The sale of a boat or other watercraft between two private individuals brings with it risks and opportunity. A seller is often very happy to have this depreciated piece of property taken off his hands. The buyer, on the other hand, is very excited to own a piece of property that will bring hours of joy and happiness out on the water. To ensure both parties get what they want, it is absolutely necessary that a boat bill of sale, a legal form, be drawn up and agreed to by both parties before the transaction is completed. A properly executed boat bill of sale legal form will fully transfer ownership of the boat to the new owner.
Similar to a car bill of sale legal from, a boat bill of sale legal form outlines all terms and conditions of the transaction between the buyer and seller. These include:
Year, Make and Model of the boat (or other watercraft)
Date of Sale
Hull Identification Number (HIN)
Motor Identification Number
Make and type of motor
Final selling price
Description of Trailer
Registration number of trailer
Odometer/Hours reading
Buyer’s and Seller’s names and signatures
Warranties, other considerations and exclusions
This information is important to have in writing, as it ensures proper titling and registering of the newly purchased watercraft with state and/or local officials. State rules and regulations vary but, in general, a boat bill of sale legal form will ensure that the buyer is able to prove ownership when obtaining boat insurance, provide a basis for figuring sales tax and properly register the boat legally with requisite state and local officials.
As soon as both the buyer and seller sign the boat document of sale legal form, showing they agree on the stated terms and conditions, the legal form and document generally becomes legally binding. If the buyer is financing the boat purchase with the seller, the boat bill of sale legal form may be amended with a promissory note specifying payment terms. As well, many states will also require a legal notary to be present when the two signatures are given. You should check with your local county tax assessor to see if this is the case where you live.
Interested buyers or sellers can easily obtain a downloadable and printable boat bill of sale legal form online. You can also visit your local County Assessor’s office for a boat bill of sale legal form. If you are still having questions, you should contact a local attorney to find out more.
A boat bill of sale binds seller and buyer together, ensures legal compliance, and lays the foundation for a mutually beneficial transaction for all involved.