Writing A Contract To Sell A Car
Selling a car can get to be very easy and quite profitable. Of course there is a legal document you have to complete in order to finalize the transaction. Writing a contract to sell a car implies a couple of steps that need to be followed in order to avoid possible legal problems that might occur. The form that needs to be completed must hold pertinent information related to the vehicle for sale, its main specifications and the parties involved in the transaction.
First of all you need to find all the legal requirements related to car selling and buying the state you live in. You need to understand that various US states have different laws and requirements when selling a car. In order to be able to finalize a legal transaction, you will have to abide by those laws. In order to sell the car you may have to complete a couple of contract related forms for a particular set of details.
After you’ve found out all the requirements, restrictions, laws and other legal aspects related to the transaction, you will have to write or print the contract. This type of contract is also known as a “Bill of Sale”. You can easily find a model online if you want to print it. Or it can be done by hand in a piece of paper. The local DMV (Department of Motor Vehicles) would be the best place to look for, since most DMV’s have websites that contain either a Bill of Sale sample, or a guide for writing your own contract. So you can either download the sample and complete it accordingly, or you can construct your own bill.
Next step is obtaining all the information before starting to complete anything. The contract must contain the name of the brand from the car you’re planning to sell. You need to state the manufacturing year, the VIN (vehicle identification number), the number of miles driven, and finally the price established for it. You need to include other pertinent factors about the car such as the active warranty, possible defects, the car’s color, engine and plate numbers and other detailed information about the car. These tend to vary from state to state, but the main idea remains the same. The car has to be presented “as is” in the contract. Any deviation from these laws or other inconsistencies gives the buyer the possibility to nullify the sale contract and hold you responsible for selling him a car that has been “tempered with” or a lemon car.
Your contract should have a section where you state your responsibilities as a seller. For example, you can state your promise to provide the car’s title, odometer and a statement for registration disclosure at the moment of the sale (including a date). This will guarantee the validity of your statements about the car and will place you responsible for your contract statements. With the proven fact that your vehicle is indeed as second hand one and you’re selling it as a used car, you might want to present a recent smog report.
You will also have to state in the contract the convenient (for you) methods of payment. For example you can write something like “on the date when the transaction is about to take place, the seller will only accept a money order or cash from the buyer’s party”.
And finally, you and the buyer will have to complete the contract with all the necessary contact details of both sides such as the name, ID number and full address.
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