Establishing secure connection…Loading editor…Preparing document…

Vehicle Sale Form

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Contract for the Sale of Motor Vehicle – Owner Financed with Provisions for Note and Security Agreement

Agreement made on the , between of , referred to herein as Buyer, and , of , referred to herein as Seller.

1. Sale of Motor Vehicle

Seller shall sell, transfer, and deliver to Buyer on or before , the following described Motor Vehicle (hereinafter called Vehicle)

• New or used:

• Year and model: and of Vehicle;

• Number of cylinders:

• Make or trade name:

• Body type:

• Model number or series:

• Manufacturer's Serial Number:

• Motor Number:

2. Consideration

Buyer shall pay $ to be applied on the purchase price, and agrees to pay the balance of the purchase price as follows: $, to be evidenced by a Promissory Note of Buyer, providing for full prepayment privileges without penalty. Said Note shall be in the form attached hereto as Exhibit B. The balance of said purchase price shall be secured by the security agreement set forth in Paragraph 4 below.

3. Payment on Receipt

Buyer shall pay $ at the time when, and at the place where, the Vehicle is received by Buyer.

4. Security Agreement

A. Buyer grants to Seller a security interest in the Vehicle and any and all additions and accessions (the Collateral) to secure the payment of Promissory Note and any and all other liabilities, direct or indirect, absolute or contingent, now existing or arising later to Seller (collectively, the Obligations).

B. Except for the security interest granted by this Agreement, Buyer shall be the owner of Collateral free from any adverse lien, security interest, or encumbrance. Buyer shall defend Collateral against all claims and demands of any or all persons claiming Collateral or any interest in the Collateral.

C. Buyer shall not sell or offer to sell or otherwise transfer Collateral or any interest in the Collateral without the written consent of Seller.

D. Protection and Use of Vehicle

Buyer shall keep Vehicle free of all taxes, liens and encumbrances, and any sum that may be paid by Seller in release or discharge of the same shall be paid by Buyer on demand of Seller as an additional part of the obligation secured under this Agreement. Buyer shall not use Vehicle illegally, improperly or for hire. Buyer shall not, without Seller's express permission, permanently remove Vehicle from the state or transfer or otherwise dispose of any interest in this Agreement or in Vehicle.

E. Until default Buyer may have possession of Collateral and use it in any lawful manner not inconsistent with this Agreement and not inconsistent with any policy of insurance with respect to Collateral.

F. Buyer shall keep Collateral free from any adverse lien, security interest, or encumbrance and in good order and repair, and shall not waste or destroy Collateral or any part of the same. Buyer shall not use Collateral in violation of any statute or ordinance. Seller may examine and inspect Collateral at any reasonable time, wherever located.

G. Buyer shall have and maintain insurance against risk of fire at all times with respect to all of Collateral, including so-called extended coverage, of theft, and of such other casualties as Seller may require. The policies of insurance shall contain such terms and be in such form, for such periods, and written by such companies as may be satisfactory to Seller. Such insurance shall be payable to Seller and Buyer as their interests may appear. All policies of insurance shall provide for days' written minimum cancellation notice to Seller.

H. Buyer shall furnish Seller with certificates or other evidence satisfactory to Seller of compliance with the requirements set forth in this section.

I. Seller may act as attorney-in-fact for Buyer in obtaining, adjusting, settling, and canceling such insurance and endorsing any related drafts.

J. Buyer shall pay promptly when due all taxes and assessments on Collateral or levied on its use or operation, and taxes and assessments on this agreement, or on the note attached to this agreement or any other note or notes evidencing Obligations.

K. At his option, Seller may discharge taxes, liens, security interests, or other encumbrances at any time levied or placed on Collateral, may pay for insurance on Collateral, and may pay for the maintenance and preservation of Collateral. Buyer shall reimburse Seller on demand for any payment made or any expense incurred by Seller pursuant to the foregoing authorization.

