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Bill of Sale Information

A Bill of Sale is a document used to transfer ownership of goods from one person, the Seller, to another, the Buyer. A Bill of Sale can be used to transfer ownership of a variety of items-cars, RV, motorcycle, boats, equipment, personal property, animals, jewelry and any other items.

The Bill of Sale outlines the terms of the sale, including the purchase price and payment type used, describes the item being sold, the date of sale, the Buyer and Seller's information, and a signature line.

It is a good idea for the buyer and seller to each retain a copy of the Bill of Sale for their records. Also, whenever you are selling an item for more than $500, you should have something in writing as proof of the sale. A Bill of sale creates the proof of sale and acts as a "sales receipt."

It is important to note that a Bill of Sale acts like a sales receipt, it does not include any warranties, other than a limited warranty of release of liens, or have any contractual bearings. A Bill of Sale helps prevent confusion and future disputes by clearly stating the facts of the transfer of ownership.

Most of the time, a Bill of Sale will state the item that is being sold is "as-is." This means that the Seller is not making any warranties or promises as to the item and is being sold "as is," meaning in whatever condition it is in.

If you are selling or transferring ownership of a vehicle, your local DMV office will usually require a Bill of Sale with the vehicle title to be brought in together. The assignment of ownership section on the back of the title must be filled out and in certain states the assignment of ownership on the title must be notarized, so it is important to check with your local DMV office.

As a Seller you should only give the Buyer the Bill of Sale once you have received full payment of the agreed to purchase price.

A Bill of Sale may also be referred to as: Sales Receipt, proof of purchase, As-In Sale.