A lawful document that is created when you transfer or sell the possession of items like a boat, car, computer, furniture or any such personal possessions to another person is called a “Bill of Sale.” The person selling the product is called a seller or vendor, and the one who buys it is called a purchaser. A Bill of Sale may also be created when there is a sale or purchase of intellectual property, like a website or a list of clients. Typically, the Bill of Sale is given by the owner to the buyer, and it usually contains:
The names of the seller and the buyer
The price paid for the item and the mode of payment
The details of item/s getting sold
The document may have a lawful terminology, depending on how complex the transaction is.
When you buy a business along with the associated effects, like machinery, or office equipment, such as chairs, computers and supplies etc, the seller is expected to give you a Bill of Sale agreement. An important reason for a buyer to get a Bill of Sale is to stop the seller from claiming that he is the owner of the assets contained in the Bill of Sale. Basically, a Bill of Sale is a written confirmation of the conclusion of a deal between two parties. It’s quite like the sales receipt you get from any retail or department store after you have paid for the items bought by you. It confirms that you bought certain products and paid for them, and thus the deal is complete.
A Bill of Sale is quite like a “sales receipt,” though it may contain further legal terms concerning the deal. The document goes to confirm the sale and purchase of the items specified in it.
You can also add other terms and conditions in the Bill of Sale. For instance, you could mention the state of the goods being sold, meaning in working order or otherwise. It could also include a warranty of the product, as defined by the seller. If, at any time, the seller comes back to claim the possession of the goods already sold, the Bill of Sale would be used by the buyer to establish his legal rights as to the owner of the items. Likewise, if the goods are damaged or do not work as per the warranty provided by the seller, the buyer can claim compensation.
It is worthwhile to point out that getting a Bill of Sale from any vendor does not certify that the vendor is the lawful owner of the items in discussion. In principle, a seller has no right to sell any items not owned by him. It implies that, when buying an item, you just get the legal rights of the item to the extent that the seller has had.
Free Printable Bill of Sale MVA Template in PDF – download