The Contract For Vehicle Sale With Payments is essential when selling vehicles under payment arrangements in England and Wales. It's commonly used by dealerships, private sellers, and businesses to formalize vehicle sales where the full purchase price isn't paid immediately. The document includes crucial details about the vehicle, payment terms, ownership transfer conditions, and warranties. It ensures compliance with key legislation including the Consumer Rights Act 2015, Sale of Goods Act 1979, and Consumer Credit Act 1974. This contract type is particularly important for protecting both parties' interests during the payment period and establishing clear remedies in case of default.
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1. Parties: Identification of seller and buyer with full details including names, addresses, and contact information
2. Background: Context of the sale and basic transaction structure, including the intention to sell and purchase the vehicle
3. Definitions: Key terms used throughout the agreement including 'Vehicle', 'Purchase Price', 'Completion Date', etc.
4. Vehicle Description: Detailed specification of the vehicle including make, model, year, VIN, registration number, mileage, and condition
5. Purchase Price: Total price of the vehicle and breakdown of any deposits or initial payments
6. Payment Terms: Schedule of payments, interest rates if applicable, payment methods, and due dates
7. Transfer of Title: Conditions for ownership transfer and retention of title until full payment
8. Warranties: Seller's warranties regarding vehicle condition, ownership, and freedom from encumbrances
9. Termination: Circumstances allowing contract termination and consequences of termination
1. Finance Terms: Details of financing arrangement including interest rates, APR, and total amount payable when external financing is involved
2. Insurance Requirements: Specific insurance obligations and minimum coverage requirements during the payment period
3. Trade-in Terms: Details of any vehicle trade-in arrangement including valuation and condition requirements
4. Default Provisions: Consequences of payment default including repossession rights and remedies
1. Schedule 1 - Vehicle Condition Report: Detailed inspection report documenting the vehicle's condition at time of sale
2. Schedule 2 - Payment Schedule: Detailed breakdown of payment dates, amounts, and payment methods
3. Schedule 3 - Vehicle Documents: Copies of vehicle registration, MOT certificates, and service history
4. Schedule 4 - Insurance Certificates: Copies of required insurance documentation and coverage details
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