The Used Car Sales Agreement Form is a vital legal instrument in the Philippines used to document and formalize the transfer of ownership of pre-owned vehicles. This document is essential for both private sales and commercial dealership transactions, ensuring compliance with Philippine regulations including the Civil Code, Consumer Act, and Land Transportation and Traffic Code. It serves to protect both parties by clearly documenting the vehicle's condition, sale price, warranty terms, and transfer obligations. The agreement is particularly important in the Philippine context where used car sales require specific documentation for registration transfer at the Land Transportation Office (LTO) and for tax purposes with the Bureau of Internal Revenue (BIR). It helps prevent future disputes by clearly establishing the terms of sale and the condition of the vehicle at the time of transfer.
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1. Parties: Identifies and provides complete details of the seller and buyer, including their full legal names, addresses, and contact information
2. Background: Brief context of the sale and confirmation that the seller is the legal owner of the vehicle
3. Definitions: Defines key terms used throughout the agreement
4. Vehicle Description: Detailed description of the vehicle including make, model, year, color, VIN/chassis number, engine number, plate number, and current mileage
5. Purchase Price and Payment Terms: States the agreed purchase price, payment method, and payment schedule if applicable
6. Seller's Representations and Warranties: Seller's declarations regarding vehicle ownership, condition, accident history, and existing liens
7. Vehicle Condition and Inspection: Details of the vehicle's current condition, known defects, and confirmation of buyer's inspection
8. Transfer of Ownership: Process and obligations for transferring vehicle ownership, including documentation requirements
9. Responsibilities for Transfer Costs: Allocation of costs for registration, taxes, and other transfer-related expenses
10. Risk and Insurance: Point of transfer of risk and insurance responsibilities
11. Governing Law and Jurisdiction: Confirms Philippine law governs the agreement and specifies jurisdiction for disputes
1. Financing Terms: Include when the purchase involves financing or installment payments
2. Trade-in Details: Include when there is a vehicle trade-in as part of the transaction
3. Extended Warranty: Include when an extended warranty is being provided beyond any statutory requirements
4. Post-Sale Repairs: Include when there are agreed repairs to be completed after the sale
5. Broker or Agent Details: Include when a broker or agent is involved in the transaction
6. Co-owner Provisions: Include when the vehicle will have multiple owners
7. Conditional Sale Provisions: Include when the sale is subject to specific conditions being met
1. Schedule A - Vehicle Inspection Report: Detailed inspection report showing the condition of all vehicle components
2. Schedule B - Vehicle History Report: Documentation of the vehicle's ownership and accident history
3. Schedule C - Maintenance Records: Records of previous maintenance and repairs
4. Schedule D - LTO Registration Documents: Copies of current registration and other LTO documentation
5. Schedule E - Payment Schedule: Detailed payment schedule if installment payments are involved
6. Appendix 1 - Photographs: Dated photographs showing the current condition of the vehicle
7. Appendix 2 - Emission Test Results: Current emission testing certification as required by Philippine law
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