There would rarely be any person who hasn’t indulged in a sale purchase matter during the life. Be it a transaction concerning daily items or an expensive asset like a horse, a motor vehicle, a boat, or a property. Every transaction is required to be listed and noted in a written form as proof.
Here comes the document in the discussion today, i.e., a bill of sale.
The bill of sale is a legal instrument identifying and acknowledging the transfer of ownership of an asset from one person to another. It comprises all the personal data about the buyer and seller, description of the item under question, details of the price paid for it, and other terms of sale. It is usually created and drafted by the seller.
While the format of the BOS may vary from state to state based on local rules, notarization is a must for a bill of sale to be valid in most states. Some states require the BOS to include an odometer reading for a BOS drawn for a motor car or boat. You can easily find a free bill of sale template Utah online.
Purpose of Bill of Sale
Evidence of Contract: The bill of sale is evidence of the agreement and proof that the vehicle owner transferred ownership rights to another person for a mutually agreed price. It is an invoice and a receipt for those involved in the transaction.
Legal Possession: The seller can use a BOS to show that the sale of a car without a warranty, and after that, any legal issues are the responsibility of the buyer. The buyer uses the BOS as proof of payment for legitimate ownership of the item.
Record Keeping: A Bill of Sale acts as a written record of the sale price and date on which the transaction took place. Both parties use it for tax purposes.
Deciding Liability: If the vehicle violates or indulges in any illegal affair, once the BOS is signed, the seller uses it to prove his innocence and non-liability in the accident or act.
Insurance: If the new owner wishes to get insurance for the vehicle, a be used as proof of they have the vehicle’s ownership rights
You can find a Bill of sale template Utah online, and it must contain the following details:
• Personal information about the parties involved in the transaction: Names, phone numbers, addresses, is a compulsion.
• Details of the article under question: The motor car or boat or horse being sold needs to be stated and explained in detail. Most states require the BOS to identify the vehicle’s making year, model, year, and VIN. The odometer reading is the next important thing to be listed on a BOS. For living things like a pet or horse, the breed, color, and other features must be explained in detail.
• Agreed Amount: The amount paid for the ownership of the vehicle or other item needs to be stated along with the date of sale. Any pending loan not paid by the seller and transferred as a responsibility of the new owner needs to be explained in detail in the BOS.
• Disclosures: BOS must contain disclosures made by the seller. This includes acknowledging statements about the transaction between both parties for a specific price. A seller needs to certify that the information in the bill is accurate to the best of his knowledge.
• Lastly, a Bill of Sale must be signed by the buyer and seller and then be notarized.
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