Car Sale Agreement Template

Use our private car sale contract template to create a legally binding contract between the buyer and seller of a vehicle. Our free sample car sale agreement outlines the responsibilities of both parties, payment terms and condition of vehicle transfer. The template already contains all of the required information and can be customized to meet your needs.

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This Car (Used Car) Sale Agreement (the “Agreement”) sets out the terms and conditions upon which [Sender.FirstName] [Sender.LastName] (the “Seller”) shall effect the sale of the Vehicle to [Client.FirstName] [Client.LastName] (the “Buyer”), under the terms set out below.

WHEREAS: The Seller is the current registered owner of the Vehicle.

WHEREAS: The Seller is willing to sell the Vehicle to the Buyer on the terms that are set out in this Agreement and the Buyer for his part is willing to purchase the Vehicle from the Seller on said terms.

1. Definitions

1.1 “Vehicle” and “Car” shall both mean the vehicle that is to be sold as set out in Clause 9.

1.2 “Parties” refers to the Buyer and Seller who have been named in this Contract.

1.3 “Price” refers to the total agreed price of the Vehicle explained in Clause 3.

1.4 “Payment Method” refers to the method of payment agreed by both Parties as set out in Clause 4.

1.5 The heading names in this Agreement are used as a reference only and do not form part of the Agreement.

1.6 This Agreement may be executed in both English and other languages. If there is conflict or confusion between the Agreement and its various translations the English version shall take precedence.

1.7 If either part of or the whole of a clause is deemed invalid or erroneous then only that clause shall be deemed void and the rest of the Agreement shall remain enforceable.

1.8 This Car (Used Car) Sale Agreement may be executed either in one original or in two counterparts.

1.9 The terms of this Agreement shall be deemed to be binding on both Parties based on their respective conduct notwithstanding any error or defect in the execution of this Car Sale Agreement.

This clause explains that even if there’s a written error in the agreement, the contract is binding on both parties if they complete the sale.

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2. Obligations of the seller

It is agreed that:

2.1 The Seller warrants that all details provided are accurate.

2.2 The Seller has no affiliation with any car buying, selling, or advertising group.

This standard car sale agreement is designed for transactions where the vehicle is being sold by a private party, not a car dealer, or similar entity. Commercial sellers typically have higher liability, so private sellers should explicitly state that they are not conducting the sale as a business. Remove this clause if a professional car seller is using this contract template.

2.3 The Seller warrants that he is the true owner of the Vehicle and that the Vehicle has not to the best of the Seller’s knowledge and belief been stolen and no other circumstances exist of which the Seller is aware which reasonably affect the Seller’s good title to the Vehicle.

2.4 The Seller is the full owner of the Vehicle and has sole authority to sell the Vehicle to the Buyer.

2.5 There is no outstanding finance, residual, or debt of any kind attributed to the Vehicle.

2.6 The Vehicle has a full service history and any/all accidents have been made fully known to the Buyer.

2.7 The Seller has made the Buyer fully aware of any current faults of which he is reasonably aware with the Vehicle and that there are no deliberately hidden faults on the Vehicle.

2.8 The Seller will provide the Buyer with all spare keys and the service manual.

2.9 The Seller will provide the Buyer with all necessary paperwork and documentation relating to ownership of the Vehicle upon payment of the Vehicle.

After the car sale concludes, the buyer should receive the following documents from the seller: a copy of the signed and dated sales agreement, the car’s registration papers, the complete service history, and the latest roadworthy certificate.

2.10 Once the Buyer has purchased the Vehicle and the payment has cleared the Seller is required to release the Vehicle into the Buyer’s possession.

2.11 The Seller is not liable for subsequent faults, normal wear and tear, or defects unless those defects were deliberately hidden or if a guarantee is offered by the Buyer to the Seller.

2.12 The Seller provides no guarantee.

A guarantee in a private car sale agreement is optional. If included, the clause can be modified as follows: “The Vehicle is sold with a warranty of its roadworthiness and continued safe operation for a period of (number) months. During this period, any defects that arise will be repaired at the expense of the Seller, except for defects caused by the Buyer.”