The Conditional Deed Of Sale Of Motor Vehicle is a crucial legal instrument in Canadian vehicle transactions where the seller wishes to maintain legal ownership until specific conditions are met. This document is commonly used by dealerships, private sellers, and businesses when selling vehicles with payment plans or specific transfer conditions. It complies with both federal and provincial regulations governing vehicle sales, secured transactions, and consumer protection. The deed includes comprehensive details about the vehicle, payment terms, conditions for title transfer, warranties, and the rights and obligations of all parties involved. It's particularly important in situations involving financing or installment payments, as it provides security for the seller while allowing the buyer to take possession of the vehicle before completing all payments. The document must adhere to provincial Personal Property Security Act requirements and federal Motor Vehicle Safety Act standards.
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1. Parties: Identifies and provides full details of the Seller and Buyer, including legal names, addresses, and contact information
2. Background: Establishes the context of the sale, confirming the Seller's ownership and right to sell the vehicle
3. Definitions: Defines key terms used throughout the agreement including 'Vehicle', 'Purchase Price', 'Condition Precedent', etc.
4. Vehicle Description: Detailed description of the vehicle including make, model, year, VIN, color, odometer reading, and existing condition
5. Purchase Price and Payment Terms: Specifies the total purchase price, deposit amount, payment schedule, and method of payment
6. Conditions of Sale: Outlines the conditions that must be met before title transfer, including payment completion and any financing requirements
7. Transfer of Title: Specifies when and how legal ownership will transfer from Seller to Buyer
8. Seller's Representations and Warranties: Seller's declarations regarding vehicle condition, ownership, liens, and encumbrances
9. Buyer's Representations and Warranties: Buyer's declarations regarding ability to pay and acceptance of vehicle condition
10. Risk and Insurance: Specifies when risk transfers to the Buyer and insurance requirements
11. Default and Remedies: Outlines what constitutes default and the available remedies for both parties
12. Governing Law: Specifies that the agreement is governed by Canadian law and the applicable province
13. Execution: Signature block and execution details
1. Trade-in Vehicle: Include when there is a trade-in vehicle as part of the transaction, detailing the trade-in vehicle and its agreed value
2. Third-Party Financing: Include when the purchase involves third-party financing, specifying the lender's details and financing terms
3. Security Interest: Include when the Seller retains a security interest in the vehicle pending full payment
4. Inspection and Acceptance: Include when there's a separate inspection period before final acceptance
5. Co-Signer Details: Include when there's a co-signer guaranteeing the payment obligations
6. Dealer Provisions: Include when the Seller is a licensed dealer, incorporating mandatory dealer warranties and obligations
7. Assignment: Include when either party needs the right to assign the agreement to another party
1. Schedule A - Vehicle Condition Report: Detailed inspection report of the vehicle's condition, including photographs and noted defects
2. Schedule B - Payment Schedule: Detailed breakdown of payment installments, dates, and amounts
3. Schedule C - Vehicle Service History: Documentation of the vehicle's maintenance and repair history
4. Schedule D - Additional Equipment and Accessories: List of any additional equipment or accessories included in the sale
5. Appendix 1 - Vehicle Registration Documents: Copies of current vehicle registration and transfer forms
6. Appendix 2 - Insurance Requirements: Detailed insurance requirements and proof of insurance
7. Appendix 3 - Financing Terms: Detailed terms of financing if applicable, including interest rates and payment calculations
Relevant legal definitions
Clauses
Relevant Industries
Automotive
Financial Services
Insurance
Legal Services
Transportation
Fleet Management
Retail
Consumer Services
Relevant Teams
Legal
Sales
Finance
Compliance
Operations
Risk Management
Documentation
Customer Service
Business Development
Credit Administration
Relevant Roles
Sales Manager
Finance Manager
Legal Counsel
Compliance Officer
Fleet Manager
Automotive Dealer
Contract Administrator
Risk Manager
Business Development Manager
Vehicle Sales Representative
Credit Manager
Documentation Specialist
Operations Manager
Legal Administrator
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