The Vehicle Sale Agreement Between Two Parties is a crucial legal document used in Saudi Arabia to formalize and document the transfer of vehicle ownership from one party to another. This agreement is essential for both private and commercial vehicle sales, ensuring compliance with Saudi Arabian commercial law, traffic regulations, and Sharia principles. It protects both parties' interests by clearly documenting the vehicle's specifications, condition, purchase price, and payment terms. The agreement is particularly important in Saudi Arabia where specific documentation requirements exist for vehicle registration transfer and where consumer protection laws mandate clear disclosure of vehicle condition and history. It can be used for both new and used vehicle sales, and includes provisions for warranty, representation of vehicle condition, and the formal process of ownership transfer through official channels.
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1. Parties: Identification of the seller and buyer with full legal names, addresses, and national ID/Iqama numbers
2. Background: Brief context of the sale transaction and confirmation that the seller owns the vehicle
3. Definitions: Key terms used in 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 mileage
5. Purchase Price and Payment: Agreed purchase price, payment method, and payment schedule if applicable
6. Seller's Representations and Warranties: Seller's declarations regarding vehicle ownership, condition, and absence of encumbrances
7. Transfer of Ownership: Process and obligations for transferring vehicle ownership through official channels
8. Completion Requirements: Documentation and steps required to complete the sale
9. Risk and Insurance: Transfer of risk and insurance responsibilities
10. Governing Law and Jurisdiction: Confirmation of Saudi law application and jurisdiction
1. Financing Terms: Required if the purchase involves third-party financing or installment payments
2. Known Defects: Detailed disclosure of any known issues or defects, particularly important for used vehicles
3. Post-Sale Services: Any agreed maintenance or service arrangements after sale
4. Vehicle History: Detailed service history and previous ownership information if available
5. Intermediary Details: Required if a broker or dealer is involved in the transaction
6. Return Policy: Terms for vehicle return or exchange if agreed upon
7. Arbitration: Alternative dispute resolution procedures if parties wish to avoid court proceedings
1. Schedule 1 - Vehicle Specification: Detailed technical specifications and features of the vehicle
2. Schedule 2 - Vehicle Condition Report: Comprehensive report on the vehicle's condition including photographs
3. Schedule 3 - Required Documents: List of all documents required for the transfer of ownership
4. Schedule 4 - Payment Schedule: If payment is in installments, detailed payment dates and amounts
5. Appendix A - Vehicle Inspection Report: Third-party inspection report if conducted
6. Appendix B - Service History: Documentation of vehicle's service and maintenance history
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