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Second Hand Car Purchase Agreement for Saudi Arabia

Second Hand Car Purchase Agreement Template for Saudi Arabia

A comprehensive legal agreement governed by Saudi Arabian law that facilitates the sale and purchase of used vehicles between parties. The document ensures compliance with Saudi traffic regulations and consumer protection laws while protecting both buyer's and seller's interests. It includes detailed provisions for vehicle condition disclosure, payment terms, ownership transfer procedures through the Saudi Traffic Department (Muroor), and warranties. The agreement incorporates Islamic law principles and addresses specific requirements of Saudi Arabian commercial regulations regarding second-hand vehicle transactions.

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What is a Second Hand Car Purchase Agreement?

The Second Hand Car Purchase Agreement is essential for documenting used vehicle transactions in Saudi Arabia, where specific legal requirements govern vehicle transfers. This document is used when transferring ownership of a used vehicle between parties, whether private individuals or businesses, and must comply with Saudi Traffic Department (Muroor) regulations, consumer protection laws, and Islamic law principles. The agreement typically includes comprehensive vehicle details, condition reports, warranty terms, and specific procedures for ownership transfer. It's particularly important in Saudi Arabia where vehicle registration and transfer procedures are strictly regulated, and proper documentation is crucial for legal ownership recognition. The document helps prevent future disputes by clearly stating all terms and conditions of the sale, including any known defects, payment terms, and delivery arrangements.

What sections should be included in a Second Hand Car Purchase Agreement?

1. Parties: Identification of the seller and buyer with their full legal names, addresses, and official ID numbers as required by Saudi law

2. Background: Brief context of the transaction and confirmation that the seller is the legal owner of the vehicle

3. Definitions: Key terms used throughout the agreement including 'Vehicle', 'Purchase Price', 'Completion Date', etc.

4. Vehicle Details: Comprehensive description of the vehicle including make, model, year, color, VIN, registration number, and current mileage

5. Purchase Price and Payment: Agreed price, payment method, and payment schedule including any deposits

6. Seller's Representations and Warranties: Seller's declarations about the vehicle's condition, ownership, and absence of encumbrances

7. Vehicle Condition: Detailed description of the vehicle's current condition, any known defects, and recent maintenance history

8. Transfer of Ownership: Process and obligations for transferring vehicle ownership through Muroor (Traffic Department)

9. Completion: Details of when and where the vehicle handover will take place

10. Governing Law and Jurisdiction: Confirmation that Saudi Arabian law governs the agreement and jurisdiction for disputes

What sections are optional to include in a Second Hand Car Purchase Agreement?

1. Inspection Period: Used when buyer requires a pre-purchase inspection period or test drive arrangement

2. Financing Terms: Include when the purchase involves third-party financing or installment payments

3. Insurance Transfer: Required when existing insurance policy is being transferred to the buyer

4. Warranty: Include if seller is providing any additional warranty beyond statutory requirements

5. After-sale Service: Used when seller agrees to provide specific post-sale services or maintenance

6. Export/Import Provisions: Required if vehicle will be exported to another country or region

7. Agent Authorization: Include when either party is represented by an authorized agent

What schedules should be included in a Second Hand Car Purchase Agreement?

1. Schedule 1 - Vehicle Inspection Report: Detailed technical inspection report showing vehicle condition and any defects

2. Schedule 2 - Vehicle History: Documentation of vehicle's ownership history, accident history, and maintenance records

3. Schedule 3 - Payment Schedule: If payment is in installments, detailed breakdown of payment dates and amounts

4. Schedule 4 - Vehicle Photographs: Dated photographs showing vehicle condition at time of sale

5. Appendix A - Required Documents: List of all documents required for transfer including registration, insurance, etc.

6. Appendix B - Handover Checklist: List of items to be handed over with vehicle (spare keys, service books, etc.)

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Saudi Arabia

Publisher

Genie AI

Document Type

Purchase Agreement

Cost

Free to use
Relevant legal definitions





































Clauses


































Relevant Industries

Automotive

Retail

Consumer Goods

Transportation

Financial Services

Insurance

Legal Services

Relevant Teams

Legal

Sales

Compliance

Operations

Finance

Risk Management

Customer Service

Documentation

Business Development

Vehicle Registration

Relevant Roles

Legal Counsel

Automotive Sales Manager

Compliance Officer

Contract Administrator

Fleet Manager

Risk Manager

Sales Executive

Business Development Manager

Operations Manager

Finance Manager

Insurance Coordinator

Vehicle Registration Specialist

Documentation Officer

Customer Service Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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