his Vehicle Purchase Agreement establishes the terms under which the Seller agrees to sell and the Buyer agrees to purchase a specified vehicle, outlining the details such as make, model, year, and condition. The agreement specifies payment terms, including down payment and total sale price, as well as the responsibilities for both parties regarding risk and title transfer upon completion of payment. It ensures a legally binding understanding that includes inspection acknowledgments, delivery conditions, and vehicle condition disclosures to protect both the buyer and the seller.
THIS AGREEMENT is made on [date], BETWEEN:
- [seller_name], a [description_of_seller] registered in [country_state] with identification number [id_number] and having its registered office at [seller_address] (the “Seller”),
AND
- [buyer_name], a [description_of_buyer] located at [buyer_address] (the “Buyer”).
BACKGROUND: This Vehicle Purchase Agreement outlines the terms and conditions under which the Seller agrees to sell and the Buyer agrees to purchase the described vehicle. It is intended to create a legally binding agreement between the parties for the sale and purchase of the vehicle, ensuring all aspects of the transaction are clearly understood and agreed upon.
Vehicle Description and Sale Conditions
- Description of the Vehicle: The Seller agrees to sell and the Buyer agrees to buy the following described vehicle:
- Make/Model: [make_model_of_vehicle]
- Year: [year_of_manufacture]
- Color: [color_of_vehicle]
- VIN (Vehicle Identification Number): [vehicle_vin]
- Mileage: [current_mileage]
- Condition: [current_condition_of_vehicle]
- Sale Price: The total purchase price of the vehicle is [sale_price]. The Buyer agrees to pay this amount in accordance with the payment plan outlined in Section 3 of this Agreement.
- Risk and Title Transfer: The risk of loss or damage to the vehicle transfers from the Seller to the Buyer upon the execution of this Agreement and the delivery of the vehicle to the Buyer. Ownership of the vehicle will transfer from the Seller to the Buyer upon full payment of the purchase price and completion of all necessary paperwork.
- Inspection Acknowledgment: The Buyer acknowledges that they have inspected the vehicle or waived the right to inspect, and accepts it in its current condition, subject to the terms stated in this Agreement.
Payment Terms and Conditions
- Payment Amount: The total purchase price of the vehicle is as agreed in Sale Price section. This amount includes all applicable taxes and fees.
- Payment Method: The Buyer agrees to pay the total purchase price using the following method(s):
– Down Payment: A down payment of [down_payment_amount] is due upon signing this Agreement to secure the vehicle.
– Remaining Balance: The remaining balance of the purchase price shall be paid in full immediately upon the completion of the transfer of ownership documentation. Payment shall be made in the form of [payment_form], to be received by the Seller at or before the time of vehicle delivery.
- Late Payment: If the remaining balance is not paid in full on the completion of the transfer of ownership documentation by the due date, a late payment fee of [late_payment_fee] will be added to the outstanding balance. Continued failure to make payment may result in legal action.
Delivery of Acquired Vehicle and Conveyance of Title
- Delivery of Acquired Vehicle: Seller shall deliver the Acquired Vehicle to Buyer at [Seller’s Premises/Specified Delivery Location], on or before [Delivery Date]. The Seller ensures that the Acquired Vehicle will be in the same condition as when last inspected by the Buyer or as described during the agreement’s execution. Delivery shall be deemed completed upon the Buyer’s receipt of the vehicle at the specified location.
- Conveyance of Title: Upon the full payment of the Purchase Price and at the time of delivery, the Seller shall convey clear and unencumbered title of the Acquired Vehicle to the Buyer. Seller agrees to execute all necessary documents presented by the Buyer to finalize the transfer of title and registration of the Acquired Vehicle to the Buyer.
- Transfer of Risk: Risk of loss or damage to the Acquired Vehicle shall pass to the Buyer upon delivery. However, Seller is responsible for maintaining the condition of the Vehicle as agreed until the point of transfer.
- Acceptance and Inspection: Upon delivery, the Buyer or an authorized agent shall inspect the Vehicle. Acceptance of the Vehicle by the Buyer shall constitute acknowledgment that the Vehicle is as described and in acceptable condition, except for discrepancies that must be reported to the Seller at the time of delivery.
Vehicle Condition and Disclosures
- Vehicle Condition: The Seller asserts that the Acquired Vehicle is sold “AS IS” and confirms that the vehicle is free from any liens and encumbrances. The Seller further declares that the vehicle is not subject to any ongoing legal disputes or claims that would affect the Buyer’s use of the vehicle.
- Odometer Declaration: The Seller states that the odometer reading of [Odometer Reading] miles is accurate and reflects the actual mileage of the vehicle. The Seller warrants that the odometer has not been tampered with, altered, or replaced while in their possession.
- Disclosures: The Seller has disclosed all known defects and malfunctions associated with the vehicle to the Buyer. This includes any issues related to the engine, transmission, electrical systems, and any prior accidents or damage to the vehicle.
- Buyer’s Acknowledgment: The Buyer acknowledges having received all disclosures related to the vehicle’s condition and history. The Buyer agrees that they have had the opportunity to inspect the vehicle thoroughly or have it inspected by a professional mechanic, and accepts the vehicle with any existing faults not disclosed by the Seller.
Termination of Agreement
- Mutual Consent: This Agreement may be terminated at any time by mutual written consent of both parties. Any agreed terms regarding the settlement of accounts upon such termination will be honored.
- Breach of Contract: Either party may terminate this Agreement if the other party breaches any of its obligations under this Agreement and fails to cure such breach within 30 days after receiving written notice of the breach. In the event of termination due to breach, the non-breaching party is entitled to seek compensation for any damages incurred due to the breach.
Closing and Final Agreement
- This Agreement represents the full and complete understanding between Buyer and Seller regarding the sale of the Acquired Vehicle. It supersedes all prior discussions, agreements, or understandings of any kind. Any amendments to this Agreement must be made in writing and signed by both parties.
IN WITNESS WHEREOF, the Parties have executed this Vehicle Purchase Agreement as of the date first above written. Each Party warrants that their respective signatory has the authority to enter into this Agreement. This Agreement has been executed in two counterparts, each of which shall be deemed an original, and both of which together shall constitute one and the same instrument. Each party acknowledges receipt of one executed counterpart.
SELLER:
Name: [seller_name]
Signature: _______________________
Date: [seller_sign_date]
BUYER:
Name: [buyer_name]
Signature: _______________________
Date: [buyer_sign_date]
