The Bill of Sale Contract For Car is a crucial legal document used in the Philippines when transferring ownership of a motor vehicle. It serves as official evidence of the sale transaction and is required by the Land Transportation Office (LTO) for vehicle registration transfer. This document is essential for both private and commercial vehicle sales, incorporating requirements from the Civil Code of the Philippines, the Consumer Act, and LTO regulations. It typically includes detailed vehicle information, party details, purchase price, warranties or disclaimers, and terms of transfer. The contract helps prevent future disputes by clearly documenting the transaction terms and protects both buyers and sellers under Philippine law.
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1. Parties: Identifies the seller and buyer with their complete legal names, addresses, and contact information
2. Background: Brief context of the sale transaction and confirmation that the seller owns the vehicle
3. Definitions: Defines key terms used throughout the contract
4. Vehicle Description: Detailed description of the vehicle including make, model, year, color, VIN, plate number, mileage, and other identifying features
5. Purchase Price and Payment: States the agreed purchase price and payment terms
6. Seller's Representations: Seller's warranties about vehicle ownership, condition, and absence of encumbrances
7. Transfer of Title: Terms regarding the transfer of vehicle ownership and required documentation
8. As-Is Condition: Statement that the vehicle is sold 'as-is' unless otherwise specified
9. Buyer's Acknowledgment: Buyer's confirmation of vehicle inspection and acceptance of condition
10. Execution: Signature block and date of agreement
1. Payment Plan Terms: Include when the purchase price is to be paid in installments, detailing payment schedule and conditions
2. Warranties: Include when specific warranties are being provided beyond the as-is condition
3. Existing Liens: Include when there are existing liens that need to be addressed as part of the sale
4. Insurance and Registration: Include when specific arrangements for transfer of insurance and registration need to be detailed
5. Dispute Resolution: Include when parties want to specify particular dispute resolution mechanisms
6. Third-Party Authorization: Include when a third party is authorized to act on behalf of either party
1. Schedule A - Vehicle Inspection Report: Detailed report of vehicle condition, including photographs and noted defects
2. Schedule B - Maintenance Records: History of vehicle maintenance and repairs
3. Schedule C - Vehicle Registration Documents: Copies of current registration and related documents
4. Schedule D - Payment Schedule: If applicable, detailed payment plan with dates and amounts
5. Appendix 1 - Vehicle Photos: Current photographs of the vehicle showing condition and any damage
6. Appendix 2 - LTO Clearance: Certificate from Land Transportation Office showing no pending violations
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