A Bill of Sale is the legal document that records the sale of a personal property item (vehicle, boat, equipment, jewelry, animals) between seller and buyer. Without this document, the sale is not formally documented and can cause problems with the DMV, taxes, or disputes. Bilingual, $49.
Use a Bill of Sale when: you sell your car to a private party (NOT to a dealer), sell motorcycle, boat, or recreational vehicle, sell business equipment or valuable tools (over $500), sell horses or livestock, sell jewelry or valuable art, sell any used personal property where money is involved. California DMV REQUIRES a Bill of Sale to transfer title of vehicles sold between private parties. Without it, the buyer can have trouble registering the vehicle in their name.
For vehicles, in addition to the Bill of Sale, you also need: Title (Pink Slip) signed by seller, Notice of Transfer and Release of Liability (REG 138 — must be filed with DMV within 5 days by seller), Smog Certificate if vehicle is over 4 years old, Bill of Sale Statement of Facts (REG 256) in some cases. The DMV uses the Bill of Sale to calculate sales tax. If you sell below market value, you must explain why to avoid tax fraud.
Yes, in California it is required to transfer title between private parties. The DMV will not process the transfer without it.
Not required in California, but HIGHLY recommended for transactions over $5,000. Notarization protects both parties against fraud.
In private-party sales, almost always "AS IS" (no warranty). This means the buyer accepts the item in the condition they see. If you do NOT include this clause, you could be liable for defects discovered later.
In that case you also need a Promissory Note ($99) documenting the debt. The Bill of Sale documents the sale; the Promissory Note documents the outstanding debt.
Only $49.
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