L. Default

The occurrence of any of the following shall, at Seller's option and without notice or demand on Buyer, constitute an event of default under this Agreement:

1. Failure punctually to make any payment due under this Agreement;

2. Failure to comply with any of the terms or conditions of this Agreement;

3. Institution of a proceeding in bankruptcy, receivership, or insolvency against Buyer or Buyer's property.

4. Seller deems Vehicle in danger of misuse or confiscation.

5. Buyer fails for any reason to comply with Subparagraph G above, or the required motor vehicle insurance, whether procured by Seller or by Buyer, is canceled by the insurer prior to expiration of the insurance.

M. Remedies

On default under this Agreement, Seller shall have the right, his election, to declare the unpaid balance, together with any other amount for which Buyer shall be obligated under this Agreement, to be immediately due and payable. Further, in such event, Seller may take immediate possession of Vehicle without demand, including any equipment or accessories, and for this purpose Seller may enter on the premises where Vehicle may be and remove Vehicle. Seller may take possession of any other property in Vehicle at the time of repossession, wherever such other property may be in Vehicle, and hold such property temporarily for Buyer without liability. Such repossession shall not affect Seller's right, now confirmed, to retain all payments previously made by Buyer. In the event of repossession of Vehicle, Seller shall have all the rights and remedies of a secured party under Article 9 of the Uniform Commercial Code of the State of and as are otherwise provided and permitted by law.

5. Receipt Construed as Delivery

The Vehicle shall be deemed received by Buyer when delivered to Buyer at .

6. Risk of Loss

The risk of loss from any casualty to the Vehicle, regardless of the cause, shall be on Seller until the Vehicle has been accepted by Buyer.

7. Warranty of No Encumbrances

Seller warrants that the Vehicle are now free, and that at the time of delivery shall be free from any security interest or other lien or encumbrance.

8. Warranty of Title

Seller warrants that at the time of signing this Agreement Seller neither knows, nor has reason to know, of the existence of any outstanding title or claim of title hostile to the rights of Seller in the Vehicle.

9. Right of Inspection

Buyer shall have the right to inspect the Vehicle on arrival and, within business days after delivery, Buyer must give notice to Seller of any claim for damages on account of condition, quality or grade of the Vehicle, and Buyer must specify the basis of the claim of Buyer in detail. The failure of Buyer to comply with these conditions shall constitute irrevocable acceptance of the Vehicle by Buyer.

10. Severability

The invalidity of any portion of this Agreement will not and shall not be deemed to affect the validity of any other provision. If any provision of this Agreement is held to be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and effect as if they had been executed by both parties subsequent to the expungement of the invalid provision.

11. No Waiver

The failure of either party to this Agreement to insist upon the performance of any of the terms and conditions of this Agreement, or the waiver of any breach of any of the terms and conditions of this Agreement, shall not be construed as subsequently waiving any such terms and conditions, but the same shall continue and remain in full force and effect as if no such forbearance or waiver had occurred.

12. Governing Law

This Agreement shall be governed by, construed, and enforced in accordance with the laws of the State of .

13. Notices

Any notice provided for or concerning this Agreement shall be in writing and shall be deemed sufficiently given when sent by certified or registered mail if sent to the respective address of each party as set forth at the beginning of this Agreement.

14. Mandatory Arbitration

Any dispute under this Agreement shall be required to be resolved by binding arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration Association then in force and effect.

15. Entire Agreement

This Agreement shall constitute the entire agreement between the parties and any prior understanding or representation of any kind preceding the date of this Agreement shall not be binding upon either party except to the extent incorporated in this Agreement.

16. Modification of Agreement

Any modification of this Agreement or additional obligation assumed by either party in connection with this Agreement shall be binding only if placed in writing and signed by each party or an authorized representative of each party.

17. Assignment of Rights

The rights of each party under this Agreement are personal to that party and may not be assigned or transferred to any other person, firm, corporation, or other entity without the prior, express, and written consent of the other party.

18. In this contract, any reference to a party includes that party's heirs, executors, administrators, successors and assigns, singular includes plural and masculine includes feminine.

WITNESS our signatures as of the day and date first above stated.

