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Instructions: This is a template you can modify to suit your situation.

You need to
download this template before you can make changes to it. To download it:
● Click on File in the dropdown menu above.
● Click on Download and select the file format of your choice.
Once you’ve downloaded the document, insert your words in place of the prompt words
in square brackets.
For important context, see buying a used car: closing the sale.

Agreement for sale of a used vehicle


This is an agreement dated [date] between [seller’s name] of [seller’s address] (the
“Seller”) and [buyer’s name] of [buyer’s address] (the “Buyer”).

Sale of goods
1. This is an agreement made between the Seller and the Buyer for the sale of
the Seller’s [colour of vehicle] [year of vehicle] [make of vehicle] [model of
vehicle], with a vehicle identification number (VIN) of [VIN of vehicle] (the
“Vehicle”).

2. As of [date of odometer reading], the Vehicle’s odometer reads [odometer


reading of vehicle, in kilometres or miles].

Purchase price
3. The Buyer agrees to pay to the Seller the purchase price of [price]. Payment is
to be made by [method of payment: cash, bank draft, certified cheque, online
funds transfer, other] on or before [date of payment].

Delivery of goods

Instructions: Select the option you prefer for this section. Delete the other option.

4. The Seller agrees to sell and deliver the Vehicle to the Buyer immediately
upon receiving payment from the Buyer.

[OR]

4. The Seller agrees to sell and deliver the Vehicle to the Buyer as of [date of
delivery of vehicle].
Seller’s declaration

5. The Seller declares that they own or have the legal authority to sell the
Vehicle.

Warranties and guarantees

Instructions: Select the option for this section that applies depending on whether the
sale is “AS IS” or whether there are warranties and guarantees. Delete the other option.

6. The Seller swears the following is accurate to the best of their knowledge:
● The Vehicle is fit for use for transportation.
● The odometer accurately records the true distance travelled by the
Vehicle.
● The Vehicle has not had damage requiring repairs totalling more than
$2,000.
● The Vehicle has never been used as a taxi, ride sharing vehicle, police
car, emergency vehicle, a lease vehicle, or a rental vehicle, or in
organized racing.
● The Vehicle is not subject to any liens, legal claims, court orders, or
other security interests.
● The Vehicle does not have any outstanding repair notices or orders for
inspection.
● [type in any other warranties or guarantees of the Seller]

[OR]

6. The Buyer understands that the Vehicle is sold without any warranties or
guarantees, including under any statute such as the Sale of Goods Act. The
Seller makes no warranties or guarantees for the Vehicle.

Inspection

Instructions: Include if an inspection is being done.

7. The sale will go ahead only after there has been a mechanical inspection of
the Vehicle by a mechanic chosen by the Buyer, and the Buyer has approved
the results of the inspection.
Dispute resolution

Instructions: Write into the contract how disputes will be resolved.

8. If a dispute arises out of this agreement, and the dispute cannot be resolved
by negotiations between the parties, the parties agree first to try in good
faith to resolve the dispute by mediation before resorting to arbitration,
litigation or some other dispute resolution procedure.

Severability

Instructions: Include a clause that says if part of the agreement is found to be


unenforceable, the rest of the agreement still applies.

9. If any part of this agreement is found to be unenforceable, the rest of this


agreement will remain enforceable without the unenforceable part.

Time of the essence

Instructions: Include this clause to compel timely completion of the contract by both
parties. (This helps avoid unreasonable delays.)

10. The parties agree that time is of the essence in this agreement.

Governing law and jurisdiction

Instructions: Write into the contract which laws apply to it.

11. The governing law and jurisdiction for this agreement are as follows:
● The laws of British Columbia and the laws of Canada applicable in that
province govern this agreement.
● The parties agree that the courts of British Columbia will have
exclusive jurisdiction to hear and decide any litigation which may arise
out of or relates to this agreement.

Each of the parties has read this agreement and agrees to be bound by it.
————————————— —————————————
Seller’s signature Buyer’s signature

————————————— —————————————
Name Name

————————————— —————————————
Date signed Date signed

Disclaimer: At People’s Law School, we believe accurate, plain English information can
help people take action to work out legal matters. This template is a sample. It is not
intended as legal advice. We recommend you consult a legal professional in British
Columbia if you want professional assurance that this information is appropriate to your
situation. Full terms of use.

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