It would be fair to say that a bill of sale is one of the most important and significant documents that you will come into contact with in your experience as a boat owner. The bill of sale for a boat is the leading document that authenticates and legitimizes the transfer of ownership from one party to another, and for that reason, it is important to make sure that no mistakes are made in the drawing up of such a vital document. They are not the most difficult documents to get right, but there are a few areas where you need to make sure everything is correct and in place to ensure all legal obligations are met. With this in mind, here are some of the most common mistakes to avoid when making a bill of sale for a boat.
Incorrect Or Incomplete Information
Without a doubt, the most common mistake made on a bill of sale is a lack of information or incomplete passages of information. You need to ensure that all details are there, including boat description, purchase price, seller and buyer information, terms of payment, and any agreed warranties. You need your bill of sale to be as watertight as possible to avoid future potential disputes.
Unclear Terms Of Payment
You want to avoid including any ambiguous or unclear terms of payment, anything that could lead to a loophole or a misunderstanding later down the line from either seller or buyer. You want to include the amount that is to be paid in total, the currency in which it is going to be paid, and a schedule of payment if the buyer is not able to pay upfront. Also, make sure to check and specify if there are any additional taxes or charges that need to be applied to the total cost.
Neglecting Dates And Signatures
You would be amazed by just how many people draw up a watertight bill of sale and then make the simple mistake of leaving off a key date or actually forgetting to sign it. Without those dates and signatures, nothing stated within the bill of sale is going to be legally binding between the buyer and the seller. Unless both names are cemented onto the document, you have no leg to stand on should a dispute raise its head down the line later. In order to validate everything in the bill of sale, dates, and signatures absolutely need to be applied by all parties involved in the transaction.
If you would like some professional guidance and assistance when drawing up your own bill of sale for a boat, then do not hesitate to take advantage of the services offered at the US Vessel Registrar. Our experienced members of staff will be able to promptly and efficiently error check and process all of your relevant paperwork to ensure that all of your documentation is incorrect, official order. We look forward to being able to assist you in any way that we can.