Contract for Sale of Motor Vehicle
1. Introduction. Agreement made [date] between [name], residing at [address] (Seller), and [name], residing at [address] (Buyer).
2. Sale and Purchase. Seller will sell to Buyer, and Buyer will purchase from Seller, Seller's automobile described as follows: [manufacturer, model, year, factory number, motor number]. Payment of the purchase price and delivery of the automobile and documents of title shall be made on [date] at [address]. The time and place of closing may be changed by mutual agreement expressed in a writing signed by Seller and Buyer.
3. Purchase Price. The purchase price is ---------- dollars ($----------), payable as follows: ---------- dollars ($----------) upon the signing of this Agreement, receipt of which is acknowledged by Seller, and the balance in cash or by good certified check drawn on a local bank at the closing.
3. Purchase Price-Payable in Installments. The purchase price is ---------- dollars ($----------) payable as follows: ---------- dollars ($----------) upon the signing of this Agreement, receipt of which is acknowledged by Seller, and the balance in [number] equal monthly installments. The first installment shall be paid one month from the day on which the sale closes, and each succeeding payment shall be made on the [number] day of each succeeding month until the balance of the purchase price is paid, together with interest at the rate of ---------- percent (----------%) per annum. The unpaid balance of the purchase price shall be evidenced by a series of promissory notes executed by Buyer and delivered to Seller at the closing. Each note shall provide that it is one of a series, and, in the event of default, all unpaid notes may become immediately due at the holder's option. To secure payment of the notes, Buyer will give Seller a security interest in the automobile by executing and delivering to Seller at the closing the security agreement [omitted] annexed to this Agreement together with all other instruments that Seller requires to perfect his [or her] security interest.
4. Default of Seller or Buyer. If Buyer refuses to complete the purchase at the time and place set for closing, Seller may retain the amount paid upon the signing of this Agreement as liquidated damages. If Seller refuses to complete the sale at the time and place set for closing, Seller's sole obligation shall be to return the amount paid upon the signing of this Agreement; upon payment of that sum to Buyer, Seller shall have no further liability.
4. Default of Seller or Buyer. If either Buyer or Seller refuses to complete the transaction at the time and place set for closing, the aggrieved party shall be entitled to seek all relief available to him in law or equity or both.
5. Seller's Representations and Warranties. Seller makes the following representations and warranties, which shall survive the closing of the sale:
a. Seller Is Sole Owner. Seller is the sole owner of the automobile and has full right and power to sell and transfer it.
b. No Liens or Encumbrances. The automobile is free from any security interest or other lien or encumbrance.
c. Suits, Judgments, Etc. No judgments exist against Seller nor are there any executions, attachments, or replevins outstanding against Seller. Seller is not a defendant or respondent in any action or proceeding. No petition in bankruptcy or for an arrangement of creditors has been filed by or against Seller nor has Seller taken advantage of any insolvency laws.
d. Condition of Automobile. Seller specifically disclaims any warranties as to the physical and mechanical condition of the automobile. Buyer acknowledges inspecting the automobile and is purchasing it "as is." Seller will maintain the automobile in its present condition, reasonable wear and tear excepted, until it is delivered to Buyer. Seller has owned the automobile since [date].
6. Documents to Be Delivered to Buyer. At the closing, Seller will deliver to Buyer the certificate of title to the automobile, properly indorsed, and an executed bill of sale with affidavit of title.
7. Buyer to Pay Taxes. The purchase price of the automobile does not include any sales or use tax. Buyer acknowledges that payment of these taxes is Buyer's obligation and that all required tax returns will be filed and all taxes due will be remitted to the appropriate tax authority immediately after the closing.
8. Buyer to Register Automobile. Buyer shall file the certificate of title to the automobile with the appropriate state official and register the automobile in Buyer's name, all at Buyer's sole cost and expense, immediately following the closing.