owner of the bitch/and prefix is registered, despite where puppies are born. However in case where prefix in jointly owned in separate states, litter is to be registered in state where litter are born.