(Printed Name of Seller)

(Signature of Seller)

(Printed Name of Buyer)

(Signature of Buyer)

(Acknowledgment form may vary by state)

State of

County of

Personally appeared before me, the undersigned authority in and for the said County and State, on this , within my jurisdiction, the within-named , who acknowledged that he executed the above and foregoing instrument.

________________________________
NOTARY PUBLIC

My Commission Expires:

State of

County of

Personally appeared before me, the undersigned authority in and for the said County and State, on this , within my jurisdiction, the within-named , who acknowledged that he executed the above and foregoing instrument.

________________________________
NOTARY PUBLIC

My Commission Expires:

Enter text✕
Prepare your document for signing right on this page
  • 01 Edit the text and complete the fields
  • 02 Click Sign Now and on the next screen add recipients and signature fields in SignNow
  • 03 Start your free trial to sign and send your doc
Sign Now

What the Vehicle Sale Form Records and Why it Matters

A Vehicle Sale Form (commonly a bill of sale) documents the transfer of ownership of a motor vehicle between seller and buyer. It typically records the parties' legal names, vehicle make/model, VIN, odometer reading, sale price or consideration, sale date, and any statements about condition or warranties. The form serves as proof of the transaction for title transfer, tax reporting, insurance updates, and resolving disputes. While requirements vary by state, a clear, complete Vehicle Sale Form reduces risk when registering the vehicle with the local DMV or submitting evidence for tax or insurance purposes.

Why a Proper Vehicle Sale Form Protects Both Parties

A properly completed Vehicle Sale Form creates a concise legal record that supports title transfer, documents consideration for tax and insurance, and helps avoid liability for undisclosed defects or incorrect odometer statements. It clarifies responsibilities and reduces the likelihood of delays at the DMV or disputes after the sale.

Why a Proper Vehicle Sale Form Protects Both Parties

Who Commonly Uses a Vehicle Sale Form

The Vehicle Sale Form is used by a range of sellers and buyers in private and commercial transactions.

  • Private sellers and individual buyers completing one-off transfers between acquaintances or strangers.
  • Independent dealers and brokers documenting purchases, trade-ins, or resale inventory transfers.
  • Title services and legal professionals preparing records for lien release, estate transfers, or contested ownership.

Choice of form details and authentication (notary, witnesses, e-signature method) depends on state DMV rules and whether the transaction involves liens, financing, or commercial resale.

Typical signer profiles and their responsibilities

Private Seller

An individual transferring personal property. Responsible for providing accurate VIN and odometer information, disclosing known defects, signing the bill of sale and the title, and completing any seller-side DMV forms to release liability.

Dealer or Broker

A licensed dealer or broker handling frequent transfers. Must confirm clear title, document lien releases, use commercial invoices or dealer-specific bills of sale, and follow state registration and dealer reporting rules.

Essential sections to include in a professional Vehicle Sale Form

A complete Vehicle Sale Form groups the core transactional facts, statutory disclosures, and signature blocks to ensure the document is usable for title transfer, taxation, and dispute resolution.

Parties

Full legal names and addresses for buyer and seller, including business names and authorized signers for commercial sellers, to ensure identity matches DMV and tax records and avoid transfer rejections.

Vehicle Details

Make, model, year, body type, color, and the vehicle identification number (VIN). Accurate VIN entry is essential for title processing and lien searches.

Odometer Disclosure

Exact odometer reading at sale time and any relevant odometer statement required by federal/state law; critical for federal odometer disclosure compliance and avoiding fraud allegations.

Consideration

The sale price in dollars and payment terms, including deposits, trade-in allowance, or non-monetary consideration, to document taxable events and buyer obligations clearly.

Warranties and Condition

A clear statement whether the vehicle is sold 'as-is' or with limited warranties, plus documented known defects and agreed repairs to limit post-sale disputes.

Signatures and Authentication

Signature blocks for buyer and seller with printed names and dates; lines for notary or witness(s) when required by state law to validate title transfer.

Simple sequence to complete and record the sale

Follow these steps to minimize processing delays and ensure legal evidence is preserved.

