Motor Vehicle Sale Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Motor Vehicle Sale Agreement

"I need a Motor Vehicle Sale Agreement for my car dealership in Riyadh to sell a fleet of 10 new Toyota vehicles to a corporate client, with payment to be made in three installments over 6 months starting March 2025."

Document background
The Motor Vehicle Sale Agreement is a crucial legal document used in Saudi Arabia to formalize and document the transfer of ownership of a motor vehicle from seller to buyer. This agreement is essential for both private and commercial vehicle sales, ensuring compliance with Saudi Arabian traffic laws, consumer protection regulations, and Sharia principles. The document captures all necessary details including vehicle specifications, payment terms, warranties, and the specific requirements for ownership transfer through the Muroor (Traffic Department). It's particularly important in the Saudi context due to strict vehicle transfer regulations and the need for proper documentation for registration purposes. The agreement helps prevent future disputes by clearly outlining all terms and conditions of the sale, including the parties' rights and obligations, while ensuring all local legal requirements are met.
Suggested Sections

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

2. Background: Brief context of the sale 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, mileage, and any modifications

5. Purchase Price and Payment Terms: Agreed purchase price, payment method, deposit requirements, and payment schedule if applicable

6. Transfer of Ownership: Process and requirements for transferring vehicle ownership through the Muroor (Traffic Department)

7. Seller's Representations and Warranties: Seller's declarations regarding vehicle condition, ownership, and absence of encumbrances

8. Buyer's Acknowledgments: Buyer's confirmation of vehicle inspection and acceptance of condition

9. Completion Requirements: Documentation and procedures required to complete the sale

10. Risk and Insurance: Transfer of risk and insurance responsibilities

11. Governing Law and Jurisdiction: Confirmation of Saudi law application and jurisdiction

Optional Sections

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

2. Trade-in Details: Include when there is a vehicle trade-in as part of the transaction

3. Extended Warranty: Include when additional warranty coverage is being provided beyond standard terms

4. Post-Sale Services: Include when the seller is providing additional services after sale (e.g., maintenance package)

5. Export/Import Requirements: Include when the vehicle will be exported/imported between GCC countries

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

Suggested Schedules

1. Schedule 1 - Vehicle Inspection Report: Detailed technical inspection report of the vehicle's condition

2. Schedule 2 - Vehicle Registration Documents: Copies of current registration card and other official documentation

3. Schedule 3 - Service History: Record of vehicle maintenance and service history

4. Schedule 4 - Payment Schedule: If applicable, detailed schedule of installment payments

5. Schedule 5 - Handover Checklist: List of items to be handed over with the vehicle (keys, manuals, etc.)

6. Appendix A - Vehicle Photographs: Dated photographs documenting the vehicle's condition at sale

7. Appendix B - Required Forms: Standard Muroor (Traffic Department) transfer forms

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

Relevant legal definitions
Relevant Industries

Automotive

Retail

Transportation

Fleet Management

Vehicle Leasing

Insurance

Financial Services

Legal Services

Relevant Teams

Legal

Sales

Operations

Administration

Compliance

Finance

Documentation

Fleet Management

Customer Service

Relevant Roles

Sales Manager

Fleet Manager

Legal Counsel

Compliance Officer

Administrative Officer

Vehicle Registration Specialist

Automotive Sales Executive

Contracts Administrator

Finance Manager

Insurance Coordinator

Documentation Specialist

Operations 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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