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Second Hand Car Purchase Agreement for United Arab Emirates

Second Hand Car Purchase Agreement Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law that facilitates the sale and purchase of used vehicles between parties. This document ensures compliance with UAE Federal Laws, including the Civil Code and Consumer Protection Law, while incorporating specific requirements from the Roads and Transport Authority (RTA). It covers essential elements such as vehicle details, warranties, payment terms, and transfer of ownership procedures, providing legal protection for both buyer and seller in the UAE market. The agreement includes provisions for vehicle inspection, documentation requirements, and specific UAE regulatory compliance measures.

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What is a Second Hand Car Purchase Agreement?

The Second Hand Car Purchase Agreement is a crucial legal document used in the United Arab Emirates for transferring ownership of used vehicles between parties. It is designed to comply with UAE Federal Laws, including Civil Code (Federal Law No. 5 of 1985), Consumer Protection Law, and RTA regulations. This agreement is essential when conducting private or commercial used car sales in the UAE, providing a legally sound framework that protects both buyers' and sellers' interests. The document includes comprehensive details about the vehicle, parties involved, payment terms, warranties, and specific UAE requirements for vehicle transfer. It should be used for all second-hand vehicle transactions in the UAE to ensure proper documentation and legal compliance with local authorities.

What sections should be included in a Second Hand Car Purchase Agreement?

1. Parties: Identification of the seller and buyer with full legal names, Emirates ID numbers, and contact details

2. Background: Brief context of the transaction and confirmation that the seller owns the vehicle

3. Definitions: Key terms used throughout the agreement including 'Vehicle', 'Purchase Price', 'Completion Date', etc.

4. Vehicle Details: Comprehensive description of the vehicle including make, model, year, color, chassis number, engine number, and registration details

5. Purchase Price and Payment Terms: Agreed price, payment method, and payment schedule including any deposits

6. Seller's Representations and Warranties: Declarations regarding vehicle ownership, condition, accident history, and outstanding loans

7. Transfer of Ownership: Process and obligations for transferring vehicle ownership through RTA

8. Vehicle Condition: Current condition of the vehicle, known defects, and recent maintenance history

9. Completion: Details of the completion process, including handover of vehicle and documentation

10. Governing Law and Jurisdiction: Confirmation that UAE law governs the agreement and jurisdiction for disputes

What sections are optional to include in a Second Hand Car Purchase Agreement?

1. Finance and Security: Required if there is outstanding finance on the vehicle or if payment is to be made in installments

2. Insurance Transfer: Include when existing insurance policy is being transferred to the buyer

3. Inspection Period: Include when buyer is given time to inspect and test the vehicle before final purchase

4. Agent Authorization: Required if either party is acting through an authorized representative

5. Export/Import Provisions: Include if the vehicle is to be exported out of UAE

6. Language: Required if agreement needs to be in dual language (Arabic and English)

What schedules should be included in a Second Hand Car Purchase Agreement?

1. Vehicle Inspection Report: Recent RTA inspection report or third-party technical inspection report

2. Vehicle Registration Card: Copy of current vehicle registration card

3. Service History: Documentation of vehicle service history and maintenance records

4. Vehicle Photographs: Dated photographs showing current condition of vehicle and any damage

5. Payment Schedule: If payment is to be made in installments, detailed payment schedule

6. Handover Checklist: List of items to be handed over including keys, service books, accessories

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Document Type

Purchase Agreement

Cost

Free to use

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