  • 01
    Gather documents: Collect title, registration, ID, lien release, and proof of sale price.
  • 02
    Complete form: Fill all fields accurately, double-check VIN and odometer entries.
  • 03
    Sign and authenticate: Both parties sign; obtain notary or witnesses if state requires them.
  • 04
    Submit and retain: File transfer documents with DMV, provide buyer copy, and retain seller copy.

How to configure the form for online completion and signing

Set up validation and authentication to match your jurisdiction and reduce signer errors.

Field Configuration
VIN field Fixed-length validation; require 17 characters
Odometer field Numeric-only input; add 'actual/not actual' checkbox
Authentication Email plus optional SMS code or KBA for stronger identity proof
Attachments Allow upload of title images, lien release, and ID documents

Where the completed Vehicle Sale Form typically goes

After signing, route copies to the parties and the appropriate registration authority to finalize title transfer.

  • Seller copy: Seller keeps signed copy for tax and liability records.
  • Buyer copy: Buyer uses signed form to apply for a new title and registration.
  • DMV submission: Submit form and signed title to state DMV per local requirements.
  • Insurance update: Buyer provides form to insurer to add or transfer coverage.

Digital delivery and file-format considerations

Choose platforms and formats that preserve signatures, attachments, and audit trails for later reproduction.

  • File formats: PDF, DOCX accepted
  • Integrations: Salesforce, NetSuite, Google Workspace
  • Audit trail: Timestamp, IP, signer info

Ensure the e-signature solution supports the file types required by your state DMV and can provide a tamper-evident signed PDF and a complete audit history.

Security and compliance features to expect with e-signing

Encryption: TLS 1.2/1.3 in transit
Data at rest: AES-256 encrypted storage
Regulatory: ESIGN and UETA compliant
Healthcare: HIPAA support with BAA
Audit trail: Detailed timestamps and IP logs
Standards: SOC 2 Type II and ISO 27001

Common mistakes to avoid when preparing a Vehicle Sale Form

  • Entering an incorrect VIN, which can block title issuance and lien searches.
  • Mismatched legal names between the bill of sale and title, causing DMV rejections.
  • Failing to include a clear sale price or consideration, complicating tax reporting.
  • Skipping notarization or witness steps where state law or the title requires them.

Key penalties and legal risks tied to improper forms

Backup withholding: 24% may apply if TIN missing
Late transfer fees: State DMV late penalties apply
Odometer fraud: Civil and criminal exposure
Title disputes: Risk of ownership challenges
Tax reporting penalties: Penalties for incorrect info
Invalid form: Untimely or incomplete forms may be void

Real-world examples of electronic signing for transactions

Companies and small businesses use e-signature workflows to process vehicle-related and other transactional documents more quickly and with an audit trail.

Optica Ventures — COO

Optica streamlined customer-facing paperwork for property and vehicle transactions to reduce friction.

  • Customers signed remotely without delays.
  • "The interface is simple and easy-to-use for our team; more importantly, it is just as easy for our customers."

Martin Properties — Founder

Martin Properties moved sales and transfer paperwork online to handle mobile signings on site.

  • Mobile signing supported field closings.
  • "I can process and execute all of these documents online with 100% compliance and built-in security. Whether on mobile or working offline, I can get forms back to their necessary parties efficiently."

eSignature pricing and capability snapshot for document workflows

Compare common price points and feature markers across vendors. signNow is listed first per vendor comparison conventions; verify vendor offers and plan details directly with each provider before purchasing.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies Varies Varies Varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Frequently asked questions about the Vehicle Sale Form

Answers to common practical and compliance questions when preparing, signing, or submitting a Vehicle Sale Form for title transfer.


Need help? Contact support

Explore Templates

Independent Contractor Financial Services Agent Agreement Paint Removal and Cleaning Services Contract Water Softening and Purification Services Contract Security and Alarms Services Contract Gutter Services Contract Sports Surfaces Installation Services Contract
be ready to get more
Join over 28 million airSlate SignNow users
Sign Now
Company
Forms
Pricing
Resources
Knowledge base
Other Products
© 2026 airSlate Inc. All rights reserved.